The sun. [volume] (New York [N.Y.]) 1833-1916, 1899-12-19

collectabie II needed. is duo at Indefinite times
and with certain privileges OF renewal TO the
=, am not satisfied that the most conserya-
tive banking methods are being used 10 In.
sest,ng our money. and ieeI that tne preseent
the management subject TO criticism unless
prompt and radical changes are made What
OF the d irector s,1 and sbsi be glad to work
with them uron any plan looking TO the better
now and the next annual meeting II tho board
shows any desire to improve matters. Very
P.is.OYI Should like to have this latter spread
on the minutes OF the Executive Committee
and read TO the Board OF Directors at its ncxt
In sIeakine further OF the affairs Of the COM
PAW Mr.. Gould said that. although tho Bank
faminer went over .ne po9 Sss anu Sothins
whatever was said about his criticisms OF the
way the company was doing business or o. the
Board of Directors last Wed nesday, and. In fact.
the majority Of the directors knew nothing
about the real situation until Sunday after
While nobody connected with the COMPANY
wSsS 90 H b who
was thoroughly informed as to the real
condition OF the, company was Turner a:
Mr. Besii told iew. II ary., Of the dirsc-
tors Of the sritf,sms made ,h. ~ Tie supern
yesterday afternoon who said that Mr.. Beall
had told Thomas a; Mcintyre. the Second Vice,
shortly after the examination OF the books and
securities. and that these two men di! not il
illuminate thu rest OF the directors. Mr.. Mcln-
tyre. in talking with a suN reporter yesterday
afternoon. said that the FIRST no know OF tho
Afternoon. but even then hs thought thnt nr.
ranRements could he made to Keep the CON-
However this may he. there is good authority
Tor stating that Mr.. Beall aud Mr.. McIntyro are
the officers Tor whose designations MIR. Gould
n np The f Meity To WHO'S Ss senior Ho
member OF the firm OF Mcintyre 4 Wardwell.
one OF the largest commis2on houses In the
country. had most to do with the organization
OF the Trust COMPANY. Mr.. Benl. who sue
ceedei DR.. Parker. long connected with the
United States National Bank ~ President Of
the. Trust Company. was a former employee Of
Mcintyre 4 Wardwell AMI II only a little more
than 80 years old. 1t IL SAID thar he was the
New York. '''''''', 49,
4 trustee who is intimately acquainted with
tween him and Messrs. Mcintyre and Beall
were concerning the United States Milling and
Some time ago. according to this trustees
Mcssrs. Mcintyre and Brall made u proro:
s!,ion 70 take In exchange Tor a note Of
lie Flour co%rany bonds Of Il Flour
company company at par Mr: Gould said thai The
objected strenuousy TO the transaction. and
had watched since in o,der TO prevent
t Ss sui qS ;S 6y Mss ns S
bon 6ond : q ne Flour Milling Company arc
The friend ~ OF Mr. Mcintyre were very bitter
because OF the statements made by Mr.. Gould.
ami they said II would do no harm. since Mr.
sre tbs 81 Syi isw
pany yesterday morning and also showing Just
WHO was urn person who was willing to do the
urcs were Obtained IRON an officer OF the com.
rany. They set forth that. when the company
opened for business yesterday. 1t had in depns-
~ Ito
COMPANY, S'3UoOO: subtract lar the later
" M"%I ,5 rGm q amSgn' w G depGs, there
run. might be- Withdrawn Immediately As a
partial offset TO this, the figures showed that
the coinran had in caeh on hand. SSIB.OOD; in
city bonds upon which II loan OF S...0O.OOu
had been arranged the cash 10 be delivered
not' Az 9r' inS mnns Opened YESTERDAY Morn
S2nOuu.. gaE!ng total Of S3.276.O00 Sun-
trnst,ng his amount Of available assets from
dia,cly withdrawn 10 Gus" of u run. there would
be le:t s?,5i4nOO. tho amount needed by the
company to meet any possible demands made
Having given out these figures. the friends
Of Mr.. Mcintyre said that this condition was
before the company opened its doors yesterday
moTntng shn :, m nSs It was SAID Mr
Mr. gould had 'S done but 70" si .SS0S
treasury Sra the Within onsy into
II the other directors would raise be-
tween ,n. them the other sii9,il,0oo; No, one
further stated that could EdWarI H T. Laf lew
meeting yesterday morning. they would have
come to Mr. Nclntvros support at once. the
order aud the rrodSce RSchnnGs s' Trus, eco om.
p9rny would not have susrendcd,
These are tho two stories told by the Gould
and Mcintyre factions In the company's drec- |
toratc one OF the most trusted employees Of
the company; who has known all about the
tcIi a Sun reporter yesterday that il was. in
his opinion. doubtful II the com pany could have |
continued 70 do business for a great length OF !
he Gearing House banks. He "V said that hat
the COMPANY had made mistake /
u chnrging for the collection Of out-of-town |
/. decided to make this charge. the Ttust COM sT
pany resigned flom the association and adver-
listed extensively all over the country that II
,harge. This brought large amount OF out I
oi-town business TO the Trust company. hut il |
also brought the li-will OF the Clearing House
This hostility. I, was said. was not felt by the
Trust company until holders OF its stock tried /
% borrow money on the stock as collateral. II |
rs collateral for a loan N a Clearing House !
became known in Wall street and led to the
Irst rumors rejecting upon the company's
Those who should know much about the
iftairs OF the com many. Including some OF the
! rectors. admitted that the attitude OF the
Clearing House banks did not do the Trust
company any Gooi but they said that tho com.
lany would not have suspended Yesterday, and
probably would not have suspended at all had
I been run ON business principles. One OF these
men said:
~ you will look at the statement OF assets
md liabilities given out this morning you will
loice the item Syndicate loans. S4,423 800 |
hat item Ia the real niger iu the fence.
iou will notice that the Syndicate ionns'
amount TO nearly the sum Of the company's
apitai and surplus. IL was lound that the |
!, ndicntes to which the company's money had |
hieny been loaned were the syndicates which |
tho stock VI the United States |
Milling and Flour Company und the syndicate |
when was trying TO put through the Seaboard |
nd Roanoke Railroad deal. Tho collateral nut |
~ by these syndica, as for the money they bor- |
owed Is OF doubtful value, to say the least, at |
resent, And the worst Of II 10. some Of these
pans carried guarantees OF renewal. The
Jnted States Milling and Flour Company, You
now, was organized 10y Mr.. McIntyre"
IN reference to this statement, Mr.. Mcintyre
AID; . There was no more need OF the Pro- |
nce Exchange Trust Company suspending
BUSINESS than there is for me to suspend. and
gu necdn I lose any sleep about my suspen-
ion, although I've heard Il rumorcd to-day
nat l would suspend. The Trust Com
any is perfectly solvent. Less than ten |
cr cent, yes, much less than 10 per cent. OF
he syndicatc loans was made too for tho benc-
: OF tho United States Milling and Flour