The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-10-31
SAN FRANCISCO
Bank IS CLOSED
California Safe Deposit & Trust
Co. Not Affiliated With
Clearing House.
COMPELLED TO PAY CASH
D. E. WALKER PRESIDENT OF
THE INSTITUTION.
COMPELLED TO PAY CASH


Sacramento. Oct. 30.-At $40 p. m.
y Governor Gillett telegraphed from =
\ Eureka to Private Secretary Cooper :
+ that tomorrow will be declared le- =
= gal holiday by proclaml3ation; /, and that
\ like proclamations will follow each
4 day indefinitely until confidence, IN =
y case II be shaken by the failure OF ?
y the California Safe Deposit & Trust =
\ shall be restored The proclamation 2
4 will be formally issued in the morn
\ ing before banking hours.
<%<%<%%<<<<$~*
San Francisco. Oct. 3o-The California
Safe Deposit & Trust company BANK
closed its doors at 2:30 this afternoon. A
notice posted on the door stating thar
owing TO the fact that the bank was not
a member OF the Clearing House assocfa-
ton and was unable to take advantage OF
clearing house certificates 1t would close
for a few days.
company was regarded as one OF the
strong financial institutions of the city.
Its manager is j. Dalzell Brown and the
president is David F: Walker Inc DanK
! Is understood to be the financial agent on
I, the coast for the Western Pacific railway
now being built
b AS soon as the notice was posted curl
Gus crowd gathered in front OF the BANK
Montgomery streets. The doors were
closed, however. and no one was admit
ted.
Heavy Withdrawals.
The closing of the bank was caused by
heavy Withdrawals OF deposits during tne
past few DAYS. The bank could not pro-
tect itself as did the members or the
Clearing House association and found II
impossible to secure the cash to meet de-
mands made upon IT. 1t Is the opinlon o. o.
local bankers that the California Safe
Deposit & Trust company is solvent and
that the embarrassment Is merely tenn
porary. The news Of the closing OF the
bank was not made public until just De,
fore s o'clock the closing hour, so thai
none of the other banks were affecteo
The banks that are members or the Clear
ing House association are all using clear.
ing house certificates and are paying ou'
only small amounts of cash that are nee
essary to meet payrolls. The heads OF
these banks manifest no alarm over the
situation.
mot being a member of the San Fran
cisco clearing house and not being aoie
10 obtain clearing house certiflcates OF
coin from the east. we deem II our DUTY
TO our depositors 20 SUSPEND temporarily
CSiened) ~ DALZELL BROWN.
Manager.
The suspended bank was placed in a
very peculiar position In its relations with
the other banks in this city and its sus-
nension ia attributed solely 10 that fact
NOT to sny embarrassment or drain upon
its resources. Notwithstanding that there
had been unusually heavy Withdrawal OF
coin by depositOrs during the forenoon oil
today.
Statement of an official.
One of the officials Of the bank SAID:
.'Our bank is all right and this action
Is simply a step taken for the PROTECTOR
Of our depostors. On account or our non
affiliaticn with the Clearing House asso-
citation we have had TO pay out cash OF
all demands because we We're unable te
secure the certificates utilized by the ON.
or banks A distressing feature or tnls
situation was that all Of the other banks
who drew on us were paid in coin Whllt
IN our dealings with them we could Se'
only certificates in return. We have am
ME money on hand TO meet all reason
able demands and we are on firm oasl:
financially. but of course we could no.
meet all of our demands II they were pre-
scented in single day. l wish 10 empha,
size that our closing has not been caused
NV any embarrassment but is simply To-
tha protection OF our depositors. We
have communicated with the bank com
missioner"
June Financial Statement.
The financial statement of the bank IS
sued June 80 last shows its assets and la
bilities as follows:
RESOURCES.
Real estate cVvfvvosv'