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CURRENCY RESUMPTION. P. OPINIONS OF W. K. KITCHEN, SHEPHERD KNAPP, APCALHOUN, AND _RESUMPTION MONEY PROACHING C. BY NATURAL PROCESSES PANIC ABUNDANT-WHOLESO EFFECTS OF THE ON THE BANKS. The question of an early resumption subject of payments by the banks was again the currency investigation by TRIBUNE reportere, yesterday, of an bank officials. W. K. Kitchen, said that while be believed was a bad one at the arrangement of among the Park the Bank. beginning, President the Park it pooling would Bank be.injudicious to break it up hastily. The rather no benefit from it, but on the contrary was to derives all the large banks must, but its effect distress amoug weaker institutions, a | reflex of distress among all. to freely, and would doubtless as save loses. quent ing in as prètty Currency continue and giving was conse- com involume. His own bank was able crease accommodation in to merchants as it was to, much but it had paid out a great part of its deposits. Further and not able to give as much as it would wish. The was this, there had been no practical suspension. ability than of currency according to each bank's doubtpayment the rule throughout. Bank reforms would would prove less was out of the trouble, and so far it was grow a beneficial panic. Over-certification he to evils which would be one the banks that had been in the habit had already learned caution. certifying believed have of the been remedied, that way. The of and over- Park Bank itself had never done business in 33 Shepherd Knapp of the Mechanics' Bank, No. Wallsaid he did not believe it best to force full resump banks st., of currency payments just now. Most of the tion had paid out a large proportion of their deposits some of them might be seriously depleted paid and the understanding that currency would be if freely should get abroad. It was better to let the the currency out work its way back gradually, and, with great influx of gold here from abroad, he thought specie payments might be the result. That, of course, would it be better for everybody. Although we could not use for currency, yet it afforded a solid foundation upon and which all values and all paper could stand steadily, a continued apparent suspension of currency seemed to up the event of a resumption of specie. had been entered The likely pooling hurry arrangement into endangered, by the solid banks because the weak ones were and it would be unwise to break it up before all are fully prepared. He knew of no intention on the part and of the large banks to withdraw from it, he certainly had formed no such intention himself As to the loan certificates. they were already being retired. The Mechanics Bank had purchased $300,000 of them at the beginning in order to relieve the merchants and to be ready in case of an emergency; but recently they had returned them and taken back their securities. There had, indeed, been more than twenty millions issued, for it was understood the Committee could issue ad libitum after the last ten million was issued. He (did not know, therefore, just how much therew to be redeemed, nor when they would all be redeemed. Other banks, doubtless. found the loan certificates very convenient. The Mechanics' had no use for them. It had continued to give merchants about as much accommodation as they demanded, and its discounts had increased $160,000 since the days before the panic. One reform likely to grow out of the erisis was a reform in the matter of over-certifying checks. His bank at present required full securities before it certified anything. P.C. Calhoun, President of the Fourth National Bank. said.there had never been any practical suspension. The banks have all paid National bank notes. and there is now an actual surplus of currency in all the banks. A man was there yesterday rushing about to sell $100,000 of National bank notes, and he could not find a buyer. The currency is coming in in great quantity, faster than it ever aid before, and because of the accommodation afforded by loan certificates. it accumulates in the bank If man comes with a check for $100, $400, or the counter, of course; if $500, vaults. he is paid over the amount is larger, $1,000 or $2,000, he is paid by certified check Reporter-As to the loan certificates, Mr. Calhoun, are they likely to soon redeemed if Mr. Calhoun-They could all be redeemed at once, the holders care to do it. We have been carrying $1,200,000 of them, merely to relieve the needs of our customers, but we could return them to-day, if we wished, take back our securities. But we do not think it We consider the loan a best and to so. certificates very good substitute for currency, and while they continue in use the actual currency accumulates. It is not drawback on any of us to make use of them. Brokers' checks are all certified, and always will be certified as long as there are any brokers' checks. The pool arrangement of the Associated Banks does no harm, and ittmay do good. The banks I believe could all draw out of it now, but it might strain some of the weak ones, and again threaten the mercantile interests. It is better to keep up the pool, although we larger banks suffer a little by it, than to break two or three mercantile houses, and have distrust and panic on us again. The accumulation of currency forms very desirable reserve to facilitate, when necessary, the movement of the various crops. But even in that particular, matters are exceedingly easy. A gentle man from the South was here to-day, who says that there is currency enough in the South to move the cotton crop provided we can give them slight advances on five and ten-day bills, due when the cotton arrives. So you may say that currency payments are resumed. There will be no formal proclamation of resumption by the Bank Compittee. Currency will simply assert itself. and in the course of the week every bank in the city will be paying currency as freely as ever. J. E. Williams, of the Metropolitan National Bank. had time only to say, when asked as to the prospects of an early resumption of currency payment, that he thought it best to let it come about naturally rather than to force it by any formal action by the banks. THE IRON TRADE SUFFERING FROM THE STRINGENCY. A TRIBUNE reporter yesterday conversed with several extensive dealers in iron, both American and imported, to obtain their opinions as to the present condition of business and the prospects for the future. Edward Oothout of the firm of W. Oothout & Co., No. 3 CHiff-st., said that the iron trade is now almost at a standstill. The transactions of the past month have been little over 50 per centrol those of the same time last year. Money does not come forward to set in motion the products of the mines and mills, and to move the crops. Moreover, dealers want both confidence and ready means to sustain them in giving orders. At the beginning of the panic collections came in pretty well, but as the alarm and the consequent monetary stringency spread over the country, the receipts stopped, and now there is little coming in. Many of the mills and employing firms are embarrassed to pay their MCD. and either defer full payment or give part of what is due in orders on some bank. In the case of the larger mills and houses this difficulty is chiefly due to the limitations put on currency payments by the banks. Mills and firms which have less resources, beside trouble from this cause, find difficulty also because they can little or and because their not meet their Merchants get their not more. Some usually sell money among obligations nothing, and the will promptly. trustworthy, buy debtors cannot now buyers, do most can only meet their bille with
