The Washington herald., 1907-10-23
MOYEFORARECEIVER
Unless Aid Is Given Trust
Company State Will Act.
SLIGHT CHANCE HELD OUT
Acting superintendent of Banking
COBferS with Attorney General on
Knickerbocker SuspensiOn-If the
Doors Are Not ReOpened This
Morning state VIII Take Charge.

New York, Oct 22-Acting superintend-
ent Of the State banking department
gave out the following statement at
o'clock tonight:
This afternoon about 4 O'Clock. hav-
ing received no positive assurance Of
help for the KnickerboclIer Trust Com
pany. 1 conferred with the Attorney Cen
eral I told him that while it's affairs were
not as hopeless, they were yet in so crit
icaI Il condition that thought he should
be prepared to act at any time At about
$50 I again communicated with him. Civ
ing as complete a statement OF facts as
was possible over the telephone. I have
also had a written statement mailed to
him from the main Office of the State
Banking Department In Albany
THE Knickerbocker Trust Company is
not without hope that 1t may still receive
adequate aid from financial Institutions.
If it does. II will open its doors as usua:
If it does not. it win not open its doors
in the morning. and l. Of course. shall
act under the advice of the attorney gen
eraI Of the State, who is made by law
the legal adviser Of the banking depart
ment."
Small Chance for Help.
While no one at the office Of the State
superintendent of banks would say so
frankly, it was admitted that the chances
Of substantial aid Tor the Knickerbocker
Trust Company were very slight indeed.
It was intimated that In such crisis as
the present charity begins at home and
no bank would be willing 10 extend aid
when it might need all its resources at
any moment At the same time II was
asserted that the KnickerbockeT Trust
Company would ultimately be found en-
tirely solvent. The appeal TO the AttOr-
ney General means that if aid is not
given the KniCkerbOcker Company al
once. the Attorney General viii apply 10
the courts for "a receiver for the company.
Meanwhile the State superintendent can
only act in an advisory capacity
Examiners Hurry to- New York.
In anticipation Of the extra work which.
in the present condition Of affairs, Is likely
to devolve upon the examining force Of
Ethe State banking department, twelve up
State examiners have reported FOR duty
at the New York office. IT IS understood
that these extra examiners will help 10
carry on the regular work Of the depart
ment during the time that the local eX-
amiugrs are occupied with emergency
matters.
Bank Examiner McClelland. Of Illinois
was at the office of the acting superiu-
tendent to-day keeping an eye on the in
tereSJs OF Illinois Railroad Company.
whose securities are held by the local
banks and trust companies. Under the
act of the State OF Illinois. any trust
company or bank having the securities
of any railroad company incorporated ia
that State must submit 10 examination
by the Illinois Banking Department
NO Fear for state Funds.
State Comptroller Martin II. Glynn.
who. with State Treasurer Hauser, has
been IN New York FOR the past three days
getting in touch with the situation. would
not admit this afternoon that he felt any
fear for the States money in the local
banks. There is something over SO
DlGoo0 Of State money in Sarious institu-
uous. Comptroller Glynn admitted that
considerable sum was on deposit with
/ the kU.ckerbocker Trust Company He
would not state what the amount was.
but declared that it was amply secured
by the S25A.gU Of State bonds which the
Kuickerbocker company has on deposit
( IN the c0WptTolleT'S Office. The loan was
further safeSuarded, the comptroller said.
by a bond o. $4,000 in one Of the strong
est security companies in the country.
The comptroller said that he believed
that the situation would clear before to-
morrow. and that unless something en-
tirely Unforeseen happened it would not
be necessary for the comptroller or State
treasurer to take any hand IN the local
troubles