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TWO HEAVY FAILURES AT ORWELL. GUARVERMONT INVESTMENT AND BUSH THE ANTEE CO., AND HAMMOND AND CO. GO UNDER. Addison county world and Friday the the State The at large were announcement startled on in the morning last of by the failure on the previous and daily papers Vermont Investment Bush & day Guarantee of the Co. and Hammond, Co. of Orwell. generally supposed in to the be Both were but the stringency westsolid concerns market and the distrust both of dealt, money in which raise ern securities, it impossible for them due, to so for rendered funds for meeting paper them coming to do but there was nothing Ex-Gov. E. J. Ormsbee court of to Brandon suspend. has been appointed by investment the receiver of the the disof chancery and has entered upon members of charge company of his duties. Bush The & Co. will settle their the firm of Hammond, affairs through the insolvency court of the Addison district. THE ORWELL BANK were ALL so RIGHT. intimately The failed with firms the Orwell bank account. that connected some uneasiness was felt on it. its National But there was no run Harlan upon W. Kemp of Bank Examiner was early on the ground and His Montpelier examination of it. made a thorough embodied in the following sent circular, findings are copies of which institution have been interested in the to To all whom it may concern:-! examiner, hereby navemade certify that, national careful bank amination into of the all First the a tull and details the business ascertain its affairs and bank of Orwell, Vt., to 1f it t i s ffected National lition and to discover depositors imperilled, true con stockholdersand Vermont Invest or its failures of the and of Ham by the and recent Guarantee company mond. ment Bush and compa any:and liabilities of the bank, assets and sound, in good over all prepared the to say that it is full confidence condition, am and entitled have to the no doubt that hand- the of the stock will community. continue to be worth a very some premium. KEMP, H. W. National Bank Examiner INVESTMENT COMPANY'S CAREER. THE Vermont Investment and Guaran- legisThe Co. was incorporated by the named in tee of 1884, the corporators Virtulon lature being Charles E. Bush, William B. the act Thomas A. Hammond, Its limit Wright Rich, and Cyrus Jennings. $300,000. It was of capital stock loan was and borrow money authorized to and sell real and personal and 0 to purchase to buy and sell bonds such property, and, generally. to do A clause securities, as its name implies. that business the act of incorporation provided personally of stockholders shall be corporliable "the for the indebtedness of the amount f heyond their stock to an stock. ation to the par value of their equal company at once began business Its , The since carried it on actively. of a and has business was the taking principal on western real estate, way although it mortgages did considerable in the pahandling short-time commercial deof The mortgages it took were basis per. with trustees and on the issued e posited these securities the company which were of are called debentures, interest on I practically what its notes. The funds dedebentures was paid by by the rived the from interest paid the company was the mortgagors That, at least, part the and it was for the most below. f theory, although, as will be seen an fact, company had to advance quite interest the of interest to meet the made d amount the debentures, The company between on profits upon the difference and paid. its of interest it charged came y the rates number of the debentures e A large year -$198,000 worth, as inspector appears a f due the this report made to the State last. and by finance on the 30th of June But. as of these had to be paid. s of course been said, the tightness realizing of money on had prevented the company from o securities, and so it had to suspend. e its will be seen that the holders are the seh It by mortgages in the hands of reart cured There is, therefore, good they o trustees. for believing that ultimately son their money. But it will neces- to es will get take some time to bring things sarily termination. as such mortgages are canh that from the nature of the case not and be what banking people call "quick comnot The receiver is an entirely assets". and careful man, and all may he rest can es petent assured that he will do the best them. well as any one could for is and The as situation of the stockholders difofrom that of holders of debentures, and n ferent are partners in the company, e They the terms of the act of incorporation, has e quoted by above, are liable, if the loss what Vlarge enough, to lose not only by of been have put into the partnership top y of buying they stock, but as much more on g that. latest information from Orwell is The the effect that the situation looks bety a to far as the aflairs of the company inare ter, concerned, so the further they are in vestigated. The chief sufferers will be people of means, many of whom, living their in ve small vicinity of Orwell, had most of debeng the in the company. The therehsavings were held by all classes all ed tures abouts and to some extent by people nt this part of the State. It does not he over that any large blocks of stock or appear were held by Middlebury largar debentures Col. T. M. Chapman was the this up est men. holder of the company's stock in g section. officers of the company are e m President, The George Briggs vice-presi C. E ed dent, W. B. Wright; treasurer, directors he Bush; secretary, D.L. Wells; T. M Briggs, J. W. Wyman, d George Chapman, B. B. Smalley, W. B. Wright E es Dewey, C. E. Bush; trustees, rn W. Ormsbee, S. G. R. Bottum, J. S. Wilit. J. cox; attorney M.J. Harrington; counsel, John W. Stewart. d. ry following is the latest statement dated put out The by the company. It is ed Dec. 31,1892
