The sun. [volume] (New York [N.Y.]) 1833-1916, 1911-01-09

sions the unlucky concern that borrowed
his name, not because he had any direct
interest in its affairs but because OF ms
personal friendship for Charles NJ Schwab,
one of the directors. And one oil the most
valuable assets Of the company was the
general impression that Mr.. Carnegie was
behind the COMPANY In Wall Street II
was known that Mr.. Carnegie not only
had nothing to do with the trust company
but that he had been extremely averse TO
such use of his name. He issued a state
men' TO the effect that he did not desire
his name to be connected with the trust
company and he sent his attorney TO
Albany to see il ii were not possible TO
force the trust company 10 take some
! other name He was told that the COM
panv was not calling itself the Andrew
Carnegie Trust Company and that there
was more than one man IN the world
named Carnegie.
Bankers said yesterday that there was
much sympathy for the president of the
company. Joseph 7. Howell who came
here from the South only three months
ago 10 take charge of the concern. What
ever blame exists cannot be attached TO
Mr.. Howell. these bankers said
COUNTRY BANKS HEARD FROM.
The principal creditors Of the Carnegie
Trust Company are small country banks
in the West and South, the custom of
sonal letters that Leslie NJ Shaw sent
out after he ceased to he Secretary of
The Treasury and became president OF
the trust company. A large number
of these banks are in Tennessee, Ken
lucky and Missouri. Many of them in
the past week or more had issued checks
or drafts on their accounts with the Car
negie Trust Company. which calls were not
presented before the trust company went
ont of business So these country banks
have secured the assistance of a number
of New York banks and trust companies
which have agreed TO cash their checks
on the Carnegie institution.
The Hanover National Bank gives
notice that it will cash checks and drafts
las ued by the Home Bank Of Winchester.
Tenn; the Bank Of Greenbriar Tenn the
Blount County Bank Of Marysville. Tenn;
the Southern Bank and Trus. Company
Of Hartman Tenn; the Guarantee State
Bank of Carthage. Tenn; the Com
mercial Bank of bonneville, Mo; the
Farmers Bank and Trust Company Of
Sutton. W. v. and the Planter and
Mechanics Bank of Oklahoma City.
The National Park Bank will pay checks
and drafts drawn by the Citizens Bank Of
Shelbyville, Tenn; the Whiteville Savings
Bank of Whiteville. Tenn, and q. Nc
Dowel 4 Co. of Fairbnry. III.
The Columbia Trust Company will at
tend to such payments for the Peoples
Bank of Adairville, Ky; the Farmers
the Bank OF Halls of Halls, Tenn
The Irving National Exchange Bank
will pay for the Bank of Gleason, Gleason.
Tenn; the Bank of Bradford Bradford,
Tenn. and the Home h,nk Of Winchester.
Tenn.
The American Exchange National Bank
will take care of the American State Bank
of Terre Haute. NJ A. Mead 4 TO. will
pay checks and drafts drawn by Day
Bros. of Syracuse and one check No
2l42, drawn by the Mechanics Bank
and Trust Company Of Knoxville. Tenn.
Leonard Day oft2 Rector street and the,
Westinghouse, Church-kerr Company will
pay on presentation all checks issued
by themselves on the Carnegie Trust
Company.
ALLOTMENT OF CITY MONEYS TO BANKS.
Comptroller Prendergast will submit
to Mayor Gaynor this morning propo-
sition that the Bank Commission should
take full charge of alloting the deposits
of public moneys in banks. This com
mission, so-called. comprises the Mayor.
the Comptroller and the City Chamber
lain, to whom the Charter gives the power
of designating the banks and trust COM
panies in which the citys money shall be |
deposited. 1t has been the custom
without any provision of the charter
directing it. or for that matter for
the amount of money which each of the |
various banks and trust companies shall
receive on deposit to the discretion of
the City Chamberlain. The Charter pro-
vides that this amount may not be greater
than fifty per cent. of the combined
capital and surplus of each bank. In
the case of the Carnegie Trust Company
the city had 81 l.UO,OOO ON deposit before
the policy Of gradual withdrawal went
into effect last July, while the combined
capital and surplus and undivided profits
g.. 26O go. so that there was no violation
of this provision.
This custom OF leaving the amount
to be deposited with each bank or trust
company designated TO the discretion of
the City Chamberlain is what Comptroller
Prendergast wants to have changed so
that the matter may be decided by the
full board. AZ is the designation of deposit
tories.
The Charter provides that the CITY
Chamberlain shall present = written
report to the Mavor and the Comptroller
each week OF all moneys received by him.
the amount OF all warrants paid by him
since his last report and the amount
remaining to the credit of the city This
weekly report in practice is made on
Monday The Charter does not saw
whether the banks and trust companies
designated shall be New York city insti
Quire that the deposits shall be bonded
OF course, the power of the board TO
change the depository banks at anv
time involves it's power as a board to
reduce any deposit at any time az an
alternative to the Withdrawing the whole
NI'DE and THE GI tRtN7EE.