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DEFUNCT BANKING HOUSES. MORE INSIDE HISTORY RELATING TO THE KEYSTONE BANK. Correspondence Which Passed Between Comptroller Lacey and Bank Examiner Drew. Special to the RECORD-UNION. PHILADELPHIA, June 22.-An official copy of all correspondence between Comptroller Lacey, Bank Examiner Drew and others, with reference to the affairs of the Keystone Bank, which was received from the Treasury Department last week, was made public to-night. It is very voluminous, and much of it has already been published in connection with the investigation. In a letter from Drew to Lacey, the former gives the result of his examination of January 9th, when he was informed of President Lucas' $600,000 deficit, and gives in detail the measures he took to recover from Lucas' estate. He says Marsh was ignorantly led into these transactions, while Cashier, by Lucas, and the latter, on his death-bed, exacted a promise from Marsh to continue the deception under representations that the money abstracted would soon return from Lucas' enterprises. Following this, at frequent intervals, were letters and telegrams in reference to the condition of the bank and the reorganization efforts. On February 16th Drew's mind was evidently changing in regard to Marsh, for he reported that developments made him suspicious of that gentleman. On February 28th Comptroller Lacey wrote Drew, urging prompt measures to rehabilitate the bank, and saying that unless some other way was found at once he would order the assessment of the stock. After the assessment had been made there were many other communications, and finally, on March 19th, the Comptroller telegraphed Drew to visit the bank in the morning. The next morning he received instructions to close it. On the same day Drew telegraphed the Comptroller urging the appointment of a receiver without delay. and suggested the name of Mr. Lynch. leadded that there were strong probabilities that the bank would be reorganized by wealthy men. The same day Comptroller Lacey sent Drew the following telegram. marked confidential: "Call at the southeast corner of Eighteenth and Spruce streets, at 8 o'clock this evening, and give Mr. W. a close estimate of the assets and liabilities. Encourage all efforts to reopen the bank, and-give out noinformation except such as will conduce to that end, and then with great care." On March 22d, Drew wrote a private letter to Lacey, advising that no action be taken against Marsh, as his services were indispensable toward the investigation. Previous to Marsh's arrest, numerous letters passed in regard to the reorganization. FAILURE OF AN ALABAMA BANK. BIRMINGHAM (Ala.), June 22. - The Florence National Bank, of Florence, Ala., closed its doors to-day. The immediate cause is said to be the spread of false reports, which caused a run on the bank. Some confusion seems to have resulted by reason of Mr. Flannigan, Cashier of the Alabama Banking and Fruit Company, having been for a time also President of the Florence National Bank. A NASHVILLE BANK SUSPENDS. NASHVILLE (Tenn.), June 22. - The Nashville Savings Bank, conducted by Julius and Max Sax, closed its doors this afternoon. Messrs. Sax claim that the suspension of business is due to the stringency of the money market, and their inability to get rediscounts in the East. They believe they will be able to reopen in a month and pay the depositors in full. The assets are $665,000 and the liabilities about the same.
