Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1903-10-01
WILL NOT OPEN, TODAY.
Packard National Bank Of Greenfield,
Mass, in Financial Trouble.

Greenfield, Mass, Sept. 3O.-It was
announced. tonight, that the Packard
National Bank, one of the best known
institutions of the kind in western
Massachusetts, would not open its
| doors, tomorrow. One of the national
bank commissioners, F. T. Fish Of Yer
genn"s, Vt. it is expected, will assume
charge of the banks affairs. There
have been persistent rumors attacking
the stability of the bank for several
weeks, but these, it is said, have been
made light of by bank officials, the
probability of suspension being stoutly
denied. The first public knowledge of
serious trouble came, today, when rep
resentatives of other banking houses
in the city We're hurriedly summoned to
Il conference. At the conference it was
announced that a draft of the Packard
National Bank drawn on the National
Bank of Redemption, it's Boston CORE
spondent, had, Yesterday been protest
ed by the Boston bank.
Tie representatives at the conference
then made & careful examination of the
loans of the Packard Bank to determine
Whether the assets held for the loan
would justify them in making advances
to save the embarrassed institution.
Their decision was against offering any
help and upon being made known to the
officers of the Packard Bank the latter
communicated with the office of the
comptroller of the currency and decided
to temporarily suspend.
The Packard National Bank has a
capital stock of 100000. and it's liabili-
tics are estimated at 100000. Its en-
barrassment is said by the officials to
be due to the inability to realize
promptly on loans to satisfy the de-
mards of depositors. They declare that
depositors. will not lose anything, the
loss, if any, falling upon the stock
holders.
Local merchants and other business
men who have funds in the bank, it is
said, will be taken care of by other in
situations, hut just what this means is
not explained, as following the confer
ence, today no definite statement Of
any such agreement was given out.
The recent i'll health of William D.
Packard, the president of the bank, and
the fear at that time that his mind was
somewhat affected, is connected with
the trouble of the bank, in the opinion
of rlany. Mr. Packard, not only pres-
dent of the National Bank, but is treas
urer of the Greenfield Savings Institu-
ton, and trustee of many estates. His
maHy duties seemed to weigh heavily
UPON him and eliminated iii peculiar
actions on his part Three weeks ago
Monday he left home suddenly, taking
the express train for Boston, but as he
said, with no definite purpose in view.
He went then to New York, and was in
that city several days before his peo-
pie got any communication with him
and persuaded him to come home. Dur
ing his absence all sorts of rumOrs were
afioat and affected the bank unfavor
ably. Shortly after the bank statement
was issued showing Il very small re-
serve. DGpositors began to withdraw
their deposits, and within the next two
days deposits showed a shrinkage of
between 100000 and $4,000.
The Packard National Bank was es-
tablished by Rufus D. Packard in 1915.
His policy has been to take so far as
possible to local loans. The business
in recent years has consisted of about
500 small accounts of depositors and
borrowers, consisted emery OF FARMERS
scattered all through Franklin county
The loans We're mostly small and not
readily realized upon.
When seen, tonight, Henry D. Pack
ard cashier of the institution, said
Our failure is due to our inability to
realize on our loNs quickly enough to
meet the demantN of our depositors.
Our directors after going over the mat
ter carefully decided that it was best to
suspend. Not one of our depositors will
lose a dollar"