Herald and news. [volume] (West Randolph, Vt.) 1878-1943, 1900-06-14
Randolph Savings Bank Closed.

On application OFFS. Platt OF Poult.
ney, state inspector OF finance, Judgl
Start at Chelsea on Friday issued an in
junction restraining the Randolph Saw
ings bank from doing further business
and placed ii in the hands OF receiver tc
wind up its affairs.
This step was an entire surprise to the
bank officials, the depositots and citizens
Nothing Of the kind had been limited at
1t was the result OF recent losses suffered
by the bank in the West
Inspector Plstt made his usual inspec-
ton OF the bank May 18th. He noted
that certain securities on property at
Omaha, Neb., had been sold for consider
ably less than they were listed at in the
banks resources. II was clear that a loss
had been entsiled sufficient to make q
July dividend impossible. Without Civ.
ing hint OF his intention, Mr.. Platt pro.
cured the necessary papers and on Friday
afternoon announced 10 the surprised
trustees that the bank was closed at noon
and receiver would shortly be named.
The actual loss was between 1000 and
$4,000, which wiped out the banks sur.
plus and made some inroads on the prin.
cipsl The Law directs that banks in this
condition shall be closed.
The officials endeavored to secure a
little time so as to make some arrange
ment whereby the deficit could be made
up by those interested, several OF whom
made generous offers, but IL could not be
allowed. The court also declined to name
Treasurer LON bard as receiver, while
having faith IN bis entire fitness, on &C.
count OF his connection with the bank.
On Saturday the bank door bore the sign,
"Closed Today" On Monday Judge
Start named as receiver Hon. G H. Max
ham OF Pomtret, one OF the leading busI-
ness men OF Windsor county and assist
ant judge, who will take charge OF wind
ing up the banks affairs. Mr.. Lombard
will assist him. The bank will OF course
receive no more moneys on deposit and
pay out none until the first dividend is
declared, which will be soon, OF probably
% per cent, to be followed at intervals, as
fast as funds can be drawn in, until all
possible amounts have been realized and
divided. The assets are nominslly about
50 perIcent OF the deposits. II they can
be realized on as appraised, the bang will
pay that dividend to depositors, as 1t Is
estimated that the accruing interest will
pay the expenses of the receivership. The
actual loss to depositors will certainly be
small, though the delay will inconven-
fence great many. The stocks and bonds
can easily be disposed OF to other banks
and probably all OF the mortgages now
running. Such OF the latter as are due
will have to be realized on and the banks
real estate must be sold for what II will
bring.
The Randolph Savings bank was char
tered ia 1888 and opened for business Jan.
"a, 1889, II had quarters for several years
in the Tewksbury store, moving in 1895 TO
/ he nice rooms near the postotiice, which
had been finely fitted up and equipped
with a modern vault and safes. James
Hutchinson has been president and B. 7.
Lombard treasurer since the beginning
and there have been only few changes in
the trustees, who are now as follows:
James Hutchinson, president; VIM. Mich
oils, vice president; b. T, LON bard treas
lrer; NJ. NJ. Wilson, A. G. Wheeler, NJ. A.
@. l.. Martin, v. 1. Spear, w.
z. Lamson, trustees.
The banks books contained the follow
ing statement OF business June lst: