The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1893-06-06
AFRAID OF BANKS.
Poor People Draw Out
Their Savings.
MONEY READY ON DEMAND.
Chicago Savings Institutions May Be
Shaky, but They Certainly
Show No Sign of 1t.
Special to THE MORNING CALL.

CHICAGO. June 5.-The failure of Herr
mann, Schaffner & Co.'s bank. which oc-
Cured last week, bore fruit to-day in we'll
DEFINED runs which were precpitated Oh
almost il not every one of the savings
banks Of Chicago. The first to feel the
effect of the excitement was the Bank of
commerce. where great many Jewish
citizens of the poorer class keep their ac-
counts. The Schaffner failure had very
much alarmed them, and they bore down
upon the Bank of Commerce at the open
ing hour. The tellers were dou bled up
and paid checks fast as presented through
out the day, the officials of the bank ex-
pressing no alarm whatever, and saying
that they were able to meet any demands.
The Illinois Trust aud Savings Bank,
which has larger line of this class of de-
posts than any other bank in the city,
amounting at times to over S12, 600. 600, put
on an extra force of tellers and paid every
one as rapidly as possible. At O'Clock
thlS afternoon they posted notice on the
front door that the bank would remain
open until 10 o'clock tonight and every
night so long as the present excitement
continued. The Hibernian Bank which,
as Its name implies. is the depository for
large number of Irish Americans of small
means, was crowded all day, but found no
difficulty in meeting all demands.
The Dime Savings Bank took advantage
of the rule requiring. if necessary, sixty
days notice of withdrawal, and paid only
percentage of deposits to-day. and the
Globe Savings Bank applied the thirty-day
rule also.
The MISUNDERSTANDING Savings Bank
sustained moderate run throughout the
day, and it, too. kept open house until
o'clock tonight.
Equally spirited checking was noted
upon the Price State National and Pacific
State Savings, as well as upon the Union
Trust Company and the Avenue Savings
Bank, but ia no case was any alarm felt
by well-informed people. In fact. atmany
of these institutions large Gepositors came
in during the afternoon and made heavy
deposits.
To-day's situation was greatly aggra-
waited by number of Board of Trade
brokers, who, for reasons of their own, de-
voted themselves to the circulation of sen
sational rumors, in which they involved
at one time or apother nearly every bank
III the city and a large number of leading
stockyard orators as we'll Notwith-
standing these malicious efforts no fear is
felt as 10 the safety of any of the leading
banking institutions of the city, and the
failure of Meadowcroft Bros, a minor in
sttuiion with total deposits of perhaps
100000. aroused little or no interest.
Attorneys for the bank place the liabiIi-
ties at S250.0c0. assets at $4,000. The
latter consist chiefly of commercial paper
which is not now readily convertible into
cash.
On application in court receiver was
appointed for the bank, on petition Of
member of the firm. The bill gives as a
cause of failure inability to reorganize the
bank after the death of one of the brothers
last February. The bank was established
in 1860 by the father of the members of the
present firm.
To-day's developments confirm the be-
lief that Herman Schaffner Of the failed
bank of Herman Schaffner & Co. drowned
himself in the lake. The police are drag
ging for the body.
CHICAGO, June Cat midnight the Il
lInois Trust and Savings Bank was still
paying off. and the crowd of depositors
anxious to draw their money was still as
large as ever. The bank officials were
rather pleased than otherwise to pay out
money, as it meant big saving to the insti-
tuition in interest. So far the net profit is
about $780, GOO. At this hour it was an
nounced that the bank would not close so
long as a single depositor cared to draw
out dollar.
The paying of money is being continued
at seven windows. 1--WE will stay right
here for three months and not close our
doors night or day if such proceeding
should become necessary. We are good
for any run, no matter how long it keeps
up"
At 80 A. NJ. the Illinois Trust and
Savings Bank was still open, the force of
paving tellers at the seven windows having
been relieved by fresh men, and enough
people were still waiting for money to
keep the back open two hours more.
President Mitchell said there was plenty of
money on hand and plenty Of men TO pay
it out.