Arizona republican., 1922-01-03
SERIOUS FINANCIAL
CRISIS AVERTED By.
BIG BANKING Merger
Two Chicago Banks With Resources of More
Than $85, 900, 900 Sold Through Clearing
House To Protect Depositors After Exam
inntion Discloses Capital Impaired By Bad
Loans

satisfactory to the Continental and
Commercial National bank and the
Continental and Commercial Trust
and Savings bank to protect them
against loss.
The Chicago clearing house COM
mittee assures the depositors of both
the Fort Dearborn National bank and
the Fort Dearborn Trust and Saw
ings bank that their interests have
been fully protected and that owing
to the arrangement entered into by
the Chicago Clearing House associa-
ton with the Continental and Com
mercial Trust and Savings bank they
will suffer no loss
'Inasmuch as Edward Tilden and
company is interested as a minority
stoclholder in the Drovers National
bank and the Drovers Trust and Saw
ings bank, the clearing house commit
tee has had made special examina-
ton Of these institutions, for the pur-
pose of ascertaining their condition.
Banks Are Solvent
''The results OF these examinations
is such as to warrant the COMMITTEES
in saying that in its opinion these
banks are absolutely solvent and en-
titled to the full confidence OF their
customers and the public in general.
I'm connection, the committee calls
attention to the fact that all the d.
rectors OF these institutions, repre-
senting the Tilden interests, have re-
signed from the banks boards"
The Droyers banks have replaced
the directors who resigned with
Henry M. Dawes, G. +. Swift. Jr., vice
president of Swift and company;
Henry Veeder. general counsel for
Swift and company; John p. Oleson,
vice president OF the First National
bank and Alexander Robinson. vice
president OF the Continental and Com
mercial National bank. Both the Fort
Dearborn banks and the Drovers
banks have been known as livestock.
stockyards ard packers banking
houses.
Edward Tilden and company-the
Tilden estate--was one of the largest
holders of bank stock in Chicago. The
last personal property assessment list
shows that the company held 21,079
shares of Fort Dearborn stock, which
at $3.50, the price quoted last week.
was worth s4,215.0 900. The assessment
list shows that the Tilden estate held
stock in six Chicago banks. with a
market value at that time OF .s6s214.-
600.
Attorneys for Erward Tilden and
company issued a statement tonight
saying that the company is amply
solvent and has a large margin OF
good assets in excess OF all its liabili-
ties but that a portion OF the assets
are not readily realizable though per-
fectly good. |
I'VE expect that all creditors win
be paid in full" the statement adds
AS a result OF the merger the Con4
tinental and Commercial NationaI
bank and its affiliated Trust company
have combined assets Of nearly $525,
600, 900.
Announcement of the completion Of
the deal closed three days and nighta
of almost constant work for several
score Chicago bankers and hundreda
Of clerks. First intimation Of trouble
at the Fort Dearborn bank came Fri4
day night when hundreds OF clerks
worked through ilfe night there and
atthe First National bank, ~ Sf hp6f
The First National. according 70 4
rnmor which OFFICIALS later con,
firmed, was considering the purchase
OF the Fort Dearborn banks.
The negotiations were broken off
shortly after noon today, and the