New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-05-23
FORCED TO CLOSE IT'S DOORS.
TIE NATIONAL EANK OF DEPOSIT WILL
SUSPEND TO-DAY.

FALLING OFF IN DEPOSITS AND TIE STRING
ENcY IN THE MONEY MARKET C>r:E THE
TRoUBLE-\CTION OF THE CLEAR
ING HOUSE COMMITTEE
1h" doors Of the National Bank of Deposit will
be closed to-day. This is the first Ncw-lork City
bank TO suspend account Of the tight money
markets. The officers and directors Of the bank
determined upon this step late last night. after
long consultation with representatives from the
Clearing House. who went thoroughly into the
banks affairs and who intended 10 save the bank
from closing up its business if an examination
Of its books would warrant that action. The
statement which given ont last night Ivy tho
officials Of the bank declares that two things
caused the suspension Of business. One Of these
reasons was a falling of in deposits owing 10
rumors that have been in circulation regarding
the banks credit for .hc last ten days, ami the
other was the determination OF the Scabrard Ma
tonal Bank no lorgcr to act as the Clearing
House a'.'nt of tine bank
The National Bank Of Deposit has had a short
existence, |; organized four years ago and
i'm the street known as the druggists bark"
because of those who were Instrumental in
organizing il We're leading members OF the drug
trade. The president nf the hl,i1 and III" main
stockholdcT. is H. T.. Rarson. a we'll known mem
her Of Tint TRADE" IL experts in bllk'rt aifrirs
it has been charged ali aon3 that the bank WAS
not conducted in 4 manner likely TO attract TO it
as patrons the sLrcwd and conservative business
men of this city.
RUMOES STARTED N WALL STREET.
Several days AGO il was r.mored in Wall Street
that "a National bank was in trouble. but an lit
vestgation OF the principal banks failed to show
that any one of them was in any way disturbed by
the tightncss in the morcy market and the un-
certainty of the gold situation. Ii was known
that on atc0unt Of or lcrs from the Secretary oi
the Treasury the National bank examiners here
were, kecping sharp lookout in all directions
for possible trouble. but when they declared, with
a show of carne-tncss. that all of the National
banks here were in the best possible condition.
most proplr accepted that statement a. an abso-
lutte fact The rnmors that a National DAnk was
in trouble were uui"t"d.
TIE CLEARING HOUSE MAKES Az lNQ' lEN'
Soon after this announcement went out II was
followed by the statement that the Clearing House
Committee would 90 to ia" National Bank OF De
pocit larer This committee consists of th" Corn
Exchange iStat. Bank GcN 20 g. Williams, oi In"
Chemical National Pank: Henry ". Cannon, Of
tLc Ch,-. National Bank: j. Edward Summons,
Of the purfh National Bank Frederic ID. Tap
pcn of the ,sallatn National Bank t. II, Perkins,
ir of the Importers and Hadcr> National Bank,
and Edward Schcrcr manager 81 III" ''arIns
House The members Of the commiiic" wen To
the bank with the intention Of preventing Sis
pension. if the blnk> accounts would warrant tlI'
action. and II was generally thought IN banking
circles that an arrangement would W" r"irh'd
whereby the banks door- need not bc cloed, ana
that any temporary difficulty would be- ov"rcom .
Under a thoroul h-going management I naiih u" u
not have got into trouble. When the m"wrf-
Of th. Clcaring I.ousr Committee reached th"
bank they found the Board Of Directors In >"s-
sion. The members OF the board CAV" way to
the committee and adjourned 10 gbil' by tn" de-
termination of the representatives, "l iNr 'I'n-
ing House With The officers of th' bank tn
members Of this committee went OVER ia" booh~
Their determination unanimous that th"r'
wa- notLing left for the hank 20 do but - su~-
pend operations and 20 into tIuIdation.
The members Of the committee thought that the
wreck would not b" q hopeless, on". and that
the dcpositor- might 3" paid in full
srATEME%T SENT OFT
After fine commtt,~. had finished It's work il"
follovnq statement was ISSUED by the officers and
directors of the bank
The Clcarnc IIon,, Committee eNaninsl III" Is of
,bc ,uk this afternoon and wcr. ",dni"n
tha, The bank should into liqridation Tn" committee
cvpr .-.d the opinion In all probability IN" d"I"-t"fH
NouH br paid in full
owing to rumors affecting th, banh. which Lay" been
II circulation for about day the deposits have ialn
II ,,rv rapidly Ia consequence Thereof the Se'6o'l
vationa, rank declined continue clcar"n'r 'r1
Yrcer advice Of the CLEARING House Committee the tank
has rccldct To- 20 into lqul1aton DcpostotS VIII q"
pail in fnl II believed Stockholders VIII r'"'
100 cents on a dollar Oh th'iI -t2e@