Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1905-03-07
DOORS CLOSE.
Bank Of Yarmouth Has
Financial Difficulties.
Bank Officials Issue Notice Of
Supending Payment
And w. E. Redding and Sons Immedi
ateIy Assign to Creditors.

| Yarmouth. y. =. March 1.-THE Bank
On Yarmouth closed its doors. today
ne filln of ". H. Reddimg & Sons
boot and shoe dealers here. has made
an assignment for the benefit of cred
| itorS
| The Bunk of Yarmouth has been in
| business many years. Recently neso-
| tlations were begun whereby it was
| proposed to have the Union Bank of
Halifax purchase the institution and
maintain it as Il branch. Manager
Thorn and Inspector McRae spent sew
eral days. last week. examining the
BOOKS of the local institution. Samuel
y. CraW ell. a director of the yarmouth
Tank had been active in the negOtia-
tons. On Saturday. Senator John
Levitt. president, came from ottawa
To attend the meeting of the Yarmouth
directors. All the officials concerned
decline to make any statement as to
the progress of the negotiations.
To-day, the Yarmouth Bank officials
posted notice to the effect that il had
decided to suspend payment. Almost
simultaneously the failure of w. II.
l;eddng d Sons WAS announced. The
firm made an assignment to the official
assignee. It is understood that the firm
is largely indebted to the Bank of Var
mouth. The bank had correspondents
in Boston Halifax, st. John and other
cities. In Boston the correspondent
Was the Eliot National Bank.
The capital of the Bank of Yarmouth
is $;d0.0O0. At the last statement issued
ON Dec. 81. 1904. the deposits amounted
to nearly Si00,G00 The reserve fund
was $4,000 and the profit and loss ac-
count $1,000. The president Of the con-
Germ. Senator Levitt. is one of the
Wealthcst meG of Yarmouth.
Late this afternoon it WAS announced
that Reddins & Sons owed the bank
an amount in the vicinity of $50. 00t. 1t
is understood that the firms liabilities
nay exceed 100000
The Eank of Yarmouth was estab-
lishcd in 1864. The holders of the
banks bills are protected as are also
the depositors. The shareholders are
liable under the law for twice the
amount of the capital stock. The loan
account Of the bank is about $500. 900
The banks suspension and the
reddinS difficulties have led to the
resignation of William Perry. teller OF
the bank. ReddinC's liabilities to the
bank ana to others are heavy. but it
is quite probable that outside accounts
due the firm from Winnipeg to Cape
Breton will lessen the amount. a num-
no, of local merchants will suffer by
The assignment. the firm having extern
Sive dealings with growers and others
who filled orders presented to them by
the employees.
should the factory close over 80 per
sons would he thrown out Of employ
mcnt. and il would be Il severe blow to
Yarmouth. Work is going on. today,
but how long it will continue nobody
can say.
Acting upon instructions from the
Canadian Bankers Association the
,nanagerS here of the bank of Nova
Scotia. Bank OF Montreal and Union
Rank of Halifax have taken over the
affairs Of the Bank of Yarmouth. pend
Ing the arrival here of w. T.. Stewart.
General manager of the Bank nf New
Brunswick. who has been appointed
curator.
The last GnHrcial Statement Oc the
bank follows.
Capital $3OO,0o6: fully paid reserve,
5000: profit and loss. 1904, net loss
Sl61301. Total assets. S,2SG1c.S2
Amount under discount. 62iSii.S3
Fast due bills. s15.1?1.lo. Investments,
s::",6lo. Bank premises. $4,000. Specie
and dominion notes. SO ms IS. Interest
hearing. SCI .S11.30. Interest accrued.
$3.50 Circulation. $5S.69l..i. Deposits ut
nj no, h
?Gi.11. Due from other banks 81, 334.3S.
MI notes of the bank in circulation will
be redeemed at their face value.