New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-04-20
RUN ON LANSING BANKS.
THE CITY,S FINANCIAL CIRCLES RUDELY
SHAKEN.

THE INGHAM COUNTY BANK TAKES ADVANTAGE
OF THE THREE MONTHS LAw-o NJ.
FAIRNESS ASSETS AND LIABILIT1Es
Lansing. Mch April ia millionaire who yestcr-
day did not dollar in the world is today likely
10 lose largo part al his fortune. This Is the para
dox in fnancicrinc which Lansing presents this
inc Representatives of tho commercial agencies law
yers and others who have swarmed into the CITY in
consequence the Of the Lansing Iron
and Engine Works and the Lansing Lumber Company.
describe the situation as one Of the most remarkable
which has ever under their observation. Since
January 10 o. NJ Barnes has been sacrificing his per
sona fortune In an effort hold up the two big con.
Germs which financial disaster has at overtakcn
Up to Yesterday he had paid from his private means
obligations incurred ny the two corporations agrrc-
eating nearly SIo5 900. and yesterday he pledge tho
remainder Of his private fortune for tho payment
further liabilities exceeding 800 OOO taking in return
mortgage covering all the property Of the two firms.
Mr.. Parnes took this action to the credit and
business honor Of his son. o. F. Barnes president OF
the iron works and the lumber company.
Lansing banking and business circles have never
been so rIdely shaken In the ctys history. Nearly
100000 of the two firms paper Is held by local
banks the largest holders being the Central Michigan
Savings Bank. 100000 and the Ingham County
Savings Bank, $81 800. Between $4,000 and So
600 worth Of the firms paper is also held by Detroit
banks
The closing OF the Central Michigan Savings Bank
yesterday afternoon caused by the lack OF CON
fdence resulting when 1t became known that the in
sututfon was weighted down with 100000 OF the
nsolvent companies obligations. 1t anxious
night at the capital. Bank directors and leading
business men holding secret conferences in
various portions Of the town. the directors OF the
Ingham County Savings Bank continuing IN session
until midnight
On account Of a run on II this morning the Ingham
County Savings Bank closed its doors for ninety days
to savings depostors under provision OF ts charter
and the State law emitting it 10 that time There
were 100 people outside the bank when it opened this
morning. Commercial depOsitoTS promptly paid.
but The legal three months notice required on
savings deposits. President Humphrey announced
confidently that the bank would be able to meet all
It's obligations. but the crowd and y1ons.
About 10 O'Clock Bank Commissioner Sherwood made
a speech to the crowd. number OF people retired
treasured. and there a perccpblc decrease in
the withdrawal Of deposits.
Deposits are being withdrawn from other banks
but at no other were anxious crowds present. The
statement IS given ont that o. VI. harness private
assets together with the assets OF the two embarrassed
companies, aggregate 81 .693, 900. Every efIor. Is
being made 10 restore confidence but there IS a
panicky feeling in many quarters. Every ascrbes
the Of the troubles TO the business met hods
OF o. +. Barnes
o. VI. Barnes. who has taken charge Of the Lansing
Lumber and Engine companies. announces that he
can easily take OF the paper he had Endorsed, and
that the other creditors Of the two concerns will
lose nothing He has accumulated fortune esti-
mated at from -. 100000 to s3,0oo0oO, and there