The record-union., 1895-03-19
BANK FAILURE.
A KANSAS CITY CONCERN GOES
TO TIE WALL.
Claim That All the Depositors VIII be
Paid In Full, With Interest
for Their Money.
Special to the RECoRD-UNIox.

Special to the RECoRD-UNIox
KANSAS CITY (Mo.), March 1S.-With
assets estimated at 81, $50, 900 and liabili-
ties Of 81 ,050, 600, the National Bank of
Kansas City, at Fifth and Delaware
streets, suspended this morning and will
HQuidate and go out of business. At the
usual hour of opening the bank, $50 A.
NJ, the following notice was posted on
the door: 1.-The bank has closed"
The announcement caused no excite
ment. a small crowd gathered about
the bank, but IL soon dwindled away to
half a dozen loungers, and an occasional
Passer-by would read'the notice and pass
on. Stockholders and depositors called
occasionally, and most of them were ad-
mitted. In almost every case they would
walk to the desk and shake hands with
President Chick, who in q few words
would explain the situation. His ex-
pianatiOn was in every case satisfactory.
There was no loud talk and no unfavora-
bic comment.
Since the publication of the banks
statement on March 9th, depositors have
been Withdrawing their deposits, and on
Saturday evening it was apparent to the
officers of the bank that they could not
carry on business through the day unloss
the Clearinghouse came to their assist
duC6 Will d lOdL. n Iu6BLiuR OF LlG
clearinghouse Association was called
yesterday, which was attended by the
directors of the National Bank of kansas
City. President Chick said:
I'VE paid out over $50, 900, and saw that
we could not meet the demands This
morning unless something was done.
We needed about 5000 coo to put Ms in
good standing. Some OF the banks were
anxious to help us, but the feeling was
not general, and we consequently de-
clined the assistance. The Bank of Com
merce offered to help us, but we had de-
cided to suspend SO as to pay all deposit
Ors alike, and no person will have an ad-
vantage. Every depositor Will be paid in
full, and no will lose a cent. We will
endeavor to have settlement Just as soon
as possible"
a prominent member of the Kansas
City Clearing house Association said:
The liquidation Of the National Bank
of Kansas City in no wise affects the
other banks of this city. That the bank
would have to liquidate sooner or later
has been known for some time. When
the bank 1ailed on July 10, 1893, during
the panic, it was doubtful whether or not
1t would open again"
The probable assets of the bank are
close to s., 100000, but owing to the fact
that much OF this is represented by paper
and real estate. it will be very slow tor
bank can hardly be termed failure, but
simply gradual dying out. There is
but little doubt but what the depositors
will receive dollar for dollar, with inter
est for their money, although it may be
some time before they will get their pay.
1he current opinion expressed among
| bankers and others who have informa-
ton on the matter fixes the amount that
will be realized by stock holders at from
% to 40 per cent. on their holdings of
stock. Cashier Rule Of the Bank of Com
merce said that kilograms had been
sent out by his bank to the
country banks who have been customers
of the National Bank at Kansas City, in
forming them that all drafts on the sus-
pended bank Will he honored by the Ma
tional Bank of Commerce. He is also
notifying the wholesale merchants OF this
city that this bank will honor their checks
If they so desire.
In the panic Of 1893 the national bank
suspended, but through an arrangement
between the depositOrs and stock holders
II was permitted to resume business The
! steady withdrawal of depobits since that
time placed the bank in an embarrassing
position. causing another suspension.
The statement given out shows assets
Sl,SO0,OLO, liabilities Sl,05O0O0.
TEMPORARY RECEIVER APPOINTED.
WASHINGTON, March 1S.-The Comp
troller of the Currency to-day re-
ceived telegram announcing the
suspension of the National Bank
of Kansas City. Bank Examiner
Galbraith was appointed temporary
receiver. The capital stock is 81 ,000,-
600, with assets at the face value
amounting to nearly S2,0O0,000, of which
SlIO,U0O Is cash on hand and due from
other banks. The Liabilities are estimated
at 81 .OSi 0OOO