The Montgomery advertiser., 1905-06-22
CAUSED BIG FAILURE
| GAsKILL'S FORGERIEs COMPEL CLOSING OF DOORS.
City Trust and Safe Deposit Company oi
 Philadelphia is in the Hands of State B0nk Exam
 f0er

| Philadelphia, June 2f-The City Trust and Safe Deposit Company. for years | rated among the most reliable financial | institutions in the community. today closed It's doors. and Albert L.. Tabor a State bank examiner, was appointed l liquidate and J. Hampton Moore. its President, will probably be appointed permanent receiver. It Is the belief of the Board of Directors as well as Receiver Tabor that all depositors will | be paid in full. This, however, will be | determined by the permanent receiver It is believed new company will be organzed.
 The failure of the company was the direct issue of the forgeries of the late Benjamin H. Gaskill, the banker who died a month ago and who it was learn ed yesterday. had raised many certifi- cates of stock from one to 100 shares and borrowed money on them. In this connection President Moore said: Be ginning in 1898, this company loaned to B. II. Gaskill & Co, upon most excel lent securities, until the aggregate of the loan reached s155.000; of this amount $70,000 was paid after MT Cas- kills death. That left balance due the company of sS5.000. for which 1t was believed the collateral securities. amounting to value to s127,000. were
 
 company several years ago, were found upon examination yesterday to have been forged. Their actual value was a little over $50,000, making the loss to the company nearly $80.000.'
 This loss added to those sustained during the brief tenure of office of President A. E. Appleyard. who was compelled to resign six months ago. and the fact that the company had certain liabilities upon its surety bonds. in- duced the directors to discontinue the acceptance of deposits and to apply for a receiver.
 Mir. Tabor took charge of the institu- tion's books today. He was unable to make an estimate of the concerns as- sets or liabilities, nor could he say when the depositors would be likely to receive any part of their deposits.
 The last statement issued, May 2s of this year showed the total resources to be $2,236.691, and of the total liabili- ties to be $1,337,060. but the assets in- cluded the $S0.000 of fictitious Gaskill securities and some Appleyard paper the amount of which could not be learned. The call loans upon collateral amounted to $7S6,556 and the deposits subject to check were aggregated to $1.3s5,S14.
 President Moore was formerly city treasurer of Philadelphia and was later chief of the Bureau of Manufactures in the Department of Commerce and Labor at Washington. A few weeks ago he resigned Chat position to take the Presidency of the City Trust and Safe Deposit Company. He had been ar- ranging a plan to disassociate the surety business from the trust com pany, as he regarded the former as toe hazardous. It was proposed to reduce the capital of the company and to or ganize a separate company to conduct the surety business.
 The discovery of the Gaskill forgeries rendered the project impossible. The surety business of the company at one time amounted to $6o,000,000 in all parts of the country, but after Mir. Moore took charge he permitted nc sureties outside of this State.
 The actual value of the Gaskill sure- ties now in the possession of the com pany Is but $1.775.