19035. Farmers & Mechanics Bank (Philadelphia, PA)

Bank Information

Episode Type: Suspension → Reopening
Bank Type: state
Start Date: October 1, 1839*
Location: Philadelphia, Pennsylvania (39.952, -75.164)

Metadata

Model: gpt-5-mini
Short Digest: bc88149c

Response Measures

None

Description

The articles describe the general suspension of specie payments by Philadelphia banks in October 1839 (the Farmers & Mechanics Bank is listed among banks that either voted not to suspend initially but then participated in the suspension or later declined to redeem in specie). There is discussion of heavy withdrawals and deposit movement, but no clear standalone run (misinformation-triggered or depositor mob) specific to this bank. Later articles (notably Oct 1840) describe an arrangement and offers among Philadelphia banks, including Farmers & Mechanics, to facilitate a general resumption of specie payments. Thus the sequence is a suspension with later arrangements toward resumption (reopening). Dates are drawn from newspaper publication dates and internal references.

Events (4)

1. October 1, 1839* Suspension

Cause: Macro News
Cause Details: General pressure on specie caused by broader regional/national financial distress and heavy demands for coin; articles describe a city-wide suspension rather than a single-bank insolvency or misinformation trigger.
Newspaper Excerpt: “several of the banks immediately upon opening, declined to redeem their notes in specie, and as soon as the fact became known to the others a general suspension took place.”
Source: newspapers

2. February 14, 1840 Other

Newspaper Excerpt: “The Pennsylvania, and Farmers and Mechanics Banks, have called meetings of the Stockholders to authorize the appointment of Trustees to wind up their affairs, should an early resumption bill pass.”
Source: newspapers

3. March 5, 1840 Suspension

Cause: Macro News
Cause Details: Continued inability to redeem in specie; checks and interbank credit refused amid ongoing suspension.
Newspaper Excerpt: “The banks have entirely stopped payment. A friend presented a check on the United States Bank for $1,000, they would not pay one cent, but marked it 'good.' It was then offered on deposite to the Farmers' and Mechanics' Bank and was refused.”
Source: newspapers

4. October 15, 1840 Reopening

Newspaper Excerpt: “We learn, with pleasure, that an arrangement is now in progress between the U.S. Bank and other Banks of Philadelphia... The U. S. Bank has offered $1,000,000; the Bank of Pennsylvania has made the similar offer, and a proposition was yesterday before the Farmers' and Mechanics' Bank.”
Source: newspapers

Newspaper Articles (8)

1. October 17, 1839 Martinsburg Gazette Martinsburg, WV

Article from Martinsburg Gazette, October 17, 1839

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that, unless the banks extended their accommoda- tione, serious distress would inevitably follow-and that matters had now assumed such a shape that either the banks must enlarge their facilities, or that trade must be prostrated. In this contingency he said, the Board he represented were clearly of opinion that if the foreign drafts upon the banks were such as to make them fearful of discounting largely, they ought at once to suspend specie pay- ments. After this statement he withdrew, and the representatives of the different banks who were present discussed at length the matter presented to them. Finally, a motion was made (and carried) that under existing circumstances 'it was inexpedi- ent to suspend specie payments;' and, upon this motion the banks through their delegates, voted as follows: In the affirmative, the banks of North America, Pennsylvania, Commercial, Penn Town- ship, Philadelphia, Manufacturers' and Mechanics', Northern Liberties, Mechanics', and Farmers' and Mechanics, 9; and in the negative, the United States, Girard, Southwark, Western, and Schuylkill 5; and then the meeting adjourned indefinitely. "Yesterday morning, notwithstanding the reso- lution of the previous evening, several of the banks immediately upon opening, declined to redeem their notes in specie, and as soon as the fact became known to the others a general suspension took place." The New Yorker of the 12th inst., in speaking of the Suspension, has the following:-" But the worst feature of the case is the consideration that the same causes which have produced suspension in Philadelphia will probably exert the same influ- ence elsewhere; and we now expect to hear, by re- turn of mail, of a General Suspension throughout the country south of the Delaware. We have hopes that Virginia, the Carolinas, and New Orleans will stand fire, as they are less affected than other sec- tions of the country by the trade and heavy indebt- edness of the new States. (Alabama and Missis- sippi have been virtually non-specie-paying for a long time.) North of the Delaware, we hope the banks will weather the storm triumphantly. We know the determination of our banks is fixed, to count nothing a sacrifice which shall be necessary to enable them to fulfil scrupulously their engage- ments, and to continue their payments in specie so long as they can command a dollar to pay. In en- forcing this just resolution, we trust they will have the cordial and zealous co operation of the commu- nity. If, in defiance of the severe pressure every where, and the colapse at Philadelphia, the banks of the Northern States shall ride out the tempest, the credit of those States and banks will be placed on a proud pre-eminence. Of course, the business Interests of the North will be required to suffer a while longer the depression from which those of Philadelphia have partially relieved themselves.- We believe, however, that, should the North main- tain Specie Payments, we shall feel seriously the general relief to business which the Philadelphia movement is calculated to afford, without incurring any of its discredit." # THE NEW YORK BANKS. The New York Banks have resolved without exception, to continue the the payment of specie for all their obligations. The Courier and Enquirer says: We were wait- ed apon yesterday afternoon by a number of gen- tlemen connected with our institutions-gentlemen whose declarations admit of no question, and whose knowledge of the state of our banks enables them to speak authoritatively who assured us that the deposites in the banks are so small, and the line of discounts reduced so low, that it is entirely in the power of the Banks in the city to continue specie payments without resorting to a farther curtail- ment of one dollar, and that THEY ARE FULLY DE- TERMINED TO CONTINUE TO MEET ALL THEIR OBLI- GATIONS IN GOLD AND SILVER, LET THE COURSE OF BANKS IN OTHER CITIES BE WHAT IT MAY. A general meeting of the officers of the different banks took place last evening, at which it was re- solved that they should continue to meet all de- mands upon them in gold and silver, and so long as they have a dollar of specie at their disposal, assist each other in carrying this resolution into ef- fect. # SUSPENSION AT FREDERICK. The Banks in Fre- derick have suspended specie payments. The spe- cie in their vaults exceeds the amount of their notes in circulation. The Frederick County Bank, a most excellent institution, is the only Banking House in Maryland that has the right, by its charter, to is- sue notes of a less denomination than five dollars. # PHILADELPHIA BANKS The Commercial Bank, which at first refused to suspend, has since come so far into the measure as to redeem nothing but its five dollar notes. The Girard Bank which had is-sued one dollar bills now redeem them in specie.-Since the receipt of the Governor's Manifesto and the Circular of the Attorney General, the Philadelphia Banks have all refused to issue notes under ten dollars. # THE BOSTON BANKS. The Banks in Boston have resolved to continue the payment of specie.-The papers all express the utmost degree of confi-dence in the ability of the Banks there to maintain themselves in their resolution to continue to redeem their notes. # WASHINGTON COUNTY BANK. At a meeting of the Board of Directors of the Washington County Bank convened on the 11th inst., in consequence of the intelligence received, relative to the suspension of specie payments by the Banks in the cities, the following resolutions were passed. Resolved, That this Board have this morning learned with deep regret from Philadelphia and Baltimore, that the Banks of those cities have been constrained from the severity of the times and the great demand for coin to be taken out of the country, to suspend payments in specie. Resolved, That in consequence of this step of the Banks in said cities, this Board acting upon the same principle of self defence which has governed them, and with a view to prevent the specie in our vaults, from being taken out of the country do therefore direct the officers of the Bank to decline payments in specie until the further order of this Board to the contrary. Resolved, That the weekly statements of the Bank exhibited to the Board yesterday, and the examination made by the Board this day shows its condition to be perfectly safe and sound, and that there is not the least danger of a depreciation in the value of its notes or stock. Resolved, That this Board entertain the hope that the present suspension will be of a short continuance and they do pledge themselves to all interest that their operations in the meantime will be conducted with a view to preserve and continue the present very wholesome condition of the institution, and that they will be prepared for resuming specie payments at the earliest period that may be adopted as expedient for the purpose. Resolved, That these resolutions be published. JOHN B DALL Pres'd.

2. January 4, 1840 Morning Herald New York, NY

Article from Morning Herald, January 4, 1840

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Mobile, 8 a 9 N. Orleans, 2 a 4 The difference between this premium on specie and the rates of premium on bills last year, present no very great variation. It was at this time that the resumption became general, and the of bills the U. States Bank became the active agent of exchange; the rates consequently continued to improve until February, when bills on New Orleans were at a premium of 1 1/4 per cent, the balance being in favor of that city, in consequence of the movements of produce. The prospect now holds out no such promise, and the chance of receiving payment from the sout is much less than last year. Notes due New York merchants cannot be realized. The merchants of this city, whose assets are south, have been paying instalments on their old liabilities to our banks since 1837. At every renewal from 5 to 10 per cent has been called in, until our city banks have now realized three-fourths of the sums then due them. In the meantime the merchants have realized from the extreme south and southwest scarcely anything. The operation has been to absorb their active capital in their payments to our banks, who have in their own hands a mass of paper, the most of which could not be collected at all; and on that which was paid an average loss of 10 per cent was sustained on the exchange. When the Philadelphia banks suspended, last October, they were indebted near $5,000,000 to this city, about $3,000,000 of which has been realized at a discount of 10 per cent, equal to $300,000. This is one item of the losses that have pressed heavily on our city. It was asked recently of a large southern dealer, why do you not insist that notes due you shall be paid in New York? Because, said he, as a general thing, southerners do not care for their standing with our banks, and are less particular in paying notes due here, but a note made payable at a bank in their own town and from which they expect favors, they will pay if they can. Herce the necessity which we have experienced of running the risk of the exchange ourselves. The disasters of the past year have, however, nearly taken away the ability of our merchants to give credit at all; cash will, therefore, of necessity, be the terms of the coming year. The indebtedness of Philadelphia and Baltimore being nearly paid to New York, and the east, at a great loss to the latter, and gain to the former, the banks of those cities are preparing to resume. The sound banks have very little paper out, and the only notes in circulation in Philadelphia are the U. S. Bank and Girard notes. The first move towards honesty has been made by the Farmers' & Mechanics' Bank, as seen in the following notice that we have received. # FARMERS' AND MECHANICS' BANK. Philadelphia, Dec. 27, 1839. NOTICE. Every Note, Draft, or other Obligation, is discounted or collected, and every Deposit (other than those made in Coin) is received by the Farmers' and Mechanics' Bank upon the following special terms, viz:- The Credits thereby created shall be payable in the Notes of such other Banks of the City and County of Pailadelphia as were current at the time when such Discount, Collection, or Deposit was made. This is the first line of demarcation between the sound and rotten banks of Philadelphia. The notice, although dated on the 27th, was not issued until the 2d inst. It thus appears that all deposites made in the bills of U. S. and Girard Banks, which are now the only medium of circulation, will be considered as special deposites, payable in similar bills. This, under the circumstances, is virtually discrediting the bills of those banks, and is a sure indication that the sound banks will resume as soon as they are relieved from the influence of those institutions. This is the first ray of light which has broken through the cloud of Southern bankruptcy, and may be hailed as the harbinger of much good eventually, but a severe tempo-rary struggle between the redeemables and the irredeemables. While the Southern post note system centering in Philadelphia, has been rapidly approaching its downfall; many have been the attempts made to force upon New York, and the western trade a similar train of evils, in the shape of post notes, of which the following is a sample. O STATE OF NEW YORK. Vignette, B FIVE e (5) a Ship. 5 Vignette, The BANK OF COMMERCE No. 46 a Cupid. IN BUFFALO, 5 Promise to pay H. P. Leach, or order, FIVE Dollars, FOUR MONTHS after date, for va ue received. BUFFALO. Oct. 25, 1839. FIVE o J. H. Pratt, Cashier. O. Allen, Prest.

3. January 13, 1840 Morning Herald New York, NY

Article from Morning Herald, January 13, 1840

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Mr Benness's Leuera.-No. 1. PHILADELPHIA, 11th Jan, 1840. find Philadelphia in a very singular condition. I thing is in may Every -taxation-polities-and commercial morals, deliadd. The legislature has met-the governor of vered himself of his message-but no one will any be believes that any definite legislation on the banks, currency, or will be divided into effected The party legislature state three each finances parties: having conservatives, and whigs; but no one a positive The will be an accidental banks different locofocos, consequence views, issue majority the in the legislature, probably favorable to let direct remain they are, and not daring to resort to taxation till forced by absolute public necessity thereto. Perhaps no state is in a more deplorable situation and than Pennsylvania, in relation to her currency indebted finances, and for this position she is equally to the politicians and financier of both parties What the result, politically, of this state of confusion be to Van Buren or Harrison, is quite problem. may That result will depend on the contingen- the cies yet to take place. It may be decided by turn of a single die. Today the news from England to the 10th ult., circulated, and had the effect of advancing half to was United States Bank stock about three and a London four per cent. The quotation in one of the be an of that stock at £19 10, is believed to error. papers The Extra " from the Herald office, was regularly received at the Exchange. The first violent ebulition of resentment of would Philadelphia against New York, because the latter subsided net suspend cash payments, has very much like and, in its place, a species of calm Quaker distinct now, has grown up, which admits, in that the United States Bank, Bank, the Schuylkill resignation Bank, whispers. Dyott's Bank, less the and misma- Girard seveLoan Companies, have been more or There is a deep and settled conviction here, naged. pervading the great mass of the substantial people Phi. of distinct from the has been nearly disgraced by some the ladelphia business, speculators, President that of of her great financiers. Mr. Dunlap, the United States Bank, is esteemed a very honorable, elever, good fellow. but a good deal of a blockhead of in high finance. Oa the contrary, a sentiment dislike and hatred exists, beyond moderate limits, or to Mr. Cowperthwaite, the cashier. If Mr. Biddle Mr. Jauden had been at the helm, it is asserted that the late catastrophe would not have The difficulties of Mr. are believed to have been takes positively Europe place. entirely Jaudon caused Nor by in the of the directors has of the old practical here the mismanagement opinion financiers here. directors been changed by the recent change in the of the bank. Nothing will ever retrieve its character even in Philadelphia, but the return of Mr. bank. Jaudon, and his election to the presidency of the of the other banks here are ready to rewere it not for the great sume, Many suspended."- great banks of the healthy depositors of the their funds and placing and better managed banks. may are Many smaller withdrawing I them mention in the one-the Farmers' and Mechanics' Bank has deposites to the amount of $1,200,000, and still increasing. S. Nearly the,whole circulation of this city is in U. and Girard Bank bills. Afew days ago, about a hundred laborers went up to the U. S. Bank to demand for their notes. It was the day after the exof the 90 days, and a general specie piration impression that that had the working people, on the suspended" would pay day prevailed "great among specie. and thus The has fellows went away disappointed, poor handful of seed been planted in the public the present banking system. is feeling another against U. S. Bank Nor remedy is prospect The with the State, and both are so in that no existing there so bound their any affairs, up political party deranged will be separate their destiny. Indeed, the State may said to be in the hands of the bank. indictments of persons connected with Bank are beginning to with the sentiments of surprise, The Schuylkill mingled recent contempt, be viewed Jury, and The principal persons on the Grand Brown, a director of the U. S. laughter. were, Mr. transactions Bank, Mr. who has had some singular with Loan Company, and Fritz, also connected with another Chandler, an exploded recently Mr. exploded Peter They have mixed up with several persons who had and permitted Company. indictments, others, Levis, little the in to real the do to The whole batch is on the moral- sentiment of the ones, with hoax the escape. Schuylkill, believed public, which to be a required some victims to propitiate for the outrages that had taken place. If the GrandJury be property Grand selected, I should not be surprised to see the Jury for January, 1840, indict some of the Grand for December. 1839. Of Levis, little is known, I from a confidential source, that in New York, before the Jury learn, vessel explosion, he purchased by for. the aid a Mr. Maxwell, the broker is Wall street, a clerk in the Schuylkill Bank, merly of and also in dicted, and sailed from New York for some pert unknown. I have not heard that has gone to Europemost probably to the Mediterranean, Havana, or Texas. I called today upon Mr. Ashmead, the agent of Baltimore and Philadelphia Railroad Company, that there will be no an from Washington to and the find express difficulty New in estab York enable the New York papers to one day in advance of the intelligence that lishing will mail. receive The I merits their shall this into effect before I return. carry between Mr. Kendall and the company of be understood, and let the ought it The Railroad very fawhom the to case cught. Company blame rest is to upon much disposed to do every thing in its power New York. militate the transmission of the news to B. J. G. Correspondence of the Herald.1

4. February 14, 1840 Vermont Phœnix Brattleboro, Bellows Falls, Ludlow, VT

Article from Vermont Phœnix, February 14, 1840

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not Speak To-day, Mee the Senate to-morrow. The Senate then passed to the consideration of some miscellaneous business. Correspondence of the N. Y. Journal of Commerce. PHILADELPHIA, Feb. 4, 1840. The Message of the Governor has crea. ted no little sensation among the faithful lieges of Martin of Kinderhook. They are in doubt and perplexity, not knowing how take it. The leaders are generally favor. ablet it, for they have something to loose, -the mass abuse him sorely. There is to be a meeting to-night. What they will do, they do not know themselves. The Conservative interest will I think, prevail. The leaders are not ready for desperate measures, and the cooler among them know, that should a split now occur, it is all up with the party in this State. In fact, should not be surprised to see the old Wolf and Muhlenburgh factions once more in condict.-Porter belongs to the former of these-the Radicals, almost to a man, to the latter. In the mean time let those do as they will, the business community breathe more freely. I have seen now several squeezes and panies-but never saw such general preparation for one as was evinced last Sat. urday. A few (and they were very lew) men of iron nerve, did not quail, but the mass, the 99 out of 100, were ready to give it all up. The Pennsylvania, and Farmers and Mechanics Banks, have called meetings of the Stockholders to authorize the appointment of Trustees to wind up their affairs, should an early resumption bill pass. They are not disposed to trust to the tender mer. cies of political receivers. We have nothing else, except lots of sleighing and the coldest day in the season. Cold winter, with his snows and bleak ness is upon us-the cheerful fire and well light adepartment forms an elegant contrast to the howling and dark storm without. But rethere no children of "our Father" in heaven-no brethren of ours who are suffering from the gripe of want? Has o each citizen exercised a just and benevolent d stewardship over the gilts of Providence in seeking out objects of want and relieving n them? It may be, at this moment that some of "Heavens last best gift to man," who e have ministered to the sick-have left their e own homes at midnight to aid a suffering r sister, or watched long weary nights over , the sick bed those who have abundance, h are in want of the necessaries of life. To II be ignorant of the situation of such is crimino al. The Son of God came to seek and to r save, thus affording us the highest example to seek out objects of suffering, as well as to relieve them when made known to us. 1, To the women seems to be given those e qualities which prepare them as ministers II of benevolence and mercy-they can reach y the heart and learn the real situation of all n and their appeals to the grosser sex are neve er made in vain, when pleading the cause d of humanity. We would therefore call it upon them to look about for the suffering Sand needy. and see that the men perform g the easier duty of bestowing of their abun0 dance to relieve them. f. II The first Signal of Alarm!-I is well to understood in this town, and we believe e there is no doubt of the fact, that the HON re LEVI WOODBURY, Secretary of the 8. Treasury. has recently offered for immediate g sale, HIS STOCK in different banks of e is town, Concord, Saco and Portland the S. aggregate amount is reported to be very n. large. This is a matter of no great importance, except as it indicates the opinion of on the Secretary of the Treasury that the Sub al Treasury Bill will pass, and that therby al d, bank stock will be greatly reduced in value as -Ports. Jour. is An afflicting occurrence took place in the s, family of our respected fellow citizen, Capt il Thompson, ast Sunday evening. An inter esting little daughter about a year old, who had just commenced walking, Deized hold to of a tea pot which had just been filled with ve boiling water and placed near the edge o isthe table, and pulling it off, it struck or he the infant's breast, and emptied its whole S. contents on her breast, neck, back, and arms ed scalding her in a most awful manner. The 0 lingering

5. March 6, 1840 Morning Herald New York, NY

Article from Morning Herald, March 6, 1840

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MONEY MARKET. Thursday, March 5-- P . M. There has been ageneral depression in the stock market this morning. North American Trust and Banking dec clined 4 per cent from the close of yesterday; United States Bank & per cent; Harlem : per cent; and Manhattan Bank a further decline of 2 per cent. The opinion is very prevalent that this is one of the most corrupt institutions in the whole country. Facts are fast leaking out, which show that James G. King is far more deeply interested in the concern than has been generally supposed. A knot of desperate speculators have made the Manhattan Bank the instrument of their operations. The revolution which is now going forward in the value of property will bring to light and expose a mass of corraption that is now but little dreamed of even among the frequenters of Wall street. The rate of discount on Philadelphia increased this morning to 71 per cent discount. This is in consequence of the disastrous state of things in that city. The banks have entirely stopped payment. The following is an extract from a letter dated Philadelphia, 4th:A friend presented a check on the United States Bank for $1,000, they would not pay one cent, but marked it "good." It was then offered on deposite to the Farmers' and Mechanics' Bank and was refused. In the same manner checks marked by the Girard were refused by the Pennsylvania bank. It is said the Girard and U. S. Bank bills are about to be refused altogether by the other banks. It is said that Sehott, Levis & Co. are about to saddle the bank with their Vicksburg stock. Premiums are now paid for the privilege of delivering U.S. Bank and Girard stock; $100 cash has been paid for the privilege to deliver 100 shares U. S. Bank, . o 6 months, and for Girard steck, $1 per share privilege, 30 days, at $33." This is through bankruptcy, and is doubtless done at this time in order to coerce an abandonment of the loan now before the Legislature. It affords only, however, an argument for prompt action that the difficulties may be the sooner settled. There is no doubt but that all the banks of Philadelphia will be able to resume, and to maintain themselves under the law as it passed the Senate, as soon as they are protected from the action of the United States Bank and the Girard Bank. Sheexempts them from paying the deposites that have accumulated since the suspension, in specie; they are only to pay them out as they stand in the bills of the U. States and Girard Banks, and those institutoins must be immediately declared bankrupt. The trade of Philadelphia will then instantly revive, and a great st will have been taken towards restoring a uniformity of the currency During the past four years the banks of the Union have each expanded or contracted in its own particular district, without any reference to the movement of the institutions in other sec. tions of the country. Speculators in charge of banks have conducted them not in reference to the general trade of the country, and the ultimate and permanent good of the institutions as based upon the general prosperity of the customers, but they have striven to acquire rapid fortunes for themselves by taking advantage of those violent fluctuations in values that have grown out of their own acts. Of the 800 banks in the Union, each one has acted upon this principle, according to the trade or peculiar circumstances of certain sections. All the banks of those sections have had a similar interest, either to expand or contract. These opposing interests necessarily produce that great want of uniformity in the currency of the whole Union, which brings ruin upon the mercantile interests. In illustration of this, we have compiled the following table of all the banks of the whole Union, divided into sections, and compared the aggregates with returns of former years :STATEMENT OF THE RETURNS OF BANKS, FOR THE PERIOD NEAREST JANUARY, 1840, AS COMPARED WITH THE RETURNS OF FORMER YEARS.

6. October 15, 1840 The Hawk-Eye and Iowa Patriot Burlington, IA

Article from The Hawk-Eye and Iowa Patriot, October 15, 1840

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and worn through the streets, the man being followed by a troop of hurrahing Vanites. This insult to the ladies and to every American heart, was treated by it the whigs with that contempt which merited. From the fact of his appearing at his hotel we leave the public to judge whether there is not ground for the belief that Allen suggested or approved of it. Mo. Republican. BANK.-Resumption of Specie Payments.-The Philadelphia Inquirer of Saturday say: We learn. with pleasure, that an arrangement is now in progress between the U.S. Bank and other Banks of Philadelphia, which is likely to have a considerable effect in reviving public confidence. In order to facilitate and render certain a general resumption of specie the Philadelphia loan the U. S. Bank payments, fered to Bank $1,000,000; has ofof a the Bank Pennsylvania has made the similar offer, and a proposition to was yesterday the Farmers' and same rectors effect of before Mechanics' the Dibank. The U. S. bank is indebted to each of the others. both in bank notes held by them and balances. The plan is, smaller banks to return payto the extent for the on demand, of notes $1,000,and to receive in able 000 each, exchange if post in a year, or longer, neThis will, of course, notes, cessary. payable bank, and reduce great the liabilities of the U. S. ly assist her in the resumption of specie payments. It is believed that the other of Philadelphia will also particiin this generous work, in about a sist pate banks bringing condition and of thus things well asearnestly desired by all who wish to so and character of PhiladelThe details of the have not, as yet, been phia. the business thoroughly arrangement arranged, but we believe it is contemplated to effect a reduction of the immediate liabilof the larger bank, to the extent of millions. The Eastern great to ities four have or professed five willingness resumption, banks assist Pennsylvania in the work of it is to be hoped that, if necessary, will now act in the spirit The best ex- of and they professions. understanding institutions of their ists among the moneyed the Philadelphia at the present time, and Cur prospect is certainly encouraging. money market continues easy. The keenness with which the Presi- the dential contest is carried on, all over Union, says the St. Louis Gazette, New may be judged from the excitement in are York. The people, on both sides, collecting en masse. Meeting after meetBennet says: ing is the order of both, day and night. The political excitement of the country closincreases every day. The week just to has added masses of fresh elements thousand ing conflagration, just like a fire the cords of dry hickory thrown upon a in Broadway. Mr Webster's remarkable, curious, has oriShaksperian at Patchogue, and asionished ginal and bewildered every body, and the democracy almost insane his hufrantic made with vexation. His wit, set the his flashes of sarcasm have mor, Custom House beside themselves-given of the fresh dash of vinegar to the poet a Post-and called forth the strongest'e down. of Silas Wright to sober them excitaYork was never in an the country rewide so ble forts New condition-nor such far and crazy. Distinguished of men Queen the good old language and turn to call their opponents "come Bess, flog them if they will and threaten arm's to length"--while leading return reinto officers of the government sink a and threaten to as the the forehead of the foe, ligious compliment, in General Har- little in stone David did to big Goliah. thing ( General Jackson, every abroad, runrison, of man or beast, is singing the shape races, speaking writing, highest ring and electioneering. The have alsongs, lowest of both parties lost their most and the lost their senses-and some sobriety. JONSING ON BANKING SAM two old friends, Sam Jonsing Com- and The Gumbo, met last night at the their disPete Bank. The burden of and mercial appeared to be upon banking, throwing course of which we published as has nea part light upon this subject which new ver been touched by Gouge.

7. February 16, 1841 Richmond Enquirer Richmond, VA

Article from Richmond Enquirer, February 16, 1841

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# THE BANKS. The meeting of citizens held at the United States Hotel on Tuesday evening, was well attended by merchants and business men, as well as by a goodly sprinkling of legal gentleinen. The Hon. Geo. M. Dallus presided, and Joseph R. Chandler, Esq., acted as Secretary. The Hon. Joseph R. Ingersoll reported the Resolutions, as Chairman of a Committee appointed at a previous meeting for that purpose. When the second of these resolutions was under consideration, John Miles, Esq., moved as an amendment, to strike out the names of the several Banks therein particularized, and insert the words "the Banks of the City and County of Philadelphia," which gave rise to considerable discussion, but, though adopted as an amendment on the first vote, was eventually negatived, as it evidently included the United States and Schuylkill Banks in general terms. Mr. John M. Kennedy made another motion to amend, by offering a resolution requesting the Legislature "to legalize the present suspension and allow the Banks to issue small notes;" but this was negatived by a decided majority. Pending the discussion of these amendments, and when it seemed probable that Mr. Miles' amendment would be adopted, Mr. Dallas stated that if any action was made by the meeting in favor of the United States Bank, he should ask to be excused from a further participation in the proceedings, as he could not and would not in any way sanction or excuse the conduct of that institution. He said that he was willing to unite in an effort to relieve the business community, and such Banks as had acted in good faith to the public and the law, although he made some sacrifice of political views in doing so; but he could not so far transcend his general princi-ples as to yield or ask any indulgence to a bank which proved itself utterly unworthy of such considerations. This was highly commendable and gave Mr. Dallas great credit. Josiah Randall, Esq., addressed the meeting very eloquently in favor of the amendment, and endeavored to persuade the gentlemen that, unless they yielded their partizan objections, the effort to relieve the community would be futile, from a want of harmony of action; but he was followed in an able and irresistible address by Mr. Ingersoll, in favor of the resolution as reported by him, showing that the Bank of the U. States was lost "past redemption," and that, therefore, any attempt to seek indulgence for it, in common with the rest, could result in no good to that institution, and might prejudice the claims of the others by its connexion with them. He stated in proof of its utter inability to sustain itself, and the impossibility of reviving it, that its notes were repudiated by the Banks, as well as by the community, and that there was not the slightest possibility of re-establishing confidence in its solvency. A by-stander interrupted Mr. I. by saying he would take its notes at par; "Then, said Mr. Ingersoll, pulling out a well filled pocket wallet, "I'll trouble you to change off my U. S. bills, for the notes of any other Bank in the Commonwealth." Quite a lively sensation was produced by this appeal; but there was no exchange of paper, and Mr. Ingersoll resumed his remarks. He clearly proved, while he said he regretted, that the U. S. Bank was a total failure, and that it would therefore be impolitic, as well as useless, for the meeting to encumber their proceedings with its wreck. After several other speeches were made, the resolutions of the Committee were adopted without amendment. Thefollowing resolution s were adopted: Resolved, That this community, in its financial concerns, stands at this moment in need of legislative assistance and relief. Resolved, That the Bank of North America, the Philadelphia Bank, the Farmers' and Mechanics' Bank, the Girard Bank, the Commercial Bank, the Mechanics' Bank, the Western Bank, the Northern Liberty Bank, the Moyamensing Bank, the Manufacturers' and Mechanics' Bank, the Southwark Bank, the Kensington Bank, the Penn Township Bank, and the Germantown Bank, are believed to be in a condition which will enable them beneficially to receive and to render available to the people the contemplated relief and assistance. Resolred, That the requisition of the Act of Assembly of 3d April, 1840, and the policy of the Commonwealth, as made known by the Executive, were met and carried out on and after the 15th January, 1841; and a large amount of specie has been withdrawn in the abortive effort to give permanence to the same. Resolved, That the following measures of relief and assistance are called for by the present emergency: 1st. A suspension of the penalties, provided by any statute of this Commonwealth, for the omission of any of the above named Banks to pay their deposites and other obligations in gold or silver coin. 2d. A re-enactment of the provision of 1840 relative to dividends, &c. 3d. An arrangement by which each bank shall be required to pay out its own notes and not the notes of any other bank. 4th. Such other measures of relief and assistance as the Legislature, in its wisdom, may enact 5th. That a committee of seven persons be appointed to proceed to Harrisburg to obtain the necessary relief and assistance.

8. February 16, 1841 Richmond Enquirer Richmond, VA

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MEETING OF CITIZENS. An adjourned meeting of citizens without distinction of party, was held last evening at the United States Hotel, to take into consideration the present embarrassed condition of monetary affairs. The Hon. G.M. Dallas presided, and Joseph R. Chandler, Esq., acted Secretary. After considerable discussion, the following resolutions were adopted: That this community, in its financial concerns, stands at this moment in need of legislative assistance and relief. That the Bank of North American, the Philadelphia Bank, the Girard Bank, the Mechanics Bank, the Bank of the Northern Liberties, the Manufacturers' and Mechanics' Bank, the Kensington Bank, the Bank of Penn Township, the Bank of Pennsylvania, the Farmers and Mechanics Bank, the Commercial Bank, the Western Bank, the Moyamensing Bank, the South. wark Bank, and the Bank of Germantown, are believed to be in a condition which will enable them beneficially to receive and render available to the people, the contemplated relief and assistance. That the requisitions of the Act of Assembly, of 3d April, 1840, and the policy of the Commonwealth, as made known by the Executive, were met and carried out on and after the 15th of January, 1841, and a large amount of specie has been withdrawn in the abortive effort to give permanence to the same. That the following measures of relief and assistance are called for by the present emergency 1. A suspension of the penalties provided by any statute of this Commonwealth for the omission of any of the above named Banks to pay their deposites and other obligations in gold or silver coin. f 2. A re-enactment of the provisions of the act of 3d April, 1840, relative to dividends, &c. 3. An arrangement by which each Bank shall be required to pay out its own notes, and not the notes of any other Banks. a 4. Such other measures of relief and assistance as if the Legislature, in its wisdom, may enact. 5. That a Committee of seven persons be appointed to proceed to Harrisburg for the purpose of obtaining the necessary relief and assistance. The following persons were appointed on the Committee. Two others were selected, who, we learn, have declined serving: Josiah Randall, Isaac Roach, T. M. Bryan, Robert Allen, John K. Kane. At a meeting of the Democratic citizens of the City county of Philadelphia, held at Holahan's Hotel, Ches. nut street, on Feb. D, 1841, at half past 7 o cleck, P. M., Henry Florn, Esq., was called to the Chair, and W. L. Hirst, and B. 11. Brewster, appointed Secretaries. The following Preamble and Resolutions were offered and unanimously adopted From the present defective and vicious Banking System, and the ignorant if not dishonest management of some of the Banks of the City and County of Philadelphia, and their suspension of specie payments, has been inflicted upon this community; and Whereas it is our duty as good citizens to guard as much as lies in our power against the many evils consequent thereon, by suggesting remedies for the present, and preventives against all further calamities of a similar nature hereafter-therefore, Resolred, That as a general suspension of specie payments by our Banks has taken place, the Governor be earnestly requested to issue his proclamation calling upon the prosecuting officers through this Commonwealth rigidly to enforce the laws against the issue d notes of less denomination than $5, and to refuse his 11 sanction to any bill legalizing their issues, or to any s bill suspending the penalties now existing against the Banks for a refusal to pay their liabilities. Resolred, That the Governor be requested to recommend to the Legislature the immediate passage of a law f inflicting a heavy penalty for the circulation, or offering for circulation, notes of a less denomination than $5, issued by Banks out fithis State. Resolved, That these resolutions be published in the Democratic papers, and that a copy of the resolutions t be addressed to the Governor of the Commonwealth. e HENRY HORN, Chin. W. L. HIRST and B. H. BREWSTER, Secretaries. NEW YORK BASKS.-"This city is perfectly easy in money matters.-Our Banks, by the official report, d show a strength which is unusual, and greater, indeed, than is required. The offerings are small, and the Banks really want good paper under 90 days. [.N" Y. Express. "The banks here and at the East stand perfectly firm and at ease. They have long since cut adrift from In the fictitious movements of the South, centering in the United States Bank, and are and have been steadily curtailing their movements, and Bringing them into a d smaller compass. in accordance with the spirit of the o times."- Y. Herald. y THE McLEOP AFFAIR.-The New York Commercialstates, that the Lockport Courier extra of Saturday is furnishes an official statement of the recent proceedings touching the bailment of McLeod, by which it appears of " excitement.