16797. Powell Bank (Newburg, NY)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
October 3, 1857
Location
Newburg, New York (42.693, -78.120)

Metadata

Model
gpt-5-mini
Short Digest
711be55e

Response Measures

None

Description

OCR/citation shows Newburg in the provided bank info but the newspapers consistently refer to Newburgh, NY — corrected to Newburgh. The Powell Bank discontinued business / was thrown out during the Panic of 1857 (macro shock). No specific misinformation-triggered run is described. By November 1857 the bank's bills are in liquidation and by Oct 1858 it is described as winding up, indicating permanent closure.

Events (3)

1. October 3, 1857 Suspension
Cause
Macro News
Cause Details
Suspended/thrown out in the general Panic of 1857 and heavy financial pressure; articles list it among banks thrown out during the nationwide panic rather than due to a discrete rumor or bank-specific scandal.
Newspaper Excerpt
The Powell Bank will discontinue business from this date. Its affairs will be wound up... October 3, 1857.
Source
newspapers
2. November 9, 1857 Other
Newspaper Excerpt
The bills of the following State Banks, which have gone into liquidation, are no longer received on deposit at the Metropolitan Bank: ... Powell Bank of Newburgh, ... (Nov 9, 1857).
Source
newspapers
3. October 29, 1858 Other
Newspaper Excerpt
The Powell Bank, Newburgh, is winding up.
Source
newspapers

Newspaper Articles (8)

Article from The Daily Dispatch, October 5, 1857

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far Southern as neighbors. they express confidence in their ability to maintain specie payments. The Nicaragua Transit Company. as the Ameri can. Atlantic and Pacific Canal Company, is popu larly called. has made an assessment of 85 on what are known as the Canal rights. We understand that the British Bank of North America has ordered gold from England and will remit its bills for collection instead of selling then at the present low rates. The amount of gold t cover its operation will reach £500,000 per month of which £100.000 has been ordered. The New York Journal of Commerce of Friday aftenoon, says: We regret to announce the suspension of P Choutou Jr. & Co., fur dealers. with large liabili ties. The house of P. Choutou Jr., Sanf & Co. dealers in iron, although composed of several o the same partners. is a different concern with dis tinet interests and is not affected by the above sus pension. The suspension of the house of Brum mel & Roysters. tobacco dealers. is also announced This respectable firm were winding up their affair preparatory to going out of busines. but have beer caught in the storm. Messrs Swift, Ransom & Co bankers are also reported. The same paper of Saturday afternoon, has th following: The pressure to-day is not greater than expected nor the financial disasters altage unexpected Some who have stood heretofore unshaken hav gone down but the most of the suspensions hav occurred among those who were widely known Messrs. E. W. Clarke, Dodge & Co., bankers and co lecting agents. after making every possible effor to sustain themselves have at last stopped pay ment. The primary cause was the large advance required by their Boston house. J. W. Clarke & Co but they had also large connections with the west both with railroads and business firms. and hav become 80 much involved that they could not easil disentangle themselves. They have been ver) much respected. with a wide circle of friends, an will have much sympathy in their misfortunes. We also notice with regret the suspension o Messrs Gage. Dater & Sloan dry goods jobbers it Chambers street. enjoying a fair credit, and o Messrs L Bauer & Co., in the hosiery trade. The failure of Messrs. Powell, Ramsdell & Co o Newburg has been followed by the suspension 0 the Powell Bank of that city. Foreign Exchange continues inactive. with considerable quantity floating upon the market and but few buyers. Bills on London. draw against produce, have been sacrificed at 90a95 pe cent but bankers rates are quoted at 100a103. The Tribune of Saturday gives a list of the note thrown out of the banks there: The following Banks are thrown out to-day The Farmers' Bank and Hudson River Bank. at Hud son; Old Saratoga Bank. N. Y.; Thompson Bank Conn.: Phillipsburg Bank, N. J.; Bass River Bank Mass.; and Stark Bank, Vt. Many of the uncurren money dealers have been unwilling to purchase Eastern currency to-day, and buy State only to moderate extent at 1 to 2 per cent. discount. The American Exchangeand Metropolitan Banks, how ever. continue to receive as usual at 1-10 for Eas tern, and 1/4 per cent. for State, from their dealer and correspondent Banks. and we are assured the will continue to receive as long as the New York Banks sustain specie payments. THE SUSPENSION AT WILLIAMSBURG, N. Y. The Farmers' and Citizens' Bank of Williams burg, L. I., which suspended in consequence of on Thursday, had $103,000 on deposit, and about $277. discounted paper in its possession $225,000 of the latter is considered perfectly good Depositors have been assured that they will no lose in the slightest degree, although they may have to wait a short time for their money. The circulation of the Bank was $100.000, and as this i secured by State stocks, the bill-holders canno suffer. It is believed that the Bank will very soor redeem all its circulation. dollar for dollar. MARYLAND. The Baltimore Patriot of Saturday, learns th following: Our banks are discounting only to a limited ex tent, and disposed to restrict their lines as much a possible-hence mercantile accommodations ar less than generally supposed. As much, however, is being done as can be with prudence and due regard to the future. Quite large amount of good business paper is offering or the street, but capitalists being backward-not posed at present to invest largely-negotiation are consequently, restricted. Good to first clas notes may be quoted nominally at to 2 per cent a month-very little under the highest name figure and difficult to sell at that. Second clas meets with but little consideration. Money on call ranges from 13/4 to 2 per cent. Exchange on the North has materially advanced and is now selling at to 10 per cent. premium We quote Virginia bank notes (old) at 3a 4 pe cent. discount, and other descriptions at 5 a 6 pe cent. discount. North Carolina difficult of sal at 5 to 6 and 7 per cent. discount. Ohio and West ern bank notes are not selling to any considerabl extent. Specie in demand. Gold has advanced. and sell to-day at 7 to 10 per cent. premium. as to amounts &c. Silver is also in pressing request, and som banks have been selling it in small sums to mee exigencies. at to 6 per cent. premium. This ad vance in price is caused by an absolute necessit for small change in the way of convenience to pa laborers and others. The banks. we learn, are obtaining as much of it a they possibly can to accommodate their customers Great difficulty and much distress exists amongs the poorer classes. Many of them are forced t sacrifice, comparatively speaking. much of thei earnings, in order to procure small change, or us the money given for services rendered. IN PENNSYLVANIA. The Philadelphia Ledger of Saturday. says: Monetary affairs here. are more quiet. but mone is as hard to command as ever. and if there is les excitement. it is only because there is lessened et fort to resist the seemingly overwhelming difficult ties that threaten to whelm in ruin SO many of on active, though unwisely extended, business men.Our banks are acting with more uniformity and i is hoped a good understanding may be establishe among them by the time the legislature goes int session. Coin is already fast hiding itself from view. The difference between coin and paper still 5 per cent., with a moderate business a these rates. Among the Pennsylvania Banks that have no suspended specie payments are the Bank of Pitts burg, the Honesdale Bank. the Wyoming Bank and the new Bank of Catasqua. FORWARDING CROPS TO MARKET. The Chicago Tribune of the latest date state that several of the leading banks of that city have entered into an arrangement to advance currenc for the purchase of grain, taking the bills of lad 10g in the name of the bank making the advance and selling the grain on account of the home pur chaser The Tribune says: The obj of this arrangement is, of course. to


Article from New-York Daily Tribune, October 5, 1857

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Financial matters looked a little brighter on Saturday than they have done of late. Fewer failures than usual were announced, heavy payments were made with unexpected promptness, and the leading stocks sold at an advance from the depression of Friday. The drafts on the Sub-Treasury failed to arrive from Washington, but will come to hand to-day, and, with the treasure by the Star of the West, will supply the specie of which everybody continues to stand in need. On the other hand, the feeling of merchants is still gloomy, and their confidence in each other faint. The best paper is taken with reluctance. The well known house of Dodge, Clark & Co. has suspended in consequence of heavy advances to their Boston house, J. W. Clark & Co., which had previously suspended. The firms of Bowen. Ely & McCornell and of Gage, Sloan & Slater have also suspended. The Powell Bank of Newburgh, the Windham County Bank of Connecticut and the Bank of Ashland, Kentucky, were thrown out on Saturday. The Hudson River and the Farmers' Bank, the two banks of Hudson, have both suspended. Their bills are fully secured, and the business men of the place have generally agreed to take them at par. The cashier of the Exchange Bank of Lockport, which was reported to have suspended, says that it is solvent and in regular operation. The City Banks, though hard pressed, have no thought of suspending; and Chicago has resolved with Boston to stand by us. The Bank Commissioners of Connecticut are said to be vigilant and faithful The Auditor of Virginia says that notes of all the State Banks will be taken in payment for revenue. The fact that the Reading Railroad's notes have gone to protest will not tend to strengthen confidence in railroad securities. The Long Dock Company and the-Cumberland Coal Company followed suit on Saturday. The Erie paid everything due, and five sixths of the subscription to her $600,000 loan is already made up. In Besten, there was a little change for the better. In Philadelphia, the depression amounts almost to a paralysis. We hear of workmen being thrown out of employment all over the country.


Article from New-York Daily Tribune, October 5, 1857

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SATURDAY, Oct, 3-P. The Stock market has been irregular to-day, with The a large amount of Stocks pressing on the market. market heavy, but improved There was most opened descriptions. considerable from Pennsylvania the opening difficulin making deliveries of Reading and The former sold between the as and the latter at 62. After the as Coal. ties 30, Boards short demand Central high was satisfied, the quotations declined. Illinois was very buoyant under orders to buy from England, from 75 to 80, seller thirty. Rock also 7 P cent from the Galena improved 11 & cent. Island terday. and advanced sold depression New-York of under yesafter advanced to 53 bid. Erie, in regard to the payment of its but recovered to 11, at the fell Central off doubt to 91, being which floating 161 it from closed. debt, 11 Milwankee and Mississippi advanced to State yesterday. Michigan Southern was heavy. In Stocks there was not much done, excepting in Missouris, which were firm. Railroad Bonds continue very dull. At the Second Board the feeling was quite strong for Stocks generally, and the market closed steady. The small number of failures announced had . favorable effect. There is nothing of importance doing in Exchange and rates are nominally par to 5 ₽ cent for Sterling. There is, however, an improved feeling, and some parMes are disposed to invest at present low rates. Freights are rather heavy. To Liverpool, 12,000 bble. flour at 2s. 3d.; 3,000 bush. grain at 51d. in balk To and 6qd@7d. in bags; 250 bales cotton at 1d. London, 5,000 bbls. flour at 2s. @2s. 3d.; 80 tcs. beef at 4s. 6d; 100 tons oil cake at 22s. 6d.; 30 casks argols 20s.; 15 cases essence of peppermint at 603., measurement. To Glasgow, 2,500 bbls, flour at 2s. 3d. 2e. 6d. A brig from Wilmington to Hull with & cargo of crude tarpentine at 5s. P bbl. The business of the Sub-Treasury was: Receipts, $444,774 25-including $250,000 from Boston; Payments, $283,139 42; Balance, $7,748,267 93. The diebursementsto would have been considerably larger, but for the failure of the Washington mail to connect at Philadelphia. The drafts, however, will some to hand on Monday. It must not be overlooked that & large portion of the two millions vaults lost by of Sub-Treasury this week has gone into the in the the Savings Institutions, and will not appear reserve of the Banks on Monday. specie heavy payments of to-day have been met restated with The promptness, and confirm what unexpected days since, that a large portion of the paper due some had already been arranged. We have inquired to-day of the Banks and find that the protests, at many numerous, are not much more so than of late, although consist mostly of the country paper. Notwith- it is and the failures which are daily announced, the standing that our merchants are very strong, and under evident of wonder is universally heard that they the expression present condition of the money market sustain themselves as well as they do. We are extremely sorry to be compelled to announce Clark, suspension of the well 1-known house of the & Co. The immediate cause of their their suspen- Boston Dodge to be advances made to J. W. Clark & Co., who have also for deal of sympathy is expressed in house, sion A great is understood the suspended. street house Clark, Dodge & Co. The Philadelphia The Meach Measure E. W. Clark & Co. have not suspended. Comof Deck Company and the Cumberland Coal followed the example of the pany to day. The Erie Railroad with the Long Dock gone Long to have protest Company Reading Company in the pro- and is The Erie paid tested paper. not implicated everything looks due to-day, favorthe subscription to the $600,000 loan able. and It has reached now $500,000, and is binding The thus far, even if the full amount in not made up. mereantile failures of the day are: Measrs. Ely, Bowen & McConnell, and Gage, Sloan & Slater, dry and two or three thers of minor importance. cirKeoár, Messre. Clark, Dodge & Co. issued the annexed enlar: New-York, October 3, 1857. becomes our painful duty to notify you that forced being usable It to meet our engagements, we were to suspend payment to-day. received by us to-day have will been All remittances to the Bank of North America, who pay drafts harded to the extent of the money received. collections received from correspondents will of likewise All be handed to the above Bank for account the owners. collections on hand or forwarded by us for reAll be ordered into the hands of the for owners said colturns, will as may be desired, and returns parties on reotherwise, lections will be paid E. over W. to CLARK, the proper DODGE & Co. ceipt. season is approaching when the quantity can be of The the railroads will be larger unless than & betfreight through upon with regularity and dispatch, than has been put shall have been obtained m&nter system in previous Winters. Perhaps our railroad Freight need might study, with advantage, the past has agers system which for years in successful operation in Great at been Clearing-House very Britain. of it some For their benefit we will attempt & description ought future time. Certainly some efficient measures in conto be taken by the Railroad Companies, hindrances either to cert or to obviate the rewhich are sure to recur rush of business, especially in transportation turning independently, with the each Winter. for the fall of SLOW is made an excuse of merchandise on route, and when his Every delay heavy non-arrival the of mer chant, out of all patience at the like decent season, threatens to comRailroad Company to compensate congoods the in anything him for they reply (as the owners of the have done recently), " we cannot be America sequent pel loss, responsible We cannot for what rule Central was the a visitation of God.' But Obstructions upon roads must plainly answer. elements; thing, that they logic sometimes might won't but, as & general remedied be much more much wear-and-tear of occar, considerable of course, less readily and than they temper, are, and mercantile community, be saved thereby. the the Powell Bank of Newburgh, Ashland, Windham Ky. The Bank of Conn., and the Bank of active business at in County were uncurrent thrown money, out to-day. but rates There were cent is earler, an discount. Eastera The and being State bought


Article from The Davenport Daily Gazette, October 6, 1857

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LATEST NEWS Financial Intelligence. BOSTON, Oct. 3. Messrs J. W. Clark & Co., bankers, suspended payment this morning. PHILADELPHIA, Oct. 3. Messrs. E. W. Clark & Co., bankers suspended payment this morning. Sr. Louts, Oct. 3. The firm of Chouteau, Harrison & Valle, iron merchants suspended yesterday. By their suspension over eight hundred persons have been thrown out of employment. They were the owners of the Iron Mountain. NEW YORK, Oct. 3. Messrs. Clark, Dodge & Co., bankers, have suspended. The Powell Bank, of Newburg, is thrown out to-day. The departure of the California mail steam er is postponed until the 7th, when the St. Louis will take the place of the Star of the West. PHILADELPHIA, Oct. 3. The papers anounce that the Reading Railroad Company was unable to meet their payments yesterday, and suffered their notes to be protested. This is a blueday forstocks. There was no sales for the Reading; ten was bid. The Pennsylvania Bank will not go into line until Monday. BOSTON, Oct. 3. The failure of Terrell & Hersey, of South Weymouth, Mass., is announced. Liabilities, $700,000 to $1,000,000.


Article from New-York Daily Tribune, October 6, 1857

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effected sitzagement for the redemption of them at cent. The notes are received OR deposit at the American Exchange and Metropolitan Banks at t + cent. It is stated that the Stamford Bank has & surpies of $30,000, and that the Directors are determined to stake every dollar they are worth before it shall suppend specie payment. Thereport, originating with The NewsJersey Sentinel. that the State Bank at New-Brunswick, N. J., had suspended is untrue. This is one of the oldest banks in the State, has already redeemed its bille in this city, and, we are assured, is as sound as any bank in the county. There is no relief in the money market, and merchants are making fearful sacrifices to sustain themselves. In call loans there is but little doing, and the few time Legotiations made are at very high rates. In the discount houses paper goes a sbade more freely than last week, but rates show no amelioration. For first-class indorsed paper the quotations are 21@34 cent per month. The restricted discounts of the Banks forces large amounts of paper into the street, while capitalists are unwilling buyers. From St. Louis, we hear of the suspension of Mesers. Chareau, Harrison and Valle, and Messrs. E. W. Clark & Brothers, both following the suspension of & sociate houses here, before announced. The mercantile failures announced here to-day are some six or eight, but none being of prominent houses, we refrain from printing the names. It is & constant cause of congratulation and wonder in the street that 30 few failures occur, and the fact is looked upon 88 an evidence of the general soundness of our merchants. The Powell Bank of Newburgh issued the following notice on Saturday: The Powell Bank will discontinue business from this date. Its affairs will be wound up with as little as Bill have that not delay no apprehension possible. holders they will and depositors be paid in need full. The capital of the Bank, $175,000, is unimpaired, beside which there is a surplus of about $120 000. HOMER RAMSDELL President." a October 3, 1857. Upon this, The Newburgh News of Saturday remarks: It is proper to say that the securities cover all demands by depositors, three dollars to one, and the bills are amply secured by State stocks and other sound securities deposited at the Bank Department at Albany. People holding the bills should not sacrifice & dollar upon them, as they are amply secured, and our traders are taking them freely in trade. The Highland Bank and the Bank of Newburgh, &8 usual, are taking the bills on deposit." The circulation of the Powell Bank, according to the aunual report of the Superintendent of the Banking Department, was $214,220, protected as follows: $103,348 Bonds and Mortgages 23 000 New-York Fives. 75.092 New-York Sixes 15,000 Michigan Sixes $216,440 Total On Friday evening, the Hudson River and Farmers' Bank, both of Hudson, suspended specie payments. The first named was organized in 1855, with a capital of $200,000, and has & circulation of $35,000, wholly secured by New-York State Sixes. The latter dates back to 1839, and has & capital of $300,000. Its circulation is $156,416 secured as follows: $31,908 Bonds and Mortgages 64,00 New-York State Fives 28,716 New-York State Sizes 20,006 Michigan Sixes 28,000 Arkansas Sixes $172.616


Article from Weekly National Intelligencer, October 10, 1857

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SUSPENDED BANKS EASTWARD. The New York Sun gives the following list of Banks located east of Maryland which have suspended specie payments : MAINE. Canton Bank, China. Monsum River Bank, Sanford. Exchange Bank, Bangor. Sanford Bank, Sanford. NEW HAMPSHIRE. Exeter Bank, Exeter. Weare Bank, Hamilton Falls. RHODE ISLAND. All suspended specie payments. MASSACHUSETTS. Bass River Bank. Western Bank, Springfield. Lee Bank, Lee. VERMONT. Danby Bank, Danby. South Royalton Bank, South Stark Bank, Bennington. Royalton. CONNECTICUT. Bridgeport City, Bank, Bridgeport. Thompson Bank. Bank of Hartford County. Windham County Bank. Bank, of North America, Seymour. Mercantile Bank, Hartford. Colchester Bank, Colchester. Exchange Bank, Hartford. Pawcatuck Bank. Charter Oak Bank, Hartford. NEW YORK. Agricultural Bank, Herkimer. Island City Bank, N. Y. city. Leonardsville Bank. Bank of Canandaigua. Bank of Central New York, Utica. Mechanics' Banking Association, Bank of Lima. New York city. Bank of Old Saratoga. Medina Bank. Bank of Orleans, Albion. Niagara River Bank, Tonawanda. Bank of Watertown. Oliver Lee's Bank, Buffalo. Chemung County Bank. Ontario County Bank, Phelps. Dairymen's Bank, Newport. Ontario Bank, Utica. Farmers' and Citizens' Bank, L.I. Oneida Central Bank, Rome. Farmers' Bank, Hudson. Powell Bank, Newburgh. Hamilton Exchange Bank. Reciprocity Bank, Buffalo. Hollister Bank, Buffalo. Sacketts' Harbor Bank, Buffalo. Hudson River Bank. Western Bank, Lockport. Huguenot Bank, New Paltz. Worthington Bank. Yates County Bank, Penn Yan. NEW JERSEY. America Bank, Trenton. Bank of N. J.; N. Brunswick. Bergen County Bank. Bordentown Banking Company. Burlington Bank. Burlington County Bank. Camden Bank, Camden. Cumberland Bank, Burlington. Farmers' and Mechanics' Bank, Gloucester Bank, Woodbury. Camden. Hunterdon County Bank. Mount Holly Bank. Phillipeburgh Bank. Princeton Bank, Princeton. Salem Banking Company, Salem. Union Bank of Frenchtown. PENNSYLVANIA.


Article from New-York Daily Tribune, November 10, 1857

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5,864 946 Balances to November 9 We hear of no new failures; most of the reports flying about referring to cases which have been kept back in the hope of ultimate arrangement. There have been many suspensions and accommodations during the panic which have not been made pub ic, and which now coming to light are chronicled as new disasters. We understand that the aggregate circulation of the Connecticut Banks is at present reduced to less than one-fourth of their capital. Their deposits are merely nominal. Many of these institutions insist upon discontinuing their redemptions in Boston while the Boston banks themselves are in a state of specie suspension. Among the first to commence redeeming its notes in New-York is the Pequonnock Bank, which yesterday issued the subjoined circular: PEQUONNOCK BANK, } BRIDGEPORT, Ct., Nov 9, 1857. The notes of this bank are redeemed at the Exchange and Banking office of Benjamin F. Manierre, No. 220 Broadway, New-York, at one per cent discount. For the present this institution has resolved to discontinue redeeming at Boston. The capital of this bank is $200,000. with a surplus of $20,000. Its entire circulation is less than $45 000. C. B. HUSBELL, President. The bills of the following State Banks, which have gone into liquidation, are no longer received on deposit at the Metropolitan Bank: The Western Bank of Lockport, Powell Bank of Newburgh, Ontario County Bank, Phelps Bank and Chemung County Bank at Horseheads. The business of the Clearing-House to-day was $14 391,200. The earnings of the Chicago and Rock Island Railroad were: $157,116.50 October, 1857 237,711 S1 October, 1856 Decrease $80,591 The earnings of the North Pennsylvania Railroad were: $28,567 October, 1857 7628 1S October, 1856 Increase $20,939 The receipts of the Michigan Central Railroad were: $ 262,923.83 October, 1817 403,562 11 October, 1856 Decresse $140,638 28


Article from New-York Daily Tribune, October 29, 1858

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Stocks Also, Hamilton County (Cincinnati), Ohio, 8 P cent Bonds, is-ned for county purposes. The annual statement of the 600 Materi Insurance Company says that the net earned premium of the year ending 4th just. were $928,866 85 from which deduct $524,560 47 losses, and $93, 185 expenses and reinsurances, and a net profit is shown of $293,121 12, as a result of the business of the year. The assets of the Company now amount to $1,761,850 35. The Board of Trustees have declared a dividend of interest on the outstanding scrip of 6 p cent, payable on the 1st of November, and a scrip dividend of 12 2 ₽ cent, for which certificates will be issued on the 31st of De. cember, on which day also 40 ₽ cent of the scrip of 1832 will be redee med in cash. Albert H. Nicolay's regular daily anction sale of Stocks and Bonds will take place to-morrow (Friday), at 121 o'clock, at the Merchante' Exchange. 8. Draper's next regular auction sale of Bonds and Stocks will take place to-morrow (Friday), at 121 o'clock, at the Merchants' Exchange. A general meeting of the stockholders of the Allentown Railroad will be held on the 24 proximo, at the office of the Company in this city. The Mechanies' Bank of Williamsburgh, under authority of chapter 222, Laws of 1858, has had its name altered to "Manufacturers' Bank," Brooklyn. The Powell Bank, Newburgh, is winding up. The Cox property, OD the correr of Broadway and Leonard street, 29.7 by 153 deep, sold at $160,000, after brisk competition. By private contract Mr. E. H. Ladlow sold the front on Fifth avenue, between Eighty-eighth and Eighty. nixth streets, for $35,000, equal to $4,375 per lot. Holders of the circulating notes of the Woodbury Bank of Connectient are reminded that they must be returned to the Receivers (Geo. C. Woodruff of Litchfield, or Lewis Jadd of Woodbury) before the 1st of January, or else be debarred from participating in the division of the effects of the bank. The receipts of the Toledo, Wabash and Western Railroad for the third week in Oct. were as follows: $6,063 73 Passengers 16,969 06 Freight 300 00 Malle and Express $23,832 79 Total The semi-annual statement of the business of the Central Railread Company gives the fol-