Kansas City daily journal., 1896-12-18
RECEIVER Is IN CHARGE.
II. b. WALLACE ASSUMES CONTROL
OF THE MISSOURI NATIONAL.
Reorganization Committee Returns
From WaShinEtOn-CIaims to Be
Satisfied With the Result
of Its Mission.

Receiver T. B. Wallace took charge of
the affairs of the Missouri National bank
yesterday afternoon. AS one of the first
steps to be taken, the depositors will have
their pass books balanced and their ac-
counts corrected, so as to show what they
have on deposit. 1t is quite probable that
the money received the day the bank failed
will soon be paid back to the depositors
as it was set aside and at no time was
considered a portion of the deposits.
Yesterday afternoon Mr.. Wallace for
warded draft on New York for s1Oi,O to
the subtreasury at New York for deposit
to the credit of the bank. AS soon as he
settles the deposits OF the day the bank
failed he will have other sums TO remit. If
collections are at all good he will be in a
position early in the year to make a divi-
dend.
1t is said that suits in many instances
will have to be brought against several
concerns of the city that are virtually
owned by the bank, owing to the enormity
of their loans, and in almost every case
there is certain to be heavy loss. Some
of them are quite worthless and may be
cast aside as not worth suing on, while in
get what he can. Just what will be done
with the electric light plant at Peru. Ind,
and the stock ranch near Ellsworth, Kas..
on which large sums have been loaned,
has not vet been determined. Both are
considered risky loans and are listed as
bad and the receiver will be greatly sur
prised if he gets anything like par out of
them.
In addition to these there are numerous
personal notes and miscellaneous loans to
people mere in the city that are much be-
low par and the paper could not be dis
counted at any bank in the city. Many
are doubtful, and others wholly bad. and,
at best, will be very slow paper to collect.
The trustees for the depositors are not
dismayed by the facts as made public, and
are working now to get some of the paper
listed as bad paid to the receiver. They
feel that if some of the larger sums and
alleged worthless loans We're paid in
promptly there would be more encourage
ment given TO the reorganization plans
when they are placed before the comp
troler or his special agent. Mr.. Lynch. who
is coming here from Denver. The trustees
received number of signatures to the
agreement for settlement yesterday, some
of them being country banks.
Attorney John O'Grady, Cashier r. D.
Covfngton and Assistant Cashier r. H.
Clark, who went to Washington to urge
Comptroller Eckels to allow the reorganiza-
ton plans TO be carried out, returned yes
terday morning. They said they accom-
plished what they went after and returned
satisfied. While there We're some points
of difference, the comptroller said he was
| willing their plans should be laid before
Special Agent Lynch, when he comes TO
the city to meet them. They agreed that
Mr. Lynch should go over the assets with
Major Hood and c. J. Lantry. and the
project for a new bank will rest on what
they may decide on at that time. Mr..
Lynch will try to get here before Christ
mas if possible.
The stockholders of the bank win hold a
meeting in the New York Life building on
| the 18th to consult over the situation.