The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-01-12

to Garry Loads Of Bullion Away From
the state Bank, In Grand Street-Ons
Takes Her Waist or and Makes q
Money sack Of the siee,e-Old Men
Kiss Policemens Hands to Get
Through The Cordon-stout Iron Rail-
inS Bent in the Rushes-Only sos 900
Paid out and More Than $500, OOO
Paid In by the Jnafraid-The Ruu
VIII Keep Up To-day. but the With.
drawers Mayn't Put Their Cash Back.
The storm which gathered about the
state Bank in Grand street on Tuesday
afternoon burst with full fury upon that
institution yesterday morning When the
bank threw open its doors at o'clock an
hour earlier than the usual time, more
than thousand excited depositors were
gathered in front of it, and all day long
there was fight to prevent the bank en-
trance from being rushed.
When the bank opened twenty-five police
men were around it ready to deal with
strenuous conditions, but it was not until
three had peen hurt by being squeezed
against the area railing, that the police
got the mob in hand. Sergt. kenney OF
the Delaney street station was so badly
hurt that he had to be relieved from duty
for the day. In the mad rush on the bank
there w6h a narrow escape from more
serious accident. The iron railing against
which the three policemen were squeezed
gave way at one end and the stone CURLING
IN which il was set was warped several
inches out of plumb Had the rail wholly
given way the policemen and thirty or
forty men and women would have been
piled in heap in the area below.
line bank officials had realized what
they had to. face and were PREPARED
for IT, They had drawn 100000 from the
Sub Treasury, SIS 600 OF which was in sill
vpf dollars They had an extra force of
paving telers with stacks OF bags OF silver
piled around them and all payments up
to $500 were made in these ponderols coins.
Above 500 the payments were about Two
thirds in silver and one-third in one dollar
bills
PAYMENTS continued for an hour after
the bank doors we're closed to fresh relays
Of panic-stricken depositors and about
!eS on in sums ranging from s. TO 1900
ysas put out. Something like ton and
half IN silver went over the bank counters
CASH INCOMING AND OUTGOING.
The bank would not let those who with
drew their accounts redeposit them Take
~orr money. go away nd don't come back
cain was what tho institutions line of
action meant translated into words. and 1t
was rgidly adhered to not withaanding the
fearful entreat les of many who. having seen
and touched their savings were content and
wanted TO put them back in the banks
safe keeping.
Meantime the hank was doing roaring
business on the incoming side OF the ao-
count. The first deposit was made by
III fka
In few minutes there came another de-
post of more than 5000. Thus the swell
ing tide Of income kept up until at the close
of business $4,000 had been deposited as
against about $4,000 withdrawn In ad-
dition there came by telephone and letter
Offers Of assistance FROM all told, more than
nifty banks aud individuals III the city
Among the specific offers of cash was one
IT sl000.OCo from the Citizens National !
Rank another of 100000 from Brooklyn !
bank and others by the dozens for any |
amount needed.
But the State Bank needed no help. |
1t sent down its $4,000 yellow-back bills TO !
The Sub-Treusury and brought back in ex-
change bags OF silver by the truckload |
or depositors. The bags were dumped |
nto the steadily grinding hopper in the |
hasenent where the run was being met |
and then ground out into the grists for !
which the bankbooks called
IT'S only question Of physical endur
snce on The part Of our tellers said Manager
Arnold kohn. we did think Of getting a
force from or Brownsville branch and |
keeping mp the payments until q o'clock |
N the evening. But that IS unnecessary.
We will open an hour earlier and keep
open an hour later tomorrow and till
the run ends ] suppose, though. that
THIS rush will keep up into next week, and
It's effects will probably be felt for two or
three weeks. We've had five nuns in all
q 10 |
thoroughly
HOW Such RUNS ARE BRED.
We ha,e pun out no statement Of any
1nd, SAID President Oscar j.. Richard.
our experience Is that ii is worse than Use
loss Tell hese people anything and it only
atorsos their suspicion the more The
only thing that talks TO them is money.
HE most trihing cause is sufficient 10
start q run here, In 1895 a man fell in an
'plleptlc N on the front stoop. or course
crowd gathered. The sight Of the crowd
sprung the idea in somebody's mind that the
bank was in trouble. and in no time we had
nln on our hands. II kept up for days
In 1893 a Niddish newspaper that cir
cuates here printed one day the headline:
'Neh S'aic Bank Fails. and below it an
9ooomt Of the failure 81 the Nebraska
state Bank Now. in Yiddish there is a
word 7fb5Ir. II means poor. The readers
NJ he idL'sh newspaper interpreted 'Neb
IN the headline as an ahbreviation Of nob-
h7. and they read H. Poor State Bank
rails. ] nat was enough. They came
down on VS. like delu,e and we had a run
INIT lasted two weeks
On another occason a boy in front of
me tank shouted Fire A crowd gathered
and ae''n we h7d nun on our hands
30 Ia this case we have issued no state
mert and will issue none. because II Is OF
no earthly use. The only notice we have
put out Is the one YOU see in the window
Wh.ch simply announces that until further
hotio9 the bank will open at o'clock in /
me morning instead of 10, and will close at
I'VE IN the afternoon instead OF 4. As long
AZ herush continues we will continue pay
lhg accounts in full, and will make no par
tlal payments. MithdTawers must take all
ar nothing Our payments in silver serve
70 gently those who withdraw accounts
hose who come 10 open accounts hereafter
ana oi'er 10 deposit silver will be identified
as among these stampeders and we win
..'erci-e our discretion then as to whether ,
Wr{ are desirable accounts to reopen.
hos who withdraw accounts now also
III not get any interes. on their money
We % NOT agree 20 pay interest on ac-
.ollis. but - matter OF fact We do pay
:, = per ceut In a rush like this 1t is out Of
.i' quest lpg TO attemDt to compute interest,
',hn We do not pay it. All those presenting
accounts IN this run are the depositofc OF
sANngs and they lose the interest"
w TINS basis, most OF the accounts hav-
.'s six months interest due on them the
ank saves by Yesterday stampede about