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About The morning Astorian. (Astoria, Or.) 1899-1930 | View Entire Issue (Aug. 22, 1907)
IT I III II III III IB Fl IB III a . rUIUSHKH FULL NO. 184. VOLUME LXIII, PORTLAND BANK HAS FAILED Oregon Trust and Savings lis THE SECURITIES PURCHASED ARE WORTHLESS Cashier Morris, is In New York at the Present Time Trying to Dispose of Home Telephone Company Bonds Which Market Does Not Want Goes to Washington. NO PANIC IS THE GENERAL STATEMENT OF PORTLAND BANKERS VICE-PRESIDENT E. E. LYTLI BLAMES SEVERELY CASHIER MOKBIS'S PURCHASE Of THE TELEPHONE RESPONSIBLE DEPOSITORS WILL SAVE TO WAIT TWO YEARS TO REALIZE PAR VALUE OP DEPOSITS. Vice Irridnt Lytle iImm th principal blame or the bnk present plight on CahUr Morrl. I.UIe ay that Morrl ha bought bond, in 4 targe block which arc not nully realised upon and aeruw th caahlr of having luanisl what now aggregnieii a large amount to people on lnuf- flclent security. Morrl i. not actum! of having profited bjr the bank' dlnlre., Morrl (i at pretent In th east. II left bar according to tit bank effiuiaU on ThundajUatt, uklng wltt him without their knowl- edge, the director y about WX),00O worth of tb How Telephone Com- pny securities. He want to New York wher ha expected td tecur eufTicii-nt money to II over the bank present difficulty ruRTLAXD. Auguat 81,-Th Oregon Trut k Saving. Bank failed to open it. door. Ihia morning at the customary hour. Fifteen minute earlier Thoma C. Devlin, ex-city auditor, bad been ap pointed received by the Mat circuit court on an application of Loul J. Wilde, director and creditor of the bank. The closing of the door followed long seasion lt night between the manager of the bank and the member of the clearing houe aocition of thi ily, which had been peled to for Id. The lecurltie offered by the truat company, In the opinion of the clearing fcoiue, are not readily convertible in the prcent tlghtne of the money market and the clearing house wa unable to grurrt the relief akd for. The bank ha asct, neeordlng to a atatement of it alTair at the cloae of btislnc yetelny of $2.5.i3,(27 T con elating principally of loan and discount 84fljMX), bond and warrant $378,000, Telephone ImiikI (not included in above) IHMKOOO, and cash and money dun from other bank $2.10,000. Agallii-t thee are linbilitic conoitlug of rertitk-ate of de poait amomiting to (071.0(10, saving deposits $M7.000, general deposit $85,' 000, and capital stock and iutereat amounting to $170,000. -Caua of Failure. The Immediate cause of the failure ac cording to the bank official it the with drawal of the account of several largo depositor, followed by the inability of the bank to realise upon it collateral, which, though probably of " sufficient value to pay nearly 100 cent on the dol lar, i at present hard to convert, be cause of present tightness of eastern money market, Lytle Blame Morri. " Vice-President E. E. Lytle of the bank la severe in his stricture upon Cashier W. Cooper Morris, on who shoulder lytle places the blame. According to the bank officials, Morris telegraphed from New A'ork that he was unable to realise on telephone securities and Intended going to Washington. D. C., tcuay. No Panlo Feared. uusiness conditions will not be effected In the least by the failure of ne uregon Trust & Savlnsrs Comnanv.' aid J. Frank Watson, president of the Merchant National Bank, this morning. "The crops are the same and the money mumec i m tust as good com t on There is absolutely no reason whatever to fear any panic in Portland. Business men are hardly touched by the failure. That the bulk 0f the harm is done to the amnll Investor, their small saving In avlng banks, is the most unfortunate part of the affair. Laborers, clerks, hired girl and other on small salaries, who liave entrusted their aH to the Oregon Trust & Saving Bank, ere the one who will suffer. "There is another tiling that might be "aid. Every other bank in the city is ASSOCIATED PRESS REPORT Company Had to Close Doors. BONDS AND HOLDS HIM DIRECTLY in good condition. All are reliable Insti tution. It I simply a question of a man who lacked knowledge of running bank In a city coming down from a country bank, where be understood con dition, and tackling something of which In, knew nothing. Under those condi tion the bank wat doomed to failure. Now. I am all right here, but If I went to Wall Street the (ante thing might happen. It would be a per I ltd case. The Oregon Trust & Saving Bank got out beyond their depth on account of lack of knowledge of their buiines." Needed 100,000 Friday. "If we could have ecured (100,000 last Friday night," said Prealdent Moore thi morning, "we would not have failed, but the atringency of the money market in the eat kept u from raising the money needed. Mr. Morris, our cashier, i now in the east trying to dispose of some of our securities. He went to New York, Jut could do nothing there. We had telegram from him yesterday, say ing he would be in Washington today on the same mission. I am not in a position to verify the accusation made by Vice President Lytle and Director Leo Frlede that Morris bought aecuritie in large amount without the authority of the directors, or that he loaned big sums to companies and enterprise in which he was financially interested." Mr. Moore would not deny the charge was true, however. ; "We believed the other hank would come to our assistance even up till early tin morning, hut when the Clearing House Association turned us down we were helpless. We had to close our loorv ' . "Our affairs are entirely in Mr. Dev tin's hands, but I am confident that un der his receivership the creditors and lepositor will realize dollnr for dollar. It may tivko many months, possibly it will be two years, before the bank' af fairs are entirely liquidated." New Received in Astoria. Effect of the suspending of the Ore gon Trust & Saving Company were felt in Astoria and a number of people here had their money la the institution and are much worried over the outcome of the situation and most all of them fear that their deposit have been lost. The news wa received here early . in the day that there was a run on the bank. Mr. S. Elmore received a telegram to that effeot end th new wa generally known shortly after dinner. There was no uneasiness felt however, by any of me local nnnneinl institution. Reports arriving from Rainier last night how that the Rainier people were thrown In a panic. All those who could pressed to the counter of the State Bowk of Rainier and drew out their money. Those wh0 tried it and had put their money in the bank for a certain length of time are wild with fear that they are to loose it all. At 8:45 the bank closed Its doors having paid out ASTORIA, OREGON, THURSDAY, AUGUST 22. 1907. The ftar Here' where I earn my Owing to the fact that very jail ( Jr i buy planning great number TRY OUT BATTLESHIPS. WASHINGTON, August 21. Final trial run for the battleship Vermont and hansa have been fixed for Septem uer Mb and October 5th, respectively. FIRB NEAR TOULON. T0CTDN, August 21. A great forest Or I fclatlng on all aide, and the two fori ar threatened. Troop are making desperate effort to control th fir, but thu far with but little result, ow ing to the high wind. CHEF IS A THIEF Robs Houses as Well as He Cooks.? 2 r ARRESTED ON HIS DINER Hi Name i Green, But Hi Skin ia Black, and While Not Making Con somme on th Dining Car Was Secur ing Valuable Belonging to Others. LOS ANGELES, August 21.-The ar rest of Charles Green, colored, which a amde by a negro patrolman several days ego, proves to be one of the most important capture made in many month. Green is a dining ear cook be tween here and Salt Lake and between trip he wa engaged in robbing house. ine detectives discovered hi room and t first were unable to find anything of anie 111 it, but a more thorough search and the removal of boards in the floor brought to light jewelry of all descrip tions, worth easily $3000. There were watches, rings, pins, bracelets and num erous other, art ides, H proceed of burg laries which have mystified the police for weeks. Gheen has admitted that he has as much more stuff secreted in another place, but refuses to disclose it hiding plnoe hoping to secure .immunity or the pi oniie of a lighter sentence. ROOSEVELT DELAYED BY FOG. OYSTER BAY, Aucust 21.-The ar rival of President Roosevelt from Prov- incetown was delayed hi a dense foir to aay. The Mayflower was due at noon but at 3 o'clock had not been sighted. (18.000 since the noon hour. There Is about (125,000 deposited in this bank which has 0 solid reputation. i at iiailnglier, manager of the Im perial restaurant went up to Portland yesterday morning and took with him money which hi wlfe wished him to add to her account in the bank. When he aw the long line of depositors his hair stood up and he grasped the roll of bills in his pocket. "No I not for met" he gasped to himself. "I don't want to deposit anything. I guess I'll hung onto tins. Don't like the look of the crowd going into that theater." j' j ( S ' salary of (12,000.000 per year! in Russia, is crowded to the limit the of new prisons. New Item. LARRY SULLIVAN INSOLVANT. One-Time Astoria Sailor Boarding House Runner Break in Big Game. RENO. August 21. A receiver will be appointed for Sullivan & Rice (Inc.). It is stated that liabilitie of over (12,000 remain to be paid. Evidence produced in the District Court here today showed that Sullivan & Rice (Inc.) conducted a businea of mining promotion in Nevada, advertising for business throughout the East and suppressing criticism through the west without a cent of capital stock and with no asset at the time such assets, according to th law of this tate, should have been their possession. Judge Massey, defending L. M. Sul livan of the charge of grand larceny for stealing the book of the corpora tion, told the court that the majority of the stock in the company was held by G. G. Rice and hi wife, the former of whom paid about (3000 and the latter getting her share without paying ilollar. One of the feature of the trial wa the statement that Larry Sullivan, for mer millionaire and king of gamblers, cannot write more than to sign his own name and read even large printing with uiimuity. Said Attorney Massey, defending Sul livan! "It would be a crime to allow Sullivan & Rice to continue in this busi- nes to turn back the book to G. G. Race that he may further prey on the public and the stockholders bv false en tries and misrepresentations. We show mismanagement, fraud and insolvency and ask a receiver for this 'business." The receiverliip was agreed on by the nice & suiuvan attorneys. There are many in Astoria yet who recall the day when Larry Sullivan was the pride and fear of the life along the atenront. now he lorded over his domain like a peer among thralls and was the terror of sea captains wanting sailors. There are those who recall he dnys when "Larry", in all the pride of his position, would shove a cicar be tween his teeth, hi hat on the back of his head ,and march up Bond street, while all the world stopped to admire ami to step aside. But his checkered career is ended. A short time ago he wns rich but his fortunes are now gone iiKe tne smoKe he blew awav from his cigars. But those who know "Larry" will watch with interest the future for tupes, of this man, one of the most dist inct characters in the product of As toria's waterfront. RUSSIA'S DEFENSES. WASHINGTON, August 21.-Mail ad. vice show that Russia's new plan of Far Eastern defense includes the fortifi cation of. Irkutsk a a base, with the town of Chita a an outpost another line of railroad through the Amur val ley from Chita to Vladivostok, and the fortification of the lattei citv with an elaborateness calculated to m&ke it im pregnable. DEPOSED MAYOR SUICIDES. IX)UISVTLLE. Auimsfc 21. Paul ft ifarth, who was recently deposed as Mayor, shot and killed himself today. COVERS THE MORNING FIELD ON ' THE STANDARD'S PLEA. NEW YORK, August 2L-D-fene it made by the Standard Oil Company in a pamphlet is sued (bee the (29,000,000 fine wa Imposed upon the trust by Judge Landi in the Alton rebate case. The Standard declare, that it is absolutely innocent of any wrongdoing and that the higher court will protect H. PAYMASTER ROBBED. William H. Hicks Receives Bullet la Ann While Defending Money. PHILADELPHIA, August 21-William H. Hick, paymaster of Schaum 4 TJM- inger, textile machine manufacturer, wa held up thi afternoon by three highwaymen in the northeastern part of the city and robbed of satw?d contain ing (6000. "if Pursuit ensued, and one of the rob ber was captured after several shots were fired. The two others escaped with the latcheL Hicks i Buffering from a bullet wound in the arm inflicted by the robber. KING LUNCHES WITH PREMIER. MARIENBAD, Bohemia, August 21.- French Premier Clemenceau lunched with King Edward thi afternoon. The result of the recent royal meeting the King bad with the Emperor of Germany and with Austria were discussed with apparent satisfaction. INJURED ORGANIZED LABOR, WASHINGTON, August 21. Presi dent Gomper said the American Federa tion of Labor would probably sue the .National Manufacturer' Association on a charge of conspiracy ia beginning a concerted effort for injuring organized labof. PANAMA INQUIRY No Blame Attached In First Day of Session. GROVES WARNED PILOT SNOW Edwards and Fuller Conducting Exami nation Which Promises to Last Several Days Officer of Both Ship Dodging Blame and Not Blaming Each Other. PORTLAND, August 2I.-Mesrs. Ed wards and Fuller, inspectors of hulls and boilers ,are today listening to evidence ending to throw light on the collision between the steamer City of Panama and Alliance at the mouth of the Wil lamette, August 8. The testimony ia be ing taken down in writing and it will probably be several day before a decis ion is rendered. The decision will likely figure prominently in the suit now be fore the courts, by which the owners of the Alliance endeavor to hold the owner of the City of Tanama for the cost of the repairs to the damaging craft. ' ' The Alliance i represented by Attor ney Zera Snow ,and Attorney J. Crouch. Flanders is looking after the interests of the underwriters for the City of Panama, who will have to pay should the court decide that she was at fault. "I warned Pilot Snow, a he brought the City of Panama up the river be 'tween the dredge Portland and the shore of Nigger Tom Island, to let go the anchor,'! said Superintendent Grove at one stage of the hearing, "because I could see that she would either ' run aground Or hit the Alliance." In explaining why he cautioned the pilot of the Panama as he came up the river, Superintendent Grove said he saw that the steamer wa beyond the customary pilot's range in making the bend, and knew that she would go ashore or hit the Alliance because of the nature of the current. He heard the pilot pri tne ranama give orders to port the helm, and then to throw it "hard over to port." In his opinion the Panama did not alter her course in response to the helm if fhe drdehr Were carried out. For that reason he yelled to the pilot to let go the anchor which was hanging over the starboard bow.' But the anchor was not let go, and so the San Francisco liner cut' deep into the stern of the Coos Bay liner which had grounded the evening before with Pilot Turner on the bridge. I THE LOWER COLUMBIA PRICE FIYE CENTS FUMIGATE ALL VESSaS Bubonic Plague Prccan tions to be Taken. RATS CARRY DISEASE Dr. Holt, Quarantine Officer, Will Shortly Issue Necessary Orders. NO CAUSE FOR ANY ALARM Vessel After Discharging Cargo Will b , Required to Barn Sulphur in Hold for TwelT Hoar San Francisco Out break May b Front Last Epidemic. In a veryi short time, few days at the least, all ships in the coastwise trade, entering the Columbia River, will b subject, to a fumigating process a a precaution against the bubonic plague, which has recently broken out in San Francisco and which i said to be raging in many of the province of Manchuria. These fumigating periods will occur once a month and may apply to foreign veseel according to their status. , Dr. John M. Holt, of the Columbia River Quarantine Station, with office in this city, is the instigator of the plan and be will issue the necessary orders or bulletins in a very few day which. will carry out the work. Such precau tion are necessary on the face as bu bonic plague is quick to spread and it is carried around the world in ships. The medium of transmission of the plague germs is said to b the rats Which are co be found in all ship in great num bers and Dr. Holt' plan is to make a campaign against these animals. "In killing the rats," said Dr. Holt last evening, we kill the mean where by the disease is carried from one place to another. The plan now is to get at tms work with tbe least delay to the shipping interest and the fumigatjng will be done while the vessel ia in port and her cargo has been removed. Take, for instance, veisel arriving into As, tbria When her cargo has been removed she will be fumigated with subhur for 12 houres before taking on another load.. Thi will kill all the rat which are In the hold of the ship and with them kill all the germs of the disease. "A disease such as the bubonic plague take long time to stamp out and the time to begin is before it has fairlr started. It may take, two years for the disease to appear in the human family after the germs have been destroying mis iu constantly increasing numbers all that time. The present cases in San Francisco may haw been contracted from germ, 'brought into the country. many months before and mar have been a fresh outbreak of the last epidemic there and to guard against any suoh event happening to this port or Portland it is necessary for the quartine office to take these precautions. ' ; : The ship companies will eertainlv be- benefitted by this method of treating the situations and it will be , gaving in ex. pense as the vessel can be treated while in port at the dock. It may result in a few hours delay but according to the other methods of quarantining the vessel would have to be fumigated and then the oarsrn put back in again before she would be allowed to proceed on up the river. The situation is not an agreeable one for all concerned and the office will do its ut most to make thing easy for the ves sell" . The new work of the quarantine office will require additional help and iust who Dr. Hofc Will have to aid him he was unable to state last night. Neither wa he able to say on what date he would issue the orders but he said that it would be very soon. Dr. Holt wished to have it emphasized that there is no cause for alarm at all. but on the contrary,- the people should feel an added security in the knowledge that the health interests of the country are being so closely safeguarded.