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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (April 19, 1922)
Ji THE 3IORMXG OREGOMAX, WEDNESDAY, APRIL 19, 1922 TJEW BANK PROSPECT IS miCHED TODAY Aim to Avert Loss Through Closed Institution. CHANCES BELIEVED GOOD Sew lepositors' Committee Has Formulated Plans; All Depos itors Asked to Participate. Despite a loss estimated at $400,000 in assets of the State Bank of Port land, as shown by the completed re port of O. B. Robertson, examiner in charge, a depositors' committee has established headquarters and this morning will start a drive with the object of opening a new bank and liquidating poor accounts of the closed institution, Mr. Robertson, working under di rection of Frank' C. Bramwell, state superintendent of banks, yesterday completed his report on the State Bank of Portland, which was closed by the bank's officials February 16 of this year. This will be filed with the county clerk today. Coincident with the completion of the examiners report, it was an nounced that a new depositors' com mittee has taken quarters in rooms Lumbermens building:, whence it will direct efforts to organize r.ew bank and also a company to take over "doubtful" assets of the old bank. The committee has been given until May 1 by Superintendent Bram veil to perfect plans for saving the state bank from extinction through liquidation by his department. Stockholder' Liability Stands. An important feature of the an nouncement is that the existing stock holders' liability Tiill stand and, it "was said, will form an asset of the j. reposed new banking institution. 1-1 B. Barthrop. Portland druggist, heads the newly formed sub-committee on 2 eorganization. Mr. Barthrop last night gave out a short statement of purposes of the committee he is directing. After cit ing" the fact that it had held confer ences with Superintendent Bramwell and that plans of the bank's officials to "reorganize or reopen have not materialized," the statement proceeds: "All depositors are asked to par ticipate in the Plan, which is for tho benefit of the depositors. Kvery de positor to whom the plan has been ex plained has approved it. "Under the plan all of the bank's assets will be purchased from the su perintendent of banks. Unquestioned assets will be used in the organiza tion of a new bank. The slow assets will be placed in an assets company. Members or representatives of trie committee will be at headquarters ready to explain the plan fully." Bramnrll Issues Stntement. According to a statement by Mr. Bramwell, issued upon completion of the audit and checking of affairs of the bank, depositors may expect about 75 cents on the dollar if the institu tion is liquidated through his depart ment. Depositors in the savings de partment, he said, may expect a slightly higher return. Jjoans and discounts of the bank have been classified into three groups, according to their estimated liquida tion value, in the examiner's report. I ne segregation shows this result with reference to the loans and dis . counts: "Hood" (collectible) $718, 308..4S; "probable value," $664,163.48; "doubtful value," $465,890.70. These items account for the total of $1,S48, 362.64 of loans and discounts on the bank'is books when it closed. It is largely in connection with these figures that the examiner' esti mates a loss of $400,000 in assets. Kstimate of loss on stock3, bonds and warrants looms large in the report, being given as $177,800. On claims and judgments the loss is estimated at $72,802.39, and on cash items at $15,790.99. Public Fnnda Protected. On public funds that were on de posit in the bank there will be no ex tensive losses, even in case of liqui dation, according to the report. This shows that the state of Oregon, through Treasurer Hoff, had on de posit $150,000, which is protected by a surety bond for $175,000. Other public funds on deposit by various officials and protective items offsetting them are: William Adams, Portland city treasurer, $110,000, cov ered by $173,000 in bonds; John M. Lewis, Multnomah county treasurer, $18,000, covered by $43,000 bonds; R. H. Thomas, clerk school district No. 1, $11,300, protected by $10,000 in surety bonds; United States Spruce corporation, $7999, covered by $12,500 in surety bonds. Sheriff Hurlburt of Multnomah county, according to the report, held $20,000 in liberty bonds, but had no deposit of county funds In the bank when it closed. According to the report to be offi cially filed today, several of the bank's officials and more important stockholders were indebted to the in stitution for part of their share hold Ings. Conrad P. Olson, president, the report shows, held 670 shares on which there was due $12,750; E. T. Gruwell, vice-president, held 133 shares on which there is said to be due SIFTS. Hugh T. Gruwell, cashier, is indicated as indebted $600 on 61 shares: Maynard Redmond, vice-pres ident, $6100 on 10 shares, and W. H. Bair, director. $8250 on 100 -shares. The total of shareholders' liability on 1275 shares of stock amounts to $45,960. Shares Widely Scattered. Tho bank shares are widely scat tered, there being many holders of only one and two shares, some of them living as far east as the state of Iowa. Among the larger stock holders who owe nothing for their shares but may now be liable as well as all other stockholders for an 'amount equal to their holdings to. make good on losses are: Victor Brandt, 123 shares; J. TV. Coughlin, 80; H. G. Colton. 60: C. E. Cochran, 20. and W. G. Buffihgton, 20. All these are Portland men. Director Bair lives in Canby, Or. The statement of condition of the bank at the close of business Monday, follows: Resources. Loans and discounts $1,511,795.40 Bonds, warrants, securities . 6til.43ti.ft3 Overdrafts, individual PrtO.L'-J Kurniture. and fixtures 46.643 Hue from banks 57,4i-o.l3 Casa oa hand 1. 570.88 Total resources Ji794.S16.oS Liabilities. Capital stock J 300.000.00 Surpius I'ndivided profits 5 280 56 Time and savings deposits.... l,toi17 07 . Dtmind deposits 1.376,ilS 93 Total liabilities $ The present loans and compare with $1,848,362.64 2. 794,816.56 discounts on Feb- SPECIAL BEKSSH 15c lb. PALACK FISH MARKET, iS4 Fifth St. We Give Green Stamp. ruary 15. The shrinkage is explained as due to cancellation of loans by ap plying" deposits against them. The to tal of cash on hand when the bank closed was $356,512.57, the present showing being- more than $215,000 greater. Of actual coin in the bank the report shows an interesting de velopment, as it now has but $1575.88, as compared with approximately $90,000 at the time it closed. This is explained. by the simple fact that the cash and currency are now kept in other Portland 'banking houses. Mr. Bramwell's statement on af fairs of the bank, made public yes terday, is in part as follows: "In the event the reorganization by the depositors does not appear to be feasible, the liquidation of the State Bank of Portland will be conducted entirely within the organization of the state banking department, sub ject, of course, to the orders and ap proval of the circuit court of Multno mah county. "The capital was $300,000; stock holders are liable up, to that amount. In all cases where prompt settlement is not made under the notice levying the assessment, action will be filed promptly for the purpose of making recovery. We intend that the double liability shall be enforced to the full est extent. 1 "I have been approached many times for an expression of opinion as to the probable amount to be paid to the depositors. At the present time this is a very difficult question to answer. Losses already determined aggregate large amounts. The char acter of some of the collateral will make liquidation very uncertain, but from all indications I believe de positors will ultimately receive 75 cents on the dollar and perhaps more. The income from the assets will far exceed the cost of liquidation, which will be beneficial to depositors. "Should the plans for reorganization by the depositors prove to be imprac tical, we will declare dividends to de positors at the earliest possible date. Funds have already been accumulated to pay a dividend of at least 25 per cent. Notices will be mailed to every creditor with a blank form on which to present their claims. When the claims are filed and approved, they wilr be certified to the circuit court for confirmation and an order author izing a dividend. An early dividend depends very largely upon the credi tors filing their claims promptly. "Creditors who desire may call at the bank and have their claims pre pared by our own forces, organized for that purpose, free of charge." SUTHEBLIN MAN FILES W. E. St. John to Kuit for County Judge in Douglas. ROSEBURG, Or., April 18. (Spe cial.) W. K. St. John, prominent resident of Sutherlin, today an nounced his candidacy on the repub lican ticket for the office of county judge, opposing Judge George Quine, incumbent, who is a candidate for re election. Mr. St. John was president of the Oregon Growers- association of this state and is now at the head of the Oregon Syrup of Prunes com pany, which is operating in Portland and placing on the market a prune syrup containing medicinal qualities. Mr. St. John pledges himself to an administration of strict economy. He was formerly a county commissioner in this county. TTT! NOMINATIONS ON MAY 4 University of Oregon Students Now Interested In Politics. UNIVERSITY OP OREGON, Eugene, April 18. (Special.) Student polities have begun to take a prominent place among the student activities, although no oiiice-seekers have announced their candidacy. Only one student. Half Couch of Wallowa, member of the executive council, holds office mrougn tne elections this year. The positions to be filled are nu merous, and will consist not only of the president, vice-president, secre tary and editor of the Emerald, but a number of places on the student and executive councils, yell king and editor of the Oregona. Nominations will be made "May 4. You Can "Bank" Upon These Values NG SUITS SPRJ FOR MEN AND YOUNG MEN with two pairs of pants The initial low cost of these suits is only the first step toward ultimate economy; it's the long service that counts. In these suits you will see careful, consistent workmanship, pleasing styles, good, all-wool fabrics in finished and unfinished worsteds; splendidly tailored in spring and all-the-year-around weights. Yes, you can i'bank" on these suits, both on the money you will save and on the enduring service you will get. SELLING Portland's Leading Clothier for Over Half a Century BEN MORRISON AT FOURTH the grandstand fair each evening of the Xiglit Horse Show Planned. EUGENE, Or., April 18. (Special.) A night horse show will be a fea ture of the 1922 Lane county fair, according to W. A. Ayres, secretary of the association. A contract has been signed with James McCIeave of Victoria, B C, who for the last three years has staged his show at the Pacific. International Livestock .ex position in- Portland and was at the state fair at Salem last year with his horses and performers The show will he given on the race track in front of Clatskaifle Men in Jail. ASTORIA, Or., April 18. (Special.) Walter Fogle and Angus Burt, both of Clatskanie, were arraigned before United States Commissioner Zimmer man this morning on charges of manufacturing liquor. Both waived a preliminary hearing and they were held in default of $500 bonds each to await the action of the federal grand jury. have said they do not feel that com petition should be eliminated in view of reports that the Salem bakers are. charging from 1 to 4 cents a loaf more for their product than the outside dealers. Hotel Will Open May 3. NORTH BEND, Or., April 18. (Spe cial.) Hills brothers will open the new Hotel - North Bend on May The hotel was built by the First Na tional bank of this city and cost $120,000. It is a five-story structure with tiled lobby, hardwood dining and grillroom floors, latest model ele vator! improved sanitary kitchen and with 60 rooms. The bank reserved a home for itself and has occupied it. One more storeroom In Sherman ave nue was arranged on tha first floor. 3." Orpheum matinee today, 15-25-50-Ad. Salem to Decide Bakery License. SALEM, Or.. April 18. (Special.) ! Whether Portland bakeries will be made to pay a heavy license fee for the sale ot their bread in Salem will be decided at the next meeting of the council, it was announced here today. Some of the councilmen have ( expressed themselves in tavor ot pro- tecting the local bakeries against outside competition. while others : t ... -.ait "A Virgin P ARADISE" I Weekly Scenic Keates NEXT SATURDAY "The Question of Honor" ANOTHER BIG WILLIAM FOX SUPER-SPECIAL IS NOW HER Eo Until Friday Night Only A thrilling love story of the South Sea Islands civilized hypocrisy "1001 thrills." N. Y. Journal iL U . . . , t NOW1 ti " Vk i , . - I feML. : : (1$ f 7 n SSsSii hp THE WORLD'S GREATEST COMEDIAN f r - I jafi vJSSL "U!l CHARLES " b - -ifXl ffi "PAY DAY" j it; I tie tace. tne wait ana tne anncs i -T- r: , jmmmf , may be the same; but die laughs j nil V VjTi coming sit. "Brasr -em trp barxes." are different and the story is new. ilLi'V'P,'9'BvrV"9PVPa'l'HVrS ,SAPoS pimyi 3. mi Mai ?W'TB,ST "The 1 atgggjHSr if 1 Ii? f-mm0fJ&hmrZ$i Antone Stechele AD THE Blue Mouse Qrchestra - kOtJt bsaaj jf.M liil mil I - loa 4 ' rat Wl',-""-u" "1 HU-MIEIBE CCD). Fars and Individual Style Shops Broadway at Morrison mi Six gay, new versions of a well-remembered favorite Dresses 29 It's time your furs were stored! Because each fur stored is first insured; because our storage vaults maintain a con stant temperature of 20 degrees below freez ing; because moths can not exist in such a tem perature) we offer full fur protection at very Email cost! Fetching youthful colorful frocks, mosfly of im ported fabrics exquisite with hand-made flowers! Dotted Swisses voiles crisp organdies fashioned with a freshness and charm that cannot be dupli cated ! You must see them to appreciate their chic I There's a Rosemary sports model of ratine combined with crepe de chine in combi nations of tangerine and tan, orchid and tan, peri winkle and white that one can scarcely reconcile to a price so low. A sprightly assortment at 29.75 1 Spring and the cape are inseparable! The cape accompanies the smart woman "where'er she walk!" To street, sports or formal wear the cape adapts itself graciously in cloth, silk or tweed and never were smart wraps priced so low! Sports capes in "Cam elair" at 35.00; in block checked tweed at 49.00. Silk capes in Canton collared with caracul, lined with scarlet, 65.00. Cloth capes in twill at 55.00; in veldyne Gerona and Marvella at 75.00. SEASON-END SALE brings a host of splendid values throughout the style shops of which we list but few: Spring SUITS reduced! Splendid twill & tricotine suits lowered to. sell at 39.50 formerly to 59.00 49.00 59.00 formerly to 75.00 formerly to 95.00 Each is a perfect example of the spring tailleur and there Is every size and every favored style to choose from ! Additional reductions bring a brilliant array of smart, new ? HATS at a single, phenomenal price: 9.75 formerly 12.50 to 270 Street hats in navy and tan, black and brown; garden hats In exquisite colorings ; sports hats of the better type with many new models added and only one of a kind ! -GLOVESILK reduced. Vi to y3 Perfect groups of glovesilk from renowned makers greatly reduced! VESTS that sell regularly at 2.50; now reduced one-third. .VESTS in Richelieu rib glovesilk; regularly 2.75 reduced one-third. BLOOMERS, splendid values at 4.75; undoubted bargains at 13 oft. BLOOMERS in the Richelieu rib; sold regularly at 555; reduced Y). CAMISOLES from Kayser; ligjit or dark colors; are now reduced Vi. ENVELOPE CHEMISES from Luxite; regular 8.50 and 8.95; reduced J4. A special purchase from Kayser VESTS in glovesilk at 1.95. BLOOMERS to match at 2.95. A remarkable value in fiber vests Sturdy fiber vests sold regularly at 255; now reduced one-third. Many other special values throughout the store! ESTABLISHED 1864.