Bryan morning eagle. [volume] (Bryan, Tex.) 1898-1909, 1905-12-19
THREE HAVE FAILED.
Two Chicago Banks and Trnsl
Company 10 Under.
RIDGELEYIS on HAND
Clearing House Association win See
TO ID That the Deposirors Are
Reimbursed for Every
Cent Deposited.

Chicago. Dec is.-The failure OF the
chicago National bank the Home saw
ings bank. and the Equitable Trust
company. all Of Chicago. was announc-
ed at q: 20 o'clock Monday morning By
q representative OF the Chicago Clear
ing House association after session
lasting eighteen hours James u. Ho-
gan. president Of the First National
bank. as head OF the Clearing House
committee % the Chicago Associated
banks. gave forth the statement The
assets 81 these institutions. It was as
serted. were Involved In coal and rail-
way properties Of John II. walsh. pres
ident Of the Chicago National bank
John n. Walsh. president g. the insti-
tutions which have been declared In
solvent. was not at the meeting
John r. walsh was very busy NJ hl'
residence Monday morning and de-
clined 10 be disturbed when called up
over the telephone His daughter. how
ever. quoted MIR Walsh as stating that
all infirmatiOn concerning the failures.
for the present at least. would be given
out by the Clearing House association.
The Chicago National bank was or
ganIzed IN November. 1891 with an au-
thorized capital stock Of $500. 900. in
creased TO 100000 In 1857 and to-
100000 IN 1901 IT. resources. ac-
cording 10 the latest report made to-
the comptroller 81 tine CUR ncy were
s2l.oOO.OOO. OF which nearly Sliooo oo0
was loans and discounts. 81 600 900
cash on hand Liahi'iiie, il.iut. near
~ $4,000 O0O In individual deposits and
81 200. 900 due 20 other b1urs
The Home savings hank UuT orr1n-
ized originally In 1857 With a. crrI'I'-
izntion OF 100000 4 late statement Uf|
resources shows an aggregate ot So
232.27i.-o which Ss.1s2.0o0 arr port-
ed ~ being held In municipal ulHIy
End other bonds. Slvius. deposits lg-
gregan ss.sS265s
The Equitable Trust company was
chartered by he state OF Illinois Aug
20. 1857. to act as executor. admiuistra-
tor trustee. guardian. assignee or re-
ceiver 10 receive and execute every
character OF estate The capital stock
Is $500. 900 It's resources are Sl.si2,3sl
Liabilities include Se.7O7563 deposits.
trusts Sl5t.323. certificates OF deposits
s49l.57i through varlou trusts.
The following statement concerning
the failure OF the Chicago National
bank Home Savings bank. and Equiia-
BILE Trust company has BE- "a given out
By Comptroller Of the Currency VIII (
liam VI Ridgcley:
"The action Of the Clearing House
banks in coming TO the aid OF the chi |
cago National bank Home Savings |
bank and Equitable Trlst company. re-
lieved a most critical situation. which.
n IL had not been taken promptly IN /
hand might have led % very serious
not only IN Chicago but
elsewhere
"The act Of the Clearing House
makes Il absolutely certain that all
creditors viii receive their money inn
medlately and should thus relieve any
on the part OF the pub
] In regard TO financial troubles In
Chicago The critical situation IN
which these three concerns have been
placed has been due 10 large loans
made to railroad. coal mining and 9TH
or enterprise owned and controlled by
John II. walsh. This again empha-
sizes the danger OF managing officers OF
banks being Interested IN outside In
stitutions requiring large amounts Of
money. The comptroller's office for
some time has been criticising the
methods OF the Chicago National bank
md calling on Officers and directors to
reduce the amount OF these loans and
investments IN bonds OF Mr. walsh's
corporations In spite OF repeated
promises that this would be done, these
items have been continued In the bank.
and In order to prevent encroachments
Il was necessary for the comptroller q
take radical action The comptroller
office for some time has been endeayor-
ing TO make an examination OF the Chi
cagu National bank simultaneously
with examination OF state institutions
by state bank examiners. but has not
been able 20 bring this about until
few days ago The result OF these ex-
aminatlons revealed such condition
NnAN W UfNAiuf NFNfNENAN W AAAf
mediate action. The comptroller tele-
phoned from Washington instructing
Examiner Bosworth TO bring the mat
ter at once TO the attention OF the
Clearing House committee and left for
Chicago on the FIRST train TO be on
hand personally 10 take whatever ac-
ton was necessary. on the arrival OF
the comptroller IN Chicago confer
ence was Immediately held with the
state authorities and the Clearing
House contents. which continued from
10 o'clock sunday untilj o'clock Mon
day IN addition 10 the Clearing House
committee. representatives ~ all Clear
ing House banks We're called Into con-
ference about o'clock Sunday even
(. The comptrollos feels great credit
Is due not only TO the Clearing House
committee but all other Clearing House
banks for tho prompt and vigorous ace
ton and broad minded spirit hown
In meeting the emergency