Los Angeles herald., 1910-10-15
NIGHT AND DAY
BANK IS CLOSED
State Superintendent Takes
Charge-De All De-
posits Absolutely Safe
SKINNER HAS GUN HANDY
DepoSed President Was Prepared
TO Hold Fort with Arms
and Ammunition

The All Night and Day bank was
closed at 10 o'clock last night by order
of Alden Anderson, superintendent of
banks of California. Mr.. Anderson, who
arrived in Los Angeles yesterday, said
last night that the bank was solvent
and there was no danger of the depos-
itors losing their money. The bank
was closed, he said, for the protec-
tion of the depositors and would prob
ably remain closed for several days
until the adjustment of the manage
ment of the bank. The controversy
between Newton j. Skinner, president
of the bank, and a newly elected board
of directors, who, it is alleged, would
oust him from the presidency, is given
as the direct cause of the closing of
the bank.
1t was stated last night that Skin
ner and his associates had taken means
to hold their quarters by stocking the
bank with arms and ammuniation.
Skinner worked at his desk last night
with a revolver within easy reach.
Several men were employed by him, 1t
is said, to guard the building and keep
out what he termed ''the undesirable
element"
Alden Anderson, in a statement to
The Herald last night, said:
''I have kept in close touch with the
affairs of the bank long before the
run on it and I am In a position to
say that 1t Is perfectly solvent and that
there is not the slightest danger of
any one losing any money they have
deposited there. Its total deposits on
hand are $945,000. I have locked 1t
in the safe. There is not the slight
est suspicion Of any irregularity in
the financial affairs of the bank. 1t
loans have been conservative.
MUST BE ONE HEAD
IT merely closed the bank because
there were two sets of officials giving
orders and it was to the interest of
the depositors and in line with my
duty to close the institution until mat
ters had been adjusted. The bank
probably will remain closed two or
three days, can not say positively.
There must be one head to the bank
when it opens"
Mr.. Skinner, in a statement to The
Herald last night, said he believed an
injustice had been done himself, the
bank and the depositors by Mr.. An
derson's action.
'1t was hasty and without notice to
ourselves and one thing 1 can not I'M
derstand is why Mr.. Anderson spent
the afternoon with the new board of
directors, who were elected at rump
convention, and who desire to oust me
from the management of the bank,
and why these same men were ap-
pointed by Mr.. Anderson tonight to
guard the doors of the bank and as
sumo temporary charge of the build
ing" said Mr.. Skinner.
According to article 1874 of the
banking laws there is provision to the
effect that If the superintendent of
banks believes q bank has done any
thing not in accord with good banking
he shall serve written notice on that
bank to show cause before him at a
certain time and place to be fixed by
him why such an act was done and
why the law has not been obeyed. We
have had no such notice, but were
jumped on like shot out of a gun.
'I will be in communication with my
counsel, although I am an attorney
myself tomorrow, and as soon as pa
pers can be drawn up will file appli-
cation to force him to open our doors. "
The closing Of the doors of the bank
last night attracted a crowd, and de-
positors were soon clamoring for admit
tance. A strong guard had been placed
in the building and around the outside,
however, both by Anderson and
Skinner.
1t was rumored earlier In the even
that the newly elected board of direct
ors intended to enter the place by
force and assume charge of affairs,
and this is what caused Skinner to
place armed men about the building.