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THE NORRISTOWN SENSATION. Cashier Speculations Cause a suspension. NORRISTOWN, May 5.-The Montgomery Insurance, Trust and Safe Deposit Company of this city suspended payment this morning. A run began as soon as the place opened. Shortly before 8 o'clock Vice. president Chain of the trust company apr peared and read the following to the 30 or more depositors who were in line at that time: "The board of directors, as at pres. ent advised, deem it for the interest of all the depositors that the Montgomery Insurance, Trust and Sate Deposit Company should suspend payment and therefore announce that no more money will now be paid. From the examination of the assets which has been made we feel confident in saying that all the depositors will be paid in full and that it is not likely that the company will sustain anp loss. All truet funds are separately invested and safely secured." As soon as they heard this the depositors assembled went home, confident that they would get their money. The suspension of the trust company 18 due to the unauthorized loans made by the treasurer, William F. Stingiu , who resigned on Saturday and assigned his property to the company. Mr. Slingluff was also cashier of the Montgomery Bank, an institution closely allied to the trust company, and there has been a run on the bank to-day, which, however, exhausted itself about 2 o'clock. After banking hours President John Slingluff, of the two institutions, who is a brother of Cashier Slingiuff, furnished the following figures in relation to the day's transactions: Payments by the bank, $107,293; deposits, $20,131; payments by the trust company, $57,000. Ot the amount taken out of the bank $33,000 comprised the regular monthly withdrawals of three rafiroads. President Slingluff said this evening that the trust company would resume as soon as posible. The directors were going to convert collateral into cash, and If favorable arrangements could be made, they might resume within a day or two, or inside of a week at the latest. They had gone over the paper held by the bank and trust company, and the loss would probably not be more than $80,000 and in no event not more than $100,000, and the surplus of $300,000 amply secured every depositor. Sometimeago It was discovered by thedirectors that Cashier and Treasurer Siingluff had borrowed $100,000 on his responsibility. He secured the loans with what he considered ample security, but the company demanded additional collateral, which was furnished. The collateral is to constat of stock of the Philadelphia Finance Company, People's Railway Company and American Life Insurance Company, three institutions in which the syndicate controlling the suspended Bank of America of Philadelphia, and the institutions in New Jersey which it carried down are largely interested. For some months past It has been known in financial circles here that Cashier Slingiuff was largely interested in business enterprises that were classed as hazardous. When his father, who was wealthy, died about eight years ago, no inventory of the estate was flied and the son was supposed to have Inherited in the neighborhood of $150,000 and therefore no surprise was occasioned by his braconing out into outside speculation. Since the announcement of his resignation It has been learned that the cashier's share of the estate 18 less than $50,000, and the estate being still intact he has not drawn any of this amount. He has operated altogether on money borrowed from the bank, trust company, several building and loan associations and from individuals.
