The Goldfield news. [volume] (Goldfield, Nev.) 1904-1911, 1907-11-02
LOCAL BANKING SITUATION

The =. II Macmillan on
Wednesday morning attached the yye
and ormsby County bank for ss1.0s7.14.
OF this amount sfs.oee was an assigned
claim from George Il. HoIlersn. a mem
Der OF the FIRM. h bank onscisis say
the attachment will not prevent the
bank from reopeninr for business next
Monday morning.
James T. Boyd Of Reno. attorney for
the Nye and Ormsby bank. who arrived
In Gold6eid Thursday says that Presi-
dent Frank Golden has raised sunicient
funds to place the institution on an alb
solutely sound basis and that the re-
opening awaits only the adjustment of
counts and the preparation Of state
ments He regretted the attachment
proceedings and expressed the opinion
that the bank would be open now but
for that unexpected action.
The Nye and Ormsby bank can pay
s1.s2 for every dollar It owes. disre-
garding shareholders" said Mr.. Boyd.
Protecting its shareholders. IL can
pay s1.ls. The bank will reopen and IL
will do so without selling or hypothecat-
ing any of It's securities. II has ample
securities In mining stocks to have
bridged owe all difficulties before now
had Il thrown them on the market. but
on account of the disastrous results
which must surely have followed. no
such action was taken. The San Fran
cisco difficulties will not affect the Nye
and ormsby ban in the least. All MT
Golden's transactions there have been
completed and the bank now stands en-
tireiy on its own resources. Every de-
position has been given positive assur-
ance that he will he taken care of and
there r. no fear of a run when the doors
are open. I cannot give a definite prom
Use as to the date OF opening. but 1t will
undoubtedly be within a week"
Thomas @. Lockhart. who Is the
heaviest depositor in the Nye and Orms-
by bank Is confident of the banks abii-
ity to pay all II owes. Mr.. Lockhart
has Just returned from Reno. where he
had a long conference with President
Golden Of the Nye and Ormsby banks.
He expressed himself as follows:
The Nye and Orsby bank will be
open for business next Tuesday. but II
will be necessary for the heavy stock
holders to agree not to withdraw n Of
their deposits until the crisis II passed.
and that will probably be shortly after
the bank reopens. ALI depositors must
realize that a bank does not carry
enough cash In it's vaults to pay all de-
positors on demand. when the demands
all come at once. This Is the time for
the substantial business men to keep a
I stir upper lip and not get ratified. When
IL is impossible to ship gold bearing ore
and get a settlement within a reason
able time from the smelters. how can a
bank pay its depositors in full. in a day?
The small depositors. orphans and
widows should be allowed to withdraw
their money as they probably need IT.
but ] believe that when they know they
can have 1t the majority of them will
come to the conclusion that the money
is safer in the bank than In their
homes.
What have said about the wye and
Ormsby bank. also applies to the State
Bank and Trust company"
w. T. Virgin. cashier of the Goldfeid
branch of the Nye and Ormsby bank re-
turned from San Francisco Thursday
afternoon. Mr.. Virgin has been on the
coast sizing up the situation and con-
ferring with the moneyed men.
"Goldfeid Is in excellent condition. ]
look for a rapid cover from the pres
emf financial stringency. so far as this
city Is concerned at least. The camp Is
producing gold that counts and the pres
ent depression. absolutely cannot be but
temporary. locally. Every city in the
United States is suffering from a inan-
cial scare and GoIdfeid is included. We
are a little better situated. however, as
the banks here are more careful in the
matter Of their loans"
Mr.. Virgin would not say just when
the Nye and Ormsby bank would re-
open but expressed the conviction that
1t would be in a few days.