Merchants National Bank (Tacoma, WA)

Episode Information

Episode UID
317201121
Episode Type
Run β†’ Suspension β†’ Closure
Bank Type
national
Bank ID
31720 national
Charter Number
3172
Start Date
May 1, 1893*
Location
Tacoma, Washington (47.253, -122.444)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
54c47ce4556e61b9

Response Measures

Accommodated withdrawals, Clearinghouse loan, Full suspension, Books examined

Clearinghouse involved: Yes (loan, examination, or other measures)

Receivership Details

Depositor recovery rate
17.8%
Date receivership started
1893-06-23
Date receivership terminated
1897-09-10
OCC cause of failure
Losses
Share of assets assessed as good
36.0%
Share of assets assessed as doubtful
55.2%
Share of assets assessed as worthless
8.8%

Description

Suspension on June 1, 1893 led to a receivership later that month; contemporaneous reports cite correspondent withdrawals and rumor.

Events (5)

1. May 2, 1884 Chartered
Source
historical_nic
2. May 1, 1893* Run
Cause
Correspondent
Cause Details
Sustained run over roughly a month, exacerbated by large drafts withdrawn by Chase National (New York) and inability to realize on securities
Measures
Tacoma clearing house resolved to protect depositors; attempted to provide funds to meet demands
Newspaper Excerpt
the directors of the Merchants' National bank announced a temporary suspension, owing to the run which lasted thirty days
Source
newspapers
3. June 1, 1893 Suspension
Cause
Correspondent
Cause Details
Temporary suspension declared June 1, 1893 citing inability to realize on securities and the unexpected demands of their New York correspondent (Chase National)
Newspaper Excerpt
The Merchants' National bank ... suspended payment temporarily this morning. Notice on the door states that this action was taken on account of the stringency of the money market and inability to make collections.
Source
newspapers
4. June 23, 1893 Receivership
Source
historical_nic
5. June 23, 1893 Receivership
Newspaper Excerpt
Comptroller Eckles today appointed Robert Wingate receiver of the Merchants' National bank of Tacoma, Wash.
Source
newspapers

Newspaper Articles (22)

Article from The Helena Independent, June 2, 1893

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Temporarily Closed. TACOMA, Wash.. June 1.-The Merohants' National bank. the oldest banking institution in the city. suspended payment temporarily this morning. Notice on the door states that this action WAS taken on account of the stringenov of the money market and inability to make collections. The bank will probably resume in a few days. The bank has a paid up capital of $250,000. The clearing house association yesterday issued the following notice: "Owing to disquieting rumors in circulation affecting the standing of the Merehants' National bank, this association has resolved to protect depositors if necessary." Officers of the bank say the suspension is due to the unexpected demands of their New York correspondent, the Chase National bank, and partly to the continued withdrawal of deposits and inability to realize on assets with sufficient promptness. Total liabilities are said to be $600,000, assets $1,000,000.


Article from The Seattle Post-Intelligencer, June 2, 1893

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A Tacoma Bank Suspends. TACOMA, June 1.-[Special.]-The Merchants' National bank of Tacoma has temporarily suspended payment. owing to inability to realize on its securities. The suspension has been anticipated for some time past and created but little excitement. The liabilities of the bank are said to be $600,000 and the nominal assets are set down at $1,100,000. The directors of the bank are Nelson Bennett. president; Henry Drum. vice president; George F. Orchard, M. F. Hutch, R. J. Davis, Samuel Collyer and Walter J. Thompson. Mr. Collyer, the cashier of the bank. states that all depositors will undoubtedly be paid in full. The character and personal responsibility of the directors and stockholders makes it probable that an early settlement of all outstanding obligations will be made and that the bank will resume business. No other banking institutions are in any way affected by the suspension.


Article from Omaha Daily Bee, June 2, 1893

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IN THE INTEREST OF OMAHA Efforts Being Made to Have Granite Used in the Federal Building. REASONS FOR DESIRING THIS MATERIAL No Other Stone Can Be Used with Advantage as a Result of the Severe Climate-Senator Manderson at Work. WASHINGTON BUREAU OF THE BEE, 513 FOURTEENTH STREET, WASHINGTON. D. C., June 1. Senator Manderson arrived in Washington today. He is here to contend for a granite construction according to the original proposals for the new public building at Omaha. The senator said that Supervising Architect O'Rourke had said to him before his departure for Nebraska that there was no intention to order new proposals. The senator will see Secretary Carlisle tomorrow and inform him that the proposition to construct the building of sandstone, Bedford limestone or other material than granite will be a pure waste of money for the reason that the lighter materials of construction will not stand the climate of Nebraska, however popular they may be in the east and south. The senator said that Mr. O'Rourke's letter to him recently stated that a granite construction would exceed the appropriation at least $50,000. "If that is so," said the senator, "we will try and get the extra $50,000. which 1 think we can do without serious trouble." Senator Manderson is in earnest in this matter and there is no doubt that he will make things decidedly lively for those who have been attempting to alter the plans and readvertise for bids. Vifquain's Final Instructions. General Victor Vifquain of Lincoln, who was recently appointed consul general to Columbia, arrived here today from New York. General Vifquain at once called upon Secretary Gresham and received his final instructions. The general returned to New York this evening and will sail from that city for Panama, his post of duty, on Monday. To Reform the Public Service. The joint commission from the house and senate, which was appointed by the last congress to investigate and suggest methods for reforming the public service in the departments. has appointed a committee of three, to whom the work will be delegated. Two of the appointees are officers of the Atchison, Topeka & Santa Ferailroad, President J. E. Rinehart being one and E. W. Sells of Chicago another. The third commissioner IS Charles W. Haskins of New York. The commission will meet Monday to begin its labors in a room of the Treasury department. Western Pensions. The following pensions granted are reported: Nebraska: Original-Arthur Belding, Daniel W. Ellis, Henry Fuhrer. IncreaseSeth J. Arnett. Original widows, etc.Melinda Suggs. Magdalina Fuhrer. Iowa: Original-Daniel Fogal. Increase -Edwin A. Norton, Eze Flower, Robert Wempler. Reissue-John Chess, Harrison Clinkenbeard, William H. Wilson. Reissue and increase-John McLaughlin. Original, widows-Meribah Fowler. South Dakota: Increase-Joseph W. Barton. Washing ton Bank Failure. Comptroller Eckels received information after closing the department this evening of the failure of the Merchants National bank of Tacoma, Wash. A week ago the bank was regarded to be snaky and the examiner began looking into its affairs. He reported that the clearing house had come to the rescue with sufficient money to meet the run and expressed the opinion that it would tide over. Later the Chase National bank of New York drew out a large amount of deposit, which still further depleted the bank's resources and was the immediate cause of the failure. Personal Mention. At Wilcox, Kearney county. Neb., L. J. Wohlgemuth was appointed postmaster, vice


Article from San Antonio Daily Light, June 2, 1893

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LATE TELEGRAMS BOILED DOWN FROM PRIVATE SPECIAL AND OTHER SOURCES. Long Time trots 6 miles in 16:08. Wheat, corn and oats are lower. Peter Jackson sails for England. Llano has organized a fire company. Grover is doing duty on Hog island. First national bank of Brady suspends. Merchant's National bank of Tacoma,fails. Iowa prohibitionists put out a state ticket. Cotton choppers are scarce about San Patricio. The Kansas winers strike calls out 800 men. The Kentucky building dedicated at Chicago. State Typos meet in regularsession at Dallas. Governor Hogg is in Tyler on private business. Eulalie pays no attention to Ward McAllister. Two negroes jailed at Palestine for attempted rape. Cholera breaks out along the Tigris, Asiatic Turkey. Two persons killed by cyclone near Forest City, Ark. Cuero school district has 563 children of school age. Railway Surgeon's convention is in session at Omaha. Cotton shows a disposition to creep up out of the cellar. Reports of damage to the Austin dam are very conflicting. Striking Kansas miners compel the to DalThe Strip Randle miners murder quit case work. at las is set for Monday, July 3rd. Plate glass factories will soon shut down for an indefinite period. The pension office at Washington has been considerably reorganized. and Twenty lives lost buildings by wrecked five cyclone at Rosedale. The World's fair Sunday injunction case is being argued at Chicago. The electrical building with 30,000 electric lights blazes at Chicago. Union waiters of Kansas City strike, but their places are supplied. Ives runs 1,540 points of billiards in the London match and is still playing. Southern cotton oil company declares a quarterly dividend of 21 per cent. Prof. Briggs will abide by his declaration as to the canon of scripture. Thurston is minister to United States from the Hawaii provisional government. There will be ten contests before the lower house of Congress next session. Ex-Minister Stevens of Hawaii, addresses San Francisco chamber of commerce. Cholera cases increase in France, forty cases department Moridan, and 23 deaths. Victoria Cordage company, Cincinnati, assigns; debts $400,000; assets $500,000. with Del and Rio hail, is visited the wind heavy rain unroofing several houses. Houston invites National railway surgeon's association to meet there next year. Pacific Express company's safe robbed at Peru, Ind., of $800 and valuable papers. Steamer Saragosa founders near Panama and crew drowned, five bodies recovered. The purchaser of $2 worth of unclaimed baggage Montreal, Ont., finds $17,000 in it. Day, president of Plankington bank Milwaukee, assigns; and gives $500,000 bail. J. R. Von Polnitz, under death sentence for murder in Georgia, has sentence commuted. The grand chief of the A.R. P. is removing all subordinates who opposed his reelection, General Assembly Rev. and Briggs from the ministry, suspends notice of protest given.


Article from Grand Rapids Herald, June 3, 1893

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Run on Tacoma Banks. TACOMA, Wash., June 2-A heavy run on the Tacoma Trust and Savings bank and most of the other banks in the city continued today because of the suspension yesterday of the Merchants' National bank. All demande were promptly met and no further trouble is feared.


Article from The Herald, June 3, 1893

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TACOMA BANK FAILURE. The Chase National Disclaims Responsibility for It. NEW YORK, June 2.-In regard to the closing of the Merchants' National bank of Tacoma, Wash., President Cannon of the Chase National bank, says: "It is not true, as stated, that the bank was closed on our account; that statement was doubtlees given out as an excuse. We are in no sense responsible for the failure, and made no telegraph demand on them. The only connection we had with them was that of making them advances for which we received ample collateral security. About a week ago they made drafts on us considerably increasing the amount we had advanced them. This was done without consulting us as to our willingness to increase, and we naturally refused to honor the draft. We saw no reason to carry a bank so far west for 80 large an amount as they wanted. I suppose when they found their drafts had been thrown out here, they tried to raise the money needed to take them up and were forced to suspend. Our action was perfectly proper and the cause of the failure can in no sense be placed at our doors. Like most western banks in rapidly growing towns and 80called boom towns they were doubtless loaded up with local paper more than they could carry in a tight market."


Article from St. Paul Daily Globe, June 4, 1893

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DAY ASSIGNS. The President of the Milwaukee Bank Wrecked Financially. MILWAUKEE. June 3.-Frederick T. Day president of the Plankington ban. this afternoon made a voluntary assik, ment to Willium H. Momsen, cashier of the band. Mr. Day's nominal assets are placed at $600,000, and his liabilities at $500,000. So far the examination of his assets has been only cursory, but it is believed that enough can be realized from his assets to meet all his debts. In doing this, however, his large private fortune will be utterly wrecked. Reckless banking methods were the cause of Mr. Day's failure. There was nothing new in banking circles here today other than a slight increase in the run on the Commercial bank. The run is without sensational features, and is due to the feeling of distrust engendered by the Lappen and Plandington bank failures. The people who are taking their money out are small depositors. Amoug business men the Commercial bank is considered sound, owing to the known conservatism of its officers. GLADSTONE, Mich., June 3.-The Exchange bank has made an assignment for the benefit of its creditors, and has closed its doors. The suspension was caused by the failure of the Plankinton bank, of Milwaukee, and the outcome depends entirely on the latter institution. No statement of the bank's condition has yet been made. JOLIET, III., June 3.-Sanger, Moody & Steele, stone quarrymen, assigned Liabilities, $54,330; assets, nominally $177,000, of which $85,000 is an old goverment debt, which they probably can never realize anything from. WASHINGTON, June 3.-Comptroller Eckels has instructed Bank Examiner Geary to take charge ot the failed Merchants' National Bank of Tacoma, Wash. CHICAGO, June 3.-The Grant Locomotive works IS being pressed by its creditors, and in order to provide ready .cash, has called a meeting of stockholders. The trouble was precipitated recent prevented by the the strike company from of machinists, making which deliveries on its contracts, and thus securing ready money. The establishment is solvent and the assets greatly exceed the liabilities. NEW YORK, June 3.-The steamship Campana, which sailed for Europe this morning, carried $1,000,000 gold coin and the steamship Paris had on board $500,000 gold coin and $828,172 of silver.


Article from The Enterprise, June 7, 1893

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# NEWS OF THE WEEK. Gathered from All Quarters. # DOMESTIC. AT St. Louis, Mo., on the 31st ult., it was stated that an amicable agreement had been reached in the difficulty existing for nearly four years between Liggett and Myers, tobacco manufacturers, and the Knights of Labor. PURCELL THOMAS, an Γ¦ronaut of national reputation, while making an umbrella descent from the top of the parade house at Buffalo, N. Y., on the 31st ult., lost control of the parachute and fell a distance of fifty feet, sustaining fatal injuries. Ar a meeting of the creditors of ex-Secretary Foster, at Fostoria, O., on the 31st ult., it was decided to accept 50 per cent. in payment of claims, leaving it with Mr. Foster entirely as to whether or not he should pay more in the future if he became financially able to do so. # THE Sixty-seventh annual meeting of the Home Missionary Society of the United States commenced at Saratoga Springs, N. Y., on the 31st. The reports showed total receipts for the past year $738,081, an increase over the previous year of $75,292. The society workers number 2,002, ministering to 3,841 congregations and missionary fields. New schools to the number of 265 have been organized. One hundred and forty new churches have been established. Gen. O. O. Howard was re-elected president; Rev. W. H. Holman, recording secretary; George S. Coe, auditor. A STOCK train on the Chicago, Milwaukee & St. Paul road was wrecked near Sioux City, Ia., on the 31st ult. Five persons were injured, one fatally. A half dozen cars were demolished and considerable stock killed. A DISPATCH was received at the state department from Minister Baker, dated Massaya, June 1, stating that peace is restored at Nicaragua and the new government went into operation on that day. # THE furnaces of the Rock Hill Coal and Iron Company at Rock Hill, Pa., were closed down indefinitely on the 31st ult., owing to a strike of the employes, who demanded the reinstatement of several discharged leaders of the local labor union. The company refused to accede to the demands of the men. Ат Tacoma, Wash., on the 1st the directors of the Merchants' National bank announced a temporary suspension, owing to the run which lasted thirty days and the failure of the bank to realize on its assets # THE steamship Fuerst Bismark, which sailed from New York on the 1st for Europe, carried $2,750,000 gold and $182,800 silver. P. F. FLEURY, manager of the Waukesha Mineral Springs Company, was fatally shot by burglars at Chicago on the 1st. On the 1st Dean Bros.' bank at Ava, Ill., was robbed between 12 and 1 o'clock at noon of about $3,000. There was no clew as to who committed the robbery. Runners were sent out in all directions. NEAR Haddam, Washington county, Kan., on the 1st, S. C. Kerns shot and instantly killed W. R. Combs. They were interfering with a fist fight which was in progress between two farmers and began quareling themselves. Kerns drew a revolver from his boot and placing it at Combs' breast sent a bullet through his heart. FULL blooded Chickasaw Indians have held indignation meetings and forwarded protests to President Cleveland against letting the treasurer of the Chickasaws distribute the big strip money. They are afraid of being cheated. NEAR Los Angeles, Cal., on the 1st, a regular freight train was run into and badly wrecked by a special freight. George R. Shatte, a prominent capitalist, was instantly killed. A number of other passengers were badly cut and bruised. GEORGE M. VAN LEVEN, JR., has been held to the United States grand jury at Dubuque, Ia., in $2,000 bonds on the charge of illegally receiving money for securing a pension. D N. MORGAN, of Connecticut, the new United States treasurer, took the oath of office on the 1st and entered upon the discharge of his duties, relieving E. H. Nebecker, of Indiana. The committee appointed to count the money in the treasury immediately assumed charge and began the count. It will take six weeks to complete it. AT St. Louis, Mo., on the 1st representatives of several wholesale houses in that city returned from a conference recently held at Pittsburgh, Pa., and stated that another trust to be known as the American Flint Bottle Company is about to be formed with a capital of $1,000,000. # THE Hope rice mill at New Orleans, La., was totally destroyed by fire on 2d, entailing a loss of $100,000; partially insured. AT Nashville, Tenn., the high court of impeachment on the 2d found Judge Julius J. Dubose, of the Shelby county criminal court, guilty of two charges in the articles of impeachment preferred. # THE street car strike at Fort Wayne, Ind., was declared off on the 2d. The motormen and conductors were granted the advance in wages which they demanded. BUSINESS failures occurring during the seven days ending June 2, numbered for the United States 238 and for Canada 21, total 259, against 207 for the corresponding week of last year. # THE failure to raise $6,500,000 on the Cherokee strip bonds has caused a commercial crisis in the Indian territory. J. W. Stahler & Son, at Tahlequah, the principal traders on the strip


Article from The Salt Lake Herald, June 24, 1893

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Bank Receiver Appointed. WASHINGTON, June 23.- Comptroller Eckles today appointed Robert Wingate receiver of the Merchants' National bank of Tacoma, Wash.


Article from St. Paul Daily Globe, June 24, 1893

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CAUGHT IN THE FLURRY. Three Banks Fail at New What. com, Wash.-Other Failures. NEW WHATCOM, Wash., June 23.The First National bank closed its doors yesterday. Inability to realize on its securities is the cause given for sus pension. The bank officials state that the ir assets are double their liabilitiesand that depositors will be paid in full. The Columbia also closed its doors today. NIAGARA FALLS, N. Y., June 23.The Cataract bank. of this city. the largest bank in Niagara county, closed its doors at noon. There is great excitement among business men in consequence, as over $700,000 of their money was on deposit there. The suspension was totally unexpected, and was not preceded by a run on the bank. Cashier Delaney says that the assets will be far in excess of the liabilities. CHICAGO, June 23-Friedman & Friedman, wholesale clothing dealers, confessed judgment today for sums aggregating $67,300. The total liabilities of the concern are about $92,000. The assets are about the same. The failure is attributed to the stringency of the money market. WASHINGTON. June 23.-Comptroller Eckels today appointed Robert Wingate receiver of the Merchants' National bank of Tacoma, Wash. CINCINNATI, June 23.-W. Coflin & Son. owners of the Cincinnati Dry Dock company. assigned today to V. D. Collins and H. D. Peck. Assets and liabilities estimated at $50,000 each. The failure was hastened by the assignment of the Crane Lumber company, for which this firm had indorsed. KEARNEY, Neb., June 23. - The Kearney Paper Mill company assignΓ©d this morning.


Article from The Seattle Post-Intelligencer, August 25, 1893

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# Dr. Calhoun Starts a Peanut Stand. Executive Commissioner Calhoun's Report. Since the last meeting of the commission I have permitted the sale of orange cider in the state building for a consideration of 10 per cent. of the gross sales. Commissioners Jackson and Huelsonkamp, of Florida, who have the cider concession on the fair grounds, offered to furnish us cider at 50 per cent. of the gross sales. Twenty-five per cent. has to be paid to the World's fair officials. That will leave 25 per cent. for the commission, out of which all expenses will have to be paid. Feeling that the state of Washington was scarcely prepared to go into the peanut and cider business, I handed the concession over to John R. Reavis, of Spokane (who has been on duty with us for some time without salary), and he has already paid us about $300 as a result of this arrangement. Of this sum I have forwarded $250 to the receiver of the Merchants National bank of Tacoma to be applied on a note made by Dr. N. G. Blalock, Henry Drum, P. W. Rochester, William N. La Follett and others. This note was given for money spent on World's fair work prior to the organization of this commission, and therefore could not legally be paid out of the appropriation." [It will be noted that this money goes to liquidate a private debt.]


Article from The Seattle Post-Intelligencer, October 16, 1893

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A Big Attorney Fee. TACOMA, Oct. 14-[Special.]-Receiver Wingate, of the Merchants' National bank, has tranferred to the former attorneys of the bank a parcel of land south of the city, which today sold for $4,000 and which he as receiver bid in. The property is to be held by the attorneys until the receiver is advised by the courts as to the value of the services rendered by them in foreclosing the same. Their price was $1,000, which, with expenses, is estimated by the receiver to be more than half what the property sold for today.


Article from The Record-Union, November 14, 1893

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WORLD'S FAIR EXHIBITS. Washington's State Building Now Under Attachment. CHICAGO, Nov. 13. - The Sheriff took possession of the Washington State building at the World's Fair grounds to-day, under an attachment of the Union National Bank to enforce claims amounting to $2,325. The Washington State Commissioners had an account at the Merchants' National Bank of Tacoma. They drew a check for $325 and a draft for $1,000 on account, but the bank had suspended and payment was refused. The Union National Bank of Chicago had cashed the paper, and brings suit to recover the amount advanced. COMPLAINTS OF EXHIBITORS. WASHINGTON, Nov. -There is much complaint among exhibitors over the delay in awarding the World's Fair medal. As many of the exhibitors expect to make the most of their medals in an advertising way, they complain that the great delay will rob them of much of the commercial advantage which they expect to reap in return for the heavy expense involved in making the World's Fair exhibit. The design by St. Gaudens for the official medals is here, but the contract for manufacturing the medals has not yet been awarded, and it is still even uncertain whether the work may not be done by the United States Mint. The plan of the Treasury officials contemplates medals of elegant workmanship, which would require four or five months' time, as it would necessitate the stamping of some of the medals 400 or 500 times. It does not seem probable that the work will be completed before next summer. The blame is laid to the Committee of A wards or to the designer, St. Gaudens, for not furnishing the designs earlier.


Article from The Seattle Post-Intelligencer, November 15, 1893

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MANY OTHERS BANK DIRECTORS. Officers of Suspended Institutions Numerous in the List. The Recent Depreciation in Tacoma Warrants Due Not Only to the Water Swindle, but to Reports That City Officials Have Been Speculating in Them-The Silence of Bogga. TACOMA, Nov. [Special.]- Now that the PosT-INTELLIGENCER'S position has been vendicated on the water supply deal and steal, the "I told you so" fellows are numerous. The two leading points made by the POsT-INTELLIGENCER during the water campaign were: The price asked a was twice the value of the plant, and gravity supply could not be secured. Most of the taxpayers who voted for the purchase wereignorant of the true facts; others were paid, and some were foolish enough to bite off their nose just to spite the POsT-INTELLIGENCER a Seattle newspaper, for telling the truth. And they bit off their noses to the tane of $1,000,000. The most dangerous effect of the condition of affairs is the unrest manifested by capital. A banker says: "There are millions of dollars in the East ready for and seeking investment, but I cannot consistently advise any of it coming here until things change. Capital has been fooled too often in the middle West to come here without first finding a safe resting place. A bond man says: "No one can figure out where the money is to come from to redeem city warrants, therefore we do not want them. Of course it is taken for granted that city officials If have been speculating in warrants. money not forthcoming to take them up losses will be sustained. In the main, the slump in the price of warrants results from the purchase of the water plant, as has been proved, at over twice its value, and the further fact that gravity system cannot be had. Incidentally the PosT-INTELLIGENRER held that the property owners along the water company's source of supply were entitled to damages for the water which was taken. This has also been proved. The only redeeming feature of the situation is that there is a growing number of citizens who are not afraid to assert their rights in opposition to corporation control and corporation domination. In addition to the water purchase swindie, the accounts of the city treasurer, as reported from time to time by him, do not give entire satisfaction. It has been stated that his bond is worthless. A show-down has been asked from him, and he has refused to give it. Many taxpayers would like very much to know where City Treasurer Boggs keeps his cash, and a bond buyer adds: "If we knew where the coin reported by the treasurer to be in his keeping really is, it would be different about buying city warrants.' Mr. Boggs has held it an injustice to banks having no deposits to publish those having it. He refers to his bond, and says it ought to satisfy the people. He and his bondsmen, he says, are responsible. The bond, about which there has been so much talk, is in the sum of $500,000. bondsmen sign in the sum of A. M. and $25,000, A.J. All of Weisbaugh, except the secretary Stewart, of $15,000. the German American Safe Deposit and Savings bank, located with the Columbia National buildding, who signs for $10,000. The bond was given the middle of last July, and the other signers are: Frank Allyn and wife, president Commercial bank. A. Bridgeman and wife, cashier Commercial bank. W. R. Rust and wife, manager Tacoma Smelting and Refining Company and director Commercial bank. Mathias Lind and wife, director Commercial bank. John A. Parker, single, director Commercial bank. W. B. Allen and wife, president Tacoma Trust and Savings bank. P.A. Paulson and wife, president Tacoma Lumber and Manufacturing Company: identified with the Merchants' National bank, suspended. Michael Murphy, single, capitalist, manager Murphy's Transfer Company. Gotleib Jaeger and wife, director Commercial bank. Frank Hense and wife: city directory gives Frank C. Hentze as proprietor Model laundry. George F. Orchard and wife, director Merchants' National bank, suspended. Otis Sprague and wife, taxpayer, connected with the Paragon Oil Supply Company. M. F. Hatch (certified to outside of his wife). director Merchants' National bank, suspended. Nelson Bennett (certified to outside of his wife), president Merchants' National bank, suspended. H. D. Lombard and wife, president State and Edison Savings banks. W. G. Peters, single, vice president Columbia National bank. J. H. Wilt and wife, connected with Columbia National bank. O.iff Peterson and wife, name not in directory; Scandinavian-American bank reports him east of the mountains on ranch.


Article from The Seattle Post-Intelligencer, November 21, 1893

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TACHMENT IS OFF. theriff's Notice Removed From Washington Fair Building. BLALOCK HASN'T SQUARED UP. they Have to Be Sued-Calhoun Bays Percy Rochester, Having Closed His Saloon, Is in Charge. CHICAGO, Nov. 20.-[Special.]-The sherin card was taken down off Washington's fine 1002's World's fair home today. An efficer, with a man from the National bank efChicago, came and asked to have the - dismissed from court, plaintiffs to costs of every kind. It is said the whole thing was a blunder, as the Merchants' National bank of Tacoma should here been held, and, as it now seems, they are ready to settle the claim here. The whole thing has been laughed at here by De representatives of the different states and nations who heard of the Chicago lignit's idea of settling the claim against the failed bank by attaching the state property. The POST-INTELLIGENCER special indoubtedly hurried matters up, as it was said today that the bank officials here received some telegrams which threw light on the case and they hastened to get the case out of court. An effort will be made tomorrow to have the park commission decide definitely whether they will permit the Washington state building to rem in as the home of the forestry section of the great Columbian museum. Though cars for the return of the Washlegton exhibits were ordered five days ago, sene have arrived as yet at the state buildlog. Other states are getting cars, but their agents allege that they have had to Bar a mild form of bribery among the switchmen in Jackson park, who are said to control the situation. The cierks, etc., are very obliging and the papers all straight, but the cars do not come, and the delay is most exasperating to Washingtonians, who are anxious to get home. TACOMA, Nov. 20.-[Special.]-Executive Commissioner Calhoun, of the state World's fair commission, has returned from Chicago. He left Percy Rochester in charge at Chicago, and came on for the purpose of removing the attachment on the state building secured by the Union National bank of Chicago for upwards of $1,300. Treasurer Collyer explains the matter: "In the transaction of the state's World's hir business at Chicago Mr. Calhoun was authorized by me to draw upon the treasary for $1,000. He did so, and the draft for the amount, together with other checks aggregating $1,300 or a little more, were sent on here for credit. The accounts were laid on my desk two days before the Merchants' National bank closed, but in the meantime I failed, owing to other duties, to enter the credits. After the bank closed Receiver Wingate refused to enter the credits. We finally agreed that I should write Comptroller Eckels explaining the matter. He then authorized the receiver to enter the credits, which act removed the matter from the hands of the sheriff, who had seized upon the state building." Before the old year ends, it is expected by the executive commissioner, the state commission will meet, either upon the call of majority of its members or the call of the president, and settle and close up all of inscounts. As for the disputed ownership of the state building, he says it will be turned over to the State Lumbermen's Association, according to the agreement made by it with the commission, the same aspublished in the POST-INTELLIGENCER a couple of months ago, and in which the claims of the lumbermen were for the first time fully asserted. Mr. Calhoun says the largest bid made for the building was something like $275. He supposes the lumbermen can realize much more. The lumbermen, by the way, expect to get about $3,000 out of it. One Baltimore firm offered Mr. Calhoun $400 each for four large logs in the building when they were delivered at Baltimore, but Mr. Calhoun would have to tear the building down to get them, to he abandoned all thought of a sale in that direction. A duplicate order valued at $1,500 was forwarded to the commissioners by the lumbermen. This lumber, Mr. Calhoun mys, has been entirely disposed of. Heretofore the lumbermen asserted their right to make a demand for payment for


Article from The Seattle Post-Intelligencer, January 12, 1894

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# THE TACOMA BANK FRAUDS. Not Likely That the Merchants' National Wreckers Will Be Prosecuted. TACOMA, Jan. 11.-[Special.]--Assistant United States District Attorney Robertson was asked today if the county grand jury had any jurisdiction in the matter of investigating the affairs of the Merchants' National bank. He stated that the jury would not have any jurisdiction in any matter which is covered by the national banking laws. He, however, preferred not to discuss the proposition, but to allow the county legal officials to decide what investigation should be made. As regards the transferring of property by officers of a National bank after the failure of the bank, Mr. Fogg, the legal adviser of Receiver Robert Wingate, of the Merchants' National, says there is no law preventing a man who is indebted to a National bank from disposing of his property as he sees fit until judgment has been secured against him. A large amount of property has been transferred by Walter J. Thompson and others connected with the Merchants' National since it failed. As regards the borrowing of money from the bank in excess of 10 per cent. of the capital stock, the law states plainly that it is criminal or rather unlawful, but no punishment is provided unless it is proved that such loans were made in an unlawful manner, and that the loaning was criminal. The mere fact of an officer or stockholder receiving in loans over 10 per cent. of the capital stock is said by those who have looked up the law not to be criminal per se. If, however, the loan committee of the bank consisted of, say, the president and two or more directors, and the president, without the knowledge or consent of the others, went ahead and loaned himself money, either inside or above the 10 per cent., he would be guilty of embezzlement. So say the national banking law pundits. This 10 per cent. borrowing proposition is being crefully looked into just at present, but thus far no reading of the law indicates that those who have received more than the lawful amount, in proportion to their stock, will be called to account for so doing, so far as any penalty attaches. There is no indication, either, that those who have transferred their property to escape losing it by virtue of their indebtedness to the bank will be forced to an accounting. At present the indications are that the depositors may realize about 50 cents on the dollar. The assessment called for by the receiver will be due January 27, at which time, if the same is not paid, he may proceed to bring suit and secure judgment upon any property that can be seized.


Article from The Seattle Post-Intelligencer, January 24, 1894

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NELSON BENNETT'S BROKEN BANK. No Law Was Violated in Concealing the Statement Last May. WASHINGTON CITY, Jan. 23.--(Special.)The comptroller 18 unwilling to say how much the defunct Merchants' National Bank of Tacoma will pay on the dollar, but the fact of his calling for the entire capital stock of the bank before the first dividend is declared is very suggestive of facts which have been brought to his notice by the receiver. The bank violated no United States law in publishing its May statement in only a portion of the edition of the Ledger, for there was no attempt to deceive the comptroller by so doing. If the public or the stockholders of the bank consider that they were deceived thereby, says the comptroller, it is a matter for them to present before the grand jury. TACOMA, Jan. 23.-(Special.]-Today's work of the grand jury indicates that the condition of the local banks is being inquired into.


Article from The Sun, February 22, 1894

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robbed at Briceville, Mo., by two masked men. Valuable registered packages were taken. George Walker the murderer of John Terrell, was sentenced at Pittsburg, Pa., to twelve years in the penitentlary. Charles Williams was convicted on two counts and James Robinson on a single count of violation of the Kansas liquor law. Samuel Collyer, ex-cashier of the suspended Merchants' Nation bank, Tacoma, Wash., was arrested on an indictment charging that he had received $309 the day before the bank closed. He is a son of the Rev. Robert Collyer, the noted New York divine. The Nolin-Turner feud has broken out again in Hardin county, Ky., because of the killing of two Turners by Dr. Will Nolin. The killed are Dick Nolin, his brother John, a man named Mullins, and Mrs. Skidmore, a. widow, near whose house the encounter took place.


Article from The Dickinson Press, February 24, 1894

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Criminal Doings. Harry McCreary, a negro, was lynched at Elk Valley, Tenn., for assault. Miss Anna Collins was arraigned for forgery at Lafayette, Ind., and released on $1,000 bail. E. E. Thomas was waylaid and robbed at Chatsworth, Iowa, of $315. There is no trace of his assailant. Seven prisoners, charged with varicus offenses, were whipped at New Castle, Dela., under court sentence. M. H. MacDonald and T. P. Searls resorted to firearms to settle a quarrel at Rush Springs, Kan. Both will die. Four colored burglars escaped from the London, O., jail by knocking sheriff Chenowck down ard rushing out. Four tramps are held at Elwood, Ind., suspected of assaulting a woman at Kokomo. Mrs. Taylor was assaulted and left in a critical condition by a negro who escaped, at Straightford Creek, Tenn.. Paul Loeasio, a Greek merchant at Birmingham, Ala., murdered his wife with a spade during a family quarrel. A negro named Collins was flayed alive by whitecaps at Athens, Ga. He was accused of enticing away servants. Fred H. Childs, who shot James B. Nichols dead at Clyde, N. Y., will plead insanity. Michael Dolen was murdered and his hut burned to conceal the crime near Houston, Tex. Sam Gwynne has been arrested in Unicn County, Tenn., charged with the murder of his uncle and aunt, Mr. and Mrs. Henry Snoddy. Antonio Luciano and Antonio Degidio were sentenced to be hanged May 10 at Grenfell, Man., for the murder of a companion. Samuel Collyer, ex-cashier of the suspended Merchants' Nation bank, Tacoma, Wash., was arrested on an indictment charging that he had received $309 the day before the bank closed. He is a son of the Rev. Robert Collyer, the noted New York divine. The Nolin-Turner feud has broken out again in Hardin county, Ky., because of the killing of two Turners by Dr. Will Nolin. The killed are Dick Nolin, his brother John, a man named Mullins, and Mrs. Skidmore, a widow, near whose house the encounter took place.


Article from The Seattle Post-Intelligencer, March 2, 1894

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NEWS OF TACOMA TACOMA BUREAU or Tax SENCER, 1118 PACIFIC AVENUE. THOMAS BAMMONS, MANAGER. THE BANK WRECKERS Thompson, Drum, Collyer and Davis Indicted. STRAW PAPER IN THE ASSETS. I Boom Boose 2 3 I I 1 i i I 100 I TACOMA. March - (Special)-The Federal grand jury today indicted a num. ber of the officers of the suspended Merchants' National bank on seven counts, alleging false entry and straw paper as follows: Promissory notes-Samuel Collyer to Louisia D. Collyer, September, 1892, $1,971.14 and $1,902.86 False entries False entries of promissory notes-W. R. Bradley, December 28, 1800, $3,874: William H. Adams, September 11, 1893, $13,500 and $675 interest; Henry Drum, $12,225; W. J. Thompson $1,275: W. J. Thompson, $18,000; W. J. Thompson, president, and E. W. Ferrin, secretary, Bouth Side Land Company. $25,000. The men indicted are: Ex-President Walter J. Thompson, Vice President Henry Drum, Cashier Samuel Collyer, Assistant Cashier R. J. Davis. Judge Hanford fixed their bail in the sum of $2,500 each, and it was promptly furnished, follows: : Assistant Cashier R. J. Davis-Surety, Mc D. John Allister. Cashier Samuel Collyer-Surety, Gen. J a. Bradiey Vice President Henry Dram-Sureties, Hugh C. Wallace, Ferdinand T. Mead, Charles W. Morrill. Ex-President W. J. Thompson-Su -Sureties, George O. Kelley. William H. Fire. The indictments were handed in about 2 2p. m., and before 5 p. m. the men indieted had turnished bonds and departed from the office of Clerk Ayres, of the United States court. The warrant in each instance was given to Deputy Marshal Ed Minch, but before he had a chance to notify most of the men they appeared with bondsmen and inquired the amount of the bonds. Judge Hanford having gone to Seattle before the indicted men had an opportunity to appear Clerk Ayres prepared the bonds. Before reading the indictment all the officers assured a reporter of the Tacoma bureau of the POST-INTELLIGENCER that in no case could any premeditated criminality be found in connection with the affairs of the Merchants' National. When Vice President Drum and Cashier Collyer were notified of the nature of the several counts they both intimated very strongly and emphatically that the charges were all bosh. "How about the alleged false entry of promissory notes? they were asked. Both replied that it would appear upon the face of the indictment that the paper referred to was the renewal of old notes, which Mr. Collyer said was quite proper. It is alleged in the the indictments that most of this paper, which it is charged was falsely entered. was not given for any value received, and was therefore straw paper, the indictment further alleging that such false entry of such paper being made in most instances to deceive Bank Examiner Charles Clary. The only witnesses indorsed upon the indictments as appearing before the jury were Receiver Robert Wingate, of the Merchants' National, and E. J. Cooper, who was one of the principal bookkeepers. Mr. Cooper, the indictment alleges, made the alleged false entries of the alleged straw paper, and he did so for the officers who were indicted for the purpose of willfully, fraudulently and feloniously defrauding and working injury to the bank association, which had no knowledge of their nets. By the use of the alleged straw paper for the purpose of deceiving the bank examiner. it is understood, the officers were intent upon making him believe the bank was not in a condition which the alleged straw paper made it appear. Mr. Clary for a long time kept a very close watch of the bank and examined its condition frequently. Most of the notes were to run for ninety days, and the alleged false entries consisted of entering the notes in the book known as "Bith Discounted Registered.' This was done, it is alleged, when the truth was that the notes were not purchased or discounted by the bank, and such entry was therefore false and fraudu. lent. While the bonds were being prepared the rise and fall of the Merchant's bank. and subsequently the Merchants' National bank. of Tacoms. was discussed with the Indicted officers by a representative of the POST-INTELLIGENCER This bank was the oldest in the city, and was the second national bank here. It was made a national bank, with $50,000 capital, in May, 1884 In the "boom" days, back in the old directors' room and the larger room back of it, which was used for general assembly purposes, many of the biggest and most promising schemes this city ever dreamed of were planned and fostered. Those who participated were designated at the high tide point of the boom in 1889 as the "Merchant National bank crowd. There was another crowd known as the "Tacoma National bank crowd.' The two "erowds" never mixed Many still believe the rivalry of those boom days never died out, and vanished only with the death of the fallen bank Some, indeed. hold that this rivalry killed she Merchants' National, inasmuch as the clearing house failed to help the Mer chants' National when It was troubled with the death raitle. Right here an ex planation is needed. The Tacoma clear Ing house agreed to protect the depositors of the Merchants' National. It never agreed in so many words to meet the demands of the correspondents of the fail ing bank. On the last day of last May the clearing house association agreed to prosect the depositors, and on that day Cash for Collyer said: "The run was not marked I was in the paying teller's cage during all that noon hour, and was surprised at the quiet condition of affairs believed the storm


Article from The Bottineau Pioneer, March 3, 1894

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robbed at Briceville, Mo., by two masked men. Valuable registered packages were taken. George Walker the murderer of John Terrell, was sentenced at Pittsburg, Pa., to twelve years in the penitentiary. Charles Williams was convicted on two counts and James Robinson on a single count of violation of the Kansas liquor law. Samuel Collyer, ex-cashier of the suspended Merchants' Nation bank, Tacoma, Wash., was arrested on an indictment charging that he had received $309 the day before the bank closed. He is a son of the Rev. Robert Collyer, the noted New York divine. The Nolin-Turner feud has broken out again in Hardin county, Ky., because of the killing of two Turners by Dr. Will Nolin. The killed are Dick Nolin, his brother John, a man named Mullins, and Mrs. Skidmore, a widow, near whose house the encounter took place.


Article from The Seattle Post-Intelligencer, March 25, 1894

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Brief Tacoma News. TACOMA, March 24. - [Special.] - In the eourse of a couple of weeks Receiver Wingate, of the Merchants' National bank, expects to pay a dividend of 10 per cent. With the assessment of this bank's stock it is now hoped enough will be realized to pay the depositors in full. Michael Dowd has been appointed to a position in the money order department of the postoffice. He is a Tillicum. After the public school teachers were paid of today they began a subscription for the rolling mill subsidy. The Evergreen Methodist church has filed articles of incorporation. The trustees are G. W. Rice, Louis Nordheim and Carl Laabs. President Gault, of the Idaho state university, who is visiting here, believes that the Idaho trade could be captured by Sound houses by the sending of energetic solicitors into that field. The Franklin Loan and Trust Company has been incorporated, with H. D. Thomas and H. D. Thomas, jr., as trustees. The capital stock is $25,000. M. C. Sullivan denies that he drew a revolver on the Tacoma hotel barkeeper. Mr. Chesney, because the latter refused to open a fresh bottle of Appolinaris water. Sullivan is accused of threatening to shoot, but when Chesney sent for his gun, with the understanding that he would take his chances with Sullivan, the latter hurriedly called in the police. Sullivan denies that also, However, he is annoying to the average barkeeper, and many complaints have been registered against him. The drink mixers say Sullivan is hard to please. Ira Rogers found & man in the room of his wite tonight, The stranger knocked Rogers down, cutting his scalp several Inches, and escaped.