The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1913-07-16
N'AD0O DIS2ELLS FEARS over
FAILURE OF BANK
CONDITIONS ARE NORMAL
Practically No Excitement Following
Sensational Failure Of Kuhn Group
of Institutions Whose Losses May
Reach Total of $500, O,Oo0-Large
Investigation to Follow.

To the decisive statement of Secre-
tary McAdoo of the treasury depart
ment, issued Tuesday night, is attri-
buted the restoration Of almost nor
NAL conditions in financial Pittsburgh
despite the closing Monday Of the
doors of the First-Second National
bank, an institution which had been
accredited one of the strongest in
the country. While the situation
was tense in the financial world and
little information as to possible de-
Velopments was obtainable, the fat
statement of facts of the secretary
seemed to develop an overnight opti.
mism that grew as the day advanced.
The closing Of the First-Second
was naturally followed by suspension
Of its affiliated bank, the First Ma
tional of McKeesport, and the ap-
pointmen Of receivers for the banking
house Of J. S. & W. S. Kuhn, inc,
whose principals we're the majority
stockholders of both institutions and
a like action with the American
Waterwork and Guarantee company,
an enterprise lathered by the Kuhn
interests. Another Kuhn interest
which was affected, the Pittsburgh
Bank for Savings, Uttered somewhat
from the complication, run being
started on it Monday, chiefly by small
depositors. This continued somewhat
increased early Tuesday, but it ap-
peared to abate as the day wore on.
Crowds assembled near the bank
building and the sidewalk about the
building were roped off with mounted
police prancing their horses within
the lines on the sidewalk. The peo-
pie were forced outside the ropes in
to the middle of the street. The
crowds were made up mostly Of Gu
rious spectators. The small groups
of depositors that entered the bank
were promptly paid $500 on demand,
and required to give the legal notice
of 80, 60 or 90 days to withdraw 9TH
er amounts above stated figures.
Fifty-seven thousand dollars was
withdrawn from the bank while the
deposits were $4,000.
Chief interest now centres in the
steps that may be taken by the gov
ernment in an investigation into
criminal liability in connection with
the bank failure. United States Dis
trict Attorney John H. Jordan,
through whom the first steps in this
direction would be taken, said he had
received no notice from Washington
along this line but that it was pos
sibly little early for the officials to
have had opportunity to decide upon
any course of action.
According to disratch from
Washin gton Secretary McAdoo will
ask Attorney General McReynolds
within A few days to investigate alleg-
ed Irregularities in the conduct of
the Firs+-Second National Bank Of
Pittsburgh. which closed its doors
Monday. The secretary definitely de-
cided to refer the situation to the de-
partment of justice and is now engag-
ed in the collection of all the facts
connected with the management OF
the big bank to prepare the attorney
general for an INQUIRY designed to
develop whether there was any vio-
lation of law in connection with the
failure.
John Shelton Williams, assistant
secretary of the treasury, returned
from Pittsburgh, where he superin-
tended the closing of the bank, and
reported that the institution had been
"freely mismanaged" necessitating
reference Of the conditions to the de-
partment of justice.
The latest reports to the treasury
department indicate that the losses
of the First-Second may reach So
100000 because the entire capital
and surplus of the bank now seem to
have been wiped out. These advices
were accompanied by assurances
from officers of the bank that the de-
positors, whose claims total about
s3s.OoO,OO0, probably would be paid
in full or nearly in full through real
ization of the banks assets.