The bank was a good place to work and the employees were nice. The own is nice and has a small town feel. Security National Bank Response. Edit • Delete. Security National Bank 2009-08-05 18:46 PDT. National Securities Reviews. Star Star Star Star Star 117 Reviews.
May 10, 1975, Page 37 The New York Times Archives HUNTINGTON, L. I., May 9 —In a three‐hour meeting that was raucous at times, shareholders of the Security National Bank voted here today to liquidate the remaining assets of the bank and pay colt $7.40 a share. It was the final act in the take‐over of the Security National Bank by the Chemical Bank, a sale for $40‐million that was announced Jan. More than 250 stockholders —many of them disappointed at the demise of their bank, once a $2‐billion giant—gathered in the Huntington Crescent Club to vote on the liquidation proposal. “This is a wake,” one shareholder who said he used to own 12,000 shares commented.
Management, with proxies for 82 per cent of the shares outstanding, voted for the liquidation. Patrick Clifford, the bank's former chairman, was not present at the meeting.
Braun also indicated that management had the two‐thirds majority vote needed to pass a proposal to help reimburse officers and directors if they lost any class‐action lawsuits brought against them. With the results never really in question, the meeting was more an opportunity to vent frustrations over losing money in a bank that was once the hope of many Long Island investors. When tempers flared, Mr. Braun asserted that the officers and directors of Security National had lost $25‐million to $30‐million of their savings by investing in the bank. “I lost $300,000 on 11,000 shares,” Mr. Shea lost almost $2‐million,” he said, referring to William A. Shea, a powerful director of the bank.
As the meeting progressed, it became apparent that shareholders would discover little about the decline of the bank that had not already been made public. Mary Randall Stewart, a shareholder who represented 2,965 shares, asked 49 questions. Braun declined to answer them on the ground that the bank was involved in litigation. Thus shareholders may have been deprived of learning how many Security National Bank write‐offs were taken on loans made to corporations in which Mr. Clifford was a director.
Advertisement Suggestion Fails To many stockholders it came as a surprise that the Controller of the Currency, who regulates national banks, could declare an emergency and arrange the sale of a bank's assets without the approval of stockholders. Jean Kreppell, a stockholder who owned 32 shares, moved to adjourn the meeting and establish a stockholders' committee to review liquidation. Braun said management would vote against the measure, however. For stockholders, Solomon C.
Steinfeld, an owner of 1,553 shares at a $20,000 loss, asked a key question: “What alternative would we have if we voted down the proposal to liquidate?” Management asserted that there was none. “The probability is that the Controller would step in and liquidate us,” Mr.