The state herald., 1897-12-31
BIG BANK FAILURES.
PHILADELPHIA CONCERNS COL
LAPSE,
Chestnut Street National and State Saw
ings ank-Prcsident singerly Owner
of tho Record Responsible for the
Smash.

Pnliauelpnla, Dec. IA sensation
was created In. this city to-day by the
announcement of the suspension Of the
Chestnut Street National Bank, re-
garded as one of the strongest tinan-
cial institutions In the city. The sus-
pension carried with it the closing of
the Chestnut Street Trust and Savings
Fund Company, doing business under
the state banking laws. William NJ.
Singerly, publisher of the Philadelphia
Record, is president of both companies,
and the same men, with one exception,
act rs officers and directors.
The first Information the public re-
ceived that the banks were in trouble
was In the form of n notice posted this
morning on the door Of the building,
occupied Jointly by the two concerns,
signed by National Bank Examiner
William NJ. Hart, to the effect that the
Chestnut Street National Bank had
closed its doors pending an investiga-
tion Of Its affairs. No statement Of as
sets and liabilities is available, but 1t
Is stated that the deposits of the Chest
nut Street National Bank amounted to
$1,1O0,O00, and Of the trust company
to $1.3OO,O00
President Singerly gave out n brief
statement tonight in which he saiJf:
"We are working to secure the indebt-
edness of the two banks, so that they
can go into voluntary liquidation, and
thus avoid a receivership."
In this connection Deputy Comptrol-
Ter of the Treasury George NJ. Coffin,
who was sent here from Washington
by Comptroller Eckels, to-day said:
''rhe matter of putting the Chestnut
;,,tn
liquidation has been taken up by Phila-
delphia men of great financial ability.
Their first step will be to ascertain
the value of the assets of the bank.
They must first be satisfied that they
have n value sufficient to warrant
them in assuming the Indebtedness"
Mr.. Coffin will remain here several
days. aiding the men who have taken
upon themselves the task of extricat-
ing Mr.. Singerly from his financial diff
bculties. These gentlemen are in con-
sultation tonight. ard the belief Is
strong that they will provide the funds
necessary for voluntary liquidation of
the two banks.
1t was known for some time in bank
ing circles that Mr. Singerly's banks
were in trouble, and the national bank
%
condition Of the affairs.
The statements OF the cause of the
failure current here agree with that
made by Comptroller Eckels Mt WASH
ington to-day. that II was primarily
due to the loss of much money by Mr..
Singcrly in his unDroductive paper
mill at Elkton, Maryland. one of the
largest In the country. One statement
IN hp f,,x
a million dollars.
Mr.. Singerly also has much money
invested In other enterprises In this
and other cities. Rumors were current
TO the effect that the ownership of the
Record would pass from Mr.. Singerly,
but this he denied. stating positively
that he is In absolute control of the
paDer and will continue Mt its head.
On Monday Of this week the Chest
nut Street National Rank made the
following report TO the Philadelphia
clearing horse:
Loans and discounts ....... Sc. 2G1 .OOO
Legal reserve ............. 39i,OO0
I'eposiIs ................. 1.IS'.OU
Due from banks ........... 355.OO0
Due to banks .............. GSG.OOO
Circulation ............... $1,000
The reserve has been below the legal
requirements for several weeks. The
deposits on October 9Th. when tho bank
reported TO the comniroller Of the
TREASURY. amounted to s.. 2.035. .S5G.
The shrnkagc In this item. therefore.
has been moro than 100000 In little
over two months.
II Is said there have been Quiet bur
steady runs on both banks for several
days past. or the deposits In ths
bank the city Is renresented by S2s0.-
55i. the state by soo5. .0Oo. and the mn
tionnl government 10y large sum. hut
NIL Of these creditors are believed TO
he protected. when the trust com
pnnv made It's last rcnort to the state
authorities ON November 10Th the de
poslts amounted TO 81 400. 253.
Mr.. Eckcls said there wns not the
least suspicion Of any wrong doing on
the part Of any one connected with the
bank. and he stlll had strong hopes Of
arranging for the voluntary liquidation
Of the banks affairs, without the cx-
pcnsc incident To the nppointment of n
receiver. Mr.. Eckcls expressed tho he.
lief That the bani; ultimately would pay
every dollar II owes. The PHILADELPHIA
Record. which Il owned hy President
Slngcrly. Mr.. Eckcls said. IL n very
valuable proneriy, nayInr about 2 per
cent. annually on about S5.oo0.0oO