The morning call., 1895-01-10
In ONE COMPLETE SMASH.
South Dakota WiIl Find Her Treasury
Empty.
TayIOr Was Far Too ShreWd a Finaneier
for the Good Of His Adopted
State.

REDFIELD. S. D., Jan. 9.-Probably the
most startling failure that has ever
occurred in South Dakota or the North
west was revealed to-day in word re-
ceived from William Walter Taylor, the
outgoing State Treasurer and president
of the First National Bank and North
western Mortgage Trust Company Of this
city, that he would not appear to make
his settlement at Pierre with his successor,
Treasurer-elect Phillips of Deadwood.
The news and the closing of his bank
hero came like thunderclap from clear
sky. because both Taylor and the financial
institutions with which he was connected
were regarded as firm and reliable. The
news from Pierre demonstrates that no
money is held there to the credit of the
State Treasurer and none is held in the
bank here.
1t is estimated that about $780, is
missing. Aside from the financial loss the
action of Taylor is felt terribly by all who
have known and done business with him,
and by the financial enterprises with which
he has been connected in years past. He
and his enterprises have handled many
thousands of Eastern capital, and his bank
here has always been regarded as one OF
the safe institutions In the State.
On Tuesday morning his bank here
opened for business as usual, and the
cashier. F. w. Humphrey, states that it
held 30 per cent of deposits in cash and in
bonds of approved reserve agents in the
East. There was quiet run on the bank
on Tuesday by parties who had their sus-
picions aroused by receiving private infor-
nation from Pierre that Taylor had not
shown up there and that something was
wrong.
The bank officials decided to close the
bank subject TO the decision OF the Comp
troler of the Treasury. This action was
taken for the protection of the bank and
its many depositors. Cashier Humphrey
declares that depositors will be paid 10 full
as soon as the Government examiner con-
cludes his examination. as there Is an ex-
cess OF fully 100000 in good paper. besides
about 40 per cent deposited IN other banks.
The bank here Is not compromised imam
cialy by Taylor's default. 1t was stated
auth oritatively that after an examination
of the bank and its credit Is restored it
will reorganize and reopen for business.
The worst blow falls on Taylor and his
bondsmen, many of whom reside here and
are representative and leading men OF
Redfield. Taylor was last seen In Chicago
on January T. He went from Chicago to
| New York. since which time no iDforma-
| ton has bean received as to his where
abouts, and 1t is not known whether the
| State or his bondsmen have been protected
in any way or not by him. No bank else
where is involved in the default. Pierre
banks were suspicious of Taylor's absence
! and withdrew their deposits from the
bank here before 1t closed.
The following letter was received to-
day under date Of January by the bank
here. The envelope was postmarked New
York, January 6. It will throw important
light on the matter and settle all doubts
as to Taylor's disappearance:
Dear Frank: 1 am compelled to inform you
that will not return 10 Redned or Pierre.
have counted on friends assisting In making
up my settlement with the State, and felt hat
it would be done until the last few days. feel
relieved to know that the First National OF
Redfeld is not in any way rlghtfully CON-
promised by my misfortune, and hope that its
patrons will believe in you, as they should. for
you have always kept the banks affairs In
good condition. There is no reason why the
bank should not continue its business. 1 offer
uV CASuoC loi my SohditiObb dAtuOusH Aa'o
many, and believe myself. Yours truly,
w. w. TAYLOR.
It developed that plaster mortgage
reached Redield on Wednesday morning,
and was duly fled in the Register of Deeds
office, transferring to company in Chi
cago all Taylor's real estate and chattels
in this city and in Sphinx County.
Next to the State the blow falls terribly
hard on his principal bondsmen, who re-
side here. They qualified in sums repre-
senting all they have in the world. The
entire city used the bank for depository.
hence deadly paralysis has affected all
the arteries af trade and social life. Comp
troller Eckels has wired that Examiner
Zimmerman has been ordered to come here
at once and take charge of the bank.