The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-09-13

Seattle. Sept =, tSs5.
To the Editor: In an interview publish
e ii the Post-Irtelilgence % the 1erh
inst. Charles H. Baker, the receiver cs
tsa Merchants National Bank. o. Seattle.
states. fhat after thorough examination
he has come % the conclusion that the
charges against the officers 81 the bank,
that they had Improperly managed. the az
fairs % the hank were u~fouu9pd DID
NJ. Naserve formerly assistant cashier
% the defunct hank, now N the employ %
the receiver. a.d him in coming n this
conclusson2 The National Bank act PRO-
viaes that al transfers 81 the notes. bonds.
bills % exchange, etc, and all payments
% money 20 shareholders and creditors OF
IRE bank after insolvency. or in eantern-
plation thereof with a view - prevent A
ratabIe application ~ the assets Of an in
solvent bank among its creditors 3 ah-
solately VOID On May -. 1888 the Ner-
chants National Bank Of Seattle vas in
solvent The members Of the Seattle
Clearing House Association well knes
this. on that day this combination ~
bank officials Seattle Clsaringy House As
sociatton) l0aned the insolvent bank TWEEN
ty-.lve thousand dollars ISIS. 0eol. and took
as security therefor over thirty thousand
dollars ts3o, osA1l Of the banks paper. among
which was note CT the writer's for 81 go).
while he had on deposit in the bank over
great bulk ~ this twenty-five thousand
dollars @250o9 was Immediately dra gvn
ont by the county OF King, the City Of Sc
attic and the Union Electric Light and
Power Company. ]. ". z Atkinson. the
city treasurer. and his bondsmen we're re-
spous.5le for every dollar or the c.ty's
money IN the bank On the bond Of Mr.
members OF the Seattle Clearing House
Association. Angus Nack!nto--7, nres!-
dent Of the Merchants National Bank for
szo,9a: y. II. Latimer. manager of Dexter
Horton * Co. for ST 500: r. II Denny.
teller OF Dexter Horton & Co. 1880;
Edward ". Andrews. president OF the Sc
attic National Bank, for SIS. 600; Edward L
Terry. teller of the Puget Sound National
Bank, for $1,000; Z. B. Downing, score
tary Of the Guarantee Loan and Trust
Co. for $3.50; Albert NJ Brookes cashier
Of the Boston National Bank for $4,000.
r. o. Graves, president Of The Washington
National Bank. for sl0, 600; Herman Cha
pin. president OF the Boston National
Bank for $40 00: IT. T. Backus cashier
Of the Washington National Bank. for So
600; r. r. Spencer, cashier OF the National
Bank OF Commerce, for 5000
Also on the bond OF the city treasurer
appear the names OF others who are d.
rectors In some OF the city banks. 1t Ii
also a well-known fact that banks having
VIC heS&AS u NNAGNg ANAAAA gave kElesnNlfN-
ing bonds 20 the present county treasurer
- make good any losses.
q. r Stone. was one OF the directors Of
the Merchants National Bank G. +
Stone and Angus Macintosh were the
principal stockholders in the Union Elec-
trio Light and Power Company.
The conclusion from the above statement
IS almost irresistible that the advance Of
" the 5000 by the Seattle Clearing House
Association. the surrender Of $50. 600 OF ne
got.abie paper 10 the association. and the
application Of the money as above stated
was 70 enable the city treasurer and his
bondsmen. the county treasurer and his
indemnlfying bondsmen Ghe bankers, and
the Union Electric Light and Power Com
pany 10 obtain preference over the other
creditors OF the bank
In Mr.. Bakers interview he says he is
led TO believe that certain depositors got
the tip What certain depositors but
those that l have named? Now If the
comptroller and Mr.. Baker and his attor-
neys Will just get a move on them, they
can prevent this manifest preference of
creditors and recover hack all the assets
OF the bank for ratable distribution, as the
law directs. z. b. Nj. MILLER