New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-03-09
DIVIDEND FOR DEPOS|T0RSiC0UPlE KILLED 1OGE|HER
Carnegie Trust. 1t Is Said, Will
Pay Is Per Cent Soon.
"BIG TIM" CANCELS NOTES
Still Only Promises from Cum
Minis Group-"Private Mat
ter" Repeats Smith.

The first dividend to depositors from the
carnegie Trust Company, II was learned
yesterday. will PROBABLY he 10 per cent. and
It was added that the State Banking De
partment would be ready 10 pay it soon
after the middle of April.
John W. Smith. private secretary to City
Chamberlain Hyde who was able to bor-
row 5000 on a demand note from the com
pany without security or Endorsement re-
peated yesterday his insistent declaration
that his transaction had been solely 'pri-
vate matter and declined Ia say for what
purpose he had borrowed the money. He
also refused 10 go into any detail a. 20 why
his personal credit at the Carnegie Trust
Company was good for $1,000 in excess Of
his annual salary.
The securities that the Carnegie Trust
Company held have been. for the most part
paper on which IL has been difficult 70 re-
alize quickly, and many of the notes. more
over were counterbaanced. or nearly so.
by deposits. The note OF the Bench and
Bar Publishing Company. for instance, on
which Corporation Counsel Watson had put
his name. was partly balanced by deposits
and the rest Of Il was paid and cancelled
i'"' AL illt IOA-o fil NlIl'N 'fie
Tim Sulivan's name or those Of his theat-
rical enterprises or partners appeared also
were cancelled Yesterday, but It is under
stood that the Charles +. Norcross notes,
on which Charles II. Hyde is an indorser,
have not been paid yet
All the furniture. fixtures and fnishings
Of the company's offices at No. ll5 Broad
way, most of which are solid MAHOGANY viii
lie sold at private sale within the next few
days. They will go 10y pieces and lots, not
in bulk and the state Banking Department
will inform all who left their names for
that purpose Of tho beginning Of the sale.
The equipment was appraised at $4,000
The offices rent AZ the rate Of $1,000
year, and as It has been necessary 10 TO
tain part of the working force Of the
trust company il is likely that tho running
expenses during liquidation will use up q
large part Of tho 5000 in cash which was
found on hand when the trust companys
doors were closed.
The st4to bonds which tho Carnegie had
in its vaults on January amounted 10
little NOR than 10000. but the city bonds
are unavailable for liquidation now be
cause they are tied UP i'm court proceed
ings
ON the item Of si.i9o.3l3 IS due from other
banks the counterbalancing Of liabilities
of the same nature-that Is. amounts due
10 other banks-will. it is said. wipe that
off the slate 90 far as the depositors are
concerned
SO far as is known now the Banking De-
rartment has had nothing more tangible
than promises from the Cummins group,
VINO owe the Carnegie something more
than 100000. but ii is believed that they
are tryinc 10 convert their good securities
into cash so az to cooperate with the
state officials. who will settle with the de-
positors. There was very much of a same
ness about their methods OF borrowing
from the Carnegie. according To one of the
lawyers representing the depostors
Loans made to Office boys for amounts
running above $1,000" he said, land loans
made to dummy directors who didn't APP
parenty know what they were signing
were among the methods, and these are
methods without even the grace of origi-
nality."
The last statement made by tho Car
negie on November 10, 1910 showed iabili
January 6 were slightly above 100000.
OF these. however, large amounts are TO
be taken off by reason of the apparent col
lapse OF some Of the projects furthered by
the group Of fnanciefs that was heavily
indebted TO the bank and by reason OF
liabilities Of corresponding or larger
amounts TO the persons or institutions
which stood back Of the assets.
IL is understood that the District Attor-
ney's Office is en- ieavoring TO trace the Iodl
of slS.2l5 standing on the books as having
been made TO William r. Remshart I"
ascertain whether Remshart was actuaiy
the beneficiary IN that instance kemshaTt
was private secretary TO Cummins anu
WAS brought here from Nashville by cum
MINIS when he came into power In the trust
company -,,-.-..,.. =,
p <. Butler counsel to christopher :.
Wilson, OF the United wireless. was an
other that was disclosed By the Banking
Eenartment's records as a borrower from
The carnegie He made a loan Of S5'o5o On
December 20 last.