12658. Newark Savings Institution (Newark, NJ)

Bank Information

Episode Type
Suspension β†’ Closure
Bank Type
savings bank
Start Date
May 16, 1884
Location
Newark, New Jersey (40.736, -74.172)

Metadata

Model
gpt-5-mini
Short Digest
acf201d11dc5b00d

Response Measures

None

Description

The papers report that the Newark Savings Institution was closed/suspended by order of the New Jersey chancery in mid-May 1884 and put in the hands of a receiver; the proximate cause was the suspension/failure of the New York correspondent/brokerage firm Fisk & Hatch, which had custody/use of the bank's government bonds (about $845,000 owed). There is no clear description of a depositor run on this specific institution; instead the bank was suspended and a receiver appointed and the bank remained 'defunct' with litigation continuing thereafter.

Events (3)
1. May 16, 1884 Suspension
Cause
Correspondent
Cause Details
The New York broker firm Fisk & Hatch suspended and reportedly had custody/used the bank's government bonds; Fisk & Hatch owed the institution about $845,000, precipitating the bank's closure.
Newspaper Excerpt
the Newark Savings Institution had been closed by order of the Chancery of New-Jersey.
Source
newspapers
2. May 17, 1884 Receivership
Newspaper Excerpt
Receiver Wilkinson ... submitted a statement to the Chancellor showing the amount due depositors is $6,156,534; total assets ... exclusive of $845,000 due from Fisk & Hatch, are $4,995,337, leaving a deficiency of $1,161,197. The bank has securities and cash on hand to warrant the payment of 30 per cent. to depositors immediately.
Source
newspapers
3. May 18, 1884 Other
Newspaper Excerpt
Chancellor Runyon resolved to wind up its affairs ... the bank would be wound up.
Source
newspapers

Newspaper Articles (24)
1. May 16, 1884 Evening Star Washington, DC
Article from Evening Star, May 16, 1884

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THE WASHINGTON BANKS. No Trouble Apprehended in This City. VIEWS OF LEADING FINANCIERS-WHAT IS SAID AS TO THE CAUSE OF THE TROUBLES IN NEW YORK. Inquiries among the Washington banks to-day developed the fact that there is still no uneasiness felt here on account of the financial troubles in New York. Said one prominent banker: "The panic, If It can be called such, is merely a local arfair. The financial condition of the country is not such as to warrant a panic of any extent. Some outside concerns who had money with the firms that failed are, of course, more or less affected As for Washington, there is not the slightest necessity for any apprehension. We are cut off from the outside world, and most of our transactions are confined to local securities." An officer of the Bank of Washington said there is not the least sign of uneasiness here, and there need be no apprehension. MR. NORMENT'S VIEW OF THE PRESENT TROUBLES. Mr. S. Norment, president of the Central National bank, said to-day " that so far from there being any signs of uneasiness, there were signs of condence here; for, on yesterday, the receipts of his bank were largely in excess of the payments." Continuing, Mr. Norment said:-"This entire trouble has been caused by gambling speculations in various kinds of stocks, especially in railroad stocks of a fictitious value. It has been a good lesson, not easily forgotten. It is confined to those banks that have had connection with Wall street brokers. Any national bank president who is so foolish as to use the funds of the bank to help these operators ought to be put out. This unexpected storm will serve more to purity the financial atmosphere and place confidence on a higher plane than anything that has ever happened to this country. I have not the least idea that any national bank president in this city has ever done such a thing. I speak for banks of Washington alone, being personally interested in three of them; and for my part I would be glad to see the bill offered by Mr. Cullom yesterday pass both Houses of Congress and become a law." DR. D. B. CLARKE, of the National Bank of the Republic, says that there is no need of any apprehension of trouble here, for the banks are safer and sounder than anywhere else. It Is only the speculating banks that have been hurt, and fortunately all the banks here are of a conservative character, and have not been tempted to speculate. There have been no signs of uneasiness here of any kind. "We are carrying on our business as usual," said Dr. Clarke, "loaning our money whenever the security is good, and I believe same." all the other national banks are doing the MR. H. C. SWAIN, cashier of the Second National bank, says that there is no sign of uneasiness here; that his bank is conducting business in the quiet, safe way which has always characterized it, and It is to-day as safe as it is possible for a bank to be. IN THE BROKERS' OFFICES. The chairs in the brokers' offices were well patronized again to-day, and every bulletin posted was read with interest by anxious speculatora There were also many inquiries from persons who seemed inclined to take advantage of the low prices of stocks to buy in. The failure of the Newark savings bank, whose liabilies were reported at $5,000,000, was the chief item of news bandled about. The action of the New York bankers, agreeing to loan par on government bonds, was regarded favorably. The decline in government bonds was partly attributed to the failure of Fisk & Hatch, who had large holdings of these bonds. A report from New York, that only $109,000 in bonds had been offered for redemption under Secretary Folger's recent order, puzzled some of the financiers, who calculated that the bonds would be offered for redemption in large amounts.

2. May 17, 1884 Daily Kennebec Journal Augusta, ME
Article from Daily Kennebec Journal, May 17, 1884

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AUGUSTA, MAINE, SATURDAY MORNING, MAY 17, 1884. depositors. He had appointed Geo. WilkinFO FORTY-EIGHTH CONGRESS. THE FINANCIAL STORM. son of this city receiver. Wilkinson took PH. possession this afternoon. STEA NEW YORK, May 16. First Mession. The Newark Savings bank makes the folA Complete statement of its present trouble landThe Clouds Slowly Dispers"The purchase of government bonds was HOUSE. Hours. entrusted to Fisk & Hatch, who agreed to pay ing. the interest, pending the investment of what WASHINGTON, May 16. money was in their hands. The wealth and The river and harbor appropriation bill The British was reported and referred to a committee of reputation of the firm naturally led to over pool for Boston the whole. confidence and carelessness about obtaining lighthouse on t A. M. The House at 1.30 went into a committee the necessary investments. and so things have The steamer is Affairs More Hopeful-The Worst gone on until now it seems the firm owes the of the whole on the consulor and diplomatic board were sav le States, Over. bank nearly $1,000,000. Besides the box of appropriation bill, the pending amendment Later reports ly winds: being one offered by Mr. Cannon of Illinois, securities of the bank kept by the firm which ing heavily aga I in temappropriating $110,000 for the contingent ought to hold government bonds, only has in room is full of expenses of U. S. consuls ; lost. tinues fine it is their stead personal property not of equal value nor so readily saleable. A number of unimportant amendments portion of the were offered and voted down and the bill was NEW YORK, May 16. The Illvrian Anxious Creditors at Hawley's. WALL STREET-The market shows a rally laid aside with favorable recommendation, fog and struck of 1/2 to 21 per cent. for some shares, but a S. and the committee proceeded to the considBOSTON, May 16. ing a hole in h few stocks are heave New York Central is eration of the army appropriation bill. The The office of F. A. Hawley & Co., whose The fore apart selling at 108 against 110 this morning, while amount appropriated by the bill is $24,244.failure was announced yesterday, was During the nig Lake Shore is back to 83. 450, $437,800 less than the appropriation for thronged this forenoon with anxious creditors the morning th N. The first two hours of business, which are the current year, and $2,645,653 less than and customers, many of them ladies. The and sunk. Ca the estimates. usually the most dangerous in the season of she struck and assignee was in charge, curtains all down. a flurry, have passed with only one small No amendments of any importance were and clerks busily engaged in going through Franklin ship was aband failure which has had no great significance. offered and the bill was laid aside favorably. accounts and getting matters in shape. No Sub Treasurer Acton says there was a brisk The District of Columbia bill was taken exact statement of conditions could be made PARLIA demand for legal tenders at his office yesterup. The bill appropriates $1,862,600. up. day, causing a withdrawal of $3,500,000. Up Mr. White of Kentucky offered an amendMay 16. J. F. Hawley has been in the stock board How it is Pr to this bour today, one million legal tenders ment prohibiting the manufacture or sale of all the morning. arranging as best he could ung man P have been paid out and nearly another million various stock transactions under which the intoxicating liquors within the district; ruled f Madrid. out of order. firm is liable. The fact that the transfer of silver certificates. the latter being for payrid to visit ment to savings banks. At 5.10 the committee rose and reported books of the Atchison, Topeka & Santa Fe The Standar three bills to the House, but no action was red to her road are reopened today. makes his task an The Produce Exchange Gloomy. taken, opposition hav onerous one, as the firm has of late been at of the Business matters at the produce exchange franchise bill r The House then took a recess until eight dealing very heavily in Atchison securities, stairs and have rather a gloomy look, although no failmotion will be o'clock, the evening session to be for the and therefore have many transfers to make. ures or rumors of failures are current. Trade would go consideration of pension bills. ing which, if c It will be several days before the exact status is not disposed to operate to any material its rejection. of the firm's affairs can be learned, but its The House at the evening session passed out and extent. Shippers' operations are materially will show that 32 pension bills. resumption of business is known to be imposand have checked by the extreme difficulty in selling. the extension o Adjourned. sible. isappeared Sterling exchange prices are all lower and peacemeal part Trouble Among the Rokers. tending downward. Leading members are ved to be ment in its dea GRANT & WARD. qaite hopeful that there will be no panic in NEW YORK, May 16. tion. It is hop the produce exchange, but some members thus afforded a Russell Sage stated to Jay Gould he has are discouraged at the outlook of financial Ferdinand Ward Again on the StandHouse of Com settled more than three-fourths of his "puts" affairs in Wall street. election before and that he will continue settling them up as His Memory as Defective as Ever. fast as the clerical force can figure his accounts May 16. At the Petroleum Exchange. up. At one o'clock the glass door of Sage's hat a comNEW YORK, May 16. At the petroleum exchange prices broke 84 office was broken by one of the "privilege" The hearing in the suit of J. H. Norris vs. f steamers or from 734 at the close of yesterday down to holders. He was threatened with arrest, and Grand & Ward was continued today before The scheme 65. There was some excitement, but prices heme is to he said that was what he wanted. referee Hamilton Cole. Ferdinand Ward afterward recovered about four cents. standOcean to the M P. M.-It seems to be the impression in nd stop at was again placed upon the stand. He aping at 12.15 P. M. at 69. No failures are the Iberian per Wall street circles that all danger of continrs chance peared extremely nervous and evaded as revived. A co reported. uance of disturbances of the past few days much as possible the questions put to him. the founders of e or stop Savings Banks Run Nearly Closed. is over. Many of the financial minds of the His memory in regard to the transactions tors for the Su will take day have come to the conclusion that the The run on the Emigrant Industrial Savwas even more defective than at the previous the largest ves moving causes of the panic were in no way el. ings Bank has abated today, and business hearing. Among those interested in the have asked the similar to those which culminated in Black was being done as usual. About $160,000 transactions, he said, were E. Spicer, Col. guarantee of 4 Friday and the flury of 1873. Fred B. Grant, U. S. Grant, Jr., E. H. was paid out yesterday, but it was said that from 1886, wh . Messrs. Donnell, Lawson & Simpson today depositors were returning their money today. Tobey, E G. Tobey, W. E. Grace, J. Nel. completed. issued an address to their creditors announcIt was thought that there would not be anothMay 16. son Tappan, W. W. Smith, Jesse R. Grant ing their suspension, and requesting all poser rush here unless the Wall street pauic and James R. Smith. When he drew money schooner Revision sible consideration. The notice states that broke out afresh. There was no run today from the firom of Grant & Ward he simply the firm and individual members have asdecamped on the Manhattan savings institution. The told the cashier to give it to him and charge signed all their property to their confidential A bill for the N. S., on Greenwich Savings Bank run ended today. it to his individual account. The system upon elerk R. H. Weems, and hopes to pay all will be the firs which he worked was based on the imaginary There was a steady run on the German Savavy draft liabilities unless they are forced to sacrifice chamber of dep ings Bank today. A large crowd composed profits of the operations being carried on. and has the assets. the enlargement Ward admitted that the first person who was mostly of women stood around it. The teller He beNEW YORK, May 16. ency by the al associated with him in this business was was passing nothing but gold to them. The assignment of Donnell, Lawson & The proposed President Fish of the Marine bank. He inWashington advices state that the subchamber of dep duced Fish to embark with him in these Simpson gives preferences to the assignee treasurer at New York reports only $100,000 with regard to for 86083 and to the State Savings Bank of of bonds were offered for redemption there, schemes by representing that he had a great monies and tha St. Joseph. Mo., the full amount which may deal of influence with the government. The under Secretary Folger's call. Mav 16. of the session be found due, which as near as can be estiothers, he added, finally got in some way or The clearing house banks have agreed to mated. is about $300,000 for moneys and seother, I don't remember exactly how. advance $20,000,000 on government bonds if ship badge A curities loaned by the bank to the firm. The Mr. Bangs asked Ward: When you denecessary, to protect the market. Up to this age of the assignment also directs the payment of debts hour it is said that $25,000,000 have been sired money how did you go to work to get e Androsof the individual members of the copartit? loaned in this collateral. Money is loaning The Longfell as won by Ward-I drew a check on the Marine bank nership. at 1/2 and 1 per cent. premium per diem. ) send a copy of 9. whe securities were deposited to the credit of No quotation for money, prime mercantile Gould Interviewed. Westminster A the firm. paper nominal; exchange heavy and deIn an interview today Jay Gould said "I Bangs-Then the real nature of your busipressed at 82 a 84 long and 84 a 85 short: Minister have had no connection whatever with any ness consisted in discounting the fanciful governments weak and lower, state bonds of the broken firms, and the reports that I May 16. prospect of imaginary profits to be derived merely nominal; railroad bonds very regular. lost any money by the crash is absolutely from ficticious contracts founded on the Tozeblatt to Stocks have been better since 11.30 A. M. 1 of Bosuntrue." Richards Muck manufacture of loans and artificial contribuLake Shore is up to 84, St. Paul to 684. wharf this If you haven't lost anything through the will succeed Sa Missouri Pacific to 664, Union Pacific to 423 tions of imaginary money? crisis have you added to your modest savceny of a ister to Berlin. and Western Union to 521. At the subWard appeared to be staggered for a moings?" asked the reporter. James M. ment, as a laugh went round, after asking treasury $3,500,000 in legal tenders have Gould smiled one of his well known sigto have the question repeated, reluctantly he will be been paid out this morning. This will FROM nificant smiles and said "I don't known as admitted that it might be true although he strengthen the bank reserves. yet.' preferred not to answer. Brokers report more willingness on the His confidential man Monisine was presConference in Bangs-Did you conduct this sort of buspart of bankers to make loans and a large ent and also smiled. iness alone? amount of money has come from Canada and heave transfore have been from the other Cittlom in Readford Pa WardVes had no confederates

3. May 17, 1884 New-York Tribune New York, NY
Article from New-York Tribune, May 17, 1884

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QUIET RESTORED WALL STREET. FEARS OF THE CROAKERS NOT REALIZED-FEATURES OF THE STOCK MARKET. Wall Street nearly resumed its ordinary business appearance yesterday. Occasionally persons stopped to gaze at the signs of the suspended firms or to read the notices posted on the door. The great crowds of idlers attracted by simple curiosity were absent. New-st. was somewhat crowded in tne the close of early part of the day, but long business at the Stock Exchange brokers' clerks and "put and call" brokers, as usual. had it largely to themselves. Perhaps the tearing down of the Mortimer Building, at Wall and New sts., may have discouraged curiosity-seekers, for it soon proved to be an intolerable anoya.co to the most hardened frequenters of Wall Street. At the Stock Exchange there was much less exeitement than on Thursday. The market opened lower, perhaps in fear that the suspension of Fisk & Hatch, which had been announced late on the previous day, might have disastrous consequences. Some of the brokers seemed to have a superstitious dread of the day and they whispered allusions to Black Friday. Stock brokers are as superstitious as sailors, and one large operator is careful every morning how he gets out of bed. All these fears were vague and idle. Prices advanced at once, and in a short time they were as high generally as at the close on Thursday. No unfavorable effect was produced by the early announcement of the failure of H.C. Hardy & Sons. The market was disturbed in the first hour, however, by the announcement that the Newark Savings Institution had been closed by order of the ChancoHor of New-Jersey. It was disturbed still more about nooa by rumors that the failure of the bank was due to that of Fisk & Hatch, and that in some way the firm had misappropriated securities belonging to the bank. THE DECLINE IN LAKE SHORE. The feature of the day at the Stock Exchange, however, was the abrupt decline of Lake Shore, which had advanced 112 per cent, from 8912 to 81. At the same time New-York Central, which had risen from 109 at the opening to 1105, quickly fell to 10712 It was rumored at once that one or two Vanderbilt brokers were in serious trouble and that to save themselves they had been forced to seil the stocks. The decline was an opportunity for the " bears," and at least one of them bought large amounts at the lower prices. The market began to improveabout 1 o'clock, and, although the fluctuations were frequent and wide, it advanced to the close. The variations in the price of Lake Shore were specially,erratie The stock tambled about in a remarkable way, falling one and two per cent one minute and rising still more the next. But in rumors the movement was to The upward spite of and continued feverish fluctuations the end. early losses were covered, and still prices advanced until at the close they were from 1 to 3 per cent above the final prices of Thursday. The last figures in many cases were the bestifor the day, and rarely were more than a small fraction below them. FLUCTUATIONS IN STOCKS. Lake Shore was the only exception among the active stocks in 'closing lower than on the preced. ing day. In the late movement it touched 89, but

4. May 17, 1884 Lancaster Daily Intelligencer Lancaster, PA
Article from Lancaster Daily Intelligencer, May 17, 1884

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The Newark Savings Bank. The failure of the Newark savings institution throws a great deal of light upon the causes of the collapse of Fisk and Hatch, the truly Christian bankers in New York, who have failed for the second time. The Newark concern failed before by and through them. The bankers had the Chesspake and Ohio railroad to nurse a half score of years ago. They advertised its bonds as a first class security and sold them ; but they turned out not to be first class, and the buyers suffered. Fisk and Hatch probably had faith in them, for they failed on them ; 80 did the Newark savings institution, which was resur rected under the care of the chancellor and set afloat with its old officers They have again come to grief with Fisk and Hatch, to whom they trusted their box of government bonds, which was all that they could inv st in but they got around this restric tion by permitting their bankers to use their governments and their green backs; and now they haven't any bonds or greenbacks; but instead a box of mis cellaneous securities, politely described as being 'of less value and less saleable than government bonds." It seems that Fisk and Hatch have been engineering the bill in Congress, which authorizes national banks to issue currency within ten per cent. of the market value of the government bonds they put in the custody of the United States to secure their circulation They had bought up a great quantity of governments in the expectation that the passage of the bill would create a demand for them from the banks, and that the price would go up ; and their friends were in with them in the speculation, the Newark savings people being of the number, it is supposed. But all their governments had to go to save their Chesapeake and Ohio and their other unmarketable stocks; this flood of governments poured into the market by those in sore need of cash naturally depressing the price. Those lame ducks will swim perhaps, when the market recovers, as it seems to be everyone's interest now that it shall. Stocks have not yet got down to their intrinsic value in many cases, but there may be a recovery permitted before the next plurge downward is taken. It is well to get to bed rock by degrees, just as it is well to take a cold water plunge in instalments.

5. May 17, 1884 The Semi-Weekly Miner Butte, MT
Article from The Semi-Weekly Miner, May 17, 1884

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MISCELLANEOUS. NEW YORK, May 16.-The Newark .Savings Institute closed its doors to-day. Bank officers say Fisk & Hatch owe the institution $1,000,000. NEW YORK, May 16.-Manager Camp of the clearing house says the banks are availing themselves freely of the new certificates. He would not be surprised if $10,000,000 were taken to-day. The suspended firms are all busy straighteting up affairs. KANSAS CITY, May 16.--All traces of yesterday's flurry in banking circles have disappeared. The banks are paying in full and to-day business is moving as usual. Philadelphia, May 16. - The court discharged the receiver of the Reading railway. Los ANGELES,Cal.,May 1 16.-Thos. J. Caystille, one of the proprietors of the Times died this afternoon.

6. May 17, 1884 New-York Tribune New York, NY
Article from New-York Tribune, May 17, 1884

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prices naturally advance. There were no more large failures yesterday, and no trouble was experienced by any of the banks. The Newark Savings Institution failed, but the effect even in that city was comparatively small, as the Institution once before closed its doors. The savings banks in this city were all prepared to meet any senseless run that might be made upon them, but fortunately the depositors, with few exceptions, realized the folly of such a course. The outlook in business and financial circles is steadily improving, and all cause for further alarm seems to have passed. The Legislature which closed its work at Albany yesterday proved to be more of a deliberative body than any of its predecessors for many years. It passed 399 bills, while the Democratic Legislature of 1883 passed 658. Many important reforms have been carried out this year; but with the exception of the Civil Service bill, there is scarcely anything creditable to show for the session of 1883; and the Civil Service bill, in order to be made effective, had to be amended this year. If the Governor acts wisely on the measures now before him nearly all of the city employes, including election inspectors and poll clerks, hereafter appointed, will have to undergo Civil Service examinations. It is unfortunate that the Adirondack bill and the one to abolish imprisonment for debt met with such unfair treatment. Mr. Kelly's Brooklyn Reform bills were defeated owing to the persistent opposition of such spoils-seeking Democrats as Mr. Earl. He also vainly endeavored yesterday practically to defeat the provisions of the excellent bill passed to stop the publication of obscene newspapers. When such Democrats as Earl, Coffey, Oliver, Van Cott and the others who work with them are no longer sent to Albany to misrepresent the people, honest legislation will be made easier. Fortunately, their work has been unprofitable this year, owing to the care with which it has been watched by the Speaker and other Republican members.

7. May 17, 1884 The Daily Cairo Bulletin Cairo, IL
Article from The Daily Cairo Bulletin, May 17, 1884

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The Third Day's Flurry in the New York Stock and Money Market. Lights and Shades of Financial Affairs at the Center of the Nation's Material Wealth. Failures and Resumptions-Sober Second Thought-American Securities in England. The Opening Hour. NEW YORK, May 16.-Some as busy scenes as have characterized the streets in the vicinity of the Stock Exchange for the past few days, presented themselves this morning. The feeling of anxiety in regard to the opening was greatly intensified by the announcement yesterday afternoon of the suspension of Fiske & Hatch and predictions of more to follow. This morning the brokers were on hand early, and when the chairman rapped the signal for opening business, the board room and Stock Exchange were densely packed. Brokers ran hurriedly from one crowd to another at which the various stocks were being sold and anxiously watched the opening transactions. On the first few sales prices showed a fractional decline as compared with yesterday's closing. All offerings were rapidly bought in, however, and fifteen minutes after the opening hour prices began to go up. A comparison of quotations current at 10:30 a. m. with those at the close last night showed an improvement of 1-4 to 2 1-4 per cent. In the majority of cases Central Pacific, Western Union, St. Paul, Northwestern and Chicago & Alton led in the improvement. This improvement was hardly recorded when came the news of the suspension of the Newark Savings Bank, and almost immediately following this the announcement of the failure of the broker firm of Henry C. Hardy & Sons. These announcements caused a rush to sell, and some of the bear operators took advantage of the prevailing excitement to raid the list. Lake Shore was singled out and sold down at a rapid rate, and the whole list by noon showed a decline to 8 1-2 per cent. LATER. In the stocks mentioned from noon to one o'clock there was very little business done, but the tone was firmer and prices at the time of writing show an advance of one-half to three per cent. 11 A. M.-Dealings in the Stock Exchange thus far have been on a limited scale. Operators are exercising great caution. The feeling is very feverish and uncertain, and prices are irregular.

8. May 18, 1884 Savannah Morning News Savannah, GA
Article from Savannah Morning News, May 18, 1884

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MR. WILKINSON'S STATEMENT. NEWARK, May 17, 10 P. M.-Mr. Wilkinson, of the Newark Savings Institution, this afternoon submitted a statement to the Chancellor showing that the amount due depositors is $6,156,534. The total assets, according to the receiver's estimate, exclusive of $845,000 due from Fisk & Hatch, are $4,995,337, leaving a deficiency of $1,161,197. The bank has securities and cash on hand to warrant the payment of 30 per cent. to depositors immediately. In case Fisk & Hatch are able to resume the bank would lose nothing, and the receiver says that he will make the most liberal arrangements possible to enable the firm to continue business.

9. May 18, 1884 Fort Worth Daily Gazette Fort Worth, TX
Article from Fort Worth Daily Gazette, May 18, 1884

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AN INSOLVENT BANK. NEWARK, N. J., May 17.-The receiver of the Newark Savings institution has submitted a statement to the chancellor, showing the amount due depositors to be $6,156,534; total assets according to receiver's estimate exclusive of $845,000 due from Fisk & Hatch, $4,995,336, difference $1,161,193. The bank has securities and cash on hand to warrant the payment of 30 per cent to depositors immediately. In case Fisk & Hatch are able to resume, the bank would lose nothing, and the receiver says he will make the most liberal arrangements possible to enable the firm to continue business.

10. May 18, 1884 Seattle Daily Post-Intelligencer Seattle, WA
Article from Seattle Daily Post-Intelligencer, May 18, 1884

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PHILADELPHIA. PHILADELPHIA. May 17.-The market is better and sppear inces encouraging. There is a continued demand for governments. the large banks taking ad vantage of the opportunity to exchange 3+ for higher interest bonds. also 4a and 4Β½. There is no demand for money except on the part of depositors, who are taking advantage of the cheap prices to invest in securities. THE OIL MARKET. PITTSBURG, May 17.-The excitement at the Petroleum Exchange has sub sided in a great degree, and a better feeling prevails, with a disposition to buy. No failures are reported. CONDITION OF THE NEWARK SAVINGS INSTITUTION. NEWARK, N.J., May 17.-The receiver of the Newark S avings Institution has submitted 8 statement to the Chancellor showing the amount due depositors to be $6,156,564. The total assets, accord ing to the receiver's estimate (exclusive of $845,000 due from Fisk & Hatch) are $4,995,336; deficiency, $1,161,197. The bank has securities and cash on hand to warrant the payment of 30 per cent to depositors immediately. In case Fisk & Hatch are able to resume. the bank would lose nothing, and the receiver says be will m tke the most liberal APrangement possible to enable the firm to continue business. LONDON. LONDON, Mav 17.-There is a rush to buy American stocks. Bankers are 08bling to New York, offering to ship gold on security of governments. AN ENGLISH OPINION. LONDON, May 17.-The News says The American treasury, which is the al. timate reserve, is well supplied with eash. This ought to check the panie. All accounts show that millions of English money are being thrown into American stocks. During the past few days inconceivably large purchases have been made through brokers. Capitalists bought large blooks of American stocks, and innumerable small investors made limited purchases. Other securities are somewhat depressed, because this morning people are anxious to realize in order to exchange for American stocks. HEAVY ATTACHMENT. KANSAS CITY. May 16.- -An attachment to the amount of $46,000 was levied today upon real estate belonging to Donnell, Lawson & Simpson in this city. At all the banks there were comparatively few withdrawals, while the number of deposits Was unusually large.

11. May 18, 1884 The Sun New York, NY
Article from The Sun, May 18, 1884

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NEWARK'S SUSPENDED BANK CHANCELLOR RUNYON RESOLVED TO WIND UP ITS AFFAIRS. He Says Twice so Enough-The Receiver Ready to Pay so Per Cont.-President Dodd Stamed for Tellies the Chanceller. The officers of the Newark Savings Institution included yesterday that Fisk & Hatch had no authority to exchange the bank's Government bonds in their possession for other securities. s reporter of THE SUN saw President Daniel Dodd at the bank. and asked him when the practice began of leaving the bank's bonds with the firm. .. About a year ago." ho replied. "although I can't speak accurately. The Government was calling bonds, and, as it wasn't safe or convenient to be running to and from New York with the bonds, they were left with Fisk & Hatch. The firm simply had authority to change the bonds whenever they were called. I hear that they say they had authority to substitute other securities for the bonds. but as far as I know this is not true. Certainly they had no right to use the bonds for their own purposes." Did your Finance Committee know that the bonds were in New York They certainly did. No wrong has been committed, and no one triedto make a cent except for the bank. The fault has been that too much confidence was placed in men who stood as high as anybody. Things are beginning to look more favorable, and men are even blaming me now for informing the Chancellor of our trouble, claiming that the suspension was unnecessary. But I felt he should know how we were situated, and therefore I told him even before Informed the managers. The discovery that our bonds were not all in the vaults of Fisk & Hatch was like a thunderolap to me." Treasurer Carter said that he did not authorise Fisk & Hatch to use the bank's bonds for their own relief, or to replace them with securities other than Government bonds. Moreover. Mr. r. Dodd and Vion- President Baidwin had told him they never did. The counsel for Fisk & Hatch had been reported. he continued. as saying that there was a contract or agreement between the bank and the firm. which authorized the latter to use the bonds for their own purposes, and to substitute miscellaneous securities for them. He never knew of any. even a verbal contract. and would be much surprised if the firm could show a written one. Mr. Carter said it was no secret in the bank that the bonds were kept in New York, and it was strange if all the managers did not know it. He was greatly surprised, he said, when the bank closed. He had just arranged to spend a week at Atlantic City with his wife. and was on his way to the railroad station when he heard of the suspension, Receiver George Wilkinson came to New York resterday to collect a loan which the bank had made. The loan was not made through Fisk & Hatch. and had nothing to do with the firm's affairs. It was rumored that the $845,000 which the firm owes the bank was deposited in a New York bank to the credit of the Savings Institution. and that Mr. Wilkinson came here to recover it. The fact in. that in the recovery of this sum the Newark bank will have to take its chances with the firm's other creditors. The $845,000 is the proceeds of bonds which Fisk & Hatch sold about a month ago for the bank. It held the money for relavestment when the firm suspended on Thursday. Mr. Wilkinson qualified as receiver yesterday. giving $100,000 bonds, and late in the afternoon be made a preliminary report to Chancellor Runyon, showing that the amount due depositors is $6,156,534.28. The total assets. according to the receiver's estimate. exclusive of $845,000 due from Fisk & Hatch. are $4,995,336.77 leaving a deficiency of $1,161,197.51. The bank has securities and cash on hand to warrant the payment of 30 per cent. to depositors immediately. In case Fisk & Hatch are able to resume, the bank would lose nothing, and the receiver says be willmake the most liberal evrangements pessible to enable the firm to costinue business. Chancellor Runyon said that in a few days a dividend would be declared. It might be fifty per cent. He declined to say whether the arrest of any of the bank officers would be ordered. but said again that the bank would be wound up. no matter how good a showing it might make. Twice is enough. ho said. Several of the managers of the bank still maintain that they never knew that the bank's bonds were kept in New York. The run on the

12. May 18, 1884 New-York Tribune New York, NY
Article from New-York Tribune, May 18, 1884

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Fifth-ave. But unfortunately there is little hope of intelligent action in the City Hall. THE SAVINGS BANKS. All the city savings banks have come well out of the recent excitement, and it is not too much to say that this fortunate result is largely due to the stringency of the law which governs their operations. The absolute prohibition of speculation to all bank officers indeed has been shown by the events of the past week to be most desirable, since it is clear that men cannot be trusted in such positions upon no better guarantee than that of their private judgment. In the case of the Newark Savings Institution disaster appears to have been incurred through the disobedience of the bank officers to the order of the Chancellor. It is no sufficient excuse in such a case to say that the brokers with whom they deposited the Government bonds had a standing which justified implicit trust in their integrity, nor is it a justification to represent that the profit which was the immediate incentive to the deposit was for the benefit of the bank. The Chancellor had issued orders which it was the plain duty of the bank officers to follow, and had they done 80 the institution would have been on its feet to-day. This failure again shows the danger of trusting to private judgment, and the necessity of hard-andfast rules which shall simply render it impossible, without incurring criminal responsibility, to jeopardize the funds of savings institutions. It is to be regretted that the unintelligent panic of a great number of poor and ignorant depositors in the city savings banks, mostly foreigners, should have led to the sacrifice by them of the half-yearly interest on their deposits. Some of the bank officers appear to have thought this exhibition of blind distrust rather amusing, but considering that the interest on their deposits, however small, is of serious consequence to thousands of the patrons of the savings banks, the loss is really vexatious, and the more so since it was wholly unnecessary. The depositor could be protected against himself in cases of this kind by adopting the rule of notice of withdrawal. This has the advantage of giving time for inquiry, and for the passing of ephemeral excitement. In the present instance it would have prevented the loss of interest to a great many poor people, and would have saved even the appearance of a strain upon the banks. The encouragement of saving is so important, viewed solely as a public policy, that the law cannot be too careful in guarding both the property and the interest of depositors; and when, as in this city, a large class of depositors consists of foreigners of nervous and excitable temperament, ignorant of American methods, prone to suspicion and apt to run together like sheep, and follow the first promptings of their apprehensions, they should not be allowed to suffer because of their want of knowledge, but should be protected even against themselves.

13. May 19, 1884 Lancaster Daily Intelligencer Lancaster, PA
Article from Lancaster Daily Intelligencer, May 19, 1884

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FINANCIAL NEWS. Demanding the Punishment ot President Dodd, or the Newark Savings Bank. NEWARK, N. J., May 19.-Application was made to Vice Chancellor Van Fleet this morning, in the absence of the chancellor, by counsel for German depositors of the Newark savings institution for an order to require President Dodd to show cause why he should not be punished for disobedience of the order of the court of chancery in removing the bank's assets out of the state. At the suggestion of the vice chancelor, the matter was laid aside temporarily pending further develop ments. Receiver Wilkinson again went to New York to-day and rumors that the bank will receive the full amount of its claim against Fish & Hatch are circulated. The run on other saving banks ceased to day, and a better feeling prevails. All Quiet on Wall Street. NEW YORK, May 19.-Everything is quiet on Wall street to day. There is much confidence manifested. Michael Morton, dealer in china, made an assignment today. giving preferences amounting to $24,0000. It is reported that the Eric County Sav. ings bank, of Erie, Pa., has suspended. 2 p. m.-W. B. Scott & Co., have just annouced their suspension at the stock exchange. Failure of an Indiana Bank. LAPORTE, May 19.-The City Exchange bank made an assignment on Saturday owing to the failure of Donnell, Lawson & Simpson, in New York. Liabilities, $36,000 ; assets; $20,000. : A Temporary Suspension. PETERSBURG, Va, May 19,-Owing to the heavy run on the Planters' and Mechanics' bank, it temporarily suspended to-day.

14. May 20, 1884 The Daily Dispatch Richmond, VA
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German depositors of the Newark Savings Institutions, for an order to require President Dodd to show cause why he should not be punished for disobedience of the order of Court of Chancery in removing the bank's assets out of the State. At the suggestion of the vice-chancellor the matter was laid aside temporarily pending further developments. Receiver Wilkinson again went to New York, and rumors that the bank will receive the full amount of its claim against Fisk & Hatch are circulated. The run on the other savings banks ceased to-day and better feeling prevails.

15. May 24, 1884 The Bee Washington, DC
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NEWS OF THE WEEK. Eastern and Middle States. GRANT & WARD'S liabilities have been 000. found to exceed the colossal sum of $14,500,A COLLISION occurred near Connellsville, Penn., between a freight train and a gravel train containing about fifty laborers. Fourteen men were either crushed or burned to death, and twelve more injured. THE recent failures of " Jim " Keene, the Wall street speculator, followed by the suspension of the Marine National bank, and the failure of Grant & Ward, succeeded in turn by the embarassment of the Second National bank, led to a panic in New York financial circles, such as has not been witnessed since the memorable day when Jay Cooke went to the wall in 1873. During the day two banks-the Metropolitan National and the Brooklyn State bank-closed their doors, and seven prominent firms of bankers and brokers suspended. Wall street was a scene of tremendous excitement, and was crowded from sidewalk to sidewalk with a rushing throng of people. Secretary Folger, however, helped allay the excitement by ordering the treasury department to pay the $10,000,000 included in the 127th call in advance of the time set-June 20-and the New York Clearing-House association, composed of sixty-three banks, held a meeting and resolved to stand by one another. This action in a measure quieted matters. THE deficit of John R. Eno, president of the Second National bank, of New York, was larger than was at first supposed, amounting to about $4,000,000. It was made up by his father, and the bank went on with its business, although many alarmed depositors drew out their money. Mr. Eno lost the money in speculation. VERMONT Greenbackers held a State convention at Waterbury and nominated a full ticket headed by Samuel Soule for governor. ON the second day of the financial excitement in Wall street a quieter state of affairs existed, and only two more failures occurred, one of the two firms of brokers suspending being the prominent house of Fisk & Hatch, the junior partner in which was the president of the New York Stock Exchange. The Metropolitan bank again resumed business, President George L. Seney resigning. A FIRE which broke out at 9 o'clock in the morning at the Papachong mill, Worcester, Mass., spread SO rapidly that many operatives were compelled to jump from the upper windows. Nineteen male and female operatives were injured by their leap for life, several with results likely to prove fatal. The entire mill was destroyed, and an estimated loss of $150,000 was incurred. THERE was a large attendance of delegates at the annual session of the Presbyterian General Assembly North, held in Saratoga, N.Y. ONLY one failure was reported in Wall street on the third day of the financial whirlwind. But in Newark, N.J., the Newark Savings Institution, which had been considered one of the stanchest depositories in the State, was forced to suspend and go into the hands of a receiver. The bank's trouble was caused by the suspension of the New York firm of Fisk & Hatch, through whom the institution had invested its government bonds. FIRE destroyed five of the Harlem Railroad company's car shops in the upper part of New York, causing a loss of about $200,000. DESTRUCTIVE forest fires have again been raging in the vicinity of Wilkesbarre, Penn. GREAT excitement was caused at Erie, Penn., by the suspension of the Erie County Savings bank, and disappearance of its president, Adam Brabender. The bank was mainly patronized by German farmers, mechanics and railroad men, and the deposits were $360,000.

16. July 10, 1884 River Falls Journal River Falls, WI
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A Bank President Kneels and Weeps. A New York paper says that President Daniel Dodd of the Newark Savings Institution has been so nervous and worried since the bank failed that dark circles have appeared under his deep set eyes and additional lines of care are seen on his sallow face. He is restless by day and night, and his friends say that the preparation of his answer to the allegations of contempt of the New Jersey court of chancery is a great strain on his mind. The manager of the bank cast all the blame for the failure on Dodd. A story is told in Newark that on the day Fisk & Hatch suspended they notified President Dodd that they had used the bank's money and cash. Mr. Dodd's face blanched and he came to this city. In the office of Fisk & Hatch, according to the story, Dodd fell upon his knees and with tears streaming down his cheeks implored Mr. Fisk and Mr. Hatch to give him en ough securities to save him from eternal ruin and disgrace. A large batch of securities of different kinds ere-packed into & stout satchel, which was handcuffed to the arm of President Dodd's son, who is employed in Fisk & Hatch's office, and a clerk of the firm entered the carriage with President Dodd and his son. The party drove rapidly to Newark, the securities were locked in the vaults of the bank and then Chancellor Runyon was notified that the bank was in trouble. Then came the crash and the discovery.

17. July 15, 1884 Evening Star Washington, DC
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INVESTIGATING THE NEWARK BANK FAILURE- A private examination of the members of the firm of Fisk & Hatch, bankers, was held In New York yesterday. in regard to the recent failure of the Newark savings institution. It is said that the failure of the bank was due to the suspension of Fisk & Hatch during the pante in May, Daniel Dodd, the president of the bank, having deposited about $2,000,000 United States bonds with the firm, which belonged to the bank, and no security being given. The testimony taken yesterday was in regard to the nature of the transactions between President Dodd and the firm of Fisk & Hatch. It was not made public.

18. August 15, 1884 The Warner Weekly Sun Warner, SD
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A Bank President Kneels and Weeps. A New York paper says that President Daniel Dodd of the Newark Savings Institution has been so nervous and worried since the bank failed that dark circles have appeared under his deep set eyes and additional lines of care are seen on his sallow face. He is restless by day and night, and his friends say that the preparation of his answer to the allegations of contempt of the New Jersey court of chancery is a great strain on his mind. The manager of the bank cast all the blame for the failure on Dodd. A story is told in Newark that on the day Fisk & Hatch suspended they notified President Dodd that they had used the bank's money and cash. Mr. Dodd's face blanched and he came to this city. In the office of Fisk & Hatch, according to the story, Dodd fell upon his knees and with tears streaming down his cheeks implored Mr. Fisk and Mr. Hatch to give him en ough securities to save him from eternal ruin and disgrace. A large batch of securities of different kinds were packed into a stout satchel, which was handcuffed to the arm of President Dodd's son, who is employed in Fisk & Hatch's office, and a clerk of the firm entered the carriage with President Dodd and his son. The party drove rapidly to Newark, the securities were locked in the vaults of the bank and then Chancellor Runyon was notified that the bank was in trouble. Then came the crash and the discovery.

19. August 27, 1884 Evening Star Washington, DC
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# Newark's Suspended Bank. THREE MANAGERS WHO DID NOT KNOW OF THE LOANS TO FISK & HATCH. From the New York Sun, to-day. Yesterday afternoon Vice Chancellor Van Fleet, in Newark, took up again the charges against the managers of the Newark Savings institution of making illegal loans. Three of the managers testified in their own defense. Henry G. Darcy, who is the city treasurer, was first called to the stand. He said he knew nothing about the loans to Harriman & Co. and Fisk & Hatch, and was not consulted about them, although he was a member of the finance committee. William Rankin, a manager, who is now treasurer of the Presbyterian board of foreign missions, was next examined. He said he was a member of the finance committee during the last two years. He did not attend many meetings, and never heard of the loan to E. H. Harriman & Co. until after the suspension of the bank. Neither did he know of any loan to Fisk & Hatch. He supposed he must have read the chancellor's order concerning the management of the bank, but he had only the general knowledge that it imposed some restriction on investments. Charles S. Haines, a manager, testified that he is president of the Newark Fire Insurance company. He knew nothing of the loans to Fisk & Hatch and Harriman & Co. until after the bank suspended, except that last October, when he was in New York with President Dodd, the latter referred to Mr. Harriman and said, "He has some of our money." The witness answered, "I hope it is a good loan," and he was assured by Mr. Dodd that it was "first class, none better." Mr. Haines said that he also trusted the officers of the bank to look after its business. He always supposed the bank's funds were kept in its own vaults.

20. December 31, 1884 Morning Journal and Courier New Haven, CT
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The Defunct Newark Savings Bank. NEWARK, N. J., Dec. 30. Vice Chancellor Van Peet in an opinion delivered in Trenton in the case of the defunct Newark Savings bank adjudged Daniel Dodd, the president of the institution, guilty of contempt of court in his management of the affairs of the bauk. The bank's failure was caused by the suspension of Fiske & Hatch of New York, with whom they had a large amount deposited. The bank's officials assert that the money was in Fiske & H h's hands simply for safe keeping, while the firm allege that it was held for collateral. Judge Depew in presenting the case to the grand jury recently for investigation gave them a very strong charge, instructing them should they find that the officers were guilty of negligence or mismanagement to indict them accordingly. They report next week.

21. March 22, 1885 New-York Tribune New York, NY
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and settled in Pittsburg. About a year ago nis wife died and he decided to return to Holland, but when he reached Jersey City he found himself without money. NEWARK. The Southside Gun Club held a novel shooting match yesterday at its grounds. Threee hundred crows were sprung from a ground trap at twentyfive yard's rise. A strong wind helped the birds to get and good scores were not made. The managers of the Newark Savings Bank yesterdav filed their answers in demurrer to the bill in chancery of the receiver of the bank claiming civil damages for the losses sustained by the depositors through the alleged neglect of duty on the part of the managers. The managers disclaim civil liability by reason of their participation in the management of the bank. SUNDRY NEW-JERSEY TOWNS. HoBokeN.-Sister Francesca, of the Sisters of Charity at St. Mary's Hospital, died yesterday from consumption. NEW-BRUNSWICK.-The tug Winnie while atterapting to break through the ice and open the Delaware and Raritan Canal, yesterday, was sunk. A number of policemen while off duty in the morning got drunk and engaged in a tight in which several of them were severely beaten. BELNILLE.-Frederik Alien, who served nine years at Trenton for a burglary in Elizabeth, and who has been out of prison only one month, was arrested yesterday on a charge of robbing the house of John Bird of $200 about two weeks ago. ELIZAB TH.-The public school building on Morris-ave. was burned on Friday night and two adjoining houses were damaged. Yesterday a barn caught fire from the cinders and was also destroyed. LONG ISLAND. SETAUKET.-William Wilmet while driving a ferocious hog on Friday was bitten and narrowly escaped with his life. It is feared that he may die from lockjaw. RIVERHEAD.-Miss G. Anna Terry, while skating at the rink yesterday, fell and broke her leg and wrist. WESTCHESTER COUNTY. The all-absorbing topici in the County is the Town elections, which will take place on Tuesday of next week. At these elections a new Board of Supervisors will be elected. besides all the minor town officials. YONKERS.-Shortly after noon yesteΔ±day the grocery store of Gardiner Brothers, in Ravine-ave., was discovered to be on fire. The volunteer fire department out out the flames after they had caused $800 damages. PORT CHESTER.-The fine maasion at Hawthorne recently erected for C. H. Mallory, one of the ownersof the Galveston line of steamships, had a narrow escape from destruction on Friday. Carpenters at work made a fire on the hearth and it iguited some of the timbers beneath. New-Rochelle.-A few evenings ago a young man visited his sweetheart at a late hour. After being admitted, and while trying to brush some snow from the heels of his boots, he made so much noise that the old gentleman awoke from his stumber with the susp'cion that burglars had entered his dweiling; he therefore hurried down stairs, revolver in hand, with a full determination to shoot the robbers at sight. The visitor barely escaped from the front door bofore a couple of shots were fired at him, and papa is happy in the thought that he gave the burglar a bad scare. SHRUB OAK PLAINS.-Henry W. Hart, who has been on trial for several days before the Rev. Mr. Wheatley and a church jury, was acquitted yesterday. He had been charged by his pastor with fourteen different offences. VARIOUS CONNECTICUT TOWNS. BRIDGEPORT.-The great-great-grandfather of Moses Wheeler, who died in his chair in White Hills District last week, was expelled irom two of the New-England Colonies because he kissed his wife on Sunday on his return from England Silas Barnum, who lost his life at the fire offa boarding-house in East Bridgeport on Friday morning, had boarded at that house more than thirty years. The cause of the fire is now attributed While LO the explosion of a kerosene-oil barrel. workmen were roofing an old buildi g in Wall-st. yesterday they brought to light a bill for 400 nounds of corned beef. dated 1805, and made out

22. January 17, 1886 New-York Tribune New York, NY
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LOOKING FOR AN IMPORTANT DECISION. The Court of Errors and Appeals of NewJersey has not rendered a decision since last June and many cases are pending. One of these is the appeal of Daniel Dodd, the president of the suspended Newark Savings Institution. from the decision of Vice-Chancellor Van Fleet holding Dodd guilty of contempt of court in disobeying the orders of the Chancellor In the investment of the bank's funds. It is stated that the decision of the Court of Errors and Appeals will reverse that of the Vice-Chancellor. This would be followed by the discharge of Mr. Dodd. The alleged ground of the decisien of the Appellate Court is that the Chancery Court had no jurisdiction and that its order was null and void.

23. May 22, 1887 The Sunday Morning News Jersey City, NJ
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WILL THEY COMPROMISE Reported Negotiations of a Settlement of the Newark Savings Institution Difutties. NEWARK, May 21-[SPECIAL -Although mum's the word" among all the legal celebrities connected in the case, it is, nevertheless, stated on positive authority that since the victory won by ex-Judge Stevens some three weeks ago in the Court of Errors for the depositors of the defunct Newark Savings Institution, negotiations have been on foot for a compromise of $400,000 suit brought against the managers of the institution for $100,000. The EVENING News, in an article on the matter, published to-night says: "Beaten at every turn in the various courts the managers have been trying to find a way to settle the case without further litigation. Meet ings have been held in the office of exCity Conusel Henry Young, and it is reasonably certain that a subscription has been started for $100,000. Of this amount it is said Daniel Dodd, who was president of the bank, has offered to give $15,000, while other managers have offered $10,000 and smaller amounts according to their means. The meetings have all been kept secret, and until to-day outsiders knew nothing of them. It is said that next week or in the near future $100,000 will be offered to Receiver Wilkinson in settlement of the pending suit." In an interview with Judge Stevens this evening, that gentleman said; "I understand that the managers have been trying to raise money to compromise the suit, but I do not know when they will offer it or what the amount will be. We cannot say until the offer is made whether we will accept it or not. Doubtless the receiver would accept only an equivalent for what the depositors have lost, although he alone knows about that." Questioned further the Judge said that he claims that each of the managers is liable for the total loss, although the opposing counsel would, of course, dispute that. Receiver Wilkinson, Thomas N. McCarter, John W. Taylor, Charles Borcherling, John R. Emery and the other lawyers interested for the depositors, either knew nothing of the proposed compremise or would say nothing.

24. June 5, 1887 The Sun New York, NY
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# Newark Bank Managers Offering to Settle. The Board of Managers of the defunct Newark Savings Institution, which was wrecked by the action of President Daniel Dodd in placing Government bonds in the hands of Fisk, Hatch & Co., without the knowledge of the directors, have been sued individually and collectively for the amount of the deficiency, which is estimated at $300,000 or $400,000. They have been beaten on every hand and have now made an offer to settle for $100,000. Receiver Wilkinson has taken the proposition under consideration and will probably submit it to the Chancellor, as the bank was under the control of the Chancellor when the second failure occurred. The general feeling among those interested is that the offer should be accepted, as the remaining assets (Chesapeake and Ohio bonds) will probably yield a further dividend of from five to seven per cent., and 88 per cent. of the liabilities have already been paid. If the offer is accepted the receiver will keep the assets and have the $100,000 in addition. The managers offered $50,000 last week and it was refused.