Red Lodge picket. [volume] (Red Lodge, Mont.) 1889-1907, 1897-01-09
THREE MORE ST. PAUL BANKS.
Two Were Large Institutions, the
Other Was Small.

st. Paul, Mimi, Jan. 4-As a direct re-
suit of the closing of the Bank of Mime
sofa, two weeks ago, which created new
distrust among depositors and started
runs ON a number of city banks that were
reputed not to be as strong as the depos-
itors wished, three st. Paul banks-the
Germania, the Allemania and the Vest
Side, none of them national institutions,
all closely associated-closed their doors
today, one being in the hands of the stale
bank examiner and the others making as
sigmments.
During the time that had interv ,ned
since the closing of the Bank of Mime
sofa, the Germania paid out $225, 900 to
frightened depositors, and early today the
directors concluded they would stop the
drain and make an assignment to the
cashier, Peter M. Keerst.
The Allemania bank, which, like I'll e
Germania, had a large clientage among
the Germans, and whose vice president
had formerly been vice president of the
Germania, then became the target for a
lively run. Crowds gathered about the
doors and fairly fought for a place in the
line before the paying tellers window
The bank officials realized fully what s:.',h
! a run meant, and promptly called on
Bank Examiner Kenyon to take possess
sion of the bank, and that official is now
in charge.
The West Side bank, small but posi-
| bly, stronger bank, cleared through the Al
lemania, and today its clearings were re-
turned by the latter institution. Follow
| ing this there was decided run inau5u-
rated ON the bank, and at 2 o'clock this
afternoon the bank officials closed +he
doors and called a meeting of the directors
| to decide what action to take Their deciS-
| ion was apparent late in the afternoon,
| when they filed deed of assignment to S..
H. Staples, president Of the bank.
| Considerable public money is tied up in
| the three institutions, but there is am m
pie supply for all immediate needs in the
other banks Of the city.
| The assignment of the Germania and
West Side banks has brought up a some
what new question in the banking laws of
the state, and the courts will be called up
on to settle it. The state bank examiner
doubts their right to assign, Folding that
they should have, under the law, turned
over their assets to him. The attorney
general intimates that he will bring an &C
tion to test the matter as soon as papers
can be issued.
During the day numerous reports OF
| trouble among the other banks were cur
rent, and a few banks suffered runs OF
| greater or lesser intensity, but the savings
banks were protected by the law that al
lows them to require go days notice before
paying out deposits; and the natlona
thanks are in strong condition, and have nc
fear of anything of the sort.
| The Germania Bank.
| The Germania bank was a state 1nsll
tntion and had a capital of 100000. The
last official statement of the condition Of
the bank, December q, gave loans ane
discounts as 1915, ,42O.5S; total resources
II 625. .7SS. Among the liabilities were cap
ital stock, 100000; surplus and undivided
profits, $751; individual deposits subjec
to check, $345, ,191; demand certificates O.
denosit. s7S99; time certificates of deposit
$685. 019-
The Germania bank has been organized
many years, Ex-Governor Alexander Ram
say being a long time president, and VIII
liam Bickell, cashier. When the goverlo
retired, Mr.. Bickell became president, bu
last spring Bickell retired, becoming vic
president of the newly organized ALE
mania bank. He was succeeded by Gus
tav Willius.
President Willius told an Associate
Press representative that the closing wa
the result of an unreasonable panic, an
the bank would be opened for busines
| as soon as the people regained their usua
cool sense.
The bank, as result of the pan1ck
feeling. had paid the depositors 1885, 600 /
the last nine days. Willius said he full
expected to have the bank reopened b
the last of March.
The A11emnnia.
The Allemania bank has capltal c
s4OO 900, and a clientage similar to that
the Germania The Allemania was organ
| lied last year, as a successor of the Con
mercial, William Bickell, formerly pres
ident of the Germania, joining torce
with Albert Scheffer, of the Commercla
| 10 organize a new bank. The last OH
: cial statement made, December II, SNOW
ed loans and discounts, $706,S42; undlvlde
e profits, less expenses, $5OS, ,764; indiv1du'
e deposits, 1929, ,7S9; interest certificate
$751;, ,253.
l President Scheffer Of the Allemani
n said the failure was due to combine
n withdrawal of deposits. A crowd of d
positors gathered today demanding the
t money. and at II o'clock it was decide
| to close.
Runs on Other Banks.
Owing to the excitement caused by tt
l. closing of the Germania and the All
it mania banks, many depositors went aft
$. their money in one or two other bank
Il the Minnesota Savings bank being II