| Show BANKING rottenness charges of gross mismanagement of bank of illinois the second vice president t barged with all sorts of crookedness and made the scapegoat of the failure ignorant Dinc tors chicago dec 23 chargee and coun ter charges n connection with ahr man ot the national bank of illinois was made today and the attention of the financial community to the exclusion of the days events ear founding the big national bank colla oae the of hankers drover and berer the of the receiver of the goseland Ho seland bank and the continuation of the depositors run on the illinois trust and savinia bank and the banking association were the principal development the public is practically over and a complete reiteration of confidence brems to have beane acted by arrangement of the police department corneel for the defend ante and justice of the peace W T hall with accused private bankers edward S dreyer and ert berger entered justice halls private court room at 2 this afternoon detective fay who held the warrants which F at dreyer a and cora panya bank bad to announced that abo men were arrest the charge ID each cabe cgee ie that the banker received a deposit of at the cloae of business cs laet saturday at the time that they were the were accompanied by adocph krau their lawyer and chas II 11 wacker 0 the wacker and birk brewing company the latter signed the bond ol 01 the banker in the of each or their appearance in halls court january 2 kennedy be ie acting or Litti only but ins action is re carded premature and advised by those who believe the dreyer and allure could not have been foreseen in this levy mayer corneel for abe national bank ol 01 illinois and dreer and clerger Il erger said to a reporter of the united associated presses this afternoon dreyer cleared through the national bank of illinois at the close of business saturday afternoon there was not the slightest doubt entertained by the firm or even the shadow of a suggestion that they would not go on ae usual monday without a clearance bank they could not possibly open up the end ot abe national bank of illinois was as sudden as it was amazing As one of its counsel I 1 bad not the lightest intimation that there was any suspicion against the bank until late saturday night dreyer did not know until saturday that their clearing bank was in danger they then took steps which resulted in the the receiver bag all their property the great agitation at present existing has made some precipitate and hasty in their 0 their action and advice when the excite I 1 ment baa subsided and the examiner made a investigation into the state and then only will people be in a position to calmly pass judgment the or the national bank of Il linol failure and it condition will no doubt in due time be placed before the public these calumet electric bonds ail of a budden have dwindled into insignificant ant an abet for some ears been coveted by bome outsiders and the interest on these bonie has always been promptly met the bank oa record 48 hoare was that ol 01 john Nic boli who was appointed receiver monday afternoon for frederick eema proprietor of the joeand Eoe and savings bank of kneel nd cleared the national bank of the receiver appeared before judge this afternoon and reported that there were assets of in cash and real estate and liabilities of money has been raised to carry on the bui inese aud the judge discharged the receiver toe bank will open its doors tomorrow morning the runs on the and savings and hibernian banks continued today in lesser degree and when the usual closing hour arrived there was not enough f a aine at either bank to dagni fy the decare as a run no of the excitement ie expected after christmas day the officers of the illinois trust were confident ni that the run on their bank had come to an ignoble end that after paying out under the sixty day notice rule over for an hour or decided to remove all restrictions strict ions and bega paying in foil to all depositors in line at the hibernian biank the notice hiie adhered to staff of accountant in charge of an export was put at work daring the day atthe dreer and company and was and banks and next week A report is expected that will giro an idea of the condition of bibb president II ammond abo Is charged with pulling the wool over the eyes of OX V A BANKING rottenness argit ast 1st aate directors of the defunct national bank would not talk for publication when been today at bis evanston home but friend speak iniz for him said W A hammond is to be made the of the failure ot the bank he is a broken man today but he is not any more to blame for alie amount of money leaned on calumet electric security than are the members of the finance committee of the baak and ite directors it was necessary for the purpose of a man connected with alie south chicago city railway and an officer of one of the biggest tanks in chicago to depreciate the calumet road stock and to this end these two men accomplished te wreck of the national bank of illinois members of the cnance committee and directors of the failed bank knew the full amount of the calumet loan and hopeb to make individual fortunes on the success of the venture they were given stock of the road and the purpose of the deal was to sell the property and besides paying the bank loan make a neat sum for the directors there has been a sharp contest between the general electric and south chicago city railway companies to gat control of the calumet bonds the latter road will be worth in five years and the outsider who ruined the bank know it but they wanted to buy the bonds cheap W R page a director of the bank said 1 I never saw on the book of appio ants for loans kept at the bank for that purpose the of the calumet electric company the statements published ng arding mr hammonde connection with these queer transactions are all true the auditing committee of the directory relied largely on the batione made by president schneider and mr hammond and opre deceived |
