New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-03-15
prc KANSAS BANK FAILS.
uur LIABILITIES AMOUNT TO 100000.
..ron INGALLS, WAS ONCE PRESIDENT
- xoru1NG-MoNEY ADVANCES ON
LAND AT BOOM VALUES

LAND AT BOOM VALUES
CAUSED THE CRASH.
- vap March 14.-The closing Of the doors
M ". Vansas Trust and Banking Company, OF this
o. "o o'clock last night has caused a great sensa-
Guy publication for the appointment OF re-
uo" .ras aled In the United States District Court
e roneka Yesterday. by the Eastern
OF the institution. Judge Foster
o cruz rreaand Tufts. Of Kansas CITY, rs receiver
pam ., once came here and took charge OF the
NV of the concern. The liabilities oil inc concern
s estimated al 100000, ana the assets Sd 'he
are assert will fall not far short Of that amount
cn''. ompany owns 80 900 acres OF land In Kansas
Ine ", estate worth 10000 In this city.
s senator John J. ingalls,. once president OF the
% was said to have lest 10000. He said 10 dav.
~.rer to a reporter that he had got all his money
~ ., the concern before the crash came and lost
WI I'm. r. VI. Manlcy. vice president and general
~.nacer loses about $25oooo OF his own ana prop
,,onc1ng to the estate Of his father. George Man
u" In tbe United states Court yesterday Manlcy
w. ssd Judgment for the estate OF lis father TO
e .mount OF $4,000. A confession Of judgment
Wv also made by him as manager 10 the company 10
We .rount OF $4,000. Every dollar that the Man
" assess has been lost In the crash. h. G.
.M cashier OF the company, loses S2O,OoO' NO
a., Atchson business house is involved In the crash.
"a. company was organized in 1856. with cap
nal
rs, stock was subscribed by ex-senator Ingalls,
vi Marley and the Manley estate and r. O. ArmsDy'
~ statement Of the hanley party Is that the re-
shin Is in the interests Of the holders of the obii-
liens o. the company, and Will result IN hqmua-
~ ~ all claims. The company became shshuy
embarrassed over two years ago. at ue u"'
80 tho best land loan companies were com
n,,sd 10 succumb to the general depression ana
gas obliged to borrow largely TO meet immeai
-. asmands The concern loaned considerable
- ,hree wears ago Kansas property AT DOOM
go and was compelled TO forcclosc In many IN
stances without any chance OF realizing as mueh III
,,a ,cen advanced on the same. The bank was h'So
.s,ce for large amounts OF money which had peeh
,oaust on property in Central and Western Kansas
v.s,ern creditors who received first mortgages are
.mn,v secured. There many local depoStors VINO
.a from $500 TO 81 900 deposit In the BANK.
= BIRD of Kansas City, who obtained the ap
.,,,mon. Of a receiver seen and asked what ne
knew about the matter. lie said uhders'ahu 'n''
be affairs OF the company have not been III gooo S"fa
tor some time. The company has three Glasses "
r,d,,ors First the holders Of first mortgages on re-"
estate In Kansas. which loans were suarah'ecu o' '
oompsny second holders OF debcnturcs' which "e''
nro,ected BY deposit OF mortgages with trustee eq
:, amount with the dehenturcs issued; ana 'hird
.rsd,,ors holding the notes OF the company Tot DOT
,owad money The first two classes are iuiy pro
,sc,ed bv their securities and the latter class are
secured BY the company. so that, IN my OPINION II,
los, will be sustained by any OF the cfeoi'orS' VI
course the stockholders viii lose unless the compa"
can be reorganlzed."
No money is on deposit. ms the company has no
done n general banking bus,ncrs for over year In
creditors In A,chison. who hold $4,000 OF deoe,ui
bonds are not complaining rs they res"ru '"en
securtes as good. L. c. Armsoy recentS annom ron
his intention OF Withdrawing from the concern anu III
sarne In other business. and IL Is saiu 'n"t III
fastened the crash. Manley Is prachcaiy oahA
rupt.