The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1897-12-24

iothi 9o,oUosUtp
Concerning the efforts made in tinan-
cial circles in the past few days to save
the Chestnut Street bank from failure
prominent financier said this after
noon that the large financial interests
of the city had combined to advance
the amount of money reported as nee
essary, but final investigation devel-
oped a condition which prevented these
interests from arranging the needed
relief.
1t was further learned in this con-
nection that the clearing house asso-
citation, which is composed of all but
one or two of the national banks in the
city, was apprised of a serious state
of affairs in the condition of the Chest
nut Street bank, and a request was
made that the banks, trust companies
and other financial concerns should
unite in extending aid. tt was stated
that if Mr.. Singerly's Indebtedness to
the bank could be liquidated all dan
ger of a failure would be averted, and
it was suggested that these various
financial interests should join in sub
scribing to or underwriting a proposed
issue of 81. 900, 900 per cent preferred
stock of the Record Publishing com
pany, the proceeds of which could be
devoted to the liquidation of that in
debtedness and other obligations of
Mr.. Singerly. A statement was sub
mitted at the same time, showing that
the profits of the Record last year
amounted to s420,000. or sufficient to
pay the interest on the proposed issue
The response was almost unanimous,
of preferred stock twice over
and as but few of the Institutions or
individuals invited to cooperate re-
fused to do so, no difficulty was exper-
fenced in raising the s., 900, 600 required.
A member of leading banking house
was invited and consented to represent
the subscribers in the negotiations and
at the close of business yesterday 1t
was confidently believed that all OBJ
stacles to the banks continuance in
business had been removed.
Another investigation, however, dis
closed the fact that the affairs of the
institution We're more deeply involved
than was thought, and the condition
was such that the amount of money
raised was deemed insufficient to re-
lieye the embarrassment. The large
financial interests referred to We're
therefore reluctantly forced to with
draw their proffered offer of aid, and
the result was the closing of the doors
of the bank this morning.
The meeting at which this decision
was reached was held last evening, the
financial interests being represented by
a committee, and it was not until near
midnight that it was decided that the
catastrophe could not be avoided. The
banks affairs have been under the
scrutiny of the comptroller of the cur
rency for some time, and he has paid
several visits to this city in connection
with the matter. Among bankers the
embarrassment of the Chestnut Street
bank has recently been an open secret.
The bank has for some time been a
debtor at the clearing house, in max
ing the daily exchanges and on one or
two occasions some difficulty has been
experienced in making its balances.
This morning, however, the Chestnut
Street bank was a creditor at the
clearing house to the amount of S12,-
900.
The liabilities of the bank and trust
company together will aggregate abou.
So, 900 900, represented by $1,l00,00e of
deposits in the bank and S1,30o,00o in
the trust company. OF the 81, 10000 in
the bank about $1,200.000 was to the
credit of individual firms and corpora
tions in this city, while the remaining
$500 900 represented the accounts of
banks in other cities
The condition of the Chestnut Street
Trust and Savings Fund company at
the close of business on Nov. 16 1897.
was reported to the state authorities
as follows: