The herald., 1893-06-22


are pending towards reorganization"
THE CITIZENS BANK.
President Brotherton OF the Citizens
bank reports that it has all the money
it wants, and only today refused $4,000
which was on the point OF being for
warded to it.
"We have had something of a rum"
said he. land have paid out probably
about $4,000 today; but we are not at
all incommoded, and are ready for a run
If one should start. / think, however,
that the worst is over, and that the
backbone OF this excitement is broken"
Mr.. T. d. Stimson, who was present,
agreed with President Brotherton's
views.
''The run is all piece of nonsense"
said he, "and tomorrow will doubtless
see the last OF it. This section has been
unusually prosperous fostwo years, and
mortgages have been discounted and
paid off twice as rapidly as they have
been recorded. There is not the least
bit OF reason here to be alarmed. There
are probably too many banks and there
has been some very close loaning 20
make good showing to stockholders.
Banks here are at an unusual disadvan-
tage in case of sudden run, as it takes
"a hours to get money from San Fran
cisco and four days or more from Chica-
60 and New York. OF course the longer
time the banks have, the better able
they will be to pull through, and | have
no doubt they will all come out all
right"
The HERALD desires to correct typo
graphical error which occurred in its
issue of yesterday. In the account of
the City banks failure the words "Citi-
zens' bank" were printed by mistake
for the name of the former.
THE EAST SIDE BANK CLOSED.
Over on the East Side little furry
was occasioned by the appearance of the
following notice on the doors of the East
Side bank:
"On account of not being able to cash
our New York and San Francisco ex.
change we are compelled to close our
doors. Depositors will be paid in fnll."
After the first feeling OF surprise had
worn off little comment was made, the
general feeling being that all depositors
would get dollar for dollar on their
money.
HALF A MILLION ARRIVES.
Yesterday when the south bound train
from San Francisco rolled into the San
Fernando depot, at 1885, it brought
half million dollars in gold coin for the
relief of the struggling banks OF this
city.
The coin was In sacks, and nearly
covered the entire floor of the car, under
the charge OF Sidney A. Butler, supern-
tendent of Wells-Fargo, and two assist
ants. Part of it was taken to the Farmers
and Merchants bank, where it was de-
posted in tho presence OF an excited
crowd, which eagerly looked on as the
money, bag at time, disappeared
through the doorway of the bank.
The balance was distributed among
other banks.
CASHIER HoLTERHoFF's VIEWS.
Mr.. Godfrey Holterhoff, the cashier of
the Southern California Railway COM
pany, was seen and made the following
statement:
Viewed from the light OF transpor-
tation company, which naturally reflects
the conditions of community, Southern
California as an entirety never present.
ed more prosperous condition than
that Immediately precedent to the
present insensate panic.
through tho period of liquidation Incl
dent to the collapse of inflated values of
/ 1867. and all OF our banks, with scarce
an exception, have weedsd out and
charged off losses incident to that
epoch.
"The development OF our natural re-
sources has, while bringing in much
new money, naturally necessitsted local
assistance-not in any degree incom-
mensurate with securities offered, but
tending to keep the available cash re-
sources of this Southern California Sec
ton at a lower percentage than would
have been the case in dull times. There
is without exception no failure OF q
bank in Southern California that was
warranted under it's reserve condition.
"All, as far as observation can Judge,
are perfectly solvent, and will pay dollar
for dollar.
"You can say, as far as the Santa Fe
company is concerned, that it has per-
feet confidence in the country and it's
banking institutions and their ability to
pay all claims. No community in the
world can stand panic such as we have
had. and under circumstances OF ma
tional stringency of money.
1--WE are making no changes in the
conduct of our business with the COM
munity, and propose none to the har0.
ship of the public.
sThe Farmers and Merchants and the
Los Angeles National banks are the de-
positories of our company in this city,
and we are depositing as usual"
PROF. LOVES VIEWS.
Among the prominent ctizsns inter
viewed yesterday was Prof. T. S. O..
Lowe. president Of the Los Angeles Safe
Deposit and Trust company, and officer
and director in two or three other bank
ing institutions. He says there is no
excuse for the present run on Los An
| Geles banks, or any other bank whose
directors and stock holders are we'll
known wealthy citizens, as the laws Of
California make them responsible to
every depositor. which is not the case
in all eastern banks.
The way the circulating medium ie
locked up in safe deposit boxes, slowed
away in stockings and buried in sand
banks is ridiculous and morally wrong.
He speaks from personal kno Wedge,
being principal owner OF the Los An
geles Safe Deposit and Trust company,
and AYERS that the private box owners
in his vaults are now carrying more gold
out of use than is held in circulation in
all the leading banks in this city.
COMMISSIONER eERBERDrSG's VIEWS.
A. Gerberding, one OF the state bank
commissioners, arrived here yesterday