The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1897-01-05
THR8B 'A6kFRbNE'
ST. PAUL'S SECOND BANK FAILURE
EPIDEMIC,

Gsrmanla Succumbs After . Steady Two.
Weeks Run and the Ailemania Closes
Its Doors Shortly Afterward-Each In
stitution Doing Business With -Four
Hundred Thousand Dollars-west Side
Bank, a Small Concern, Also Shuts up
Shop-Runs on Other Bauks-Statements
of the Failed Institutions.
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
dtstrust among depositors, and started
runs on number of city banks that
were reputed not to be as strong as the
depositors wished, three ST. Paul banks,
the Germania, the Allemania and the
West Side, none of them national insti-
tutions, al, closed their doors, one being
In the hands of the state bank examiner
and the others making assignments. Dur
ing the time that has interviewed since
the closing Of the Bank Of Minnesota the
Germania bank paid out to frightened
depositors s225,OOo and early today the
make an assignment to the cashier,
Peter NJ. Keerst.
The Allemania, which, like the Ger
mania, had large clientage among the
Germans, and whose vice president had
formerly been president of the Germa-
hia, then became the target for as lively
a run as could be seen during panic
times anywhere. People crowded about
the doors and fairly fought for a place
in the line before the paying teller's win
dow. The bank officials realized fully
what such run meant, and promptly
called on Bank Examiner Kenyon to
take possession of the bank, and that Of
fetal is now in charge
The West Side bank, a small but pos
sioly stronger bank, cleared through the
ALiemania and today its clearings were
returned by the latter institution. Fol-
lowing this there was a decided run in
augurated on the bank, and at o'clock
this afternoon the bank officials closed
the doors and called meeting of the
directors to decide what action to take
Their decision was apparent late in the
afternoon, when they filed a deed of as
eignment to Cash S. Staples, president of
the bank. Considerable public money is
tied UP in the three institutions, but
there is an ample supply for all immedi-
ate needs in the other banks of the city.
The assignment Of the Germania and
west Side banks has brought up some
what new question in the banking laws
Of this state, and the courts will be call |
sd on to settle 1t. The state bank eX- |
aminer doubts their right to assign, hold |
Ing that they should have, under the law, |
turned over their assets to him. The at |
.orney general intimates that he will |
bring action to test the matter as soon |
as the papers can be red
During the day numerous reports of /
trouble among the other banks were cur |
rent, and few banks suffered runs of |
greater or less intensity, but the savings |
banks Were protected by the law that |
allows them to require sixty days no. /
tice before paying out deposits and the |
national banks are in strong condition |
and have no fear Of anything Of the |
sort
ST. Paul, Mimi, Jan. 4LThe Germania |
bank, state institution, capital $780,
600, did not open for business today, but
announced its assignment 10 Peter NJ.
kerst, who, for the past year or two has
been the cashier Of the bank The an
stated that this action was
taken after full consideration Of all pha-
ses of the situation, and it was deemed
best for all concerned that this action be
taken. The bank stood a run for nearly
two weeks, its depositors beginning to
withdraw their accounts at the time the
Bank Of Minnesota closed on December
p. The last official statement of the
bank was made December II, 1896, and
was as follows:
Resources-Loans and discounts $685.
100 So; overdrafts, secured and unsecured
s.. $500; stocks and bonds, $50, $50. Sc;
houses, s253.S47.l0; furniture
and fixtures, s10,S2S; other real estate,
$40. 15S. Al; current expenses, s1S,74354;
axes paid, s2,131. so; due from banks,
'59, 259.7S; checks and cash items, 81, $780,
g; exchanges for clearing $27,607.4e; cur
'ency, S42. 329; nickels and cents, s2i9.95;
gold, s103.560; silver, s4,S47.25. Total re-
sources. 81, 625. 7SS.01.
Liabilties-Capital stock s40o, zoe; sur
,lus and undivided profits SOS, 657.27; div
dends unpaid 50; bank buildin's loans,
800; individual deposits subject 10
heck. 1854, 19144; demand certificates Of
leposit, $3.50; time certificates of depos-
[. 1858, 01910; certified checks, 81. 450,0e;
ash creditors S4,305. Al: due 10 banks,
~. 10S.17. Total, SLIPS, 16S Oh
The Germania had been organized
OF many years, Ex-Governor Alex. Ram
ay being for long time president, and
William Bickel cashier. A few years !
go Governor Ramsay retired and Mr.. |
5ickel became president, but last spring
Ir. Bickel retured from the bank. be-
oming vice-president of the newly or :
anized Allemania bank. He was sue
eeded by Gustave Williams as president /
f the Germania, T. II. Menk being vice 1
resident, and Postmaster kerst cashier. !
he directors are Gustave Williams, VIM I
sickel, Albert Spangenburg, Joseph {
faag, ]. B. Hermann. E. E. Berrisford, s
:. L. Menk, o. E. Holman, c. L. Horst, I
dam Behr, W. H. Harries. P NJ. Kerst, g
ohm Klein, and William c. Horns,eia. a
The change in the official head last i
ear is believed to have caused a shift 7
lg Of accounts. IL
President Willius told an Associated I
'ress reporter today that the closing was
ne result Of an unreasonable panic and | /.
hat the bank would be opened for bus ;
less as soon as the people regained Z
heir usual cool sense. The bank. as a
esuit OF the panicky feeling, had paid :
Ut depositors s225, 900 in the last nine +
avs. and. as they saw TO what the con-
nuation of this would lead, the direc-
,rs had decided TO close for the pres I
Mt Mr.. WiIlius said he fully expected
, have the bank reopened and ready for
Lsiness by the last of March. =
ALLEMANIA FOLLOWS. r
The Allemania bank, capital s40o, 900, !.
nd having clientage similar 20 that OF c
ne Germania, closed its doors soon after Z
ne other bank had announced its as {
gnment- The Allemania bank was or
anized last year. being the successor OF p
he Commercial bank, William Beckett, o
,Sl1Ss 49, n