The Comptroller of the Currency remarks with pride that, in the midst of
the general upheaval and numerous failures of honorable houses, only two
National Banks were involved: one of them failed, the other suspended
payment.
The amount of liability of the banks and bankers of New York who
succumbed during the month of May was estimated at $32,000,000, whereas
that of the only National Bank which shared their fate did not exceed
$4,000,000, the bank which suspended not having occasioned any loss.
Unhappily the year did not pass without its being necessary to mention
new misfortunes: eleven National Banks failed, and it is a fact that
among the banks and private bankers more than a hundred were counted in
the list.
Despite the close watch bestowed upon the banks it was surprising to
uncover all the tricks to which the National Marine Bank of New York was
given over, and, which until now had escaped the official examiners.
It suspended payment on May 6th, and the same day it was debited with
$555,000; the books had been erased and overcharged for the benefit of
one client alone to the amount of $766,000. He was a debtor to the
amount of $2,400,000, six times the Bank's capital, and a portion of
this debt was under a good many names of subordinate clerks.
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