The morning call., 1894-01-27
DECLARED SOUND.
Report Upon the Peoples
Home Bank.
THE ATTORNEY GENERAL.
Surplus of a Quarter of a
Million.
WITHOUT THE PACIFIC DEBT.
The Bank Commissioners Are Ad-
vised That the Concern May
Safely Conduct Business.
THE PACIFIC DEBT.


his report upon the condition OF the Peo-
pies Home Savings Bank to tie Bank
Commits sioners.
The statement of the accounts gathered
by the Acknowledgement shows that The
concern possesses assets over and above
It's liabilities amounting to nearly $780,
600. exclusive of the 100000 mortgage on
the premises of the Pacific Bank, which
was held good by decision rendered the
other day IN the foreclosure suit heard be-
fore Judge Sanderson.
General Hart commences his report
with a history of the origin and incorpo-
ratfon OF the concern as savings bank.
with an original capital OF $500, 900, which
was afterward increased 10 S1,OOO,0OO. The
report then resumes:
The Pacific Bank closed its doors in
June. 1898, and but short time thereafter
the Peoples Home Savings Bank also sus-
pended.
''On July "A. 1898, l received report
from tie honorable Bank Commissioners show
ing Inc condition OF tile latter bank, as per It's
books, at the close OF business on the It'll day
of July, 1898. Also, al the same time, re-
ceiyed from the commissioners 4 detailed
statement dated July Is, 1898, giving, accord
Ing 10 their valuation thereof, The Liabilities
and assets of the bank, aud showing surp Us
sufficient TO war ant It's reOpening for business
Il considered their report and according to
law, made an examination of the affairs of the
cooperation. On August 20, 1898. my report
WAS submitted. wherein / held that The bank
had 1924, sos 63 OF available assets IN excess
OF liabilities, not including the liability due
stockholders, and permission was given il 10
reopen under certain conditions contained in
said report. The bank leODened for business
as. savings bank on or about August
20, 1893"
The Attorney General goes on to say that, in
JUSTICE TO tie Sank Commissioners, 1t should
be in sinh
stadce. we'll founded but under the law that
was ID matter WNhln and subject TO their dlscre-
tlOn, according 10 section IL of the Bank Com
miSsionets' act. Then comes the history OF The
investigation:
II returned from the East Cd November IS.
1888, and during tie week following MANY
com plants were made by depOSitois of said
bank, and. III consequence. on said last men,
= llonrd date communication was by me al
di essed TO the honorable Bank Commissioners
requesting that another examination OF the
bank be made. This was doue, ard on Deem
Der l. following, they dictated tbeir report, the
same Utlng mailed on Saturday, December q
and received by me on the Monday following
December ~. The report was to the effect thai
- many OF the GepOSlt0rs were demanding their
deposits MAT the expense OF conducting The
.oduh was excessive, considering tie income;
that favoGtlsm had been shown certain de-
positols, ana That. IN the opinion OF the com
lnsSlOntrS / was unsafe for lbe corporation 10
continue business.
"On account Of my many official duties ii
was impossible for me 10 make minute per
r.
IneiefUre, ON December 8, 1898, l appointed
Colonel Il. II. Warheld, a gentleman who had
previously been banker al Heads burg. Cal,
ana tamitltr with he banking business. 10 aid
me IN conducting The Investigation. some TWO
weeks elapsed IN securing the necessary data
therefor. l also determined that the interests
OF The deposltors demanded examination
ty conf eteut ana Glslnterested appraiser OF
eacn piece OF properly IN which said corpora
lion was nteI eSled where doubt existed as TO
us value security otherwise. Tie bank
owned was Interested in real estate in San
BernarulnO County, had a large amount OF Sc
cuIltleS IN Rlferslde County, In Los Angeles
County, ID San LUIS ObisIo County, MADEIRA
County, in San Francisco, Oakland, San Rafael
% Arizona and at olher places. While an ap-
being MADE a suit was brought by the bank IN
question against the Pacific Bank and Others
10 have declared by the court that a certain
deed made by The latter bank OF its prop
euy the northwest of Pine
aud Sansome streets 10 the former was
valid as deed OF conveyance by
way of security for 5000, 900 OF the Indebted
ness due from the Pacific Sank 10 the People s
Home savings Bauk. BY reason Of the pen
dency of this action. the suit being defended by
The Paclnc BANK nd lie Board OF Bdnh Com
mls siouers. the examination could not be COM
pleted until the case was decided. An opinion
has now been rendered in said cause by Hon.
=. a. Sanderson. Judge OF Department of the
Superior Court before whom saiG cause was
tried, holding that said deed was valid and
gwen as security and in law was mortgage,
aud thai the Peoples Home Savings Bank was
entitled 10 hold said property rs security for
the payment OF 100000 of certificates OF
deposit for which II had been given as security.
lie findings and decree IN said cause have not
been flied, but presume they viii be Ia accord
auce Will The opinion OF the court. THIS de-
ciSion Is in accordance win my views OF the
law as applicable to The facts OF The cas-, and
In accordance with the views expressed by me
10 The Bank Commissioners at the tim OF the
DISCRIMINATION Ell said Dank. | have there
fore det Tmined not TO await the fling of find
iEgs and decree in said cause before making
report on said Oauk.
"I nave, with The aid of Colonel Wariield and
the iefsons selected TO appraise the properties
OF the bank, made Il careful examination OF lis
affairs and Am confident That have arrived at
a correct conclusion as TO its financial condi-
ton at this time. Before going into details,
. however, wish 10 state that Ia The last report
OF the Commissioners it WAS Dot stated lhat the
bank was insolVent. They reported d sufficient
surplus TO warrant the bank under the law To
continue business II properly conducted.
Upon careful examination, as aforesaid
am OF the opinion hat the assets and liabilities
OF said bank as follows:
Statement OF PEOPLES Home Savings Bank
at the close OF business, January %, 1894:
ASSETS.
oaoo on rAnI estate California