Tonopah daily bonanza. [volume] (Tonopah, Nev.) 1906-1929, 1908-02-21
.SCRAPPY SCENES
AT THE Meeting
Continued from Page L.

Then we will have a bank with
out any capital stock or any capt.
tal?"
I'VE agree to pay 10 per cent pos
itively, and after that we have the
same chances for business as has any
other bank"
Questioned about the report of the
Grand Jury on the local branch, Mr..
Shaw said that Mr.. Plat was to have
taken up that matter, but in reading
the report, they found many things
which have yet to be investigated
some things which were new to them
and other things which were not
strictly based on facts. Loans were
made on the poorest kind of securi-
ties, and there were overdrafts with
out reason. But it must be remem-
bered, he said, the rush in which the
business of this section of the State
had been carried on.
The Tonopah branch is in the
worst condition of all the agencies, '
resumed Mr.. Shaw. The most of
the money loaned here came from
the Carson bank. money belonging
to the farmers. 1t could be loaned
out here at better interest | do not
say that the blame for the condition
of the local branch is due to the 10.
cal management. Regarding the
matter of giving 500 shares of stock
to secure the deposit of one party,
| can say that the matter was purely
of local interest, and that it has beer
equitably adjusted"
What is the amount of Macken-
zie's deposits?" was asked.
Il promised not to go into ths
private business of the depositors,
but l will answer that question.
When the banks closed, Mr.. Macken-
zie had on deposit 100000; but by
trading off accounts, he has reduced
that to less than 100000 The Sc
curities that he got were those of
the Keane Wonder. 1t has been said
that these securities alone would pull
out the bank, but this is ridiculous,
as all that could be got from the
mine was the amount loaned on the
stock"
Mr.. Shaw was asked If Mr.. Davis
was to continue as cashier, but said
that he could not answer that ques-
ton for the reason that when the di-
rectors handed over their stock they
handed their designations with it,
and it was up to Mr. Mackenzie as
to who their successors should be
and who the officers of the bank
should be- Regarding the RESPONSE
bility of the branches, Mr.. Shaw
said that he presumed that the local
arrangements had to take their or
ders from the home institution. In
reply to question. he said that trad
ing in accounts would have to go on
If the banks were to remain open.
Another depositor wanted to know
if the securities of the bank would
not be as carefully nursed by a re-
ceiver as by Mr. Mackenzie and his
associates, for the reason that the
receiver would want to hang on to
his job as long as Mackenzie would,
and therefore he would not be liable
to sacrifice the securities.
Il have no disposition to argue
that point" returned Mr.. Shaw. II
am here in the same capacity as the
rest of you. | am here as a deposi-
tor, to determine what is the best
course to pursue. 1t is up to you
whether or not you will accept this
proposition. If you think that Mac
kenzie cannot get board of direc-
tors in whom you can place reliance.
that is another question. The infer
ence is that Mackenzie might turn
pirate. But he will not do that. He
will have associated with him some
of the biggest men in the country.
He wants to go into the banking
business, and is therefore bound to
make success of the reorganiza-
ton
IF the John S. Cook bank should
go fiewey," said a miner. the where
do we get OFF,"
That sounds like corker at first
blush replied Shaw, but the fact
of the matter is that it will make no
difference what may happen to the
bank. The securities are put in
escrow, and they will be there until
withdrawn"
IF depositor. or a number of
depositors, should put up securities
amounting to $4,000" said Key
Pittman, could they get in on equal
terms with Mackenzie?"
ITO be sure they could"
IF they were to put up securities
amounting to s15O.OOO. could they