New-York tribune., 1908-04-01
HOPE
RESUMPTION FEASIBLE.
Borough Banks Reopening to Re-
lease Trust Company's Deposit.

Prospects for reopening the International
Trust Company, of Brooklyn, and the Brooklyn
Bank appear brighter than they have since the
two institutions closed their doors last Novem
ber The reopening of the Borough Bank of
Brooklyn on April IA will. in the opinion Of many
of the depositors of the two institutions, mate
rally affect the situation. and has alreduy
tinged 1t with roseate hue.
The International Trust Company has on de-
posit with the Borough Bank not less than
SJ64,514 The reopening of the Borough Bank
is assurance that the trust company VIII receive
it's deposit from the bank in full, which VIII be
of material assistance to 1t in any plan for re-
sumption payment of depositors
The Brooklyn Bank the Borough Bank
approximately $4,000, and the International
Trust Company owes the Brooklyn Bank. ac-
cordng to Charles NJ. Higgins, one of its re-
ceivers In the neighborhood of S3OOooO The
payment to the trust company by the Borough
Bank will enable the former to settle It's dept
to the Brooklyn Bank and thus put enough
money in It's treasury to pay in full nearly a
sixth of the total amount due It's depositors-
Charles NJ Higgins. of the receivers of the
Brooklyn Bank, said to Tribune reporter last
night: 1.-THE resumption of the Borough Bank
will be of the greatest assistance to any plans
the Brooklyn Tiank may have for resumption.
It practically means turning 100000 into our
treasury. If the depostors of the Brooklyn
Bank get tosc her 1 should think they could
agree reasonable plan for an early re-
sumption by tie bank. Although am per-
manent receiver will readily consent to any
reasonable plan that they may bring forward,
and, furthermG ere. will do what can to bring 1t
about. The chances seem bright At any rate.
I am now convinced that the depositors will get
practically 100 cents on every dollar they have
on deposit
The total deposits in the Brooklyn Bank
amount TO approximately S1,sC0,UO. We have
in cash on hand already nearly 100000. Add to
this the 100000 which the International Trust
Company owes us. and the amount would be
nearly 81 100000 Even If there is no reason
able plan OF resumption brought forward, I be-
lieve we will be able to pay the depostors from
40 to 80 per cent of their deposits somewhere
near the first part Of May. and expect the af-
fairs OF the bank be wound up within another
six months"
The Brooklyn Bank under a scheme evolved
by William Cow, who is under indictments be-
cause of his connection with the Borough Bank
supposedly merged with the international
Trust Company. which Cow attempted to or
ganize. The question of the legality of this
merger is the one most likely to prove a STUN
bling block to plans Of resumption or prompt
payments By the receivers. Mr.. Higgins spoke
legal last night.
cit is absurd to say that the merger was
legal" said he, "and to try to assert it is moth
ing less than dishonest. To do SO is deceitful
and against the interests of the depositors.
There is, however, group of men, Of whom
my coreceiver is one, who are attempting TO
have this merger declared legal. There is some
kind of a conspiracy behind this.
'It looks as if they were working for delay to
carry out some other plans. and trying to
involve in endless and expensive litigation.
Some interests in the bank trying to force
the depositors to accept deferred payment
plan. do not believe that the courts will
tertain the idea that the merger is legal. 1 be-
Iieve they will declare it illegal in the near
future.
II have succeeded in having Mr.. Dolson, the
former Jackson deputy, kicked out counsel
for the receivers, and l think l have Jackson
himself going. ! have suggested three lawyers
of standing for counsel for the receivers Each
of these has agreed to accept $4,000 a year as
his fee with no incidentals. But the other
cever has suggested such men as Delaney
Nico, Alton B. Parker and John B. Stanchfeld.
When I asked what salary these men would
agree to accept for their services ! got the re-
ply II don't know haven't asked them" Now.
7 don't see why counsel for receivers should re-
ceive exorbitant fees. Why don't they suggest
Grover Cleveland or William Jennings Bryan?
However. if we not involved in endless
litigation over the merger-and L do not think
we shall be-prospects for payment or resump-
ton will appear brighter every day"