New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-07-24
70 CLOSE THE SHERMAN BAyK
IT IS GOING INTO VOLUNTARY LIQUIDL
TION
pEpOsrToRs AID STOCKHOLDERS WILL N
PAID ~ FTLL-tllSTORl or
THE INSTITUTION.

The ground floor OF the building No. s7i Broaivy
Is to le,. I, Il now occupied b. the Sherman Bark
which was organized n lsse with pai-up capital
o. $4,000 and cash surplus % 10000. Business
/ hls become steadily .sss since 2s' April when
/ c,rseoue,ca OF A combination - circumstance
| run was made on the bark watch Tor lime threat.
! ened ~ existence.
The shrlnklge in business snce then, and ne
/ generally depressed safe Of affairs. caused the q.
rec;ors u give notice on iast TUESDAY nat no more
accounts would be opened. and iep1s.t0rs we're re.
ancs,ed 70 withdraw any balance wAica night be
due ,he,n. the majority o. the stockholders mean.
Will having decided nat ne D'nN s"o"'a go mo
voluntary lqu.Iat.0n.
u r Sa,teree was the frs. president y the bank
ami was succeeded b. Ch'res +. bi'ke1sy. Tha
af,er few months service. was snccesfed BY
I Eugene y Howell. James ii. Parker pfesden, OF
the Tinted States Nau0nai Bank. was Director
of he Sherman Bank bG; resigned. 'oge.ssr with
Two cher members % he board. when Mr. Howei
became president. and his bank which nai been ne
Gearing House agcn, FOR ths Sherman Bank ron
"a s.ar. refused .onccr 20 clear f'r IT, This step
NJ, ,he p,r, o.. he intel safes Bank caused much
commer. The Central National Bank succeeded he
Tinted states Nluon1, as he Sherman Bank c8ar-
Ing ,gcn. Another change In he presidency Of ne
bank .,ok place IN April. when Louis G. Fn.er sue
cee Jed Mr. Howell. and the Boari 0; Directors 's'
changed.
Tho statements OF he bank show that it rad
over six hundred depositors. and that in March.
1904 It's deposits amounted - s'0l3'5. an increase
OF slo9 9si over September. 1885
In Apru the United States Bank made applca'
tior 20 become the clearing agent once more 'of
the sherman Bank. whersupon an inYesiganon
was ordered which took place April j. ana result
ed in the United States Banks request oens
granted TWO days after this there was run On
oh n was no
tho bank The Central Bank which had always
bo.n friendly 20 the sherman. then tNithout m
,cn, the Sherman people say) caused the oank
which was in trouble additional worry by ISSUING
A circular announcing that The bank "onli cease
- redeem checks or drafts drawn or maze 7iyaoe
70 the sherman Bank That was on ApFll - am
rho next day came another and more serious 'un
on the bank IN a single day-Aprii --ihe depos
i,s shrank from over $4,000 70 10000 But Other
HANKS came to the assistance Of the sherman
President Strong OF the Central Ban@. sent up
$1,000 TO help IT along Several OF the ricn OIL.
rectors personally guaranteed the deposits ana
the run was speedily checked
Mr. Julson state Bank Examiner. reported tnM
the banks original surplus was nearly wiped ost
h,, ,h., tho hanks capital was not impaired. He
declared also that the bank was solvent and couli
borrow money He criticised the management OF
N. first president. under whose administrator
worthless loans hed been made. and ne oui doNn
the banks furniture inventory from S-''v' 70 N'A
The cashier Henry r. Northrop was seen at the
bank yesterday. He said;
We are simply going ont o. business ome,nhiyy
which many concerns would Ike 10 DO II ne! eou'l
We are doing g. slowly and without any fuSs
Mr.. Northrop also confirmed the following sa'e
meni made by him Yesterday:
Our e>penses are large deposits are running
down and business has been poor Ath)ssn a
number Of substantial business men nave sag 'n,'
they would come in with rs IN ne tt'.' me Az,
roc.ors thought that Il would BE- WISE 90 pay S an
den,sitors and pay of the stockholders Inc ls.
nosits are IN small amounts for the mos part az
most OF them private accounts W" al II Ie5.
uosit0rs OF the Madison Square Bank q" per ~. ~
of their accounts. taking an assignment o. ~
whole a. collateral pf this money w nave -
ceIyel abou, 80 per cent. The whole amount "''
$1,000 - s.,,sp.
For severa. days We have been refusing depSsI..
and as fast IS depositors have come IN Hr a as,,
been asking them 10 close their accounts W. 49,
all the money necessary 70 pay our p.h n,,
rsieening agents II will take long time - cnsii
M We stil have about Sn5,o" or Grp3rts ,, 80
paid out to-day $1,000 Many OF our p~I 1 ~ "a
were unwilling 20 withdraw their money ana ~ -
Instance has there been any anxiety on the pa'' 7"
dep)sitOrs
The following notice was issued YESTERDAY
A meeting OF the stockholders of the snerms.,
Rank for the purpose of devisnS means 10 pr'rSi
be- held at the Holland House Thrieta-sso az
Fifth-ave Nsw-YOrk. on Tuesday July 81 W. "
p. IN. A.
There seems to be some friction between me o.
rectors and stockholders Of the bank when m''
develop later The assertion IS made that ,ss
months ago the six directors owed me oann ~, Il
So while the balance TO the 49,
the directors was only about $500 ME- !,SSn.ss
denies this report and says the total !ndeO'e'H'"
OF the directors is only about s2i"o