New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-01-03
HOLLAND TRUST TO RETIRE.
VOLUNTARY LIQUIDATION DECIDED UPON

soIvENcY ASSURED BY THE STATE BANK En-
AMINATroN-PooR BUSINESS AND FORMER
BANKING MISTAKES THE REASON FOR
THE RETIREMENT OF THE COMPANY.
The affairs Of the Holland Trust Company
have once moro been brought into prominence
by the official announcement that 1t will be
voluntarily liquidated and will retire from onsi-
ness A recent examination Of the company's
books by the State Superintendent Of Banking
brought the surplus down to small figures. but
showed the company 10 be solvent as regards
its liabilities to depositors. The officers or the
company assert that It's surplus Is much larger
than the figures OF the State banking experts
showed and they claim that not only VIII the
depositors be paid in full, but the shareholders
will receive more than the capital tho, PAID H.
The final decision to lquidate the company's
affairs has followed practical agreement 10 DO
so which was made about two years ago. since
that time the company's deposits have been
steadily reduced and the company has virtually
done no new business The news was received
without surprise in Wall Street and caused no
tremor in the markets.
On December Is Bank Superintendent Judson
completed an examination, which he says he
made In the regular course OF business OF the
State Banking Department. Mr.. Judson applied
the pruning-knife vigorously, and threw out OF
considerat ton many items which had been car
ried on the books Of the company as assets.
He marked other assets down below their book
value, and after rigid scrutiny reported the COM
pany as having q surplus Of $4,000. Bank super
lntendent Preston yesterday Informed the ofhcers
Of the Holland Trust Company of the result OF
the investigation. and suggested the ACCESSIBILITY
OF action. either TO reinforce the surplus or to
tvt1 n
committee was called. and it is understood that
they agreed to recommend that at the meeting
OF the full board of trustees on Friday the COM
pany should go into voluntary liquidation. Tnere
IS little doubt that the trustees will approve
the report of tn. executive committee
WHAT ONE OF TIE TRUSTEES SAID
prominent trustee said yesterday: The
company will go into voluntary liquidation' ana
It has practically been preparing FOR TINS step
for the last two years. The reason for this action
IS that the company suffered through the con-
duct of former officer. who was inexperienced
In banking. and whose mistakes in loans our-
dened II with much improbable property Zen
eral business has been bad. and there are many
men connected with 1t who do not feel that tney
are able to give the company the necessary aevo-
ton which its affairs demand. Since the decision
was virtually reached to go out OF business we
have paid off So 3000 900. and our deposits now
amount 10 only 100000. The capital is 100000,
and there is a surplus of 100000. There rs not
the slightest impairment Of capital. and no per,
Son Will lose dollar The depositors will be paid
in full and the stockholders Will get back more
money than they paid in. -
Bank Superintendent Preston YESTERDAY sald
that he had made an examination early IN De De
cen,ber and found small surplus on nahu' Inc
company was solvent but was doing little Dusl-
ness Bank Examiner Judson said that ne louha
the company solvent upon examination a,'housn
ne had thrown out many securities carried as as
acts by the company. large part or these con-
sisted Of real estate which had been acquired py
the company undec foreclosure the Vaue ol WIFI d
was extremely difficult 10 hX; MI. Juusoi salu
that he could not recall all the detals' put uie
company had a surplus of about Sl6ooo Mr Jun
eon said that il doubtful II the siocKhoiueis
would receive their investments IN iuii.
HISTORY OF THE COMPANY.
r.o ,1o,and Trust Company was organized
IN April. 1855. with capital of 100000 and an
equal surplus It has paid dividends as high
az 10 per cent but the institution never held
q high positicn in the financial world Robert
b. Roosevelt president but the acuve man
agement of the company was conducted iaIseH
by George W. Van Scklen who was lawyer
before he took the place OF secretary VI re
Trust Company. Mr.. Van Sicklen achieVeu
great deal Of nctoriety in the court-marti"i oi
lieutenant Farrow. of the United States Army;
IN which testimony was developed which eXcited
cons IA bic criticism in banking circles WIN re-
gard to the hberality with which Mr.. van SICK
lau assisted the scheme of the Barnegat ParK
Land and Improvement Company. LIEUTENANT
Fairow's idea in starting Barnegat PARK was 10
found there Army ana Nav! coloH!. NhSu-
lars were a.nt 20 all officers Of the two brahches
OF the sel' ice. setting forth how cheaply they
could buy land ard build houses there. on easy
payments. The scheme was made especially az
fractjye 10 retired officers. a number OF oillcers
did buy land and build houses at the PARK. Ai,eI
Lieutenant FarTow's court martial, wh'ch laiieu
to convict him, he left the service
RETIREMENT OF MR.. VAN sICKLEN.
On October 81. 1891 Mr.. Van Sicklens resigna-
ton as secretary If the Holland Trust Company
was accepted. but the Board of Trustees passed
strong resolutions expressing its "entire con-
Gience" in Mr. Van Sicklens integrity and MS
s.bieh p.rsonal character" President Roosevelt
Of ma: time said: The press and really nothing
eIso has forced mis- (Nir Van Sicken's) resigna-
zion" Nh Roosevelt himself subsequently re-
tired and John D. Ner1neue was elected pre5i-
dent OF the trust company The new president
set himself vigorously at work 20 reduce eN-
penses Npuidate loans and put the concern III a
shane 10 reduce its deposit liabilities. All EFFORT
wa abandoned to secure new business. The de-
posits were reduced from S2.5ooO0O to $l4l3'oo on
June 80 1888, ami since that time more IMAM
half Of these deposit liabilities have oeeh "ipeo
out. - ,,u.,
The officers -the company now are: Pres-
dent John ID. Nermcule vice-president. warner
Van Norden president OF the National Bank OF
North America; secretary james Is. an Wos ~
with them arc the following members of the
Board of Trustees: Carrot A Van Allen. George
AZ Van IIoescp. William Remscn. John Van
Voorlis William =. Clark. Robert Il. Roosevelt,
James Roosevelt. Charles Il. Whiting; BENJAMIN
II Vosburgh Joseph s. stout Daniel A. Head,
H. H. Silliman Il. q. BOgert TunlS o. bergen,
Charles p DAILY. Charles W. Hutchinson. Sir
John Swinl,urnc, w. j. Ives, John w. Murray.
John w. VrOoman and w. j. Arken. Inc Once
OF the company Is at No. 90 Nassau-st
CARPET MILLS TO START Up.