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DEPOSITORS GIVEN NOTICE AMERICAN SAVINGS BANK SUSPENDS PAYMENTS. Announcement Declares Over Discount Caused EmbarrassmentEarly Resumption Promised. The American Savings Bank, located at 1007 G street northwest, has suspended paynient. The following notice has been sent out to depositors: "By reason of large discounts made by bank and an unexpected withdrawal of this deposits, the executive committee finds itself compelled to exercise discretion 16 vested in it by section 3 of article of the by-laws of this corporation, contained in each pass book and assented to by each depositor, and hereby require that the sixty days' notice in writing be given bank by every depositor before the payment by the bank of any check or order drawn hereon by such depositor. "This bank will consider the presentaof all such orders or checks as such the notice tion as to such orders or checks, and same will be duly paid within sixty days from the day of presentation.' The section of the by-laws referred to, section 3, article 16, "Rules and regulations for depositors," is as follows: "No depositor shall have the right with- to draw money from this corporation out the production of his or her pass book, and all payments made to the per- dethe pass book of a shall be valid payment this of all whose pass for the amount so or order of the The charge the son positor been depositor producing check produced corporation book depositor, liability the has to same paid. thus dis- or to person duly authorized to draw will of attorney duly executed, This corporation reserves the right to be pressly by required. power require hereby depositor sixty exdays' notice in writing from any before making payment of any check or order drawn thereon by such depositor. Payment of checks of depositors will be made ordinarily on demand unless it should in the discretion of the committee, to exercise executive become necessary, the the right time herein expressly reserved as to when such payment must be made. The bank was established and began busiin November, 1898. Its officers, who ness have served since then, are William Oscar Roome, president; Edgar H. Stocking and and Charles N. Wake, vice presidents, Charles W. Powers, cashier. President Roome's Statement. In response to a Star reporter's questions, President Roome said this morning that he was confident the bank would shortly resume payments. The depositors, he stated, numbered about 400 or 500, and the total sum of their deposits was $269,000. "Our assets are $317,000," he remarked. "What do they consist of?" inquired the reporter. "Good paper; good notes," was the re"As soon as collections can be made all ply. upon these notes everything will be right. While Mr. Roome and the reporter were talking the paying teller brought the former a check. After scrutinizing it Mr. Roome said: "I think he left a special deposit here to protect this check. Ascertain if is the case, and if so pay a perfect right to that," yesterday "We such have it.' do said Mr. Roome in an explanatory tone to the reporter. Anxious Depositors. There was a line of depositors before the paying teller's window, mostly women, and anxiety was written in unmistakable lines on their faces. From what the reporter overheard, few of them had received the notice published above, and were informed by the paying teller that they were sent out last night. Mr. Roome told The Star reporter they were sent out yesterday morning. Some of the depositors had given checks to merchants and others Saturday, and the latter had, in the course of business, sent these checks to the banks with which they do business. Many such checks were brought by bank runners to the embarrassed institution today, but none was paid unless depositors had made special dedeposits to meet it. Nearly every positor who came while The Star reporter was there gave notice under the article above quoted of withdrawing deposits, and it was evident that many of the women had all their ready money in the bank and were very much embarrassed thereby. be All were assured that the bank would in a position in a few days to meet all demands.
