Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1900-05-03
HARTMAN KANE EXPLAINS
,tatement C Concerning Finance
Committees Action.
b TRICK OR SCHEME. HE SAYS
,enies That Union Bank Got
Unfair "Shake."

Unfair "Shake."
onaictIng Stories Told by Members of
rouncii Relative to Cashier Danby's Let
tsr. Oflering to Loan the City Forty Thou
sand Dollars without Interest.
Thursdays meeting of City Council
Id enlivened by discussion concern
bp the letter addressed two weeks ago
pday by Cashier DANNY of the
Jnion National hank to City Council,
INF for some reason the letter was not
ead, 1t had Eeen published, however,
nd every member of Council was
amiIiar with its contents. The conn.,
nunication contained a statement con-
srning Councils negotiations for
nan Of $4,000 and made the offer to
osn the money without cost 10 the
ity In the course OF the remarks ON
he subject Thursday conflicting state
nents were made by different members
Ind the body adjourned before these
tatements had been reconciled.
The subject was preached, after the
Regular business had been disposed of,
by Chairman Kane of the finance COM
httee. 81 would like to make
tatement, he said, 'about the action
bf the finance committee in borrowing
honey last week ard also concerning
be letter from the Union National
Bank. Much has been said and printed
kbout that loan. 1t has been said that
be Union Bank did not get fair
shake;' or, in other words, was not
treated fairly. l deny this assertion.
went to see the cashier Of the bank
bpout negotiating loan on one ocoa.
lion and he was not at home. Then
directed the clerk to go to the bank
and get its rates for loan. Tho clerk
went to the bank and the cashier told
him that the bank would loan the
money but he could not give the rate
unti he had conferred with the
directors. Subsequently he gave rate
BIZ six per cent first and afterward came
down to five per cent. We thought that
WAS excessive and went to the First
Natonl Bank and were informed there
that we could have the money at four
rNr cent. This was satisfactory to the
of Council who were here last
"Wednesday night and the loan was
awarded to the First National Bank.
lat $50 or 4. 40 o'clock last Thursday
afternoon letter was delivered to me
lat tho shop from the Union Bank,
stating that Council could have the
money without interest. 1t was then
Ton late to do anything. as the matter
had been arranged with the First
morning. No tricks or schemes were
rCsurted to. 1t was simply business
Transaction, and was what l would
have done il I had been borrowing
money for my own private use ~
After Mr.. Kane had taken his seat
President Alexander also made state
ment. "At late hour last Thursday
Eight he said, II received the letter
from the Union National Bank. was
informed that the finance committee
had sent its representative to the Union
Bank and the cashier had told him
that the bank would loan the money
hut he would have to consult the
directors before he could tell what the
rate would be. believe the committee
sent the clerk back on Wednesday after
noon to learn what the decision was
and he was infoim med that the rate
would he five per cent The officials
+ Of the bank were aware of the neces-
sity of the finance committees know
| ing that afternoon what to expect in
regard to the loan. The clerk, / be-
lieve, understood that the hank con-
sldered it matter of business. Later
it was reported that the money could
lie secured at rate of one per cent
less, and it was agreed to take the
money offered by the First National
Bank at four per cent. On Thursday
evening | received the letter from the
Union Bank, but considered it not
very complimentary to other business
firms, and as | felt that the matter had
been settled in business manner and
the letter would not avail anything did
not have 1t read. This action was not
Intended as slight to the Union Bank,
nor was it prompted from any feeling,
but | believed the transaction was
right and the action justified.
Mr.. Groves said he had not heard
anybody complaining because the
money had not been borrowed from
the Union Bank, but the complaints
we're about the manner in which the
Union Bank had been deprived of the
night OF continuing as the city's active
port concerning his visit to the Union
Bank" he said, II understood him to
say that the bank would loan the
money on whatever terms would be
satisfactory to Council. If the five per
cent rate was not satisfactory / believe
council should have informed the bank
and believe the money would then
lhVe been offered for nothing. | think
council made mistake and | am
sorry that / did not put myself on
record regarding the matter at the last
meeting. ! did vote against the motion
10 change the active bank. y
Mr.. Willis thought the Union Bank
mad derived much benefit from the city
and he believed the action of the COM
mlttee was justified.
Mr., Cannon did not see that the
Union Bank had any claim on the city
ana he thought it was all right 10
allow some other bank to handle the
city money. 1T would not be right, !"
ne said, ito borrow the money from
inc First National Bank and take il
oyer to the Union Bank to be handled.
me Union Bank has spoken of aiding
tHe city in the Fast. 1t il not what IL
mas done in the past hut what it is
Wiling to do at present." He expressed
tne opinion that the committee had
done right.
Mr. Smith thought enough had been
sald about the matter. Nj. Oberly
upheld the committee and said 1t
should Ee congratulated for saving ore
per cent. Mr.. Healey took the same
tieW' and added that the Union Bank
na9 at first asked six per cent, so he
understood from the clerk and after
ward came down to five.
Did Won not np5aVctopA ~ Mr.