The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1896-12-31
BATCH OF BANK TROUBLES.
THERE ARE SPOTS WHERE THU
WAVE OF PROSPERITY DOES
NOT SPLASH.
VOLUNTARY LIQUIDATION At CHICAGO
Of the Atlas Bank-Dime Savings Rank
Suspends Payment for Self-Protec-
tion-Minneapolis Bank Suspends.
Wisconsin Bank Failure.

Chicago, Dec. 2S.-The Atlas National
bank, which went out of business today,
was involved in the failure of the Mead
owcroft Brothers and the Central Trust
and Savings bank, which assigned a year
ago, cleared through the Atlas. The col.
lateral which the defunct bank had on
deposit to secure its clearances was said
to be ample, and at the time Mr.. Gran
mis- made the statement that the Atlas
National bank would not lose through the
failure. w. A. Paulsen, who was presi.
dent of the Central Trust and Savings
bank, recently brought suit for $3.50 900
against the Atlas National bank, w. c..
ID. Grannis and Charles Il. Farwell. The
suit is based upon the trouble which Mr..
Paulsen had with the bank at the time
of the failure of the Central Trust and
Savings concern. Mr.. Paulsen alleges
that although his bank had deposited in
the Atlas National bank collateral suffi-
cient to cover all claim against it, clear
ing facilities were refused and the bank
was forced to assign.
Partly as result of the failure of the
National Bank of Illinois last week. the
Atlas National bank began paying off its
depositors today, thus marking the first
step in the retirement of that institution
from business. No deposits were re-
celved and as fast as accounts were
checked up depositors were paid in full
and their books taken up. The Atlas suf-
fered heavily from the runs Occasioned
by the closing of the National Bank of
Illinois, deposits aggregating 100000
having been withdrawn last week. This
and the fact of a gradual shrinkage of
deposits extending over a long period of
time brought the resources of the insti-
tuition down to Il low figure and it was
decided to retire from business.
The clearing house committee, at the
request of the officers of the bank, made
an investigation of its account with n
view to allowing the doors to close with
out loss to the public. and the bank was
found to be solvent. To expedite liquida-
ton, so far as the creditors are concern
ed, the committee pledged the aid of the
associated banks of Chicago.
Charles b. Farwell said today: After
the depositOrs have been paid off / be-
lieve that the shareholders will receive
large PERCENTAGE of their interest, if not
every dollar"
The Atlas is a comparatively young
bank. 1t was organized in 1887. Its
statement of December II showed sur
plus of $147, 900 and undivided profits of
$4,000. The statement also showed de-
posts of 81 $685. 900; bills payable amount
TO 100000; loans and discounts, $1,941,-
coo, and cash, $4,000. The deposits six
months ago amounted to $3500,0O0.
49,, STATEMENT BY ECKELS.
Washington, Dec. 2S.-Comptroler
Eckels said today that the closing of the
Atlas National bank of Chicago was en-
tirely voluntary affair and that the in
formation he had received indicated that
all the banks creditors would receive
payment in full; that no one would lose
anything by the banks liquidation and
that affairs would be settled very prompt
ly. He had no details concerning the
matter. and the last report of the bank
naturally showed such different state
of affairs with the banks condition at
this time that it could throw no light on
the present state of the banks finances.
Mr. Eckels said that the creditors of
the Atlas bank would be paid in full at
once through advances BY the Chicago
clearing house, and in his opinion the
stockholders eventually would realize 100
tbn, 1ncinn