New-York tribune., 1901-07-03
NIAGARA BANK GOES DOWN.
INSOLVENCY CAUSED BY FAILURE OF
BITFFAIO CITY NATIONAL.

Buffalo July 2.-The Niagara Bank. State in
stitution closed its doors to-day, the Following
notice being posted on the doors:
have closed and taken possession Of this bank
superintendent of Banks
The Niagara Bank was organized September
15 1891 1t had a capital of 100000 The ofrcers
are: President 2 H Griffin; vice-president. M NJ
Drake; cashier. William T. Hayes assistant
cashier Edwin T. Voltz; directors, P. H. Grlrlih' NJ
NJ Drake John Esser. Maurice b. Patch Charles
o. Rano. T Guilford Smith Peter c. Doyle w l.
Hayes W. P King and Michael j. Healy'
The chairman of the clearing house committee
s NJ. Clement, said:
1t should he distinctly understood that the clos
inc of tho Niagara Bank to-day has been brought
about solely by reason of it's close connection with
the CITY National Bank. its president having been been
vce-president of the City National Bank, ana thdt
no other bank here is in any way aHeCteu'
At the meeting of the clearing house committee
Yesterday the Niagara Bank the only one that
applied for any assistance. Frederick D. kilourn
the Superintendent Of Banks. on his arrival IN
town this morning became satisfied that the oanh
could not get through with the assistance asked
for and accordingly directed that the bank be
closed in order to protect all interested Mr. Kill
burn said:
have closed this bank because I think it in in,
solvent The he T1n % TaonaI Io Bank This bank is
volved in that extent not yet 10 ne ahhouhCeu
] 4uI pUine U mo anv longer AS to whether this bank
has been In trouble heretofore l have nothing to
ssfcd the same as was the CITY Bank That is all
1 am confident that there is no trouble with an! Oh
the other banks.
Considerable excitement resulted from the posting
of the notice A crowd gathered as the clerks left
the bank and went downstairs. To them the closing
Of the institution was quite much OF surprise
as II was to the persons who. having business with
the bank stopped and gaped they beheld the
placard.
The CommerciaI'' says:
Superintendent Kiiburn of the State Banking De-
nartnnent found among other things. that the bank
was carrying the paper OF concerns IN "niSn T ivs
president, +. II. Griffin. was interested 10 tne eS
tent OF $i6Ocn That fact might not have been con
sldered in way fatal 10 the soVemoy o o1 'n saa
The city National Bank according TO statenent
made this morning had loaned d be eStent
Of $4,000 The failure OF the City Nati0nai under
Currency believed represented injudicious loans
taken In connection with the fact that one OF ,.s
Nlarara Bank nearly twice the amount OF the capt.
tai stock OF the latter institution leaving 1t with It's
ent Kilburn that the Niagara Bank should be
The collapse of the Niagara Bank will have a
serious effect uyoa the efforts of the city National
Bank to bring 'oout rediscountins o, s une tbe To
feyerish pulse Of the local financial world has set
tied back to lis 81 % 10 Compe by
which It's depostoTs can he pn1o 0y 'he oa'S anu
The National City Bank is the local correspond
ent Of the Niagara Bank. OF Buffalo. The Buffalo
institution Is said to have small credit balance
here
Mcintyre & Marshall. Stock Exchange brokers OF
this city have issued this notice: Our Buffalo cor
resnondent states that 1t is confidently believed
there that there will be no more oanK aaiIurs R t
hnanca dI troupieS Plated ID 10 the city National which
failed Monday and 1t Is thought tnat the & Ia,1er
trouble precipitated the suspension OF 'he Siasaa
"a nix this morning"