The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-04-23

DENVER, April 22.-The American
National bank failed to open this
morning. The following circular was
posted.
This bank has closed its doors by
a vote of its directors. and it is in
my hands as representative of the gov
eminent. ZEPH P. HILL"
The failure does not come as sur
prise, nor does it indicate any lack Of
confidence in the general business
situation. The condition of the bank
has been weak long time because of
internal dissensions.
The retirement from the directory
and the sale of the stock Of several
wealthy men materially reduced the
business of the bank. st the last re-
port made at the close Of business
March 6, the total deposits were ST.
471,951; loans and discounts, $1,126, 251;
cash on hand, $2S2,265; capital stock,
100000; surplus, S150,00O
The assets amount to $2,2451T3 and
81 is claimed there will be but little
trouble in realizing on them. The
following statement was taken from
the books of tie American National
bank this morning: Resources, cash
and exchange, $40, 300; bills receivable,
81. 07S, 600; stocks and securities, $780,
ABS; real estate, $136. $50; excess on cir
culation, $4,000; total $1,572,S25.
Observation-Disclosures deposits, $780,
7i2; demand deposits, 9719; time de-
posts. sec, 275; due other banks, $1,000;
borrowed money, SAP, 900; total. 1856. 231.
A compilation of this statement with
that furnished in March shows that
the banks deposits and reserve de-
clined very rapidly. Over 100000 were
withdrawn on Monday and Tuesday
of this week, and there being only $780,
900 left, the directors decided that the
best thing to do was to close the bank.
Besides the resources above there
are notes for 100000 set aside for the
recent reduction of the capital stock
from a million to 100000, and fifth
interest in a strong mine at Victor.
The president of the bank is John R.
Hanna The directorate consists of
some of the leading men of Denver,
including Fine p. Ernest, William and
laor-itz Barth, Mitchell Benedict, George
wv. Ballantine, L. ]. O'Donnell.
IL consequence of the failure run
has been started on the National Bank
Of Commerce.
John r. Hanna, president, and Howard
Evans, cashier of the American National
bank. were arrested late this afternoon
on warrants from Justice chapman
court charging them with receiving de-
posits after the bank was known 10 be
In a failing condition. Both were re-
leased on bonds.
The run On the Bank of Commerce end
ed about noon. All demands were prompt
w met. At the other banks the deposits
exceeded the Withdrawals.
President John r. Hanna of the Amer
lean National bank. in a published state
1nent over his signature, says:
1.-The shrinkage of deposits and but
comparative few new customers 20 re-
plenish the loss, and the inability TO col
lect our bills, resulted in our inability to
continue our business. / believe the de-
positors will eventually receive the entire
amount due them. We have S650.000 eX
cess CT assets exceeding our capitaD)
over our liabilities. The stockholders also
may be assessed 5000 more, if neces-
Rsry to pay the depositors. With this
surplus cannot see any loss to them
D. H Moffat president of the First Ma
fional bank, said the failure was a weed
ing out process which would not have any
disastrous effects The Denver clearing
house offered to advance 100000 to tide
the bank over the crisis in its affairs pro-
vided the leading directors and stock |
holders would become responsible for the
sun by signing the necessary pa ers. 1t
s. said that none of them except Thomas
M Patterson would agree to this. 1t was
then decided TO close the institution.