Bryan morning eagle. [volume] (Bryan, Tex.) 1898-1909, 1901-06-28
NEW YORK BANK FAILS
The Seventh National Bank Forced
to Close its Doors.
RECEIVER Is NAMED.
Heavy Loans the Only Cause known
for the Failure Statement OF
Assets and Liabilities Not
Yet Made Public.

New York. June 27--The Seventh
National bank has suspended payment
a. u result Of a meeting Of the buard Of
directors, depositors and William Mel.
son Cromwell, the attorney for the
bank The bank opened for business
as usual this morning but At lOa5
the doors were closed and Forrest Ray
nor. IA national bank examiner. took
charge.
The last statement Of the bank was
a. follows: Paid up capital, $4,000;
surplus and profits. s2i6OO0 duo 70
banks, sSs7 $50: individual deposits. g.,
ass, 7O1; loans and discounts, ..132, $50;
bonds. stocks, etc, SGS3, ,l3o; due from
banks. Si43, $50; cash and exchange. g..
2S4 $50.
The Seventh National bank was orig.
inally the old Seventh Ward bank. and
was established in 1883. For a long
time the control Of the institution was
held by John McAnerney. who was
president OF the bank. In May, 1899,
First Assistant Postmaster General Per-
~ 5. Heath practically acquired con-
trolling interest in the stock Of the
Seventh national. and changes made In
personnel Of officers and board Of d..
rectors. The officers and directors are
L. X. Thomas, president; Fletcher
Heath vice president and George w
Adams, cashier
The suspension Of the bank followed
this statement made at the clearing
house.
AT the clearing house the Seventh
National hank came in debtor for S6i4,.
l0S05. Tho clearing house COMMITTEES
then met When it was found that the
debt balance was so heavy the commit
tee communicated with officers Of the
bank and was informed tho board OF
directors would soon come 20 some de-
cision. In consequence Of this state.
ment the clearing house held back 80
minutes
At iol5 . m, w " Cromwell. Ei.
win Gould and Mr.. Thomas. president
Of the bank, came into the clearing
house informed tho committee that in
view Of their heavy debit balance and
for other reasons IL was considered wise
the bank should temporarily suspend.
Tho clearing house committee thereopln
directed the manager of that institution
o. ciimihnte from clearing an opera.
tion- Of the Seventh National bank
The seventh National bank was Gus.
todian Of the funds OF the New York
po.toiiice Assistant Postmaster Nor.
gan said when he heard the news of
the banks suspension that tho postoGicc
was amply protected. Whom the nc.
count was opened the bank put up $3.50
600 In government bonds a. security.
The comptroller of currency appointed
Forrest Raynor temporary receiver 0f
the Seventh National bank. and ordered
the bank closed, because 10 would not
give satisfactory assurance that loans
Hggregnting sl,mO.OO0 made by the
bank % Henry Marquand s. Co. New
York brokers, would be- taken mp and
the cashahorefor placed in the bank by
Saturday night next
The suspension caused a ripple IN
Wall street In banking circles IL is
said the seventh Nationals heavy debit
balance was the result Of the news of
the banks embarrassment Tuesday be.
ing telcgraphed throughout the coun.
try. Interior institutions having mon.
eys deposited with tho Seventh drow on
the bank and these drafts nll coming ON
at the same time were too much for
the institution.