5718. First National Bank (Greensburg, IN)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
national
Bank ID
356
Charter Number
356
Start Date
September 2, 1897
Location
Greensburg, Indiana (39.337, -85.484)

Metadata

Model
gpt-5-mini
Short Digest
6ebf4576

Response Measures

Full suspension, Books examined

Other: Voluntary liquidation arranged with other local banks; receiver later appointed (1903 receiver paying dividends).

Description

A small withdrawal/rumor about Cashier E. R. Forsyth's heavy financial involvement precipitated weakness; bank closed Sept 2 and examiner O. M. Packard took charge Sept 4. Arrangements for voluntary liquidation reported mid-September 1897; later a receiver (S. B. Eward) paid dividends (1903). Classified as run → suspension → closure (voluntary liquidation/receivership).

Events (6)

1. March 31, 1864 Chartered
Source
historical_nic
2. September 2, 1897 Run
Cause
Bank Specific Adverse Info
Cause Details
Rumor/private knowledge that Cashier E. R. Forsyth (principal stockholder) was heavily involved financially; withdrawals by a few persons with trust funds; Forsyth resigned as cashier the same week.
Measures
None reported (only slight withdrawals noted); subsequent resignation of cashier; bank examiner called in.
Newspaper Excerpt
a run on the bank yesterday, produced by the rumor that Cashier E. R. Forsyth, the principal stockholder, was heavily involved financially, had weakened the bank's resources.
Source
newspapers
3. September 4, 1897 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Following the reported run/withdrawals and the resignation of Cashier Forsyth and an examiner's visit, the bank suspended and the examiner took charge; underlying weakness tied to Forsyth's liabilities and bank resources being weakened by his investments/obligations.
Newspaper Excerpt
This bank suspended. I am in charge. O. M. Packard.
Source
newspapers
4. September 18, 1897 Other
Newspaper Excerpt
Arrangements for the voluntary liquidation of the First National Bank of Greensburg, Ind., which suspended recently, are progressing favorably, and it is expected that a satisfactory arrangement will be effected with one or more of the Greensburg banks by which the affairs of the First National will be promptly closed up, and its obligations fully discharged.
Source
newspapers
5. October 26, 1897 Voluntary Liquidation
Source
historical_nic
6. August 24, 1903 Receivership
Newspaper Excerpt
S. B. Eward receiver for the defunct First National Bank of this city, has just advised the creditors that another dividend of 22 per cent. will be paid.
Source
newspapers

Newspaper Articles (13)

Article from Alexandria Gazette, September 2, 1897

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instructed discriminating duties under section 22 of the new tariff law 'pending the decision of the Attorney General. These instructions were issued when it was ascertained that the collector at New York had been collecting these discriminating duties on goods from Canada. There is only one negro commissioned officer in the U. S. army. He is detailed for duty as teacher in a negro school in Ohio. As that detail has just expired, great anxiety was experienced in army circles lest he should be sent to the white regiment to which he be longs, but that anxiety was dispelled yesterday, when his detail for the same duty he is now on was extended for another year. As Collector Brady of the lower internal revenue district of Virginia has made his own rules in respect of his deputies, and deliberately set those of the Internal Revenue Bureau at open defiance, 8 call was made at the civil service bureau to-day to see what would be done there in the matter, but not a single member of the commission was in the city, so that nothing could be learned. As previously stated in this correspondence, it is understood that Mr. Proctor, chief of the civil service commission, and Mr. Wilson, deputy commissioner of the Internal Revenue Bureau, who issued the recent order limiting the power of collectors to appoint their own deputies, differ entirely in their views on this subject, but it is supposed that the latter knew what he was doing when he issued that order, and all acquainted with him know that when he issues & public order he intends that it shall be enforced. The Comptroller of the Currency was advised to-day of the failure of the First National Bank of Greensburg, Indiana. It has a capital stock of $100,000 and on July 25th the deposits were $84,000. This is not looked upon as a patent il lustration of the return of prosperity. Among the recent removals at the Treasury Department were those of Miss Annie McGill Fauntleroy and Mr. Albaugh, both of Staunton, Virginia, for no other reason than the fact that they are democrats. The excuse for the removal of General Clark, of Missouri, which occurred at thesame time, was the abolition of his office, which, however, as soon as he had left it, was re established. Civil Service is as much of a humbug as ever. The Virginia republicans here say the State convention of their party, that has been called in defiance of their State committee, will be one of the largest republican conventions ever held in Virginia, and that it will depose the present committee, elect another, and put a straightout republican ticket in the field for the coming State election. Japan, it is now said here, will supply the money required for the construction of the Nicaragua Canal, and as she is able to do so without taxing her people, the hope is expressed that she will. A report was received this afternoon at the office of the superintendent of construction of the new city postoffice that Mr. John B. Baird, the chief clerk of that office, had been drowned in the Chesapeake and Ohio canal above Cabin John Rridge. When the Cuban insurrection shall be suppressed, and the accounts between this country and Spain come up for settlement, it is expected that the latter's claims for damages from filibusters will be immense, and the worst of it is, they will'have to be paid, under any construction of international law. John G. Woods, superintendent of mails at the Louisville, Kentucky, post office, to day brought suit against General Gary and the postoffice department authorities to prevent them from removing him from the service. The case probably will be a test the power to remove a government official embraced with the civil service rules. Woods was notified that his services would be dispensed with and refused to resign. He has now asked for an injunction to prevent his removal. The court has issued a tem porary restraining order to protect his rights. Ex-Congressman Maish, of Pennsylvania, talking yesterday morning about the recent action of the democratic committee of his State, said he thought that while two-thirds of the Pennsylvania democracy sustained the action of their committee in deposing Chairman Harrity, the remaining third did not. A democrat from Kentucky, a moment afterwards, said the action referred to was of no consequence in Pennsylvania, but that it would help the democrats in all the close States, as they are tired of shillyshallying, and want their party to show some of its old time boldness and independence. The work on the electric railroad from Arlington to the Theological Seminary, near Alexandria, that was suspended yesterday by order of the Quartermaster General, has not yet been resumed, in consequence, it is said, of the absence of certain other army officers from the city. Among the new law firms recently estab. lished here is one composed of ex-Solicitor General Holmes Conrad, Mr. Conway Robinson, ex-U. S. counsel for the court of claims, and the latter's brother, Mr. Leigh Robinson, all of Virginia. A DESERTED WIFE.-Mrs. Ruth Aiken, of Baltimore, a stylishly-dressed woman, of refined appearance, appeared at the Henrico County Courthouse,


Article from The Indianapolis Journal, September 3, 1897

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CARRIED A HEAVY LOAD FIRST NATIONAL, OF GREENSBURG, FORCED TO THE WALL. Another Good Strike in the Peru Oil Field-Col. R. W. Thompson at Work on a School History. Special to the Indianapolis Journal. GREENSBURG, Ind., Sept. 2.-One of the oldest national banks in the State, the Greensburg First National, which has been considered solid as a rock for years, closed its doors this morning, posting a simple notice in the window, reading: "This bank is closed. W. M. Hamilton, President." There was no explanation given except a general report that a run on the bank yesterday, produced by the rumor that Cashier E. R. Forsyth, the principal stockholder, was heavily involved financially, had weakened the bank's resources. As a matter of fact, there was only a slight withdrawal of deposits yesterday, late in the day, by a few persons who seemed to have gained private information of the bank's condition, and who had trust funds deposited. The "run," if it could be so called, was entirely unobserved here, and was not known outside of a few. Bank Examiner O. M. Packard, of Plymouth, Ind., was here and examined the books Tuesday, but it is not known what he discovered or what he reported to the controller at Washington. It is supposed, however, that his visit had something to do with the failure. It is a coincidence that Cashier Forsyth resigned his position on Tuesday. Whether his resignation was voluntary or was called for has also not been given out. Mr. Forsyth himself announces that he found his investments were not yielding the returns he expected, and, finding himself unable to look after all his business, he resigned. The Forsyth interest in the bank has always been in control from the time of its organization by A. R. Forsyth, father of the present ex-cashier, shortly after the national banking law went into effect. A. R. Forsyth died several years ago, leaving an estate valued at $190,000, with $80,000 incumbrance, consisting of obligations for money sent him from Eastern relatives to invest. The investments were made in iron mills near Rockwood, Tenn., which are said to have paid big dividends until ruined by the hard times. E. R. Forsyth, who has resigned as cashier, found himself unable to carry the load, and, as he was the principal stockholder, the failure followed. The other stockholders are among the wealthiest men in the county. ,The capital stock, all paid in, is $100,000, and it is understood that assessments against this stock will have to be made. It is not known whether even this will be enough to pay depositors, although there is a report that the bank will pay dollar for dollar. E. R. Forsyth's present liabilities are placed at $105,000 and his assets at $160,000. This is only estimate. The deposits are given as $70,000; loans and discounts, $133,000; surplus, $5,000, and unpaid profits as $250. In an interview Cashier Forsyth is reported as saying: "I do not know anything about the condition of the bank, but I do not believe the depositors will lose anything." The officers are: President, W. M. Hamilton; vice president, H. H. Woolley; cashier, E. R. Forsyth; assistant cashier, Geo. P. Shoemaker. The excitement caused by the failure of the bank has not injured the business of the other banks, all of which are now considered sound.


Article from The Indianapolis Journal, September 3, 1897

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The Controller Notified. Special to the Indianapolis Journal. WASHINGTON, Sept. 2.-The currency controller's office has no information about the suspension of the First National Bank at Greensburg, Ind., beyond the bare announcement, without explanation, made by officials of the bank. Bank Examiner Packard, who was ordered to Greensburg, is now in possession. The last report to the controller showed the bank to be in an apparently healthy condition, with capital stock of $100,000; individual deposits, $84,000; loans and discounts, $136,000; circulation, $27,000.


Article from The Madison Daily Leader, September 3, 1897

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BRIEF BITS OF NEWS. The First National bank of Greensburg, Ind., has suspended. The mayor of Toulon, France, was probably fatally stabbed by an assassin. Stewart L. Woodford, United States minister to Spain, has arrived at San Sebastian. The Salvation Army is preparing to send a band of workers to the Alaska gold fields. Colonel George Bliss, who was prosecutor for the government in the famous Star route cases, is dead. The Northwestern glass works at Milwaukee has resumed operations, giving employment to 140 men. The queen regent of Spain will receive the new United States minister, General Stewart L. Wo ford, on Sept. 13. It is stated the Cuban insurgents have about 35,000 men under arms and are possessed of sufficient supplies to last through the coming winter. Several thousand dollars' worth of at imagid pool room fixtures, captured St. Louis several weeks a the destroyed by fire, und circuit court. John F. McDo heriff of nced to six Milwaukee, months at mfor vagrancy. Over in quor is said to be the wnfall. Eaton Smith and Miss daughter of the ex-presimarried at the Hayes manat Fremont, O. President and McKinley were among the guests.


Article from The Wichita Daily Eagle, September 3, 1897

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Told in Fewest Words The queen regent of Spain will receive the New United States minister, General Stewart L. Woodford, on September 12. Serious forest fires are burning on the Port-Neuf mountains at the head of Cottonwood Valley, Idaho, and just east of Oxford. A special commission will meet shortly in St. Petersubrg to discuss the introduction of universal and compulsory education in Russia. The works of the Le Metz umbrella and bicycle handle company at West Brighton, S. I., burned yesterday. Loss between $50,000 and $75,000. The prefect of the providence of Pueno Peru, telegraphs that there is no truth in the report that a party of Bolivians has invaded Peruvian territory. The opening of the lawn tennis tournament at Toronto was yesterday again postponed until today on account of the tournament at Niagara being carried over yesterday. The senate of Peru has approved the abolition of the expert duties on silver coin, bullion and plate. Peruvian gold dust, coin and bullion, however, will still have to pay duty. The Italian government is carefully watching the movements for and against the suspension of duties on grain. It is believed the government will not consent to their suspension. Forgeries have been discovered in the paper rediscounted by the Norton bank, of Durand, Ill. Parties interested in the bank have protected the irregular paper first discovered 0 the amount of $6,000. The steamer Telegram left Sault Ste. Marie, Mich., Wednesday night for the Michipicoten gold fields with forty passengers, each of whom will prospect in the new Eldorado. The party includes several prominent citizens of the Sault. The comptroller of the currency has been advised of the First National bank of Greensburg, Ind. It had a capital stock of $100,000 and on July 25 the deposits were $84,000. This is the first bank failure reported to the comptroller for some time. Yesterday the Postal Telegraph Cable company's new route to South America was opened, with a reduction in rate of 25 per cent. This is a new route and gives competing service to Uruguay, Paraguay, Argentine Republic and Brazil, via Hayti and Para. Owing to the fall in the price of silver, the Mahala mine at Leadville, employing about fifty men, has announced a reduction in wages from $3.00 to $2.60. The men have accepted the reduction. The Mahala is one of the largest silver producers in the district. Governor Tanner of Illinois has appointed delegates to the national irrigation congress at Lincoln, Neb., September 29-30, as follows: C. A. Parks, B. W S Chicago Dates, "M "I State W Knox, Princeton; Frank Glendenin, Joliet: E. J. Hudson, Lincoln. J. R. Corin, one of the oldest and best known citizens of Decatur, Ill., was found dead in bed yesterday. Mr. GorSEM He "PIO years 08 almost SEM up grand master of the Grand Lodge of Illlnois in 1867 and 1868, being the oldest living past grand master in the Masonic order. A dispatch from Montreux, fourteen miles from Geneva, announces that an asylum for the insane which was in course of erection there has collapsed, burying a number of workmen in the ruins. The bodies of seven dead men had been recovered and seven others were seriously wounded. The Mainichi, a Japanese paper published in Yokohama, states that the commissioner sent by Japan to the coming conference to be held at Washington on the sealing question will be instructed to side with the representatives of the United States as to remedial measures for preserving seals and ea otterss. The Thunderstorms and rains which have prevailed all the week throughout Great Britain and the continent culminPIP much damage 01 ated Wednesday evening in a severe trees


Article from The Indianapolis Journal, September 5, 1897

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Examiner Packard in Charge. Special to the Indianapolis Journal. GREENSBURG, Ind., Sept. 4. - O. - M. Packard, bank examiner, arrived to-day and took charge of the First National Bank and posted the following notice: "This bank suspended. I am in charge. O. M. Packard." He has given out no statements on the condition of the bank.


Article from The Advocate, September 8, 1897

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Notes and Comment. Manitoba has a very large wheat crop. Carnegie has bought a 28,000-acre estate in Scotland. The Colorado potato crop is larger this year than usual. The volume of grain reaching Chicago August 28 and 29 amounted to 5,065 cars. Croker is likely to be the Democratic candidate for Mayor of Greater New York. Mobile, Ala., has just voted four to one for city ownership of waterworks and sewers. The Massachusetts Benefit Life Association, of Boston, is in the hands of receivers. The opposition of the National Bankers' Association to the postal savings bank was to be expected. Owing to the rise of the price of wheat, New York bakers have reduced the weight of loaves of bread. Five hundred vest-makers and 1,600 cloak-makers in New York are out on a strike for living wages. Switzerland will buy the railroads of that country. It will pay $30,000,000 less than they are capitalized for. The new alliance between France and Russia is not only for diplomatic purposes, but for commercial gain as well. In the Democratic primaries in South Carolina Senator McLaurin has received a very large majority of the votes for reelection. Indiana authorities are vigorously enthe new law forcing children which in prohibits factories the of employment of any sort. There are now 67,000 fourth-class post offices, but Assistant Postmaster General Bristow says this number will be increased to 70,000 in the next three years. In North Carolina a telegraph rate of 15 cents for telegrams to any distance within the State has been made. Telephone rates have been fixed at $18 per year. The First National bank, of Greens burg, Ind., capitalized at $100,000, has failed. As an indication of Indiana pros perity this is very much of a disappointment. Governor O'Ferrall (Dem.), of Virginia, refuses to support the Democratic ticket recently nominated in that State because the convention indorsed Bryan and the Chicago platform. The value of real estate owned by the city of New York in 1862 was $15,000,000; now to it is supposed be about of $150,000,- its 000. The greater portion real estate is given up for park purposes. The United States Commissioner at Dyea claims that Dawson City is in Alaska and therefore belongs to the United States. It had almost been conceded that it was in the British possessions. The Nebraska W. C. T. U. is objecting to the arming of boy cadets in the high schools. They think that some of the arts of peace should be part of the instruction rather than anything relating to warfare Presidents McKinley and R. B. Hayes served together in the same regimentthe Twenty-third Ohio. Justice Stanley Matthews, of the United States Supreme court, and General Rosecrans were also in the same regiment. In Colorado the Republicans will nominate Judge Hoyt, who supported Bryan last year, for Justice of the Supreme court. The other parties will also nominate him. The gold Republicans are seeking fusion with the silver wing. Dispatches from Peru indicate that financial conditions in that country are such as to lead the government to beonly relief possible lieve that the is through the adoption of the gold standlow of been ard. The price silver has the cause of the conditions. The Cultan has recelled bis minister


Article from Wood County Reporter, September 9, 1897

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NEWS OF THE WORLD DOMESTIC. Admiral Miller relieved Admir ardslee at Honolulu Aug. 14. Harry Mills Cole of Chicago sund dead in his room, in Smith IcNell's hotel, New York. Erastus Corning died of apoplex ged 70 years at Albany, N. Y. harities were numerous. Ten saloons in Kansas City, ere raided by the police and orth of liquor seized. The August receipts of the gover ent were $18,943,205; expenditure 33,295,000; deficit, $14,301,795. The Harris mills in Providence, : started after a shutdown of veeks. The mills employ 300 Walter Wellman is in Christian onferring with Dr. Nansen with rence to a proposed expedition to orth pole. A fierce forest fire is raging west naconda, Mont., and spreading larming rapidity. Over 10,000 f timber are already burned. At the St. Paul farmers' congress aper was read on Farming from Business Standpoint, by James J. resident of the Great Northern vay. William Sergent, who founded great school book trust, died at ome near Mount Lookout, '98 per David H. Ryder, Jr., of Accord, ter county, N. Y., was stung by ees SO badly while trying to hem that he dropped dead. The CC mptroller of currency is vised of the failure of the First ional bank at Greensburg, Ind. aad a capital of $100,000; deposits, 25, $84,000. At Hoopeston, III., the State Bank Ambia, a town just over the India state line, is short between $10,000 $50,000. Cashier Fred McConnell missing. The most prominent Italian in Cincinnati has cabled to the of Turin a letter congratulating for his recent duel with Prince of Orleans. Mrs. M. Elizabeth Green, one of best known newspaper women Massachusetts and associate editor the Quincy Advertiser, is dead, at age of 72 years. Robert S. Straine, president and rector of the United Telegraph pany of Boston, was arrested by inspector from police headquarters a charge of embezzling $73,500. Two deputy United States marsh are dead, two are seriously injured two more missing as a result of an tack on a posse of officers by a of moonshiners in Pope county, The Chicago, Burlington and sent to Chicago from Galesburg, containing


Article from Evening Star, September 18, 1897

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The Greensburg, Ind., Bank. Arrangements for the voluntary liquidation of the First National Bank of Greensburg, Ind., which suspended recently, are progressing favorably, and it is expected that a satisfactory arrangement will be effected with one or more of the Greensburg banks by which the affairs of the First National will be promptly closed up, and its obligations fully discharged.


Article from Wheeling Register, September 18, 1897

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VOLUNTARY LIQUIDATION. Washington, September 17.-Arrangements for the voluntary liquidation of the First National Bank of Greensburg, Ind., which suspended recently, are progressing favorably, and it is expected that a satisfactory arrangement will be affected with one or more of the Greensburg banks by which the affairs of the First National will be promptly closed up and its obligations fully discharged.


Article from The Wichita Daily Eagle, September 18, 1897

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Told in Fewest Words The coal trust case which was yesterday's calendar of the appellate division of the New York supreme court, was by agreement of counsel put over till next week. It is understood that it will be argued September 24. The United States consul at Managua, Nicaragua, reports to the state department that the mail service, which has been interrupted by quarantine measures, is again in operation. The fortyday quarantine period expired July 31. The forest fires along Bald mountain, Wyoming, and in the Piney and Little Goose creek country continue to burn almost unchecked. The only persons fighting the fire are the settlers and a party of Crow Indians, who are trying to prevent the spread of the flames to the reservation ranges. Three daughters of Preston Howard were burned to death yesterday in their home at Alma, Ontario. The rest of the family escaped from the burning building. One of them escaped but met her death in returning to assist her sisters. Mrs. Howard and two sons were seriously burned. Daniel Kauffher, senior member of the firm of Kauffher and Loehenberg, tanners of Newark, N. J., was instantly killed yesterday by a drill engine on the Pennsylvania Tailway at the Chestnut street crossing. Mr. Kauffher was 55 years of age, and was well known in the leather business throughout the United States. Arrangemente for the voluntary liquidation of the First National bank of Greensburg, Ind., which suspended recently, are progressing favorably, and it is expected that a satisfactory arrangement will be affected with one or more of the Greensburg banks by which the affairs of the First National will be promptly closed up and its obligations fully discharged. The attention of the treasury department has been called to the fact that the Universal Postal congress, recently in session at Washington, agreed on a scheme of colors for postage stamps to be used by all nations in the Postal Union. The color of the 2-cent United States stamp as agreed upon was carmine, SO that the proposed change to green will not be made. The National Builders' association convention finished its business at Detroit yesterday. Milwaukee was chosen for the next convention, which will be held the first Tuesday in February, 1899. Thomas R. Bentley of Milwaukee was elected president; George Tapper, Chicago, re-elected treasurer for the eleventh time, and Secretary W. H. Sayward, Boston, re-elected secretary. United States Consul O'Hara at San Juan Del Norte, Nicaragua, wants exporting drug houses to observe more care in packing their goods. Nothing but cork or rubber-stopped bottles will preserve pills, tablets and such dry medicines against the destructive effects of the moist air of Nicaragua and many drugs have spoiled for lack of such packing. The Coronet Steel company of New Jersey, which is said to control a process for the manufacture of steel without flows or blowholes, is about to close negotiations for the purchase of the two large mills at Fullerton, Pa., from creditors of the defunct Catasauqua Manufacturing company. The mills will be rebuilt and enlarged. and will be started in six months. They will give employment to 2,500 hands. United States Consul Hill at Santos, Brazil, in a report to the state department suggests to the shipping interests that in chartering vessels for that port with the intention of escaping dues, the words "free of wharfage and deck dues" should be inserted. The authorities recently held that the words "free of wharfage" alone, were not sufficient to exempt the craft from the charges of the dock company, and-this cost the American bark Virginia of Machias, Me., $300.


Article from Twice-A-Week Plain Dealer, September 24, 1897

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Bank Being Liquidated. Washington, Sept. 18.-Arrangements for the voluntary liquidation of the First national bank of Greensburg, Ind., which suspended recently, are progressing favorably, and it is expected that a satisfactory arrangement will be effected with one or more of the Greensburg banks by which the affairs of the First national will be promptly closed up and its obligations fully discharged.


Article from The Indianapolis Journal, August 25, 1903

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Additional Dividend Declared. Special to the Indianapolis Journal. GREENSBURG. Ind., Aug. 24.-S. B. Eward receiver for the defunct First National Bank of this city, has just advised the creditors that another dividend of 22 per cent. will be paid. This, with the 16 per cent. dividend paid, will bring the total amount to $38,000 that will be paid to the creditors. The greater portion of this money comes from stock held by E. R. Forsythe in the Roanoke Iron Company. It is thought that the creditors of Forsythe will almost be paid in full, eventually, as collections have been made in every case, except one, without suit.