Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1905-07-20
II Is the Direct Result Of the Clos.
Ing Of the First National Bank
OF Topeka.
HELD TOO MUCH DEVllN PAPER
Was Organized 10 1000 Was Closed
Under distractions from the Comp.
trolIcr eI the Currency.

| '''N'o IVY jUlN w Ino lllN Ma
'lonll bank failed to open lts doors
today Tho bank held paper Of c. ].
Dcvln of Topeka TO the amount Of up.
wards of 100000, ami the failure IN tho
dlrcc, rcul, OF the closing Of the First
national bank Of Topeka, of witch MIR.
Devlln was the principal stakeholder,
some time ago the comptroller of the
currency 0t Washington instructed tho
oiic'rN of The 'lty National bank TO
| repair I,6 capital This was done by
| borrowing from a locn capitalist FOL.
| loving the failure Of the First National
| BANK Of Topeka the Kansas city capl.
'hlist became insiFcnl upon repay.
mcnt of his loan and ths demand
caused the officers OF the Clty National
bonk TO decide upon closing their IN.
Witlllon, The other bank IN Kansas
| city which was caught IN tho failure Of
The First National bank Of Topeka was
the American National bank, which Ia
said To hold upwards of 100000 Doylm
paper II was stated authorltatlyoly To.
day TO the Associated Press by u lead.
| ing banker that the other kansas CITY
| institutions would not permit this bank
| 10 mll
There WAS no appearance of n run
| ON other Kansas city banks at the op.
| cnlng hour today
| The city National bank was organ
| ICED m 1900 and N one Of the youngest
| OF the national banking institutions IN
tho IMN ItQ guHiiul a Ann
| has deposits ~ tlif6,6N, ltp officers
| nroi Edward Crcbo, president James
| q, Srcan, cashier John Moore, vice
| president, Charles A. LOOMS, second
| vice president
The bnnk was closed by u, r.. Amcs,
bank examiner, under instructions from
| the comptroller of the currency Tho
| comptroller yesterday, I, IL said, IN
| formed the officers ~ the bank that
| they must take ny 100000 IN bad paper
| az once or they would not bc permitted
| ia open today Tho bank was exam.
| ined lust night by a committee ~ local
bankers who reported NJ n meeting
early today tina, tho afIoire of the bank
~oro IN such shape that they did not
| feel justified IN extending assistance,
! Though the National city bank was not
| n member ~ the local clearing house
association the nssocia ton, n was stat
ca 10y one OF its officers today would
have extended aid had they not found
80 much bad paper,
Although the holding ~ noylin paper
upon no immediate roa lisation could BE-
made was the prime cause of the fan.
urc, II " stated that the general knowl-
edge tina, the bank held other bad
paper ana was IN a weakened condition,
had led TO gradual withdrawal Of
deposits, A. no time had a run OF any
big proportions been on, but, II " stat
cd, withdrawal had been made quiet
~ for several months, and that With
IN 60 days s600,0O0 had been taken out
Tho majority OF the hanks deposit.
ora are persons IN medium circum-
stances two.thrds Of whom i've out
tide Kansas CITY,
There was no excitement a, the doors
Of the bank when the close notice WAS
posted today, less than u dozen de-
posl,ors appearing TO Withdraw 'hclr
money
From another source II was asserted
tina, when the city National bank was
oSpcctcd 10 repair us capital several
months ago the needed FUNDS woro
borrowed not from n local capitalist,
I'm, from certain New York banks, but
what institutions II was not disclosed,
Exmainor Amcs said today that II
would be impossible for him To tax
nj this time either regarding This
statement or other affairs Of the bank,
| The bank officials likewise declined TO
Issue n statement now,
The GUY National bank has had y
varied experience, IN ne nNo yours
existence IL has had four sets OF Of
hcors and upou numerous OCCASIONS the
comptroller Of the currency has called
upon Nv officers 90 repair IT. capital or
better conform IN other ways with the
banking laws II WnH organized In 1900
with "A capital OF $4,000 Last wine
Tor tho capital was reduced TO $500 900
Later the capital was Increased 10 $780,.
900, charging on AL their surplus and
$4,000 OF their original capital II now
develops that this did not take out all
the bud paper
Later Edward Crobo, president OF tho
failed bank, said
"Our bank had a largo amount Of q,
j. Doylin company's paper This wax
uncertain value, and the ohDayc To
realize on II seemed 40 remote that we
d, emod II better 10 close the bank
and lIquidpte lte accounts our de.
posltors were mostly IN country towns,
We did not carry much Kansas city
money can give no figures now OF
the banks condition
Edward Crobo who " n railroad con.
unctor, IN also president Of the citizens
Bank OF Eureka, knq,, ana the First
National bank of Toronto k0s,
BANKS Last REPORT
Washington july 90 THE acting
comptroller Of the currency IN u state,
nenl issued today regarding the clos
ing OF the Clty Nallonal bank ~ Kun.
mas city says that no loans exceeding
the liml, Of 10 per cent Of the banks
capital are shown By tho list report
of tho condition ~ the bank az the
olosc Of business on May co.