The Atlanta constitution. [volume] (Atlanta, Ga.) 1885-19??, 1896-12-28
National of Illinois Forced To Go Into
Sudden Liquidation.
THE FAILURE WAS A SURPRISE
Entire Amount Involved Is About
$17,OOO,OOO, but No One viii
Lose Anything.

leading to the counting rooms the following
notice was posted
This bank is in the hands of the ma
tional bank examiners. by order OF the
comptroller of the currency"
Posted over the doors and walls in the
corridors were notices from various de-
positors of the bank stating that checks
given on the bank Saturday would be paid
by the signers.
Shortly after 10 o'clock tho announce
ment was made of the failure OF e. S.
Dreyer & Co. old established banking
institution. southwest corner of Washing
ton and Dearborn streets.
WasmandorT * Heinmann bankers, at
AS and III Randolph street. were carried
down by the financial crash today and
closed their doors.
Judge Freeman appointed the Security
Title and Trust Company receiver for r.
3. Dreyer & Co. and Wasmansdorn &
Heinmann The receiver for Dreyer x Co,
WAS appointed on bill filed by Il. S.
Dreyer in the superior court this morning
asking for a dissolution of the partnership
and a distribution of the assets. Robert
Berger was made defendant.
The court was told that the assets were
slJo0,oG0 and the liabilities $l.250o00.
Assets Will Pay Liabilities.
by a conservative handling of the estate.
the complainant says. the assets can be
made to realize $4,000 moro than the liza
biiities.
The receiver for the firm of Wasmans-
dorff & Ileinemann, was appointed at the
request Of Otto Wasmensdorif, senior mem
her Of the firm He appeared in the superior
court and named his partner, William
Heinemann. as defendant. The assets are
given at S55J.OO0 with liabilities of $ii5,Oo0.
The complaint says that a receiver can adj
: q a
Plus Of about 100000
Tho failure is also announced of the Rose
land Savings bank. situated at No. lo5
Michigan avenue. Frederick WeilrZma Is at
the head OF the bank. The bank did bust
ness with the National Bank of Illinois.
Statement from Comptroller Eckels.
Washington, December I.-COmptroler
Eczels today In IA statement regarding the
failure of the National Bank of Illinois,
OF Chicago, says:
"The failure of the hank Is due to iniu-
dlcious. reckless and imprudent methods
followed by the officers. and not checked
by the directors. though their attention mad
been individually called to the same ana
over their idividual signatures they hal
promised to remedy the weak points In the
bank condition.
The largest source of failure IS the
banks holdings OF the Calumet Electric
Street Railway stock. the fun amount OF
which cannot now he stated, for il IS dis
covered that a part of such holdings was
not made to appear on the books. but was
concealed in another account. This and
other large and doubtful loans had been
called by special letter to the attention OF
the officers and directors ana specific i'm
provement promised a year since.
In view of everything. l am convinced
that tho clearing house committee acted
judic.ously. The management on the part
hoo tn
state it mildly grossly negligent. The la
btities of the bank are large. but by care
full and judcious management the loss en-
tailed upon creditors need not be large, II
any Every measure will be made by the
clearing house and the comptroller's office
TO prevent other bank or business failures
and unnecessary monetary stringency
"A large amount of difficulty can be pre-
vented IL those depending upon the banks
OF Chicago and elsewhere affected by this
banks failure use good Judgment ana 90
not work themselves into state of panic
Other banks can be made TO faii only
through those having funds with them be
coming frightened and making unnecessary
demands. on the other hand, the banks
oucht TO be careful and prudent in not
unnecessarily calling the loans OF their
business customers"
The clearing house proposition alluded to
IS that the clearing house will Immediately
advance 70 per cent of the face of approved
claims and thus give creditors Of the bank
immediate relief and prevent unnecessary
disturbance Of business.
No Panic Is Feared.
Chicago. December 22.-Without any ap-
parent cause, except for the fact that
general lack of confidence had pervaded the
tinld depositors IN the savings department,
a heavy run on the Illinois Trust and Saw
ings Bank, in the Rookery building, be-
gan as soon as the doors were open for
business this morning.
There is not the slightest connection be
tween the failed National Bank of Illinois
and the Illinois Trust Company. During
the excitement yesterday there was only
q small increase of Withdrawals from the
Illinois Trust and Savings bank, and the
officers OF the bank said they were wiling
to let the depos.tors in the savings depart
ment have all the money due them If they
called for 1t, as IL meant big saving OF
interest money for the bank.
The bank anticipated a run today, and
there is such heavy reserve fund of idle
money in the vaults that President John
j. Mitchell had no misgivings as to the
ability Of his bank to pay few millions
If necessary. There were four lines OF men
and women I'm the bank opposite the saw
ings paying teller and the clerks who enter
up the savings interest.
At the other national. private and state
banks there was the OIuiHdIy lTdiiSdcliOH
OF business, with no more people paying
their respects to the paying teller than TO
the receiving teller. In banking circles the
general opinion is that yesterdays failures
will end the present trouble
Who Is to Blamep
Chicago, December 23.-Charges In con-
necton with the management of the Ma
tional Bank of Illinois were made today,
and engrossed the attention of the imam
cal community to the exclusion of the
days events surrounding the big National
bank collapse.
The arrest of Bankers Dreyer and Ber-
ger, who were released ON bond; the dis
charge of the receiver OF the Roseland
bank and the continuation of the savings
deposits run on on the Illinois Trust and
Savings bank and the Hiberniam Banking
Association, were the principle develop
ments The public scare is practically
over. and a complete restoration of conf
dence seems to have been effected.
Statement of the Trouble.
Vice President Hammond, who is charged
with pulling the wool over the eyes OF the
directors of the defunct national bank,
would not talk for publication when seen
TODAY at his Evanston home. but friend,
speaking for him. said: wv. a. Hammond