Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-11-25
DOLLAR FOR DOLLAR
Solvency of the Peoples Saw
ingS Bank Announced.
STATEMENT BY CONTROLLER
Payment in Full to More Than Three
Thousand Depositors.
WILL NOT RESUME BUSINESS
President Wilton J. Lambert Explains
the Situation-Money to Be
Discussed December 3.
Statement BY CONTROLLER
WILL NOT RESUME BUSINESS

Discussed December 3.
| Paying dollar for dollar on every ac-
| count on it's books, the Peoples Savings
Bank, which was closed about month ago
| by order of the controller of the currency,
| will terminate it's affairs within the next
| few days. Depositors will be paid in full,
beginning Monday, December 8. Mr.. ]. W..
| Schofield, the receiver, having been author
| lied to issue checks, which will be paid by
| the Union Savings Bank, or accepted for
deposit in that institution. Altogether the
! final chapter in the business life of the
| Peoples Savingss Bank will involve the re-
payment of about $11S,OOO to 3,14O former
depositors of the bank Because of the
| disturbance to the feeling of confidence re-
! sulting from the doors of the institution be-
| ing closed, 1t is stated that the Peoples
| Savings Bank will not resume business.
| At the instance of the controller of the
currency, Mr.. Wilton ]. Lambert, president
| of the Peoples Savings Bank, called a
meeting of the board of directors late yes
| terday afternoon and made formal an
nouncement that he had been informed by
the controller that the bank Is now solvent
and that the receiver has on hand suff-
cient funds to pay the depostors 100 cents
on the dollar. The controller desired the
directors to authorize the receiver to pay
the depositors through the Union Savings
Bank, and the directors and other stock
holders to take over the balance of the as
sets in lieu of their own holdings. That
plan of action was adopted. 1t is under
stood that the Peoples Savings Bank is in
position to pay all its obligations at once
but the fact that the Union Savings Bank
will move into new quarters during the en-
suing week, and, therefore, be unable to
handle expeditiously rush of business
such as Is anticipated, has been a deter
mining factor In postponing the date Of set
Element of the Peoples Banks affairs until
week from tomorrow. :.
Statement by Controller
A formal statement covering the present
condition of the Peoples Savings Bank
and giving instructions to depositors and
creditors regarding the method of payment
of their claims was issued by Controller
Ridgely yesterday afternoon, as follows:
The directors Of the PEOPLES Savings
Bank, which was closed by the controller
OF the currency the oath of last month
have effected an arrangement by which the
receiver OF the bank, ]. w. Schofield has
been placed in possession of sufficient funds
with the cash on hand, to pay all liabilities
to depositors and other creditors in full
Depositors will be paid by the receivers
check On the Union Savings Bank, in
which the necessary funds have been placed
to his credit.
"All the creditors of the bank who have
proven their claims can now obtain the
receivers certificate by applying at the
bank Creditors pass books and home or
pocket savings banks in possession of de-
positors must be surrendered to the re-
ceiver when the certificate is delivered
AT meeting of the stockholders ]. Cas-
tie Rtdgeway was selected as agent to
whom the receiver was authorized to turn
over all remaining assets for liquidation
for the benefit of the stockholders and the
final winding up of the banks affairs"
President Lambert Explains.
In connection with the closing of the af-
fairs of the bank President Wilton j. Lam
bert gave resume of the recent history |
OF the institution, In the course of which |
he said that at the time Of the suspen-
sion Of business, October %, he stated
that within sixty days the affairs of the |
bank would be In such shape that 100 |
cents on the dollar would be paid to de- |
tanned in practically thirty days to be |
ample proof of the accuracy of his pre-
diction.
Naturally the work of getting all de-
tails into shape has not been an easy
task" Mr. Lambert explained. land has |
only been accomplished by the able as
and members Of the board Of directors and
the controllers office in particular has
given in furtherance of that end.
-, At tod the time of the reorganization Of
made president and Mr. GUIDE was elected |
vice president, the institution had upon
Its deposits aggregated about $4,000.
About 80 per cent Of cash was kept on
hand, and the institution held as part of |
its assets the obligation of the compa-
MES, which were afterward represented by
the National Investment Company's OBJ
legation to the extent of about $4,000. |
Those nos holding stock were satisfied that the
up of a good banking institution, and they
Immediately began to vigorously press for
the collection Of this large obligation. To
whereby Mr.. Masters, who was much in
terested in this asset, agreed to surren-
der $4,000 Of his stock to be applied there
on, and curtails in cash were made at an
average rate Of $500 per month up to last |
month which would have made the real
obligation about $500. as the .stockhold-
ers passed a resolution reducing the CAPT.
tai stock from 100000 to $4,000 to pro-
vide for the stock surrendered by Mr.. |
Masters.
Increase In Depositors.
1.-THE other securities of the institution
have shown themselves to be valuable as
sets. and in the interim between February |
and October o. the number of deposits
was increased to over 300. the total de-
posits amounting to about $11S,O09, and the |
cash on hand was very nearly so per cent
of the deposits, showing very marked
increase.
"I do not think that there could have /
been a. run made on the bank by the de-
pOSitOrS that could not have been fully
met by the bank. as the directors would |
have let their money stay In the bank and
would have made up any deficiency that |
was needed. However much may have