Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1911-01-09
MORGAN MILLIONS
SAVE TWO BANKS
FROM SURE RUIN
Depositors in New YORK; lnstitu.
tons, Reassured by Soivency
Guarantee, Make No Run.
FILE CHARGES AGAINST
CHAMBERLAIN HYDE
.-ett
New York City Officials Find
City's Guarantee Filed
Away in Private Safe.

NEW YORK. Jan. s.-Announcement
that following two days conferences
J.. Pierpont Morgan had pledged his
millions to insure the s~olvency of the
Twelfth and Nineteenth Ward banks
and that the Equitable Trust Company
had taken over the Madison Trust Com
pany TO defend the three menaced in
st1tutions from any stress due to the
closing OF the Robin banks and the
Carnegie rus Company, SO quieted
nervous depositors Of thel institution
that there was not the slightest SEM
blance OF a run when the banks opened
today
In addition tho funds Of nearly every
great bank In New York city. the mill
hons Of such great 1nanciers and inan-
cial institutions as Kuhn, Loeb & Co,
the Guggenheims. Henry Phipps. Hal
garten a. Co., and practically every
big bank. in the New York Clearing
House Association. whose run
int billions. were pledged to supply
the funds necessary to ward of n
run that might be started today.
This transforms the institutions
named from ordinary healthy banks
into the. most powerful, for the time
being, In the world.
At the Twelfth Ward Bank, having
headquarters in Harlem, there was a
group of perhaps fifty people in line
early in the day. Some nervousness
was manifested by some of the deposit
ors; particularly foreigners who had
not been appraised of the events Of
over night, but banding officials took
steps .togallay this feeling. Many went
awayswtthout carrying out their inten-
tion,fo withdraw funds.
Asfan indication of the general feel
ing fundamental quarters prices on the
stoclsyexchange showed fractional gains
in aSmajority OF stocks and the market
wasa moderately active. Some OF the
leading stocks shove advances. A
similar sentiment was shown from
other financial centres.
There was some excitement at the
savings department OF the Nineteenth
Ward Bank at Fifty-seventh street and
Third avenue. where there were about
200 people In line when the bank
opened. and at the branch on East
Eighty-sixth street, where 400 deposit
ors were in Inc At the Seventy-sec-
ond street branch there were about 100
people In, line.
Tho business departments of the main
bank and the branches were a little
more active than usual on Monday
morning. the business people having &C
counts there being more confident h
the patrons OF h savings department.
No Disorder at Banks.
There was not the slightest disorder.
however, at any of the branches.
Inside the Highty-sixth street branch
the officers were ON hand early and
there was q large mou of a in
sight with which to pay of the timid
depositors. This had a good effect, and
many who had waited In line for some
time. when they got inside the build
ing went away without drawing out
their savings.
Frank French, president of the
Twelfth Ward Bank. was on hand early
and remained In the lobby of the insti-
tuition interviewing those OF the de-
positors who seemed V Many
went away satisfied after Mr.. French
had explained hat he institution had
the ga~ssurance of all the financial aid
necessary fby the powerful financial in
terests of the city. Among the de-
positors at the bank there were many
prominent business men who came TO
make large deposits. There were also
M6YeTd1fOtlitI biliiAASt hlAi dcBOSilGu
byss business people In the %neighbor-
hood. af7t -sss
The conference of bankers at the
home OF Paul D. Cravath did not con-
clude until early this morning, and
while 1t was in progress almost con-
stant telephone communication was
maintained with j. P. Morgan.
Five directors of the three banks re-
ttrod following the conference.
Certain assets of the Nineteenth
Ward, and Twelfth Ward banks have,
by direction of Banking superintendent
Cheney. been replaced by money, and
J.. p. Morgan agreed to give whatever
financial assistance was necessary.
Action, by Superintendent Cheney. j.
p. Morgan and associate bankers has
brought added stability to the banking
situation, It was generally agreed to-
day, ft
At The Thirty-fourth street branch of
the Nineteenth Ward Bank the nuni-
bers OF depositors at the bank his
morning was not so great as at the
other branches.
There were about one hundred in line
at the opening of the bank, most of
these being In the savings department.
The deposits in the Thirty-fourth
street branch, according to the officers,
were about normal for Monday morn
Ing. None of the banks are taking adj
vantage of the s~ixty-day clause.
The guarantee signed by the Carnegie
Trust Company directors for the $780,
900 which the city had on deposit with
that institution, was found today in the
private safe of City Chamberlain Hyde.
Arl Hyde has been absent from the
city for several weeks and the subpoena
servers OF the legislative investigating
committee could not locate him.
Charges against Chamberlain Hyde
and asking his removal from office
were filed today with Mayor Gaynor
by a citizen.