The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-05-13
They Had Four Minor Institutions al Orleans,
Rossville and Elsewhere. Organized
on the DHiggi3s Plan.
ANumber of Small Banks Controlled By
the Columbian Go 10 the Wall.
All, However, We're Village Banks, Not Con-
nected with Large Business Enterprises
-Groundless Arrest Of Good.
CLOSED IT'S BANKS.

Indianapolis Firm of Paris & Nave Orders
Its Banks To suspend Payment.
John w. Paris and j. Shannon Nave.
under the partnership style OF Paris ~
Nave. bankers, have. from their quarters
in the old Sentinel Building In this city.
been controlling several small banks in the
State. Upon the report of the Columbian
National Bank failnre Paris IL Nave
ordered tho banks which they control to
suspend. 1t seems that Paris & Nave
organized banks somewhat on the plan of
MIR. Dwiggins of the Columbian National
of Chicago; in fact. Mr.. Paris was inter-
ested with Mr.. Dwiggins in the Farmers
Bank, of Greentown. which suspended yes.
terday. Ex-Lieutenant Governor Chase
was also one of the founders of the Green
town bank. The banks ordered to close by
Paris & Nave, of Indianapolis. include the
Bank of Orleans, Bank of Rossville. Bank
of Freeport, o., and Bank of Rockford.
Mich. These banks were all private affairs
and had no extensive patronage.
The firm of Paris & Nave has only been
IN existence O short time. Mr.. Nave joining
with MIR. Paris in the business In January.
1892. Mr.. Nave described the firms busi-
ness as general brokerage one IN addition
to the banking end. He says the firm hns
been handling securi ties to certain ex-
tent.
FOLLOWED THE DwIGGINs PLAN.
The Dwiggins plan was followed in its
general outline by Paris & Nave in organ
izing these small private banks. An Office
would be opened and local parties
Interested in the scheme. 1t
was the firms ultimate end.
said Mr.. Nave. to convert these small in.
stitutions into national banks after they
had been put on sound footing. None of
the banks ordered closed by the firm name
capital stock.
With the banking property on hand"
continued Mr.. Nave. "a sum less than S10.-
600 would pay us out, We believe that our
assets are fully equal TO our liabilities. but
as several of our banks held relations with
the Columbian National. and had small
sum tied up. we considered 1t the
best policy TO suspend our
banks. more particularly as an uneasy feel
ing might precipitate q run on them. If
these banks had the amount due them
from the ColuHs bian National they could
still conduct their business and meet de-
mands. We are In condition to nay every
dollar we owe 70 outsiders To-day we
have been attempting to clear mp matters
and get our banking af -Irs in good shape,
which we will do without much trouble.
The Suspension of the Capital Ma
tional has had but little effect
on our affairs. The bank at Orleans.
which We ordered closed. was the corre-
sD0ndent of the Capital bank. but had
only a small amount with the Indianapolis
concern-perhaps not over S400 In one or
more instances our banks have bought the
property in which they do business"
MIR. Paris said that he was interested
with Mr.. Dwiggins In the Greentown bank
before the firm of Paris IL Nave was formed.
but that he had received no recent state
ment showing the condition of the bank.
DwigGing was in control and the firm of
Paris 81 Nave would suffer no loss through
the Greentown failure.
THE ORLEANS AND RossvIILE BANKS.
The Bank Of Orleans was established
about two years ago, while the Bank of
RossvIlle was only recently orGaniZed.
The deposits at RossvIlie were small.
From the information that Paris & Nave
have. the little bank started by them at
Freeport. o.. is in the best condition. They
say the available assets of the bank are
In excess of the liabilities, and that the
affairs will be readily straightened out. At
Rossvlle the bank has. If Its realty is con.
sJdered, within a few hundred dollars of
enough to pay off oil claims. Mr.. Nave
further added In the course of q statement
that there were only two of the banks
where the liabilities exceeded the
assets. aud these two banks had moneys
tied up With the Columbian National
OF Chicago. The firm has no connection
with Mr. DwIggins. although it would
seem the firm has patterned after Dwig
gps's method OF organizing banks.
Mr.. Paris stated that he did not believe
the banks represented by the firm had over
$1,000 tied Up in other banks. An effort
had been made to secure Temporary assist
ance from the Indianapolis banks but the
banks were only willing. said Mr. Paris. to
do this after the present furry had passed.
Although dispatch was received by the
frm from It's branch at Rockford. Mich,
stating that the merchants of that place
were anxious 70 have the concern continue
business. yet Paris & Nave ordered it to
suspend as the safest procedure.
Messrs. Paris & Nave came TO Indianap-
oils from Attica. Ind. and both gentlemen
have borne excellent business regulations.
Some surprise was expressed that they
should have met financial obstacles. The
capital at their cor5mand. however. was
probably not large enough to carry these
small banks under o strain.