The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-07-19
BANKS SMASHING IN DENVER.
THREE NATIONAL BANKS AND THREE
rRlYATs CONCERNS 60 UNDER.

dny-u IL Relieved None OF the Bank De-
| positors VIII Lose q Doiiar-Tho Banks
Could Not Realize on Their Securities
| md Had to 0uit-Senntor Telier's Views.
DENVER. July 1a-Three national banks-the
| Union National tho Commercia National. and
| the National Bank Of Commerce-close their
| doors this morning owing to the heavy de-
mnnds OF excited denositors. The Mercantile
fank, small private institution doing busi-
| moss in the Mining Exchange building. also
suspended. owing to the close OF the Union
bank, through which its clearnnces were made.
| The suspension OF three savings banks yes
tcrday so alarmed tho community that at 10
o'clock this morning, tho hour for opening the
banks crowds had gathered in front OF nearly
all the financial institutions. At the German
and City National hanks the run was heavy.
although the First National. tho PEOPLES. and
one or two others felt the unusual pressure to
some extent The streets were full OF people
discussing the situation. 1t was an orderly
crowd. however. and there was much sensible
and conservative talk. Tho run on tho Peo-
pies Bank soon exhausted ITSELF and by IL
o'clock affairs had resumed their normal con-
| dlton. At tho City National the run was over
| by O'Clock. and at tho other banks. except
| the German the excitement was all over By
| loon. At the German National the crowd kept
| In line in front OF the teller's window all tho
| afternoon.
| The conduct OF the Union National Bank Is
| soundly condemned on all sides. as 1t know
| 1t was bound to close to-day. At midnight an
| attachment was made by the bank on tho
stock OF NJ ]. McNamars 4 Co. n leading re.
| toll dry goods firm. to secure an overdue note
for $4,000. This action precipitated others.
until by room the attachments amounted
to S25O.OU0 Mr.. Mcnamara has strong
personal following, and asserts that he
could have secured loan elsewhere In the
city had the bank intimated that they feared
his integrity. 1t was announced to him BY the
bank, he says. that they were In no haste to
collect tho loan. and would give him more time.
Hearing Of this attachment. Mr.. Fisher OF the dry
goods house Of Daniels 4 Fisher went to Mr..
Mcnamara and offered assistance. but it was
too late. Mr.. Mcnamara later In the day mado
an assignment OF his personal holdings to Mr..
NJ. Vanfleet. The assets will fully ray all the
debts. even allowing for the ruinous shrinkage
caused by q sudden closing ofthe business.
A few minutes before 10 o'clock this morn
ing the crowd in front Of tho Union Bank saw
the following notice appear on the glass Of the
front doors:
The Union National Bank Is IN tho hands OF tho
Comptroller of the Currency. We have paid to our
dspotors round numbers 81 900 600 in tho past few
montue anu nave III " most
ing liabilities " ch amount to about $4,000 We have
realized assets rapidly could, and
enough loan payments have been promised the last Of
tho week to enable to take care OF depnors again.
II then paid. and tho Comptroller asssnta We shall
then reopen In the mean une every depositor may
be fully assured that he can BY no means lose dollar
Of his dcposits
1t 10 said that many OF the loans will require
Tong time before they ore realized upon.
Tho bank statement shows loans Of 81 .622.6es
with individual and time deposits amounting
to $525537. The bank is stocked at q million
dollars. with surplus and profits Of 500 305
the he
msat i a made Eso 81 It's condition. NJ ''
decided to close. Ex-Go" job A. Cooper Is
The New Me Ter hi Bank. R. @. Lockwood.
Preside mt. next t; closed Its doors SS .,...
run The c ha Sank pnd out
i: asSSs's i r. Ss%s sS% VII Continue
connectiep With the inSostm ont fSm Of Ste
h1ahs fbS snvss Bank ri RsS
TSoDss Gss5sa * the s..ns
yesterday stood the ]. run and Omen
banks Of, the day before. and the effect upon
The o other banks AMI stood the run we'll To-Day:
The Noted e. the
Of a large portion Of the German eIement,
many Of whom are thrifty wage, earners.
h ns esfs Ese hsy
Several hundred stood ~, line from, 10 to :
soSs and Thsp the closed for
oa HSf sin coin n's
II Is reported that q special train is tonight
iS f s5s ; S rnS O. s ssS 'hf is prssyn
Reithmapn. a wholesale druggist. is very
wealthy. and his resources ere . enough to
out OF the question now.
HSi ""a upSn lhs Me sS%PeISn {,
,y;Sstmsnt Compnny, to secure !, note O. sl55-
SINH lar loans are out 4 viii be q hard load for
any Saps e carry Blu. the PoM
tissIy assisss"ce VIII viii rni ,hr"ush anu WIN
This Is the most seriously affected bank. Tho
ins IN rom aa
la. Is per cent ut roserys and law derosits OF
sss Rs ana mhG hes Sysf
The First National; in spite o. run Of small
depositors, closed for the day with more
MONEY than 1t started out with In the morn
ing. President moffatt to. night said the bank
has 75 per cent. reserve and VIII have no
further run. its uneasy dopositors having
~ think the, crisis is now over" he said.
- and there will be no runs to morrow TO speak
OF; think the remaining banks In the city
people have now taken out their funds"
their money Is tied up for a time. and hun
dreds Of people are thrown out OF work. Bust
ness houses have been curtailing their forces. |
and many small anufActurera will be com
nelled to close down for time. While It is
not believed that many more large iirms will |
fail, no one can positively tell how tnr-rench
ing, the effect OF this closing OF the banks
viii be.
A dozen or more firms assigned during the
day. Albert NELSON'S restaurant closed. with |
liabilities Of SU1,725 and assets Of sl1 $40.
The lumber Arm failure WAS duo primarily TO
an oyerreachinR desire to do bvsiness. Tho
Arm bought real estate and built many resi- |
deness on speculation. during an enormous
the company had too many allegations to meet.