The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1905-07-04
BIG Topeka BANK IN
RECEIVERS HANDS
Held Too Much Paper Signed
by c. J. DevIin
WILL PROBABLY PAY OUT
Closing of First National Causes Run
On Other Banks In Which Well
Known Westerner Was
Interested.

Topeka, Kan. July 3.--No definite state
ment was obtainable up to a late hour
today regarding the conditions of the
First National bank controlled by G. j..
Devlin. the big coal mine operator, which
cloused its doors this morning. The insti-
tutions books were locked in the vault
to await the arrival of J. I. Bradley, the
national bank examiner, whom the comp
troller had appointed receiver of the failed
bank and he would only say THE bank s
trouble has not been caused by dishonesty
on the part of any one, but lending too
largely to one borrower. There has been
no stealing"
This borrower, Is. of course. Mr.. Dew
lin, and the bank is said to hold the cap
italist's paper to the amount of $1,000. 600.
Mr.. Devlin, whose sudden illness brought
about the tangle in the big coal mining
and railroad properties valued. 1t is es-
timated. at close to $7.0O0,0O0 Is still under
the care OF physician and no statement
could be secured from him. Att that came
from his home during. the day or could
be secured from other sources was that
the stricken coal operator had turned over
to the bank nearly 100000 in life insurance
and about the same amount In Topeka
real estate. Business associates of Mr..
Devlin gave 1t as their opinion that, If
properly handled, this would allow the
bank to pay out
Holds State Funds.
Elmer Ames, bank examiner for the
northern district of Kansas, who took
charge pending the arrival of Receiver
Bradley, would say nothing that would
throw any light on the situation. Aside
from the temporary furry that the failure
of the First National bank caused upon
the other banks of the city, probably
the most interesting phase of the situa-
tfon was the statement of State Treasurer
Kelley that the bank held $4,000 of the
states funds and the knowledge that Mr..
Devlin was one of Treasurer Kelley s
bondsmen The statement was made that
Treasurer Kelley had exceeded his au-
thority in placing more of the states
money in the bank than the law allowed
but Mr. Kelley declined to discuss the
matter at this time.
Following the announcement OF the
failure a lively run was started on the
Central National bank and before clos
ing time today it was known that some
thing more than 100000 had been with
drawn from this institution The Central
National also held some of Levlins pa
per, but he likewise owns fifteen-twenty-
eighths of the capital stock of $250,000 of
this institution.
Held Little Of the Paper.
1t developed that the Central National
held but little of Devlin's paper and when
its owners displayed 100000 in cash and
made every effort to pay the depositors
as fast as they made demands the excite
ment died down and at closing time only
a few small depositors remained at the
tellers window.
Other runs of a lesser degree were
started on the State Savings bank. the
Bank of Topeka and on the Merchants
National bank. At noon the demand of
none of these banks was great and there
was little excitement during the day.
No Excitement in Kansas City.
Kansas City, July &C. j. Devlin, who
was an extensive Ioai mine operator in
tne west held several interests in Kan
sas City and local banks have some of
'is paper, but there was no excitement
over the failure of his bank at Topeka.
! a, neiief was generally expressed that
WI" good management Of his twenty-six