Grand Rapids herald. [volume] (Grand Rapids, Mich.) 1892-1959, 1893-05-13
FA,lUHE ~ THE CoLUMBIA
Interesting Developments Promised IN
TN, Investigation.

CssCaoo. Nay L. Interesting dis
ensures ar. PROMISED IN connection with
the inve~tlg alton into the Columbia
Nabonal tsank failure. Tho directors
held meeting to-day ~ di--russ the
practicahilIty III r-sumIng. but the re-
suit 81 their deliberations was not given
out The affairs 20 the bank are ia
such a thorough mix that II - rot
knoSn Just how matters stand. Zimri
I,wiggins. president u tn. Columbia
hank. vas banker IN Attica. Ind, ten
OF twelve years ago and at that time -
tablished clcss r-latious with q. w.
Wigs and J. w StArbuck. Who were
running a system Il bucket shops under
the name u Wiley. Stravbriige &
60. They determined "a start n
bank and organized tho United States
National bank with a capital q $1,000.
The bucket shop business Was subse
quently broken up under the bucket
shop law. tho hank being left IA Dwig
gins control. while Wiggs went ~ New
Mexico. The stock 81 the Cnitesi States
hank vas sw-iied a. $4,000 and Wigs.
who had discovered an alleged gilt
edged mine. drew kDo.OD 90 pay for IT,
The m.ns VA "a rs sold Ia English in
vcstrs. The mino was a dead hcrss,'
snd never pannesi out. Nothing dauntrd
h. the failure 10 the New MEXICAN
schem.. Dvigxins and Starbuck urdsS
took the establishment ~ chain ~
country banks IL ls MT known how
many we're then organized. but after the
Columbia va- established they went at
~ with WIN and their connections are
now more extensive than before. The
- hsme vas - visit ~Dm- veil known and
well a. 10 farmer IN a town AMI secure his
SERVICES ~ Cashier - tho branch. the
farmer to take large block - the stock
Tn. money was advanced by the Column
bla AMI soue one put IN control who wss
~ -vupatfy With their interests The
country bank stoek thus acquired was
ctther uS.d A. collateral for loans by the
Columbia National ur bought outright
N the Money sent oat into the country
-.rnn came back ~ the reserve center
fre hauS wss not out q cash long and
practically ~ capital vas required In
The prumofion - business. The Cclum
b,a. hosever hually got loaded up with
country bank St1cs fer Shich u had M
syesiai a-s snd then u was determined
n - said. o. organize com
pany % tax. this stock issue
det-uturr bombs en- them and SILL
th,. bonds The Cnitr,, States Loan 4
Trust eomPsny vas put IN the field with
IiIuri Dwiggin= "a president. AMI incur
t-,rsfesi under the laws q Indiana The
gomVany - -ssd g. have represented hat
ureu the basis = cuuntry bank stocks
yiri.in g ~ snd y Ter cent divtdends
) ari q cent tehen'urs trpud- would be-
,.ssuel t. make the bonds g,.-i. the
United Stage@ Loan q Trust company
guargu'eed tae payment - principal
and intrres' The . heue caught On ~
g,..i style ART u - known that AZ ore
financial crricorn'= ofice ssEsltso - tho
Inif.-i states Loan : Tru-t company =
,lefenturr. had hs.en registered there.
The sppr5slrlats anl-pnt - hank STICK
heti 'or this - san' O. - stpte1. ard
f're-ideat i'Siggius - understood "a
have fa0tse MORE ~ hand The a.
-.tz - N. Unlfed States Loan a frn.,
rssrafany are -aii =, consist - ahsu,
si OsG in office furnitarr Tho suncern
r,sptrulle-i large number - hsak- ~
T. iiana. Illinois OHIO AMI Michigan
rro-f - which siii bs closed
CroVris q p.-fPie cr'nx--cs,rsi aruur.l
the of'i,',- a the Columbia National
hank TO-DAY. huf were assured 'rsn ~
t4s.,.. g,s-fssi ~ tb.-. shn bal irssn
,ssl IN. hauk that they themselves vouhl
- - ne. nguuis'ioa - al sueh iraf...
ard other assu-snr~- ser~ given ~
sib.ia= that az would get their shnney