New-York tribune., 1894-04-22
cuERMAN BANK PROTECTED
x,I, OF ANY IMPAIRMENT OF
CAPITAL.

%
TORS ISSUE AN OFFICIAL STATE
MENr -- DEPosIToRs FULLY
PROTECTED WAITING FOR
THE BANK ExAMi-
NER's REPORT.
=, the face Of the declaration that depositors
-..rld receive every penny due them. upon de-
and and notwithstanding an imposing display
>, cash T. give weight to the assertion. there
.os run on the sherman Bank. at Broadway
IA Eichteen;h-st.. Yesterday The officers Of
..s bank met all demands promptly as the
rs,sl business methods would permit. and even
,.o, the bank open for three hours beyond the
,susl time for closing on Saturdays to accom-
.,odate late corners. They also repeated their
,,rner statements that the bank perfectly
,,,vent The directors met. and made formal
announcement that they would furnish the funds
,sa1ed 70 meet all demands that every creditor
,ould be paid in full without an impairment of
,hs banks capital. and that the business Of the
,,rs would be continued Never before in the
History Of banking operations in this city. it
r.s said. had small bank dared to hold out
.oa 20 on with its business after Clearing
uouse committee had refused certificate Of
sovency.
Immediately after the doors OF the bank were
,,sned Yesterday morning about thirty persons
,ornei in line a the cashiers window to make
,.nsrds for their money In turn. The number
..s increased later dntil there were about eighty
s-sons In the line 1t not possible to tell
tor many of the waiting depositors were afraid
hat the bank was in a shaky condition. Some
=. tho men In line said they thought the bank
r,s all right. but they needed money in the
,,.rsaction Of their business. Saturday being
,.vdav al their shops and stores, and the pub
n,hsd announcement that the Central National
p,rt would not clear for the sherman Bank
,.a made IL impossible for them TO draw checks
- tho usual way and have the checks cashed
al other banks
SENDING FOR MONEY.
,,noro,tl,. the directors Of the Sherman Bank
,.a haen surprised by the announcement of c. 5.
younr cashier Of the Central National Bank
published in the morning newspapers ana when
,hsv went % the bank about 10 a. m. they said
they had understood that the Central Nauohal
p.nk would clear for the Sherman Bank as
usua, Yesterday They Immediately set about
,,,,inr sufficient money to the bank to meet any
poss!ble demands by depositors during the Gay
Messengers were soon on their way to the bank
nit ID
,broprb the line Of depositors had his arms full
NJ packages of bank notes. Inc none! was pi'eu
t,rh on tho counters inside the cashiers cage.
At sight Of 50 much cash some OF the persons
,r ,,oe changed their minds and said they would
wait until Monday before drawing out 'heir
money. About noon Henry D. Northrop' the
cashier. announced that the bank would De hep'
open until p. m.
Il also announce" he said. upon the au'ho'l'E
Of Superintendent Preston. Of the state bahk'hs
Department. that every depositor VIII De palu
in full We have plenty OF money to satisfy all
demands"
Several other waiting depositors theh ie't inc
hank. At D. n there were no more uepoSi'oi'
waiting for their money. but the bank was kept
open until y. m. II was then said that De-
tween s50O)O and 100000 had been paid ou' 70 ~
banks trouble with the Clearing House COM
nittee had been published. -
Bank Examiner Judson was at the pank M MIloI'.
10 a. m until near the hour Of closing. he went
10 Albany in the afternoon. His examination -
the banks affairs had not been finished, ne saiu'
and his report probably would not De niaue u'i'''
Tuesday. e.-...o,,dor, q,
NJ the BankinC Department said that the depart
uent had not assumed charge OF the DdIih. "a
also wrote out this statement: lnsoNehcS an %
mo-, ~ c-adit ~ the sherman Bank have been
seriously asserted causing run OF serious pI
portion The bank remained open to-ua! 9''e ~,
D. m. (when II could legaliY hdHe pafoTe
noon) "a nav all demands made upon IL ~ '
an m the run had subsided. on MohudH ~
hank will BE- open at 10 a. m and VIII Tr I
having depozitOrs who demand thelr HiD,I'S fn
he rnean lime the examination by the baiIhIrs
Da,ar,noar+ win continue until completed "ne"
. fuu statement will be given OUT ne az. ~
said that the directors had decided nol 70
ceive any more deposits until the III" nav
stopped.
STATEMENT BY DIRDTokS.
The directors Of the bank had meeting ea'I y
IN the day and another meeting In the a''er"oo"
After the second meeting they gave out '''e 'o'-
lowing Official statement:
The bank will pay all depositors IN fIl sSve al ad7t er
nsvnenf is askei The directors nave re9ViN'r - -
sonallv 10 furnish whatever funns nlaS nSd" Ther,
sary 10 met all demands as they are ma h,pdanc,
is no question Of the banks having az I'll aud sill
n, good seee,s 10 paw every creditor IN 1ull anu S'
leave the banks capital unmpalreu. 90 usual ex
The bank will continue business , aS h receiyec
een,ing fhst no further deposits Will De iv ,b.
pending the examination now IN psen p,os, which il
Bank Examiner. and his report thereon "'''" u
The statem~nt was signed by President s Fune'
and Directors Duffy. Flint. Ja9ues, oTnn Sar,.eer
McTntvre %orthrop. Smith ana Ndi'usi N ~
NJ, Fi,n, Ia IN renorters: Il can say on ny
honor 10 the best Of my knowledge lna' IT..
capital of the sherman Bank IS unlmpai a, 90,
surplus may not be intact. Sky ud!' st :,
wired ouf a lot of loans, and we % not "dl' ~ ~
saw now mat our surplus is $4,000. because W.
have between $500 900 and $500 900 In paper, anu
Is imposs bic for US to tell II all ol IL 10 " -.
I,s Tacs ,sina We received $4,000 in cash 10
day from the Central National Bank Dn. We W. n,'
not ask for the money. The Central ,l,a. Na''onu
OFF, - 81 Yrars received from other banks 70
day but they were not accepted. az the duec'oI'
got together and raised enough cash 10 nieeu n' 90
demands Of all OF the depositors ha,e
personal account Of $4,000 In TINS nn,. Dam, anu
have n0 tdea ~ v1thdra wing the money. a
pre44nt there are no negotiations on loo' i"
clearing through any other bank. .
J. D. Buckley. a former director ana p p'rtn
sockholdcr in the Sherman Bank, said: Iher'
are only three Of the directors Of the bank wh'
have received loans from the bank, anu Vli
amount Of their loans is less than $3Oooo Fac
meering ~ Inc directors a year ago IL was de
cded TO limit the loans TO $4,000 TO one person,