Newspaper Page Text
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THE ATLANTA GEORGIAN AND NEWS.
MONDAY, DECEMBER 3,
OTHER BANKS ARE
UNDISTURBED
Continued from Pago One,
t.lared upon them by the bank offl-
J.jals the depositor* will be paid prac
tically dollar for dollar.
$450,000 Worthless Accounts.
The statement of the Neal bank
would show that the assets are about
1600,000 In excess of Its liabilities, but
It is stated that the Investigation made
l.y the Atlanta Clearing House Associ
ation disclosed the fact that In the
assets are Included at least 9450,000 of
worthless paper accounts. It Is stated
that the bank has been counting as as.
., ts for years paper that Is recognized
i s worthless, the officers not having
followed the course pursued by most
hunks and other business enterprises
■■ charging off such accounts from
lime to time:
It was first planned by the Atlanta
nearing House Association to have the
Central Bank and Trust Corporation,
uf w hich Asa G. Candler Is president,
take over the Neal bank.
Mr Candler, at first, It Is stated, was
perfectly willing, but after investiga
tion declined to do this.
A note In New York to the amount
of about 9275,000 Is due In a few days—
I he payment on December 26. and the
rest In the first week in January. This
note Is protected by 9400,000 of the
collateral of the Neal' bank.
In addition, $300,000 of the .Veal
l i nk’s choice collateral Is tied up with
the trustees of the Atlanta Clearing
Douse Association certificates Issued
by the Neal bank.
Thus 9700,000 of the bank's collateral
Is tied up In these two Items. With
these facts In his possession, and the
further fact, as Mr. Candler pointed
cut, that neither the notes and bonds
|,: electing the loons to the Cuban land
company and the pyrites mine could
he made quickly available as cash, the
association declined to assist the bank.
Run Depleted Cash.
The Neal bank had on hand Friday
afternoon at the time of closing.
1324.481.17. After the short run ofSat-
vi day, only about 9232,000 of this cash
was on band.
On Friday afternoon there was due
the Veal Bank from other banks
and bankers. 985,340.06. To partly
offset this, the Neal bank was due
other banks 935,696.39. This left to tho
credit of the Neal bank from this
source approximately 950.000.
The Neal bank held at the time
closing Saturday 915.000 of bonds, of
which 913,000 were state bonds and
92,090 municipal and other bonds.
The estimate made by Mr. Candler,
after his Investigation, was that the
liabilities of the bank were about
9500.000 In excess of that part of the
assets which he could convert Info
cash In a short length of time.
But Few Stockholders.
The bank has a capital stock of 3100,.
000. The stockholders are Mrs. M. A.
Murrell. L. N. Pittman. Mrs. K. H.
Thornton, Mrs. John Keely's estate. E.
H. Thornton. A. C. Keely, IV. F.JtIanry
and H. C. Caldwell. The par value of
the shares Is 9100 each. It Is stated
that E. H. Thornton has 18 shares. W.
I\ Manry one share and H. C. Caldwell
■me share.
It was represented to the Atlanta
Clearing House Association by the Neal
Bank officials, it is stated, that the
presence of the state bank examiner
at the bank Friday and Saturday
amused the distrust some of the de
positors, nnd that this caused the de
mand on the bank which .took near)!'
*100,000 from its veady cash during
banking hours Saturday.
The officers of tho bonk are E. H.
Thornton, president; W. F. Manry, vice
president; H. C. Caldwell, cashier;
Frank Berry, assistant cashier.
Mr. Thornton at Work.
It Is stated that Mr. Thornton Is
mq In good health at this time, but he
was at work all Monday morning doing
what he could to straighten out_ the
hank’s affairs, and to assist
Treasurer R, E. Park.,
Notice Posted at Bank.
"This bank Is In the hands of the
NEAL BANK’S STATEMENT
given clearing HOUSE
CleaHct rSU—was made by the Neal Bank to the Atlanta
Decembe*20 ° U * Assotlat,on Saturday morning. It was prepared on Friday,
Loans and discounts 92,560,403.84
Real estate . X91.S43.73
Stocks, bonds, etc. .; 96.5ift.48
Furniture and fixtures .* .* .* .* .* .* .*.*! * .* .*.’ .* .*!.! .* * .* 1.800.00
!J Ue Eastern banks .!!!!.. 45.803.56
Due by other banks and bankers 36.53C.50
Overdrafts 5,934.78
cash In hand . ; . 324,481.17
T °tal i I..... 93,263,304.12
„ , LIABILITIES.
capital j 100,000.00
Surplus and undivided profits 460,663.04
Bills payable and rediscounts 300,000.00
Reports 2,176.944.69
clearing house certificates 200,000.00
Due other banks and bankers 35,696.39
TotuI 83.263.304.12
(Signed) (V. F. MANRY. Cashier.
NO UNUSUAL DEMANDS
MADE ON THE BANKS
OF ATLANTA MONDAY
BUY IT TODAY
That no unusual demands are being
made by depositors upon Atlanta
banks and that deposits are being
made on Monday just as they have
been made In the past. Is Indicated by
Intervlewa with a number of prominent
bankers of the city, Monday.
While It Is admitted that a slight
feeling of unrest has been prevalent
among certain classes of depositors, It
If* the general opinion, openly ex
pressed, that the vast majority of peo
ple who have placed their money In
the banking Institutions of Atlanta
entirely undisturbed by the closing of
the Neal bank.
Aaa G. Candler.
Asa O. Candler, president of the
Central Hank and Trust Corporation,
and president of the Atlanta Clearing
House Assocfatlon, said:
"I am very much pleased with the
situation today. There appears to bo
little uneasiness on the part of deposi
tors nnd the banks appear to be doing
a normal business."
c C. E. Currier.
C., R. Currier, president of the At
lanta National bank, said: .
'’There have been no unusual demands
made ui>on our bank today. On the
contrary, we have been hard at work
taking deposits. Nobody appears to
rnliclpnte the slightest disturbance."
W. L. Peel and R. F. Maddox.
Colonel W. L. Peel, president of the
Maddox-Uucker Banking Company,
nnd Robert F. Maddox, vice president,
gave out the following statement:
"No unusual demands have been
made upon our bank today, and every
thing Is moving along smoothly. We
are delighted to know that the eonfi
dence of the. people has not been
shaken by the unfortunate situation de
veloped Saturday. Our deposits have
been about as usual."
J. K. Ottloy.
J. K. Ottley, vice president of the
Fourth National bank, said:
"In so far as this bank is concerned,
business has been about as usual, and
there have been no unusual demands
made upon us."
J. T. Holleman.
J. T. Holleman. president of tne
Union Savings bank, said:
"We are much pleased with the con
fldence our depositors have shown. We
frequently have larger withdrawals
thnn those we have had today. The
demands have not been unusual, and
deposits have been good."
Robert J. Lowry.
Colonel Robert J. Dowry, president
of the; Dowry National bank, said
"We have had a large number of
new deposits today, and feel that there
Is nothing to worry about. There Is no
material difference between the busl-
?ss of today and other days."
Frank Hawkins.
Frank Hawkins, president of the
Third National bank, said:
We have taken In many new ac
counts today. Business Is normal, and
there arc no withdrawals."
bank examiner.
"JB. Jf. THORNTON. Director.
"W„ F. MANRY, Director.
H. C. CALDWELL, Director."
The closing of the bank was the re
suit of an examination made by As
sistant State Bank Examiner J. S. Hol-
llnshead on Saturday, and a meeting of
tho Atlanta Clearing House Associa
tion on Saturday and Sunday, when,
after a full investigation, the associa
Hon declared that the loans of the Neal
Bank were such that they could not
readily be converted, and the associa
tion did not feel warranted in render
ing the assistance that its present ne-
lessdtiefc required.
President Thornton refused Monday
mornlhg to make any statement what-
r. other than that previously given
0 it by him, which follows:
The affairs of the bank are now In
l| >‘* hands of the state bank examiner.
1 ast Saturday we kept open until the
t'kular closing hour of noon and paid
ev "ry check that wfcs presented. There
bad been rumors put in circulation
days before which brought the
* >Ivency of the bank Into question, and
ft number of depositors began to with
draw their deposits or .transfer their
a-counts to other banks. In Justice to
all the depositors, we called upon the
clearing house association, of which we
are a member, to make an Investiga
tion Saturday afternoon, and this has
beeh done. It has been decided to let
the state bank examiner take charge of
the bank’s affairs. The whole situation
1^ the,result pf the rumors referred.to,
and this we yould not help."
When asked If the depositors would
be paid in full. President Thornton
said:
"Yes, I believe that every depositor
will get dollar for dollar. Of course,
this can not be done Immediately, as
the Investigation must be completed
by the state bank examiner."
Clearing House Report.
The Clearing House Association held
a special meeting on Saturday after
noon and this was continued on Sun
day. The accounts of the Neal bank,
which is a member of the association,
were carefully studied and the associ
ation finally made the following re
port :
To the Public: After duly consider
ing the character of the assets and
resources ofithe Neal bank, and inves
tigating Its affairs hs far as possible,
for the purpose of extending to it such
assistance as its condition would war
rant. we regret that we And tho in
vestments and loans of this bank are
of such a character that in our opinion
they can not be readily converted, and
therefore wo do not feel warranted in
rendering the assistance that Its pres-
nt necessities require.
\\> believe that the Interests of tho
depositors and creditors will be best
conserved by allowing the bank to con
vert its assets through the state offi
cials, as provided by law. We hope j examiner or assistant, or examiner ap
that by the adoption of this course j pointed as aforesaid, or shall in any
creditors and depositors will ultimately j manner obstruct or interfere with him
be paid. fin the discharge of his duty, or refuse
* to be examined on oath touching the
concerns of the bank, the state bank
FORATION.
Bank Examiner’s Law.
The law under which the state bank
examiner takes charge of the bank's
affairs was passed, by the assembly of
1907, introduced by Holder. Alexander
and Heard. Its text follows:
"Any bank doing business under this
net may place Its affairs and assets un
der the control of the state bank ex
aminer by postfng a notice on the front
door as follows: This bank Is in the
hands of the state bank examiner.’
Signed by a majority of the directors
in their own handwriting. The posting
of such notice, or the taking possession
of any bank by the state bank exam
iner chall be sufficient to place all its
asset.) and property, of whatever na
ture, in possession of the state bank
examiner and shall operate as a bar
to any attachment proceedings.
"Whenever It shall appear that the
capital stock of any bank or trust
company doing business under this act
has been impaired over 10 per cent,
the . state bank* examiner shall notify
such bank to make such impairment
good within hlnety days, and it shall
be the duty of the officers and direc
tors of any bank receiving such notice
from the state bank examiner to imme
diately call a special meeting of Its
stockholders for the purpoee of mak
ing assessment on such stock sufficient
to cover the Impairment of Its capital,
payable in cash; provided, that such
bunk may reduce Its capital' to the
extent of th« Impairment, if such re
duction will not place Its capital below
the amount required by this act,
"Whenever any officer of any bank
shall refuse to submit the books,
pers, and any assets to the state bank
A Store
For Men
Traveling Bags and Suit
Cases
$5.00 to $30.00
Neckties
50c, $1, $1.50
Gloves
Mufflers
Handkerchiefs
Suspenders
Hats
Shoes
Bath Robes
Pajamas
Night Robes
Collars
Shirts
Umbrellas
$1.00 to $15.00
Canes
50c to $7.50
House Slippers
$1.50 to $3.50
Bath Slippers
50c to $2.00
MISS HELEN MALONEY IS
IN CONVENT NEAR ROME
Philadelphia. Dee. 23.-It la now an
nounced by authority that Helen Maloney,
or Mr». Edward (>Hl»orn, la In n convent
near Home, Italy. Iler father. Martin
Maloney, the luulti-mIUlouaIre, and hla ala-
ter, Mra. t'arherry Ritchey, nlao are !u
Home and pay frequent vlalta to the young
woman, whoie elopement with Hamnel
Clarkson, of London, Eng., enuted her to b#
Immured In the rellaloun retreut. She haa
told her rclutlvea that she loves Clarkson
and hopps to be married to him aa soon as
frocil from the lamds which bind her to Os
born, the young New Yorker, to whom
she really did not consider herself married.
Hhe insists, and her fninfly believes her,
thnt In nil her travels with Clarkson, she
posed ns his sister and they traveled ac
cordIngly.
THE ATLANTA CLEARING HOUSE
ASSOCIATION.
ATLANTA NATIONAL BANK.
LOWRY NATIONAL BANK.
FOURTH NATIONAL BANK.
MADDOX-UUCKER BANKING CO.
THIRD NATIONAL BANK.
CENTRAL BANK & TRUST COR-
Guarantee Trust
and Banking Co.
CAPITAL $300,000.00
Organized for Business
December 10,1907.
loans,
The strength of a bank is in its individual
The charter of this institution restricts its
loans absolutely to collateral securities, afford
ing thereby the most perfect security obtain
able for funds.
Commercial and Savings Accounts Solicited.
Bank Offices, Temple Court
examiner may, with the concurrence of
the governor, thru the attorney gen-
eral. Institute proceedings for the ap
pointment of a receiver for such bank
to wind up Ita business.
Powers of 8tate Bank Examiner.
"The etate bank examiner shall have
vested In him the authority to adopt
such rules, regulations and forms that
he may consider of value to the bank
ing department, and shall call for such
reports as to the condition of any and
all banks and trust companies that are
subject to his examination, and may
anpolnt special examiners when occa
sion arises, and prescribe their duties
and limit their powers under his direc
tion. And shall have power to institute
proceedings to place banks or ( trust
comoanies under his control in the
hands of a receiver, as may be pre
scribed by the laws of this state, when
so ordered by the governor, to whom
he must submit a report touching their
Insolvency, and shall have authority
and perform any other duties as may
be enacted by the examination and
regulation of banks and trust compa'
nies in this state.
"If upon examination made by the
state bank examiner, or his assistant,
or from any report made to the state
bank examiner, it shall appear that
any bonk is insolvent, it slialf be the
duty of the state bank examiner to im
mediately report such condition to the
governor, and when ordered by the gov
ernor he shall Immediately take charge
of such bank and all the property und
effects thereof. Upon taking charge of
any bank the state bank examiner shall
as soon as possible ascertain by a
thorough examination Into Its affairs Its
actual condition, a ml whenever he shall
become satisfied that such bank can
not resume business or liquidate Its
Indebtedness to the satisfaction of all
creditors, including it* shareholders, he
shall report the fact of Its Insolvency
to the governor, who shall upon receipt
of such notice Inntruct the attorney
generai t«. institute proper,, proceed
ings In the proper court for the pur
pose of having a receiver appointed
> take charge of such bank and to
Ind up the affairs and business there
of for the benefit of its depositors, cred
it >r* ni d mo* kh'd.U r*. Wh^n directed
by the governor, the state'bank'exam
iner may appoint a special nsststant
to take charge of the affairs of the In
solvent bank temporarily, until the re
ceiver is appointed. Such assistant
shall qualify, give bond and receive
compensation the same as the regular
assistant, such compensation to be paid
by such bank, or allowed by the court
as cost In the case of the appointment
of a receiver. Provided, that in no
case shall any bank continue In charge
of any special assistant for n longer
period than sixty days, and the bank
shall not change Its corpus by the
transfer of any stock while thus In the
hands of said examiner."
Organized in 1887.
On January 14, 1887, the Neal bank
was organized, the incorporators being
E. H. Thornton, the late Thomas B.
Seal and the late Captain John Keely,;
and associates. The amount of capl
tal stock was $250,000, and the* bank
began business when $100,000 of this
sum was paid in.
Thomas B. Neal, the president of tho
bank, waa a son of John Neal, a promt,
nent citizen of Atlanta, and the ma
jority of the stockholders In the In
stitution were heirs to the estate of
John Neal. The first officers of the
bunk were T. B. Neal, president; John
Keely, vice president; E. H. Thornton,
cashier; W. F. Manry, paying teller,
and H. C. Caldwell, clerk.
The Neel bank was located at 11
Alabama-st. for about three years.
Later It was moved to the old Consti
tution building In Broad-st., and when
the Prudential building In Broad-st.
was completed It was removed to Us
present home on the first floor.
Since the bank was organized its
surplus and undivided profits have
beet) Increased on several occasions,
but the amount of capital stock has
never been changed.
The officers of the bank at present
are: E. H. Thornton, president; W. F.
Manry, vice president; H. C, Caldwell,
cashier, and F. M. Berrj, assistant
cashier. Mr. Caldwell has held the po
sition of cashier since January l,
1907.
The directors of the bank are: E. H.
Thornton, W. F. Manry, L. W. Pitt
man, H. C. Caldwell, and F. M.
Berry.
LOST $100,000
PLAYING RACES;
HE ASKS ALMS
Freeport, Long Inland, Dec; 23.—
Stewart Hyde, who disposed of a for
tune In less than ten years, will prob
ably spend hla Christmas aa a guest
of the town of Hempatead, at Ita poor
farm. Hyde followed the racea. When
hla father died, the young man got
8109,000, and aubaequently he Inherited
other Bums. Last Wednesday, Hyde,
dead broke and hungry, applied to the
BELIEVE ROBBERS
TURNED SWITCH
Southern Train Was De
railed at Yard in Tal
lapoosa.
fipsrlsl to The GeorgiaD.
Tallapoosa, Oa.. Dee, 23.—Engineer
Sam Downey, of Birmingham, was
killed In a Southern wreck here at 6; 40
o'clock yesterday evening.
The Injured were Engineer Joe Lane
and Fireman John Williams.
A passenger, W. J. Wyatt, of West
Point, Miss*,, was slightly Injured.
Southern train No. 23, which left At
lanta yesterday afternoon at 4:10
o'clock, ran Into an open switch at
keeper of the poor farm for relief, and this placs with ths result that the en
gineer was killed and three persons
were Injured.
Both engines ware turned over, and
the mall car was derailed. It took
about an hour to clear the track after
the arrival of the work train.
About elx months ago a similar case
occurred, at which lime Southern train
No. 25 was turned over, and an Invest!,
gallon showed that the switch had
been tampered with by boys who had
formed a plan to rob the express car.
Ths train was a double-header. En
gineer Downey was at the throttle of
the first engine and Lane was In the
second.
CLOTHING
ON
CREDIT
FOR MEN AND WOMEN. SPARE
91.00 A WEEK. WE WILL KIIEP
YOU WELL-DRESSED.
THE FAIR
S3 WHITEHALL STREET.
EVERYHAT GUARANTEED
■ SOPISCMTSfa IT.
CAR STRIKE NEAR
i Thursday he was admitted.
BURGLAR BATTERED
BARBER’S BIG SAFE
By climbing an awning rope, aallor
fashion, a burglar some time Sunday
night made his entree Into ths barber
shop of J. Ed Walker, 3 Viaduct place,
and, after breaking open the raah reg
ister, wrecked a big Iron safe In an ef
fort to open It.
The burglar used some kind of henry
Instrument, battering off the combina
tion and otherwise mutilating the eafe.
All of his efforts were unavailing, how-
ever, as he failed to get Into the safe.
It Is thought that possibly he was
frightened sway before completing his
work.
The marauder obtained only four
cents from the cash register. He a I to
confiscated a number of cheeks that
had been paid and returned by the
hank. The police made an Investiga
tion, but could find no trace of the bur.
glar.
STATE EXAMINER
ON REGULAR ROUND
PARK BELIEVES
NONE WILL LOSE
Ktutr Treasurer and Bank, Examiner Rob
ert K. Pork v»ii nr bln offlre Monday after
noon. nfter a long eijnferenre and examina
tion nt the Neal Bank. He waa reticent In
tile *ti»fentente regarding the condition of
the tank.
”1 l»«‘ll**ve thnt th** detKHdforn will eventu
al ly fi*ee rmtHf,'" be osbl. ”1 hare not had
WL. Jd Hi e>mnlne all the accounts.
There nre aerernl tin him ml of them. The
•report nut.mitred t y the assistant cxnuilnera
trfci not t»e te-» !»* jmMIe untW my regular
Yeyort la pufdUwJ*
Seal Hank existed In the mfhff of State
Bank Examiner R. E. Park waa evi
deneed by the fact that he went to hta
farm at Holton, near Macon, Saturday
morning, ah 1b hla cuatom.
Examiner J. S. Hdllinshe&d. of New-
nan. came to the city Saturday morn
ing under directions to begin the reg
ular inspection of the state banka in
Atlanta. He began work at the Neal
Bank and reported his findings. These
examiners work practically ail the time,
going ail over the state. They have no
regular time for making the examina
tions, but drop Into the state banks
without notice.
The genera! condition of state banks
over the state has been reported un
usually good. During the atrlngent
times the country hanks have been
very careful and have weathered the
close times extremely well.
It Is generally recognized that the
laws governing state banks are not ad
equate In Georgia. For years efforts
have been made to pass measures that
will safeguard depositor* in every way,
Strike-Breakers Herded in
City Ready to Operate
Street Cars.
YALE GLEE CLUB
TUESDAY NIGHT
An event of widespread Interest Is
the concert which will be given by the
Yale alee Club at the Marlst College
Tuesday evening, at » o'clock. An In
teresting program, which will appeal to
old and young alike, hoe been arranged
for the occasion, consisting of college
songs and classic and popular music.
The club le composed of fifty stu
dente of the great unlverelty, repre
sentlng the beet musical talent to be
found In any of the great colleges of
the North. Their entertainments al
ways measure up to the highest stand
ards, and have charmed and delighted
the most cultured audiences In Ihe land.
The club left New Haven December
16, stopping for concerts at Brooklyn,
Beading, Washington, Richmond and
Havannah before arriving In Atlanta.
During their stay In the city, the Yale
men will be extensively entertained at
various social func'lons arranged by
the Atlanta alumni of the famous unl-
.•erstty.
Philadelphia, Dec. M.—WItn strike-break,
era being berried Into Philadelphia by Janes
Parley and a deadlock between ths street
railway employees and the Philadelphia
Itapld Transit Company over the grievances
of the men. there Is little prospect that
peace will grow out of the meeting this
morning. The attuatton has reached au
acute stage.
The executive committee of the Amalga*
mated Association of Htreet Bailwty Em
ployees has called a meeting to couslder
the ndrlsabllfty of cnillng out all conduc
tors and moturman who are members of the
union. The traction company baa made
extensive preparations for n strike and will,
not he caught napping.
but without nuccesn.
The act creating the bureau of bank.
Ing, passed by the last general aasem.
bly, le the most comprehensive law the
etate has ever hod. but some Important
features were eliminated. Many states
have laws making the bank directorate
personally responsible In case of fail
ure.
SMOKE EEM CIGARETTES
Smoke EEM Cigarettes for colds, ca
tarrh. asthma, 6 cents. Drug Stores
and all Cigar Stands.
FLEET ANCHORS
IN PORT OF SPAIN
FOR HOLIDAYS
Washington, Dec. 33.—Tomorrow tho
big fleet will anchor In the harbor of
Port of 8paln to allow the officers and
crews to enjoy the Christmas holidays
on land. Ths transports, laden with
Christmas gifts, will arrive about the
same time from New York, and the
presents will be distributed.
The fleet will remain In this port five
days before sailing for Rto, on the
aecond leg of the long journey. They
will then hare passed beyond the zone
of the wireless telegraphy.
GOLD GLASSES
For Christmas, at Jno. L. Moore A
Sons'. They have a fine variety of
styles, and will exchange nfter gift Is
resented If necessary. 42 N. Broad
it.. Pruden'lal building.