Vilas County news. [volume] (Eagle River, Vilas County, Wis.) 1896-1927, 1909-10-20
bank DOORS CLOSED
At MINERAL POINT
JOHN w. SCHoFIELD OF NATION
AL DEPARTMENT NAMED
AS RECEIVER.
-PREsIDENT sPENsLEY WILL
MAKE GOOD.

/ Mineral Point, Wis, Oct 13.-It was
reported yesterday that the shortage
of the First National bank instead OF
being 100000, will run close to $780,
/ 000 Vice President Allen Is said to
have lost heavily in California and
Montana mining investments. The
| value of the securities which Allen
turned over to the bank has not been
ascertained, but much western mining
stock in the collection is said to be
| worthless.
Receiver Appointed.
| Washington, d. c., Oct. 13.-The
discovery Of alleged forgeries and de-
| falcations aggregating, according to
unofficial advices, approximately
100000 yesterday, resulted in closing
the doors of the First National bank
of Mineral Point, Wis, and the ap-
po:ntment of John w. Schofield, of
the Office of the comptroller of the
currency, as receiver of the Wisconsin
institution Arrests were expected to
|
conference between the federal au
thorities at Mineral Point.
| Discovered on October 9.
The first word of irregularities in
the bank reached the treasury depart
ment on October 5, when National
Bank Examiner Richard w. Goodhart
who had been making his regular ex-
animation of the banks condition, tel
egraphed to the comptroller of the
currency that he had found some
shortages and questionable paper. Thel
| first indications were that the loss
would reach only 100000. The figures
of the discrepancy then began to
grow. Soon the amount was in
creased by $4,000 and the next and
last amount reported to Washington
swe1led the loss to $128,000 The
| losses on other paper in the bank, sub
sequently discovered, probably ac-
counts for the difference between this
amount and the $4,000 of alleged
shortage announced in the press re-
ports.
WIZ MAKE shortage 1oOu.
S. Calvert Spensley is president of
the bank He expressed to the bank
examiner confidence in his ability to
carry the bank through it's troubles
The bank officials sought cash to
place to the credit of the bank and
succeeded in obtaining a small
amount. President Spensley declared
that he could raise 100000 in cash
within six days, but he was evidently
unable to negotiate that amount on
the banks credit, and yesterday morn
ing Examiner Goodhart reported by
telegraph that the bank had been
closed
Bank Closes Doors.
Directors at the bank hope to be
able to pay depositors dollar for dol
lar. The extent of Aliens alleged for
gerry has not been disclosed.
John w. Schof1eld left yesterday for
Mineral Point. He is employed in the
comptrollers Office, and is a veteran
in receivership matters. He has been
more recently the receiver of the First
National bank of Manasquan, N. j.,
the First National Bank of Brooklyn,
N. Y, the American Exchange Ma
tional bank of Syracuse, N. Y, the
First National bank of Doyleston, Pa,
and the First National bank of Asbury
Park N. ].
F. E. Hanscom is the banks cash
Ter The directorate comprises Presi-
dent Spensley, Vice President Allen
and James Brewer, w. P. Cundey,
Fred Vivian, R. j. Penhallegon, and
j. L. Gray.
Confession Shocks Officers.
The confession came as thunder
bolt to the officers of the bank, who
said they thought that the securities
in hand were gilt-edged.
Allen said he had used the money
to promote mines which had afterward
proved useless
He agreed to turn oyer all the Sc
curities he held in mining stock,
which, after inspection by the other
officers of the bank, were declared to
be worth next to nothing
The officers of the institution are:
Calvert Spensley, president; F. T..