The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-03-19
e e ITS SECOND COLLAPSE.
DepoSitorS Not Alarmed by the
Failure, as 1t Was
Expected.
ALL THE DEBTS TO BE PAID.
But 1t Will Take a Long Time to
Wind Up the Affairs of
the Concern.

KANSAS CITY, Mo-, March 1S.-With
assets estimated at $1,S80,000 and the liza
bilities at 81 100000, the National Bank of
Kansas City, at Fifth and Delaware streets,
suspended this morning and will liquidate
and go out of business. At the usual hour
of opening the bank, $3.50 A. NJ, notices of
suspension were posted on the DOORS
These announcements caused no excite
ment. A small crowd gathered about the
bank, but it soon dwindled away to half
dozen loungers and an occasional passer-
by, who would read the notices and saw,
''That's too bad" and pass on. Stock
holders or depositors called occasionally,
and most of them were admitted In
almost every case they would walk to the
desk and shake hands with President
Chick, who in few words would explain
the situation. His explanation was in
every case satisfactory. There was no loud
talk and no unfavorable comment.
Since the publication of the banks state
ment on March 5, depositors have been
Withdrawing their deposits, and on Satur-
day evening it was apparent to the officers
OF the bank that they could not carry on
business through to-day unless the clear
ing-house came to their assistance with a
loan. A meeting of the Clearinghouse
Association was called for yesterday which
was attended by the directors of the
National Bank of Kansas City. President
Chick said:
eve paid out over $50, 900 and saw that
we could not meet the demand this morn
ing unless something was done. We
needed about $600,0o0 to put US in good
standing. Some of the banks were anxious
to help US, but the feeling was not general
and we consequently declined their as
sistance. The Bank of Commerce offered
to help US, but we had decided to suspend
so as to pay all depositors alike and no
person will have an advantage. Every de-
position will be paid in full and none will
lose cent. We will endeavor to have a
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
failed on July Is, 1888, during the panic, it
was doubtful then whether or not it would
reopen again.
HThe probable assets of the bank are
close to 100000 but owing to the fact
that much of this is represented by paper
and real estate it will be very slow of col
lection. In fact, the closing of the bank
can hardly be termed a failure, but simply
gradual dying out. There is little
doubt but what the depositors will receive
dollar for dollar with interest for their
money, although it may be some time be-
fore they will get their pay"
The current opinion expressed among
bankers and others who have information
on the matter fixes the amount that will
be realized by stockholders at from 25 to
40 per cent of their holdings of stock.
Cashier w. A 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
of Kansas City, informing them that all
drafts on the suspended bank will be hon
ored by the National Bank of Commerce.
He is also notifying the wholesale mer-
chants of this city that this bank will
honor their checks if they so desire.
In the panic of 1893 the bank suspended,
but through an agreement between the
depositors and the stockholders it was
permitted to resume business. The steady
withdrawal of deposits since that time
placed the bank in an embarrassing posi-
ton, causing another suspension The
statement given out shows assets of
81, 100000 and liabilities of 81 ,O5O,00O. The
Star this afternoon will say editorially
that none of the other banks in the city
will be in any way affected.
WASHINGTON, March 1S.-The Comp
troller of the Currency to-day received
telegram announcing the suspension of the
National Bank of Kansas City. Bank Ex-
aminer Galbraith was appointed temporary
receiver. The capital stock is 81 ,0OOO0O
with assets at the face value amounting to
nearly $1,000 900, of which $4,000 is cash
on hand and due from other banks. The
liabilities are estimated at 81 ,084, 900.
7: L l.