Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-10-22
ANOTHER BANK FAILS
First National of Allegheny,
Pa, Closes,
RUN BY DEPOSITORS
CLAIM THAT THE CONCERN IS
SOLVENT.
Suspension Decided on in Order to
Realize on the Assets Of
the Bank.
RUN BY DEPOSITORS

Federal National Bank of Pittsburg. TIE
First National Bank of Allegheny failed 10
open it's doors for business today and Its
directors have notified the controller of the
currency that the institution has gone into
voluntary liquidation and requested him TO
take the necessary action in such cases.
For some time the Allegheny Bank has
been connected by rumor with the Federal
National Bank, but it was believed up to
late yesterday that it would weather the
storm. Notwithstanding the heavy run made
on it, brought about by these reports.
The directors, however. at a meeting last
night decided that considering the best in
terests of all concerned, the action noted
above should be taken.
The Pittsburg stock exchange opening
this morning was quiet and trading light.
BY a vote of the exchange it was decided
that for the balance of the week no bank
or trust stocks will be dealt in.
Consequence of Failure at Pittsburg.
The suspension of the Allegheny bank,
which has been the representative of the
Federal National in the clearing house, is
looked upon by bankers generally as an al
most necessary sequence of the failure yes
terdav and believe that no further trouble
Will follow.
All of the outside banks who have been
DONG tnGr clearing tDTOuSn lne eueTdl
National and the First National of Ale
gheny, have made arrangements with other
banks to care for their paper in the future.
AT O'Clock this morning small crowd
of depositors. numbering not more than
twenty-five persons gathered in front OF the
doors of the First National Bank of Allie
gLeny. There appeared to be little excite
ment among the depositors. though several
We're restless and wished TO gain admission
to the bank.
The clerks of the bank were busy on
their books the entire morning. Robert
Lyons, deputy controller of the currency
of Washington, D. c., was in charge of the
bank.
Vice President Stoney's Statement.
At $50 o'clock this morning Vice Presi-
dent r. ]. Stoney, jr., of the First Ma
tional Bank of Allegheny. issued the fol-
lowing statement after meeting of the
officers and directors with the clearing
house committee of the Pittsburg Clearing
House Association, which lasted from s
O'Clock last evening until 800 o. clock this
morning
Allegheny, Pa, October 81, 1903.
At meeting of the board of directors of
the First National Bank of Allegheny, held
this evening, October u. 1903, 1t was re-
solved that, although the bank has ample
assets to pay all of its depositors in fun
and leave a handsome surplus for the
shareholders, yet its supposed connection
with the Federal National Bank of Pitts
burg has created wide diStruSt and caused
a run on this bank to such extent that
we feel 1t to be our duty to place the bank
In voluntary liquidation, and the officers of
the bank and directors have decided to
make application to the controller of the
currency to take necessary steps to accom-
plsh this purpose.
JOHN THOMPSON, President.
The First National Bank of Allegheny
was organized in January, 1864. and has a
capital stock of $500 600, a surplus of S1O0,-
900 and undivided profits of S3i 81 50. The
officers are follows: President, John
Thompson, vice president, r. j. Stoney, jr.;
cashier. Z. R. Kramer; assistant cashier,
John d. Kramer. 1t is of the oldest
banking institutions in Allegheny.
Business Men in Directory.
The directors of the bank are connected
with some of the most important manufac-
turing interests in Allegheny. Many ru-
mOrS during the past few days have con-
nected the bank with the Federal and for
two days people have demanded their de-
posits after learning of the condition of the
Pittsburg institution The clearing house
committee bankers have a very sanguine
opinion of the general situation, but the
two banks so unfortunate at this time were
found TO be beyond the immediate reach of
aid. although both are declared to be SOL
vent and in good condition.
The correspondents OF the bank are IS
follows:
New York, National Park Bank; Philadel-
phia. First National Bank; Chicago. First
Natioaal Bank.
The report of the condition of the First
National Bank of Allegheny at the close
of business September ., 1903, is as fol-
lows:
Resources.
Loans and discounts, S1.2i0 9sOO1: over
drafts, secured and unsecured, S3,O12 90;
United States bonds to secure circulate ton,
L
5000; stocks. securities etc, $50 $50;
banking house. furniture and fixtures, S1I4,-
S62.30; other real estate owned S591272
due from national banks mot reserve
agents.. S9,2t1.T1; due from state banks
and bankers. 81 lJs. 20; due from approved
reserve agents. $50, GIG, -; checks and other
cash Items. SS3i ~; exchanges for clearing
house, ST C263o: notes of other national
nickels and cents. S12S.2l Lawful money
reserve in bank. viz: Specie, $50, $50. 03;
legal tender notes, SAT. 1873; total. S1l3 lib 03.
Redemption fund with United States treas
Urer O. per cent of circulatiOn) 5000; due
from United States treasurer, other than
per cent Of redemption fund, s., $50 Total,
81, 135, ,4I6. ~.
Liabilities
Capital stock paid in. $3.50 600; surplus
fund 100000. undivided profits less ex-
pcnses and taxes paid, $50. .630 so; national
bank notes outstanding, 500 600; individual
QepOSllS SUBJECT 10 CNeSk, Sl,UJG, ,l2S.3S: de-
mand certificates of deposit, SIC 456. 10:
cashiers checks outstanding, S., 205.47 To-
tai, 81 73J 47619.
Dispatch From President Thompson.
The acting controller of the currency last
night received the following telegram from
John Thompson, president of the First Ma
Uonal Bank of Allegheny, Pennsylvania:
"At meeting of the directors of the
bank, held this evening, it was resolved on
account of adverse rumors in connection
with the failure of the Federal National
Bank of Pittsburg and inability to realize
quickly on assets to go into voluntary Hqui-
dation."
The acting controller states, In this con-
nection, that an application to go into
voluntary liquidation cannot be considered
until the bank has been officially examined
and its condition ascertained.