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NOTHER CASHIER GOES WRONG. T. R. Morgan, of a Binghampton Savings Bank, a Defaulter. BINGHAMPTON, N. Y., Jan. 24.-Detective Stevenson, of the local police force, was ordered by Bank Examiner Clark yesterday afternoon to watch the Chenango Valley Savings Bank, which has its offices in the Phelps Bank Building. In company with Officer Heath, the detective remained in the vicinity all night. About 4 o'clock this morning Tracey R. Morgan, the treasurer of the bank, was seen to enter the bank. He came out again in a few minutes and went to the grocery store of D. T. Brownson, who is the president of the bank. A few minutes later he came out with a basket, followed by Mr. Brownson, and both of them returned to the bank. Half an hour later the two men came out with the basket full of books and papers. They went up Chenango street, followed by Detective Stevenson and Officer Heath. Stevenson requested Morgan and Brownson to return the books and papers to the bank. Morgan refused, claiming that they were his private property. The detective insisted, and the bank officials returned to the bank with the books and papers. This morning the bank was closed by Bank Examiner Clark on an order from State Superintendent of Banking Preston. Citizens had recovered from the shock following the suspension of the Merchants and the Ross private bank, and affairs were assuming their normal aspect. when the rumor was circulated that the mango Valley Bank had drawn its curtains. On the heels of this startling report came the announcement that the National Broome County Bank had also closed. Citizens were fairly paralyzed with astonishment, and the apprehension of small depositors was magnified by exaggerated stories which were circulated to the injury of other local banking institutions. The news regarding the failure spread rapidly, and as each messenger enlarged upon the conditions, panic seized the populace, and It became apparent that a run upon the bank would be inevitable. It became evident that nothing could' Just prevent the abnormal pressure. such a movement had been anticipated, however, and the solid institutions were prepared for the rush. The run on the Binghampton Savings Bank was heavy, and the crowd of anxious depositors increased with the hours, but the bank was prepared for the emergency. The officers, pale, but cool and composed, stood behind the heavy plate-glass windows surrounded by piles of shining gold and silver. They had protected themselves with a large amount of cash, and during the day telegrams were received from Metropolitan banking institutions to the effect that they would support the Binghampton banks for unlimited amounts. Runs were also made upon the other banks of the city, but all depositors were promptly paid. and when the doors were closed at 3 o'clock it was evident that the rush and fright was over. ALBANY, N. Y., Jan. 24.-The following dispatch from State Bank Examiner Philo H. Backus, at Binghampton, was received at the State Banking Department this afternoon: Have closed Chenango Valley Savings Bank: defalcation by Treasurer Morgan the cause and full extent not known; books in bad condition-not written or posted; defalcation confessed: Broome County National Bank, in same room, has suspended: Morgan is cashier. Have wired Superintendent Preston in full to notified the of vault M. Currency. Burglary New by York Cashier and Received Morgan attempted replies Comptroller and from about President of both. 3 A. Brownson, of National Bank; prevented by detective whom I had engaged."
