New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-09-10

THE OLD Union NATIONAL FORCED TO
CLOSE IT'S DOORs-REPORT OF

New-Orleans Sept. s.-The Union National Bank,
founded in 1899 and one Of the Oldest banks III the
city closed it's doors to-day. 1t had always oe'h Il
nrosperous and paying institution. until some
limo ago II became known in business circles that II
was not thoroughly sound This shakinesS oates
hack 70 the big failure OF V. & y. Meyer. cotton
factors and general merchants The bdnk was
badly crippled by their failure and has never recoN
cred lis dcpositors were principally cotton men,
insurance and other corporations. 1T was almost
strictly a commercial paper handler ana maze ue-
mand loans ordinary unsecured paper to the last
This money generally went to the country TO buy
cotton Since the failure of the American National.
the distrlIst caused by that affair has conpicd'eu
matters for the Union, and the associated pahhS
Of the clearing house decided TO lend assistance TO
it, especially because Of the excitement ana hurry
which then existed This got out. and gave a
chance for the depositors TO protect themselves
auct run has been made by drawing checks lhroush
other banks and these went through the clearing
house The suspension was inevitable ana WIS
forcseen by the other banks ten days ago
The report telegra phed from Washington apou' Il
dcfalcation in connection with the failure cannot DE
substantiatcd A representative Of the United AS
sociated Presses sent note TO President Chaieroh
informing him of the report and asking that II oc
affirmed or denied. The note was turned over 20
Bank Examiner Johnson. and he informed the re-
porter that he had nothing TO say as "c WIS o"''
temporarily In charge OF the bahk H., o., -. ,..s
is that the only answer you can give! ne WIS
That's all | can say" replied Mr. Johnson,
From a man who is well posted on tlc aihiis VI
the bank il i learned that while the Individual de-
nos hook of the bank showed that ihcre WAS d
certain amount of money in mana. the Sehrr"i
lc1a.r shows that there was eight lines as llu'n
The yice-president of the Clearing House Assoca,
ton f. Toby Of the Canal Bank. says he has hearI
uoihinc of The reported dcfaication Inc el1ect OF
ha failure on general business Is rather delressnns
and other failures may follow shorty.
Washington Sept. 9.-Controller Eckles was in
formed this morning that the Union National Bank
of New-Orleans had closed iis doors. The hr"t
message contained no further information. and in
r.nlv 10 q question to the probable cause Mt
Eckels said he supposed it was due to the With
drov;al of deposits lie based this opinion on the
fact that from october 81. 1885, TO July a. lS" the
date Of IFS last report the Controller the bank
liabilities 70 depositors had decreased from N$7lSo
10 s74 o97 Aside from it's capital stock and de-
nosi,s on July IT, the bank had liabilities Of $4,000
=, other banks and miscellaneous accounts of $i2S-
az lis total assets were 81 SS9O22 Of which $si ~s
were loans and discounts. $4,000 overdrafts. and
s;5s 600 stocks and securities.
cortroller Eckels directed Bank Examiner John
CON IN take charge Of the failed institution. ana
iafer received a telegram from him saying that the
president Of the bank explained mat the suspension
pp.e 1ue 10 a defalcatOn. Neither the amount IN
nlv.d nor the name of the guilty ofcIil was given
The National Park and the First National banks
u.erc fine New-York correspondents OF the Union
>a,ionol Rank Of Ncw-Orleans. The National
I'nion had "A cash balance with both.