The silver state news. [volume] (Winnemucca, Nev.) 1907-1909, 1908-01-06

bank, after being closed for more
than two months, resumed bust
ness nj Tonopah, Reno, Goldfeld,
Carson, Wonder and Manhattan
on the I'd of January. Depositors
will be obliged to take their man
ey in installments, as provided in
the agreement.
From the eliot Stuph.'
There are a few things in this great
state which need fixing pretty badly,
and among them are the banking laws.
This is a fact which cannot be denied
by legislators because of the recent
fiaseos of the State Bank and Trust
company, and the Golden banks.
These concerns closed their doors,
one after the other, about two months
ago. and all the ~depositors have been
able to get for their money since is hot
air. 1t is admitted that hot air is a
great commodity, and before now has
served many a good purpose, but the
time is drawing near when it will no
longer serve the purpose of these two
financial Institutions, solvent but un-
able to pay, in lieu of the hard dollars
of the people who trusted them with
their money.
When the State Bank and Trust Co.
closed its doors, Mr.. hickey, it's pres
ident, told the depositors that the
banks of the concern were perfectly
solvent, but had been caught by the
general financial depression with a
great many GOOD securities, but not
enough cash to withstand a run. He
further said that he could raise every
dollar of depositors' money on these
securities, hut wished not to do SO, to
avoid running a great many customers.
Now that last statement from Mr..
Hickey was refreshing, here in Neva-
da, whore Mr.. Riekey's forbearance in
all matters where money is due him
is so well known. He has such a ten
der heart, and is so careful of other
peoples interests, that he would rath-
err close his banks, subject himself and
his directors to all sorts of comment,
Good for you. 7. B. If you keep up
that gait the Rockefeller halo will
surely lie yours.
1t was a comforting thing to the
depositoTs Of this banking company all
ever the state TO know that the banks
were solvent. 1t helped them a great
deal when it came to meeting their OBJ
legations to Others. but somehow, there
was a hitch when Mr.. Hickey went to
San Francisco to raise the needed mon
ey for depositors Evidently the gilt
edged securities upo which the mon
ey intrustcd to the State Bank and
Trust company had been loaned were
not just what the San Francisco banks
wanted. Possibly tli,y, too, believed
that if they were to advance the need
ed money on these it might ruin a lot
of Nevada bank customers, and, as is
well known, these gentlemen are all so
tender hearted that they wouldn' i
for the world do such a thing. Again,
possibly-mind, / say possibly-the
aforesaid gilt-edged securities may
have looked less good to the San Fran
cisco bankers than did those of Pres.
ident George S. Nixon, of the First
National bank. who went there on the
same GRAND, and got the money. Also,
maybe Mr.. Nixon was less thoughtful
of the customers he might ruin, and
cared more about the depositors and
the reputation of his bank
A day or two after the close of the
bank represented by It. b. Hickey, the
Nye and Ormsby County banks also
closed their doors, with the statement
that the action of the Hickey banks
made it necessary. Did Mr.. Golden al
50 commence to feel for his customers!
What a good thing it is to know that
the hank presidents are waking up to
the fact that there are other people in
the world who have interests to pro-
tect, possibly families who would suf-
fer were the bank presidents less
thoughtful and SOLICITORS. How per
fectly sweet and lovely
Anyway, Mr.. Golden took a turn at
the San Francisco banks, and he also
came homo without money for his de
posters. His bank was also solvent,
but unable to pay.
Every little while since the San
Francisco trip Mr.. Hickey has been
taken with a spasm of speech-making
or statement issuing, all of which has
80 far resulted in a fine display of
assorted hot air and bluff. The bank
was declared solvent by State Bank
Examiner Miller, and his report was
c%oncurred in by the state commission,
at the head of which sat John Sparks,
governor. So far as the position of
Mr.. Sparks with relation to the banks
is concerned, there is little call for
speculation. On that commission are
two other men, Ryan, vice president of
the Nye and Ormsby County banks,
and Douglass. These gentlemen issued a
statement to the effect that both insti-
tutions were perfectly solvent, in fact
in splendid shape, but at the same time
advised the depositors of the State
Bank and Trust company to sign an
agreement not to withdraw their mon
ely from the banks of the concern, ex-
eept as provided for in the agreement.
This allowed them to hope to get their
deposits back on the installment plan
some time within a year.
MI. Hickey pledged his private for
TINA IN meet the demands af danasit.