The Barre daily times. (Barre, Vt.) 1897-1959, 1911-01-09
BIG FINANCIERS
COME TO ASSISTANCE
Of New York Banks Which Were Wob-
bly, AS Result of Closing Of the
Carnegie Trust company
Saturday.

New York, Jan. Q. A meeting of rep
resentatives of several large financial in
terests, bankers and others, was held
last night at the home of Paul d. Gra-
yath, lawyer. and steps were taken to
prevent the closing Of the Madison Trust
company formerly the Van Norden
Trust company, the Twelfth Ward bank
and the Nineteenth Ward bank, which,
together with their branches, make nine
banks throughout the city Ample cap
ital was provided to meet all emergencies
to which these banks might be subject.
ed
These three institutions had former
close affiliations with the Carnegie Trust
company, closed Saturday as an indirect
result Of the operations OF Joseph G..
Robin, the fallen banker, now in prison.
Among the interests represented at
the conference We're ]. Pierpont Morgan
& Co., New York Clearing House asso-
citation and the Equitable Life Assur-
ance society. G. H. Cheney, state super
intendent Of banks, was present, as was
Lawrence Phipps, ir., said to represent
the Standard Oil company
1t was announced that radical
change will be made in the Madison
Trust company, that institution being
taken over by the Equitable Trust com.
pany and certain changes in the di-
reetorate made.
Statement by Cheney.
Late last night the following state
ment was given out at Mr. Crayath's
house, authorized by Superintendent
Cheney;
4 have been in close touch with the
situation in the Madison Trust company.
Ninteenth Ward bank and Twelfth Ward
bank have objected to certain of the
assets and some of the loans In my
opinion it became necessary to consult
prominent bankers so that steps have
been taken TO allay public apprehension
which might arise after the closing of
the Carnegie Trust company. As re-
suit of conference with bankers and
Others interested / am able to announce
that in my Judgment arrangements have
now been completed that are such as to
effect that result
''lThe assets to which | have object
ed have been taken out of the two banks
and substituted with cash. The Madi-
son Trust company is to be acquired
by merger with the Equitable trust and
arrangements have been made with J. j.
Morgan q Co. In my opinion the re-
suit of the foregoing arrangements is
that these three institutions are in sound
condition.
20. H. Cheney"
Henry P. Dawson, representing Nor
gan q Co, gave out statement, in
part as follows:
"At the time Of the failure of the
Carnegie Trust company certain mem
bers OF the board of directors were also
directors of the Madison Trust com
pany, the Nineteenth Ward bank and
the Twelfth Ward bank Fearing that
announcement of this fact might lead
depositors To withdraw deposits. the
superintendent of banks promptly took
up the situation with prominent banking
interests. After conference held Sat
urday and Sunday, J. p. Morgan & Co.
authorized the following statement:
Understanding that arrangements
have been made for the absorption by
merger of the Madison Trust company
by the Equitable Trust company. J. p.
Morgan & Co. have agreed to provide
NNHNtahi h~NA1NHNNt u AAt 4NtHENttuNW
Ward bank aud the Twelfth Ward
bank"
A Barton Hepburn gave out a state
ment similar in tone adding that "A
very happy solution of possible COM
pliaations has been arrived at for which
the public thanks are largely due 70
the very efficient services Of the bank
superintendent
Mr.. Hepburn concluded with a state
ment that "after rs complete an in
vestlgation as we were able to make
from the outside ] am Of the opinion
that the customers Of the banks should
continue their deposits and can continue
kbeir business with safety"