The sun. [volume] (New York [N.Y.]) 1833-1916, 1912-01-28
CLOSES BANK THAT
NEVER TOTTED UP
Court Order for a Connecticut Saw
ings Institution II
Years Old.
LIABILITIES ALONE SURE
Officers Had Apparently Never Heard
Of u Trial Balance in Their
Profession.

HARTFoRp. Conn. Jan 27.--The Wind
sor Locks Savings Bank of Windsor
Locks. Conn. was restrained to-day
on an order issued by Judge Samuel q
Prentice of the superior Court to state
Bank Commissioners Norris :. Lippitt
and Fred T. Holt from paving out any
of the funds of tho bank or from de-
. claring any dividends
The Bank Commissioners petitioned
Judge Prentice for the restraining order
Within a week. so they told the Judge,
they have made an examination of the
bank and found the books to be in an
unsatisfactory and incomplete condition
No trial balance oven had been taken in
many years.
The books Indicated that the assets
Of tn" bank are largely impaired and
perhaps insufficient To pay its depositors
IN full The commissioners desired to
make IA more complete and detailed
examination to get AT the exact financial
status Of the bank
one of the questions put TO the treasurer
of this bank hv Commissioner Holt while
h" was informally looking over the bank
records a few days ago was "a to when
tie last trial balance was taken The
treasurer seemed to I've surprse sed az the
novelty Of it The query was a new one
to him.
II. replied that he did not think there
had been n trial balance made since the
bank was organized in ISL. forty-one
years ago.
Commissioner Holt told the treasurer
=, l,an Ia. L.,
made. II would. the Commissioner said
take about sixteen days. or al the rate of q
llt'l" NOR. than "a hundred accounts u
day. The commissioners have not power
To- compel bank 10 make trial balance.
In the meantim. the Bank Cummi-
sioners sent their expert. William =.
landon. TO Windsor Locks to examine
ia" books Of the bank and to report
- the commission. The report of Mr..
landon VS. surprising. According tO tie
report of the bank tn the commission
for The year ended September 3o, 1911.
its assets amounted To si2o.2i7 ~. Lnc
report OF Mr.. I.audun convinced tie
commissioners that the bank was not
able To pay the iull amount Of deposits
in case demand was made ON it. The
opinion OF the commissioners was based
entirely on what the books uf the bank
showed
Commissioner Holt called the directors
o. III" bank together th. other day 70
discuss the situation with them. They
wer" reluctant To believe that tho bark
waS unable To- meet its obligations But
when the commissioner submitted facts
T. prove that appearances woT" against
tie position of unshakable confidence.
which they took they agreed that # ne
conditions warranted il it was better
TO suspend the paving out of mohey.
Commissioner Holt then had confer
enCe with Gov. BALDWIN on the situation
and he advised the Commissioner that
there was nothing for the Bank Commls-
sion tO do but To make application To a
Judge ut the Superior Court for a restrain
ing order.
The prompt action of the Bank Com
mlSsloners will have the effect Of pre-
venting run on the bank l. has 63G
depoSitors.
The officers and directors OF the bank
are: President, George Glover; treasurer
&. +. Cleaveand direct ors. j. " John
son. J. X. Mont gomery. Allen Pease
George =. Clark George Glover. G. NJ
Montgomery. T.. B Bailey. A. g. Stock
well, NJ =. Robinson T. l.. Ashley. John
VI. Morse, James Keevers, e. W. Sadlcr
and Charles $. Hoar
Alfred W. Converse. who died a few
days ago from wounds received from the
accidental discharge of "a revol yer he
was cleaning on January -. was for forty
years treasurer of this b&tlk. He resigned
a year ago.