New-York tribune., 1896-12-25
ANOTHER BANK CLOSED.
A. SMALL STATE CONCERN NEAR CHI
CAGO SUSPENDS.
DESPITE THIS. THE FINANCIAL CLOUDS ARE
RLowINn AWAY FROM THE WESTERN
MISUNDERSTANDING CON-
TROLLER ECKELs

RIOwINf AWAY FROM THE WESTERN
MErRoroILs-CRlrIc1sING CON-
TRoLLERs EcKELs
Chicago, Doc, 24--A continued OF two days
made upon the Calumet State Bank. at Blue ISL
and III. forced its officers TO close the doors to-
day Shortly after noon an assignment was made
hv the bank in the County Court the assignee
bcng Melville c Eames. tho vice president The
deed Of assignment gives the assets $s76sa GO
snd the liabilities as ssS 900 The officers attribute
the irumc Hate OF the failure to run. bu
saw that little money. comparatively spcakins
was drawn out The deposits amount 10 abc't
$4,000 and the assets consist largely OF securities
O. dobatabie value. 1t is said the securities rust
he handled carefully In order TO realize anything
Ike their value The bank is owned by stock
company. has capital stock Of $1,000 and IL 'iEh'
wears old Until last May W. A. Ray was pres'-
don't ard W. G. Press the main stockholm. Ihe
nrcsent officials ailcgc that the old management
nearly wrecked the institution by bad management
aud RECKLESS loaning OF money on bad securities.
Sirce then IL has been struggle for exis'ehce """
tho bank was IN condition 10 stand run
"he present officers G. C. Bogar president;
~ & T,a,nes vice president. and w. B Braytoh'
oosh,er The assignee says that II given TIME 'ne
hank will pay derosors In full
The scene around rhe bank bulldog to-day was
turbulent one. and detail Of police was iou""
,ccesssrv 10 calm the crowd of clamoring oepos'-
,o-s The majority OF the depostors are SAID 10
he ucor people.
- financial and mercantile circles yesterday
,,ere was nothing TO indicate that only 'dsa No"-
ssv the second largest National bank IN '"io"s'
MS closed by the Government author'ues' 1
MS 10 he expected. tho mere announcement oi
.Se failure Of bank was sufficient 10 cause ai',"
,orr the small deposiors in savings banks In
,he Arst flush OF fear nothing would sahs,y mem mem
,n. the music Of gold and silver )nemg III '"e',
,snas Nearly all the savings banks. therefore, vi"
- hrisle business In paying out money on Mohoay
ha
more money by paying 1t out than II theE h'u nep
4, They saved the interest of nearly SIX mohtis'
which would have been due week nence OH ''e
6.posits: but this policy. although pron'ape' o'
considered tic wisest one. and, thereiore, OH
dav a majority Of the banks announced tha' 'he
,.,.aoy rule as TO the withdrawal Of deposits
would bo enforced The effect of this was 10 en-
able depositors 10 take a sooer seco"u e
the res,ll; Of which was that tney reailzeu 'ie'
savings were not IN danger. and that the ia'uic
of the National Bank Of Illinois was not oue 10
,hs conditions which might cause savings oahKs
% fail As soon as satisfied Of this. the dep2si'oIs
were as anxious to keep their money IN 'he u
os only few hours before they were TO take II o"
MANY who. had withdrawn deposits on Mohoa! '
-rrned on Tuesday to them. and others ihaoe
their deposits yesterday The lines at the oeshs
p, tho receiving tellers were long as they were
st the paving teller's desk on Monday anu ueS
day Nearly all of the banks yesterday "''nu,ew "
the notice of the sxty-day rule ana pa'u !" i"''
QenOSltOlS.
of the banks withdrew the rule to-day ana any,
body who has money in savings banks can get "''
or any part OF it on application.
The local financial situation resumed It's norman
condition Today; except for the assignment Oh 'ne
calumet State Bank which is not expected to nave
more than n local effect Only few more deposilors
Than usual were the Hibernian ana Illinois itus ad
and savings banks 10 M'hdra~ 'n9 ne bsT been re-
stored on the part of the public 50 far as II Cd" DC
sNiyc,o??s AdaTns jenkins Corwth. Kerfoot and
Page of the defunc National BANK or IlnCs I,I I'm
en- informal call IN Temporary Receiver Mcheoh, az
The bank to-day and also conferred WIN eacn ~
other an informal manner as al !nc ~ make
a Careful counting OF the calumet Electro foa1
SanE in the!T capacity Of creditors They were anx-
;ous to the best interests of the naH 9 80 n,
eIes a ~ ,h hest plan 70 facilitate the sale Of the
camet a. road and thereby reaize enouh pay in
fun the deposi,ors of the defunct Nat!0n"l aik o.
illinois. They said thai was their only aim nov. now
holders could dollar for dollar Tne @
do expect much. on account OF me Iafge ptis
Wish The cau~s aorEs sec" Adm ay said al
receiver man who would inspire confidence ana oe
aDoVT bs Taus 5usp0' o the e Calumet securities There
eharp contest for the receivershp one OF tne caha
conspicuous par, in the Gold Democratic campaign.
e personal friend % ceaaeaf5 6m becuss
J.. believed TO have more political than p''hi"s
Edward II Valentine; capitalist. who was asa di, IL
Iec.or OF the collapsed bank said TO-DAY ana' ne ne
he would not which nG wa cared i'o on
the banks books as foreign eNchanee re re ~ ~.
clared tina, every director cognizant OF all the
Dircctor Jeni;ins' when asked If there would he
sny prosecutions in connection with 'ne "recN'
Colonel Of t9e defg@G ggrbnai grtyatie
ss ssced 9 his ne soHsehod goSds for SEQ and
fSEe %aF Paulsen whs was president of defunc:
Central Trust and Savings Bank began sui t9-dfy =
Grsnnis, Director Charles b Farweii, ex-Tnited
states senator and the ASs Naons ad9es tba Saff h
hank was forced 10 close because the Atlas re-
fused TO clear for him well knowing tna, ne hsao ~
done in revenge for Paulsen's refusal TO use the
fsnks funds md t. P1y Pamsen says he lost the
sale OF his bank stock for 10000 because or thls
SsnS was forced to close. The stock is now worth;
less The Bank IS SAID to hayS fTS G2noedSe tSe
Central Rsnk and the damage suit followed
~he developments in connection with the failure
OF the National Bank Of Illnois have greatly IN
creased the criticism in this city Of Controller
Eckes for his failure take action 10 protect de
positors in the bank when ne knew ne coha1,io az on
esniS es Of h Wa; Naon III By gi1r up his %
speeches and writing for the magazines IL Is
tended 10 the duties Of his office and taken steps to to
prevent such smash as taat OF 1ne SH II has
wrought i; IS said thar his neglect OF his official
aae ~, IS o.ca Of ana e aa INK examiners to
greater Or less extent For lons ,ne e II nn roller
talked 100 mGch.
THEIR CHRISTMAS WAGES TIED Up.
INDIANAPOLIS Dec 2i--Thc tying up Of 5000 be-
longing 10 the Louisville New-Albany and chicago
railroad by tira failure OF the National BANK OF
Illinois has caused a good deal Of concern among
hat OQ1