davidaulloa/AmericanStories huggingface dataset:
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
President Dwiggius's Methods.

The system followed by President Zimri Dwig.
gins, of the suspended Columbia National Bank,
was no secret to the bankers of Indianapolis,
who had long since ceased to give it their conf
dence. One thoroughly acquainted with his
methods of establishing banks and making ven-
lures said yesterday:
'The failure of the Columbia National of Chi
ever Indianapolis banks received checks on the
Columbia the paper would not be held over
night. even. being sent by express to the Chicago
of establishing little banks throughout
northern Indiana was not regarded as
the safest in the world. and 1t now
where they could have little effect on the COM
mercial world generally would be embarrassed.
The full extent of the crash can little more than
be estimated until more definite Information is
given out from Chicago concerning this peculiar
eystem. The business of the old United states
National Bank of Chicago. which afterwards
was turned into the Columbia National at the
time when the capital stock was increased from
100000 TO $l,0o0.000, about two years ago,
that Zimri Dwiggins and ]. NJ starbuck, the two
leading personaSes in the institution. were
bankers formerly at Union City and Rensselaer,.
respectively. in Indiana. Soon after going TO
Chicago these men inaugurated a system of es-
tabishing banks in Indiana that wes decidedly
novel. as well as original. While it never re-
suited in any Investigation. beyond the ordinary
examination OF State controllers, Ii never elic-
tied the confidence of old bankers. AS result
OF this scheme well-to-do farmers and small bust
ness men of moderate means in villages, who
were drawn into the thing, will be the principal
sufferers.
whenever the Chicago concern decided to
establish q bank at any town it secured the
operation of few substantial local business
men, had them put in a stated amount OF stock,
the Chicago bank taking an equal amount. In
stead, however, of the Chicago men depositIng
their money, they simply gave tho new bank
credit in Chicago for whatever amount of stock
was subscribed by the Chicago bank. This sys-
tenn was known TO have been followed in some
the United states bank examiners is due to the
fact that in all. or In nearly all cases. no nation
al banks we're thus established BY this method
OF credit the Chicago concern could easily assist
in organizing u comparatively limitless number
of small banks. thus establishing for itself
numerous clientage in the way OF collections and
exchange deposits. State inspection of small
town hanks is never as rigidly conducted as that
by the national government. and hence o scheme
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
SIOUX CITY FAILURES.

Assets of Recently Assigned Concerns Cut
Down-Receiver for an Engine Works.
SIOUX CITY, Ia. May 1l.-E. II. Hubbard.
assignee of the Union Loan and Trust Conn.,
pany. the Hedges Trust Company and ID. I.
Hedges. to-day FLED his estimates of the
value Of assets scheduled In the
three assignments. The Union Loan
and Trust Compsny's assets are
placed at 81. .351. .574, az against an original
estimate of 81 ,46s.O3S. The compaDy's liza
bilities are placed at 100000. The assets
OF ID. t. Hedges originally placed at S2.-
PAT. COO, are cut down to s307. .577. His habil-
tiles are placed at 81 or. 600. The Hedges
Trust Company estimated its assets at
s475. 900. The assignee cuts the sum down
to sls3.0 01S The. company's liabilities are
$3.50. 900.
To-day William Thompson was appoin ted
receiver of the Sioux City engine works on
application of N. Desparois. . stockholder.
The failure OF the company ie charged to
the Sioux National Bank. which failed TO
give credit for S35000 The assets of the
company are placed at $23l 900 ana its lia-
bilities at 500 0G0.
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12

Views of S. t. X. Prime, an Illinois Writer,

Views Of s. T. X. Prime, an Illinois Writer,
Agricultural and Industrial ropica
NEW YORK, May lis. 7. X. Prime. of
Dwight Ill. whose weekly reports on the
crops and statistics on industrial topics
have been published widely. Is in the city.
after visit of several weeks in Califor-
MIA and other Statsa A reporter asked
him the question: what about Western
farm mortgagesi"
az have heard of the intervis~ of Ed
ward Atkinson on that subject, published
recently. Mr.. Atkinson knows exactly
what he is talking about when he takes q
hopeful position on these farm mortgages.
don't look upon them as an evil. and
cannot see any reason why the fact that
farmers place mortgages on their land
should cause any alarm. do not see any DAT
ference between q farmer who raises money
by mortgage andthe owner OF factory
in q New England town who raises money
on what IS called accommodation paper
In the last three ears more mortgages have
been paid off of farms In the West than
have been put on. The farmers have be-
come lenders of money instead Of borrow
era They have been buying live stock.
buying more lands and making improve-
ments. They are not running behind.
Suppose again that the farms ara all plas-
tered over with mortgag ages-these mort
CAGES are not dead. The money has been
paid 30 somebody. The farmers debts are
liquidated to that extent. and the money
is in circulation. The men who have been
making the loudest outcry about farm
mortgages seem to have overlooked these
facts. They talk as il the money which had
been secured by the mortgages had been
weighted and dropped into the ocean,"
do you believe the farmers want the
free coinage of silver"
mo. not as a rnle, through the West
Though, personally, l think the present
coinage law is bad, / do not believe this
government has any more right to buy sill
ver as it does now. than it would have TO
buy corn and potatoes and pay in certifi-
Gates redeemable In gold"
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12


AUBURN. Ind. May lL-Garrett held Its first
city election Tuesday, and the Republicans
elected Charles W. Camp Mayor with majority
of 81 over W. J. Fredercks They also elected
ID. C. Seeey, T. p. Kenyon. s l.. Fryer r. Il.
Clark aud William Hayes counclmen; C. W.
Dare. marshal. and w. J. Marlin, clerk with ma
jorities ranging from = to 81. The Democrats
elected one trustee. William Hathaway. and the
treasurer, Barney Hunsel- Garrett Is the strong
hold OF Democracy I'm DeKalb county, and here
tofore regularly gave Democratic majorities
ranging from l60 to 200. IL is the most sigma;
defeat the party here has received since Garret
was Incorporated.
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12

diana The scheme involved the union of little
banks into a KIND of Clearing House Association,
and whenever the banks In one section OF the
territory affected they were to be tided
over by the banks in q more remote portion:
Nearly score OF little banks In Indiana entered
the union, and IL 10 feared here
that the present unsettled condition
or the money market. taken with the
startling failure OF the parent bank at Chicago
and the failure OF the Capital Bank at Indianap-
oils. may cause panic among depositors ana
cause runs which must result, IN many cases. IN
temporary embarrassment. Controller Eckles
sees In the failure OF the Capital Bank which has
not been examined since last August. strck-
lug illustration of the necessity for reform In
the present method or hank examinations.
Every bank. he says. ought to be examined
every six months It has been nearly nine
months since the Capital had been examined.
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
Bad Failure Wilmington.

WILMINGTON. DEL, May 1.-THE announce
ment of the failure of R. R. Robinson & Co..
bankers and brokers, OF this city, to day created
q sensation. s. A. McAllister, attorney for the
company. gave list of the confessed judgments,
and added: Tho liabilities. actual and contin-
gent are about $350.000. and the nominal as
sets about $2o4.O0O" The causes of the failure
are explained by the firm as follows "Indorse-
ment OF notes. decline In the stock market.
ing stocks OF customers without being pro-
tected by them" The firm of K. Robinson &
Co. was organized in 1916. It now consists of
III. G. Robinson and his son, j. Norris Robinson.
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
Failure Attributed to Alarm Of Country Ger
respondents Caused by the Chicago
Chemicals Suspension.
II Causes Much Comment but No Flur.
~ in Local Business Circles.
Meetingo of Other Bankers-What They Think
of lt-Rumored Withdrawals Denied
History of the Bank.
SUSPENSION OF THE BANK.

It Came es q Big surprise-Its Resources
and Liabilities.
The Capital National Bank Of Indianap-
oils suspended yesterday morning and will
go into the hands of Bank Examiner Hugh
Young of Pittsburg. whose arrival is ex-
pected to-day. The Capital National 10
anonymously auartered in the new CONNER
cial Club Building. on South Meridian
street. At o'clock yesterday morning
the massive doors swung open. and there
was nothing to indicate any Interrupt
tion of the regular course of busi-
ness A few small checks were
paid. and then. upon order emsnating from
the board of directors. business was sus-
pended. the doors closed and the blinds
drawn. A few minutes later there was
posted on the front door slip of paper
bearing these ominous words:
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12

Special In the IndiapanoIis Journs'.
WAsHIsGTos, May lL-There is some appre-
bension felt here that the failure OF the Colum-
bia National of Chicago may possibly have some
influence on large number of small banks ell
over the northern part of Indiana The Colum-
bia National failed because OF its clio relations
TO a trust company which includes number Of
small banks in Illinois. and particularly in In
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
IL Refused TO Pay Draft for $35. 900, Suit
Was Brought, Depositors Became Fright
ened and Run Followed.
An Institution That Did Business with
Many Country Banks IN Indiana.
Methods That Tended to Make 1t Unpopular
with Clearing House Concerns-Failures
at Sioux City aud Elsewhere
The Columbia National Forced tO suspend
Aid Refused by Other Banks.

The Columbia National Forced to suspend
Aid Refused by Other Banks.
CHICAGO. May 1.-THE Columbia Ma
tional Bank. of this cfty, suspended to-day.
The bank had offices in the Insurance Ex-
change. Rumors that the institution was
in trouble have been current
for nearly q week. Ii did busi-
ness with small country banks and
was not in esteem with the other banking
concerns Of the city. As to the cause of
the failure, those who know say that col
lections on loans have been poor.
Notices announcing the suspension of
the bank were posted on the DOORS and
few moments later James ID. Sturges, bank
examiner. assumed control in the interests
Of depositors and under authority of the
Controller of the Currency. The Columbia
National was reorganized two years ago
out of the old United States National
Bank. constant run on the bank since
the announcement of the Chemical sus-
pension decided the directors to close
the doors. A call for help was made,
but as the bankers were not
notified until this morning insufficient
time was allowed for an investigation and
the request was denied. The Columbis
was not o member of the clearing house.
The statements Is made by Lyman j. Gage
that to the best Of his belief admission to
the association was asked about 3 ear ago,
and was refused after an investiga-
tion was made. Instead, the concern
cleared through tho metropolitan National.
Last night officers of the latter Institution
learned that the Columbia would be short
to-day, and this morning notification was
made by the Metropolitan that checks
would no longer be paid. A meeting of the
directors Was called and suspension was
decided on. After suspension was decided
the announcement was made in the follow
ing notice:
There being constant run on us for number
OF days. In ordert TO protect the depositors and
all interested, the board of directors have de-
cided to close for the presents All depositors
will be paid in full.
u. .. WIGGINs, President.
Following this came the posting of q no.
tice from the bank examiner, stating that
the business of the Columbia Bank of Chi
oagO was suspended. and that he was in
charge in the interest of the Controller of
the Currency.
The banks statement at the close of pusi-
ness May 4. 1885, was as follows:
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
An Indiana Bank Closed.

PORTLAND. Ind. May 12-Word was. re-
ceived here at l O'clock this morning
that the Dunhirk Bank. of Dunklrk. this
county, closed its doors last night
and refuses to pay depositora
A crowd of several hundred excited peo-
pie surrounds the building. The sheriff
of the county and his deputies at this
hour are preparing to start for there
In order to levy on all available
property. The bsnkis owned by Dwiggins.
Stsrbuek &, Co.. of Chicago. and has gone
down for at lesst s75. coo. Further particu-
lars are yet unobtainable.
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
CAPITAL NATIONAL BANK
SUSPENDED.

The news of the suspension rapidly
spread to every business quarter of the
city, but the panic and turmoil,
the excitement and the expanse OF
blanched faces of depositors that usually
60 with the collapse of big moneyed insti-
tuition were not conspicuous features OF
the occasion. Patrons of the bank. as they
came up to transact business and found
the way barred. gathered in knots of fives
and tens and discussed the situation and
speculated as TO the outcome, but beyond
this the city went on about its business,
while the force of officials and clerks on
she inside went to casting up figures and
canvassing assets to find where the bank
stood.
The failure of the Capital National is as
oribed by its officers to the collapse of the
Chemical Bank of Chicago. in which the
Capital National had about $4,000 on de-
posit. The Capital National has been con-
Quoted on what are termed liberal lines.
Soon after its organization il refused to be
bound by the rigid rules of the
clearing house. the result of which
was it's withdrawal from that
institution. 1t accepted business
which the older and more conservative
banking institutions of the city did not
consider perfectly safe. The result was
that for q sme the Capital National four
Ished, but the reaction came. and an exam
ination of its published statements dis-
closed that for several months the amount
of its deposits has steadily declined.
Then came the recent shrinksge of val
ues and the stringency of the money mar
ket, and as much as sixty days ago the
Capital National felt the necessity of re-
ducIng the amount of Its credits. The ina
bility of borrowers to secnre credit else
where made difficult the proposed work Of
contraction, and loans that became due
were renewed. The country banks which
had funds on deposit in the Capital Ma
drew them out. The bank still would
have weathered the storm but
for the unfortunate failure OF
the Chemical. With the collapse
q meeting and President NJ. b. Wilson was
sent to Chicago to see what could be done
toward realizing on the Capitals claim.
He returned Wednesday evening and the
report which he made was not encouraging.
The meeting of the directors of Wednesday
evening adjourned without definite action
hey ond tie determination TO continue bust
ness if the other banks of the city could
be induced to lend their credit TO tide the
Capital over it's emergency. The condition
of the Capital was made known at q meeting
of bankers held at $50 yesterday morn
ing at the bank. When this meeting was
called there was but thirty minutes before
the opening of business for the other bank
ers to examine the collaterals of the
Capital. and the decision was to withhold
the assistance asked. There was nothing
left the Capital TO do but close Its doors,
and the notice of suspension was posted.
The following figures are given as show
ing approximately the banks condition:
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
.@2.5e4ssI.19

Llthfl DWlG8ius, the pEeSiuent Oh tno Co
lumbis, assigns as the Immediate cause of
the failure of his bank the suit which was
brought against 1t by the Sioux City
Loan and Trust Company. which
failed few days ago. The Columbia
was the Chicago bank with which the
Sioux City concern did business, and their
deposit In bank at tho time OF their col
lapse In Sioux City amounted to S35,00O.
A draft was drawn on the Columbia for
this amount. When the draft was pre-
sented by q man from Iowa the
bank refused to pay. claiming that
1t had loans outstanding against the
SiCux City company which eQualed the
amount of their deposit. The company
Immediately entered suit against the bank.
The news of the suit spread and caused q
run on the bank which it was unable to
withstand.
A meeting of the officers and direc-
tors was held this afternoon and at its
conclusion it was announced that the bank
would probably resume business in o short
time. Cashier Preston. of the Metropolitan
National Bank, through which the Column
bis National cleared, said tonight that the
failure was not bad one. and that he saw
no reason why the suspension should be
anything but temporary.
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
SURGICAL INSTRUMENTS

Fracture splints, Special Trusses Crutches Elastic
Hosiery, Deformity Braces and Surgical Appliances
of every kind. The largest stock OF ARTIFICIAL
EYES In the State VIZ IA. ARMSTRONG q co
II S0uta Illinois SsroBt
The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-12
I0taI TI,OfV,OVV
The official statement of May was ~

Loans and discounts. .007. .9l6. G
Overdrafts secured ans unsecured 334.
United States bonds TO secure Cir
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
DISASTROUS BLAZE IN C0LFAX
The Entire City Has a Narrow Escape
From Destruction.
MANY FINE BUILDINGS LOST
Highly Successful Attempt TO Light n
Fire with Kerosene
Oil.
MANY FINE BUILDINGS LOST
Associated Press.


Colfax, Wash, April 22.--At o'clock
this morning fire broke out in the
Baldwin hotel, and in two hours all
the frame buildings in the block, to-
gether with the Colfax opera house,
Mitchell, Lewis & Staver Co.'s ware
house, and the Lansdale building, were
burned to the ground. Binnard's gran
lite block was damaged to the extent
Of $4,000; Mitchell, Lewis and Staver'e
loss, $4,000; Hall & Burgunder, opera
house, $4,000; Baldwin Hotel, $4,000,
partially insured. The total loss ID es-
timated at $15O,OOO. The fire was caused
by a Chinese cook lighting the fire Of
the Baldwin hotel with kerosene OIL
The flames would have been confined
to a small area, only no water could be
had. The reservoir is not complete and
the pumps at the pumping station We're
out of order. 1t was one hour before
the water came, and it just came in
time to save the remainder of the bus
mess portion which was threatened with
destruction.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
STRIKERS PLACES FILLED.

Topeka, April 22. Eighteen new me-
chanics brought here by the Santa Fe
60 take the places Of the striking shop
men have applied to General Manager
Frey for transportation back to Phil
adelphia. They represented that they
were brought here under the under
standing that there was no strike in
the shops Frey declined. Thirty-four
new men arrived last night and were
nut TO work today.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
A RISKY EXPERIMENT.

New York, April PA calmer air
pervaded the sub-treasury and its
neighborhood this forenoon. 1t is pos
itively known that the government had
met all demands for gold yesterday,
that there had been no discrimination
between treasury notes and greenbacks
and there is an apparently firm belief
that this course has been adopted in
pursuance of the policy Of the govern
ment to maintain parity between gold
and silver.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
MYSTERY OF THE SEA.

London, April "a dispatch from
Yueden, Holland, states that fishing
boat that arrived there reports having
seen drifting in the North Sea a boat
which had painted on its side a name
which, as far as could be made out,
read Moran" The boat contained four
dead men. their bodies being tied to
the seats. 1t is conjectured here that
this small boat came from the ill-fated
Naronic.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
FoRETELLING FAILURES.

Philadelphia, April 22.-The failure
of the Pennsylvania Steel Company has
depressed the iron and steel trade. and
1t is the belief in financial circles that
the embarrassment Of that large con-
cern is but the forerunner of lesser
failures in the same line. No state
ment of the assets and liabilities has
vet been made.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
THE RESERVE FUND 1NTAcr.

Washington, April 22-The gold re-
serve. which was depleted yesterday,
is intact today. Offers aggregating
$4,OOO,O00 have been received and accept
ed by the secretary, who stated that
the treasury will continue the policy
now being pursued of paying out gold
for treasury coin, and he was at loss
to understand how any uncertainty pre-
vailed in the public mind as to the
action Of the treasury department. In
the premises.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
WHITE CAPS CONVICTED.

Carrolton, Ga, April 22.-Nine Of the
men recently convicted for being White
Caps, were yesterday sentenced to II
months each in the chain gang. The
other two were boys and got off with
six months each. Among the convicted
are Jesse Brooks, prominent farmer
over so years of age. and DR.. Dan
Rogers, a prominent physician.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
CONFLICTING STATEMENTS.

New York, April 22.-Booth's con-
dition was improved this morning.
New York, April 22.-The latest in
formation obtainable is that Mr.. Booth,
the great actor, is dying, and that
death is only question Of a few hours.
1t appears that DR.. Smith, his physi-
clan. is endeavoring to conceal his real
condition
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
THE WIRES DOWN.

A break occurred in the wires last
evening about 6 O'clock, and in conse-
quence The Astorian appears this morn
ing with but portion of its telegraphic
renort
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
THE UNION PACIFIC STRIKERS.

Omaha, April 22,-There was no
change in the strike situation on the
Union Pacific today. A conference will
be held between the men and the gen.
eral manager this afternoon.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
NEW PosTMAsTERs.

Washington, Auril 22.-There were
1O1 fourth-class postmasters appointed
today. OF the number "a are to fill
vacancies caused by deaths and reslg-
nations.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
POTTER SENT 10 JAIL.

Boston, April 22.-In the United States
circuit court Asa p. Potter. convicted
of false certification of checks drawn on
the failed Maverick National bank,
while he was president, was sentenced
to sixty days Imprisonment and a fine
of 81. .0OO
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
AvERTING A PANIC.

Sydney, N. S. W., April 22.-The hea-
Wy run on the savings bank in this city
has been stopped by the announcement
that the government would guarantee
the deposits. The financial panic is
subsiding.
The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-04-23
vIcToR1oUs STRIKERS.

New York, April 22.-The lockout of
clothing cutters, which has lasted near
ly four weeks, is over. The fight re-
suited in practically complete victory
for the cutters.