The San Francisco call., 1896-12-30
FAILURE OF THE
VAN NORTWICKS
Fortune of Five Millions
Left by the Father in
Jeopardy.
Creditors of the Vast Enterprises
Conducted by the Brothers
to Be All Paid.
Their Collapse Due to an Impossi.
bility to Immediately Borrow
More Money.

BATAVIA, ILL, Dec. 29.-AIthough the
Van Nortwick brothers owned large part
of the manufacturing industries and real
estate of thls town the assignment of their
vast and varied interests yesterday caused
no other business trouble or run on the
banks to-day. There was more surprise
and regret than excitement, and a general
belief that the assets were clear ana profit
able and that every creditor would get
dollar for dollar, although it might take
some time to realize in the depressed con-
dition of business.
William NJ. Van Nortwick was in Chi
cago to-day consulting with his attorneys
and the Equitable Trust Company officials
receivers of the properties.
The First National Bank took in more
money than it paid out. Cashier Grimes
lay, in charge of the Van Nortwick bank,
which did not open its doors this morn
ing, said he received inform alton that the
bank would be closed yesterday afternoon.
Deposits were received until the last min
ute. The creditors nf the bank are ex-
pscted to get their money first, as the ma
jority are in need of their savings. The
assignment includes the individ-
ual property of the brothers, even
to their homestead and the stock
OF the firm IN the Fillmore
County Bank, Western Paper Bag Com
pany, Batavia; Appleton Manufacturing
Company of Appleton, Wis; Memphis
Woodenware Company of Memphis. Tenn. /;
Aurora Cotton-mills OF Aurora. Ill. Kau-
kauna Paper Compan of Kaukauna, Wis !;
Combined Locks Paper Company, Wis
consin SuIphate Fiber Company and
Union PUP Company of the Fox River
Valley, in and near Appleton, Wis. There
are pine-land holdings in Missouri and
other personal interests, which cover all
that remains of the estate of S., 600. 900 in
herited in 1890 from their deceased father,
John Van Nortwick.
The cash value of assets is estimated by
the firms attorney in Chicago, A. w.
Green, at 81, 000, 900 and the liabilities at
$400. 900 to $500, 900. This estimate of assets
is believed here to be very low. The
brothers are blamed for not financierlng
their property, investing to the limit of
their resources in various enterprises with
out taking the precautiou of keeping
reserve OF quick assets, such as stocks and
bonds, upon which they might have real
lied in an emergency such as this was.
A long time loan was being negotiated
on the 100000 plant at Appleton, Wis,
which would have enabled the brothers to
weather the storm, when the Illinois Bank
failed. Having a bank of their own and
having borrowed to the legal limit-$3OO,-
000-from the Atlas Bank, IN which they
were heavy stockholders, it was difficult
task for the Van Nortwicks to get large
amount of money from bank where they
were strangers, even on their money max
ing properties. Their collapse was the re-
suit of failure to borrow more money.
APPLETON, Wis, Dec. 29.-The failure
of Van Nortwick Bros. Bank at Batavia,
ILL.,, involved the Appleton Manufacturing
Company's agricultural works at Geneva,
ILL.,, and the Western Paper Bag Com
pany's paper and bag manufacturing COM
pany at Batavia, but has not yet affected
the Six River Valley properties of that
place. 1t is believed the Six River prop
erty will pull through all right.
The Citizens National Bank of this
city, of which John S. Van Nortwick was
president, will not be involved in the fall
ure. John s. has resigned as president
and director and his place has just been
filled by Lamar Olmstead as president and
John McNaughton as director. No run
has begun on the bank, although the
news of the embarrassment of the Van
Nortwicks has created furry in business
circles. John S. Van Nortwick, who is in
the city. to-day refused absolutely to be
1nterviewed REGARDING his EN- barrassment.