The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1907-11-14
Continued from Page One)

of assets is a loan of $1,7OO,OOO to the
American Ice Co., Charles w. Morse S |
concern. This loan is secured by all
the stock of the Philadelphia Ice Co."
and is declared to be good, if only al
little time is allowed for the worhngI
out of the stock
Mr. Barney apparently had been
making strenuous efforts to take upI
his personal Indebtedness to the knlc-
kerbocker. There was filed in the rel
corders office yesterday the record oil
the transfer Of some unimproved prop
erty on Seventh avenue, just north OIL
10th street, to James r. Hay, Mr.. Bar
ney's secretary. Mr.. Barney retrans-
ferred the property to Charles L. Hcu'
ton, and Mr. Horton passed it along to
the Knickerbocker Trust Co., subject
to a mortgage of 100000. This prop
erty, which extends through to Broad
way, is assessed at $4S5,OOO and would
bring in the market between 100000
and $4,000 Mr. Barney's equity in.
the property was at least 100000
"A director Of the company, speak
ing of the deciding over of this proper
ty to the Knickerbocker, said it was
to take up a loan of 100000. This
loan was not to Mr.. Barney direct,
but he was behind it. Some of the di-
rectors, when they knew that the
crash was coming, went to him and
told him they thought he ought to
take up that loan; that he was sure to
be criticized if he didn't. Mr.. Barney,
it was said, accepted their advice and
the transfer of the property followed.
According to reports in Wall Street,
this loan was to a Stock Exchange
house in which Mr.. Barney is a spe-
cial partner. The request on the part
Of his friends that he take it up was
made prior to the meeting at Sherry's
on Monday night, when the trust COM
pany directors made their effort to get
backing for the company.
Directors who talked of this loan
yesterday said it was the only one
that Mr.. Barney had with the trust
company. They would not say how
ever, that the company wasn't inter-
ested in loans to the so-called Barney
companies
The unfortunate Knickerbocker
Company which had deposits of $780,
OOO,OO suspended payment shortly aft
er noon October % to end heart
breaking run on the main bank at 66
Broadway, and on its Fifth avenue,
Harlem and Bronx branches The d.
rectors declared that the entire $780,
600 cash reserve had been exhausted
in paying depositOrs and settling with
its clearing agent, the National Bank
of Commerce.
The spectular bank run followed the
announcement that the Knickerbocker
Trust Company had deposed Charles T.
Barney as president and that the Ma
tionaI Bank Of Commerce would no
longer act for it in the New York
cleafing house.
The run on the Fifth avenue bank
exciting and in many respects the
most remarkable in the city's banking.
The Knickerbocker Trust Company has
a marble palace across from the Wal
dorf-Astoria. 1t is perhaps the most
sumptuous banking house in the coun-
try and among its depositors are
scores of wealthy and fashionable per-
sons.
Shortly before II o'clock Vice-Presi-
dent Brown mounted a chair in the
center of the lobby and announced that
Acting Superintendent of Banking
George w. Skinner had found on Sep
TENDER 18th that the company was SOL
vent This announcement had no visI-
bic effect. however.
At 1890 a telephone message came
from the downtown headquarters and
Mr.. Brown again mounted the chair.
Owing to a shortage of ready cash,
the officers of the company have de-
cided to suspend payment until to-
morrow morning, was the despairing
news he shouted.
The announcement was greeted with
bowls and jeers, There were 300 per-
sons in the line, which extended out
to the marble steps on Fifth avenue
There We're piles of gold certificates
still in view in the cages of the pay
ing tellers and the depositors clamored
for that money. Not a check was paid
after the announcement, and the police
under Acting Captain Kelleher, were
finally able to clear the bank.
Duding all the excitement attend
ing the run upon the Knickerbocker
Trust Company Charles Barney, the