Semi-weekly herald., 1908-01-09
COLORADO STATE BANK.

The summary OF the condition of the
Colorado State bank as reported by
Receiver o. f. Boyle and published in
Saturdays Herald, has come in for
considerable discussion. The Herald
does not intend to answer the fasle-
hoods published in Sunday Mornings
Democrat. 1t is plain 10 any reason
able man that the Democrat is doing
and will continue to exert every In
finence TO depreciate and curtail the
paying quality of the banks assets.
As stated before. the morning sheet
does not want depositors to receive
their money in full or any where near
dollar for dollar. II would not be
was to make good. 1t is revenge the
paper wants and 1t must prove SO to
at least 80 out of 100. The Democrat
wants depositors to dispose OF their
on the dollar. The Herald considers
such a policy suicidal. This is honest.
II we had a few thousand dollars ev-
cry cent would be used quickly grab
hing any deposit at 40 cents on the
dollar and on this we would expect to
realize rs to 100 per cent. This Is the
way we look at 1t. Il may be The
Herald is wrong but no man can buy
the small amount due The Herald for
50 cents on the dollar. In saying this
The Herald Is not going to excuse
present and past management, and In
this connection The Herald is going
to demand that Mr.. Freeman and Mr..
Eldredge do everything in their power
10 straighten the affairss of the insti-
tuition and also come to the front with
positive assurance of making good loss
es to the extent OF their ability. Mr..
Freeman, II we are correctly inform
ed, was one OF the organizers OF the
bank and was understood to have in
vested considerable money In the
stock. He again took charge in 1900
and the deposltors look TO him espe-
clally to see them through and this
lie 6uOulu uO Will GNtIf Ht Hoh
on earth or that belongs to is in
dividual family. This is where The
Herald stands. w. c. Chapman has
been striving with the rest of the
directors to get the bank in shape and
to show his confidence In the insti-
tuition carried all his funds there and
is the largest Individual depositor. He
is not going to shirk in doing his shars
when the time comes II others will
do likewise. In fact, his entire ready
funds are tied up in the banl. Mr..
Eld-edge will have to do his part along
with Mr.. Chapman, but we say 1t re-
mains for Mr.. Freeman to come to tae
front with assurances that every iol-
lar he or his immediate family pos
sess. along with property he'd. be ac-
cesslble for the creditors In case the
assets fail to pay out. The vast list
of depositors will not be satisfied with
anything less. Now, on the other
hand, depositors must not be led by
the misleading morning publication
and Mr.. Freeman and his associates
should be taken into consultation aud
permitted TO assist in getting every
dollar possible out of the assets. They
know the resources and collateral OF
those owing the bank. It's going to
take time. To force collections and
sale OF property at this time means
great loss. What business man in
Durango could realize over 50 cents on
the dollar on a forced sale today?
Show us piece of real estate that
will bring over 30 per cent of what 1t
is worth II forced on the market?
The Herald feels that the expenses
OF the receivership should be cut to
the lowest possible notch. 1t will soon
be necessary to secure cheaper quar-
ters and after getting everything in
shape 1t will be largely waiting game
for year or two-possible several.
In another column we publish a card
from Mr.. B. N. Freeman. president OF
the closed institution. He informs us
he is preparing statement which will
be submitted to depositors in day
or two, or the last of the week at the
fastest. He advises depositors not to
sacrifice their holdings. The Herald
wants all interested TO get together.
We want Mr.. Freeman to be given an
opportunity OF making the bank pay
out-that is, that all work together,
and further. that Mr.. Freeman come
to the front with the assurance that
all that he possesses in this case OF
failure will finally be at the disposal of
the creditors.
And while on this, we take the same
position with the Smelter City State
hank. Chas. h. Mcconnell must show
by action and deed that he will turn |
over his Individual property to make |
good the losses of the bank including |
the proceeds of all mining property. |
II is question how best this latter |
can be managed. Mr.. Mcconnell as
sured a representative of The Herald |
yesterday that he would die a pauper |
but what he saw every creditor paid |