Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1904-07-26
GR|NN[LL BANK
STILL CLOSED
Feared Some Irregularities
Need Attention of Bank
Examiner
STOCKHOLDERS TO MAKE GOOD
Depositors Will Be Protected BY Dou.
BILE Liability On stockhoIders-
speneers Have Property Also to
Make Good DeTcit-DoubIs Drown
ing Removed Cashier and Assistant.
Special to Times-Republican.


Grinnell, July 26.-Since the tragic
double drowning of H. C. Spencer and
son. the doors of the First National
bank Of this city have been closed,
awaiting an examination and reor-
ganization under a new cashier, but it
was learned today that some irregular
tiles. including complicated book en-
tries, had been discovered and the di-
rectors have decided that the only safe
plan would be to await an examination
by a bank examiner. Either Examin-
er Shaw or Examiner Miller Is expect
ed to arrive today.
The doors were still closed today,
with this notice posted:
by an order of the board of di-
rectors this bank will be closed
until the national bank examiner
has made an investigation Of the
banks affairs"
The public is nervous, naturally. and
|all sorts of rumors are rife, but this
much is certain, there will be SER
ious shortage but 1t will not be large
enough to affect depositors. the direc-
tors even hope that what now appears
to be deficit may be explained away
|by the examiner. The national bank
ing law holds all stockholders liable
for an assessment equal to the amount
of their stock besides the loss Of the
stock itself which will amply protect
The First National was capitalized ut
s10o 600. It's surplus was $27.5oo. ana
! las deposits ran about 100000. 4lts
list of officers included ]. p. Lyman.
president: David vanderveer. vice
president; w. c. Spencer, cashier, and
W. C. Statt assistant cashier. Its di-
rectorate was composed Of J. Childs. C.
F.. Childs, H. X. Edison, w. S. Heni-
rixson. j. p Lyman, L. f. Parker, c. II.
Spencer, H. c. Spencer and D. Van
derveer. all of whom were heavy stock
holders in the bank. One-fourth Of the
stock was owned by the Spencers, and
H. G.. Spencer has considerable prop
eTly lIldC Cdil De dppliSu " tAc AQuiu't-
ton of any liability.
1t will be recalled that when Charles
n. Spencer was killed about ten years
ago, there was talk of an alleged de-
felt or unsecured liabilities to the bank
of $4,000 The directors We're made
to believe that this was fully settled.
1t is now claimed in the street that Sc
#curities were substituted and carried
along as assets, and that II. c. Spencer
kept up the interest on them. The
stockholders of the First National
bank most of them are the pioneer
settlers, the people who knew the
Spencers many years ago. The direc-
tors are men of known probity and
character. They are men who will
surrender every dollar they have n
ltors. Whoever suffers they will suffer
the most. Every one of them had the
most absolute confidence in their CASH
Ter.
The other two banks here were in
no way involved as there were no
dependent relations between them at
all, and these banks are both in SUI
perb condition. The people here are
largely too intelligent to get scared
simply because one bank has suffered
Irregularities.
Should the worst develop In the ex-
animation the mystery of the drowning
accident may be explained.