Article Text
Bank Receiver Pays Interest Bonds on Interest due this payments month to the holders of mortgage bonds mortgage bond certificates issued by the Mechanics Trust Company were paid this week by W. Frank Witman, receiver of the Mechanics. It was explained at the bank that these mortgages were kept in separate trust funds, independent the regular banking business and that the interest money is paid as to the bank by the persons who gave the mortgages, the receiver turning over the holders the bonds of the participating certificates. Thus none of the bank money is being used to pay the interest to the mortgage bond holders. At the Security Trust Company was explained that there, too, these accounts were kept separately but that no interest money has been paid out since the bank closed because the due dates are January, April, July October At the was said the mortgages are pooled. No interest payments have yet been made.