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From Chicago, TWO BANK FAILURES REPORTED. CHICAGO, Sept. 26. The Second and the Manufacturers' National Banks have failed. STILL MORE SUSPENSIONS. The Cook County National Bank has suspended. Three other National Banks havealso suspend ed.
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TELEGRAPH. [SPECIAL DISPATCHES TO THE GAZETTE.) FINANCIAL AFFAIRS NEW YORK, Sept. 26.-The city is being drawed of money at a pretty lively rate. Since Saturday last out-going monies through Adams express have been about $1,500,000 daily, while that coming in, exclusive of what went to the The Treasury, amounted to about $600,000. United States Company have been sending out from $700,000 to $800.000 a day for several days past, while the receipts through that medium are very small. The National Express Company is carrying away an amount about three times as large as usual at this season of the year, and American Express Company is doing nearly likewise. Hows & Macy, in their circularsent their corthe day they say respondents suspended, into "We shall proceed to convert our assets cash as fast as possible and apply the same to the liquidation of our debts. Iu the meantime we have to ask forbearatice of those to whom we are indebted. All mobies received on and after this date will be held subject to the order of the owners thereof. NEW YORK, Sept. --The Steek Exchange remains closed. NEW YORK, Sept. 26.--Twenty-for hours notice is to be given before the Stock Exchange opens. NEW YORK, Sept. 26.--The committee of seven appointed by the governing committee for the purpose of preparing a plan for clear acing stocks submitted a report to-day. No tion was taken in connection with the report. NEW YORK, Sept. 26.-A special dispatch from Chicago, says the Second and Manufac turers' National banks have closed. LONDON, Sept. 26.-Four hundred and twenty-eight thousand pounds sovereigns and 51,000 gold bars were drawn from the Bank of England to-day for shipment to America. LONDON, Sept. 26-41 p. ---The amount of bullion withdrawn from the Bank of England on balance to-day is £473,000, CHARLESTON, S. C. Sept. 6.-The Peoples' bank of South Carolina, the Peoples' Savings bank and the South Carolina Loan and Trust Company have suspended currency payments. The National banks and other State banks pay as usual. LONDON, Sept. 26. -4:30 P. m.-American securities excited with a large business doing at large fluctuations. There is much uncasiness in the market. LONDON, Sept. 26. -4:45 p. m.-The market for all American securities is flat and prices have declined heavily, NEW YORK, Sept. 26.-A Chicago special says the Cooke County National bank has closed. CHICAGO, Sept. 26. It is just announced that the Union National, Manufacturers National and Second National banks have suspended. A notice on the door of the former says that the bank has abundant securities, but is compelled to suspend payment on aca lack of until it is able to has been lost failcount realize. of Nothing currency from made the safe. ures and the depositors will be LONDON, Sept. 26.--4:30 p. m.--It is begold to lieved that the heavy shipments of America already reported are not made in consepuence of the low nominal rate of exchange, but to settle liabilities the bankers here incurred before the financial troubles in New York began. INDIANAPOLIS Sept. 26. The financial excitement continues, but in a much milder form than heretofore. The Indianapolis clearing house, at a meeting this morning resolved to adopt for two days substantially the same plan adopted in New York, Chicago and Cincinnati. It is hoped that by that time confidence will be fully restored. The run still continues 00 Ritizinger's bank. The depositors are mostly Germans and their claims are being paid in full as fast as presented. No doubt exist as to the ability of the bank to promptly meet all demands. NEW YORK. Sept. 26.-Several parties are short of gold and refuse to pay 1 per cent. for borrowing. Consequently there is a hitch in the clearance of gold at the Gold Exchange Bank. CHICAGO, Sept. 26.--Dispatches from the best informed sources received at the office of the Associated Press, in this city, from most of the principal cities in Lilicois and Iowa, in reference to the present financial troubles in the East, concur in saying that the action of the Chicago banks in following the course of the New York banks in suspending payment of large sums of currency is almost universally sustained and commend ed by the bankers and business men as wise and timely and calculated to arrest the panic and pave a way to relief from the present difficulties.
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erable excitement among the business men, and the grain trade shows the effect. Mr. Coolbough, President of the Union National Bank, is severely consured by the other bankers and the whole community, as his extreme course was believed to be wholly unnecessary. 6 m.-Theffollowing is a correct list of the banks which have suspended in this city: Union National Bank. Cooke County National Bank. Second National Bank. Manufacturers' National Bank. National Bank of Commerce. ACTION OF THE CHICAGO BOARD OF TRADE. CHICAGO, Sept. 26.-The Board of Directors of the Board of Trade, at a full meeting this morning, unanimously passed the following resolution, which was greeted with applause and universally approved: Resolved, That all the rules of the Board authorizing the Board of Directors to consider and act on complaints for violation of contract be suspended, 80 far as such complaints are based on contracts for the delivery of property in future. made between the passage of this resolution and the further order of the Association: and further, that the Board shall not entertain complaints for the violation of contracts claimed to have been closed during the time indicated by reason of the non-deposit of a margin, provided that this resolution shall in no case be held to apply to any trades made in the settlement of existing contracts. RAILROARD BUSINESS MUCH IMPEDED. CHICAGO, Sep. 26.-The Chicago, Burlington and Quincy Railroad, the Illinois Central, the Miehigan Central and the other railroads doing business in this city have felt themselves forced by the suspension of the banks here this morning to discontinue the practice of taking certified checks in payment for freights. They demand currency, and in but one or two instances will accept anything else. Mr. Sargent of the Michigan Central has called upon the other roads to arrange a system of exchange of due bills, and establish a sort of clearing-house among the roads. This system has been occasionally used in the general run of business, and would be of great assistance in this emergency. Very little, if any, freight has been shipped from this city within the past two days.
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PANIC PARAGRAPHS. The New York stock exchange remained closed yesterday. I IThe Vicksburg banks have suspended for thirty days as a precautionary measure. A Washington telegram yesterday announced the suspension of the banking firm of Faut, Washington & Co. Cincinnati financial matters have resolved into a state of delightful quietude beautiful to contemplate. The governing committee of the New York stock exchange have resolved to give twenty-four hours notice of its opening. Fort Wayne, Indiana, boasts that quiet reigns in financial circles, and that banks are and will continue business as usual. The Peoples' bank of South Carolina, the Peoples' savings bank, and the South Carolina loan and trust company, at Charleston, have suspended. Currency payments at the National bank and other State banks pay as usual. At Little Rock, yesterday, the excitement continued over the city money. The reported suspension of banks in St. Louis and other places continues. Everything is at a standstill. Very few parties take city money, and no greenbacks are in circulation. At Baltimore yesterday, William Fisher & Sons, who are among the leading stock and gold brokers of that city, closed their doors, and say they have been forced by the delinquencies of their customers to suspend business until they can collect what is due them. They expect to pay every obligation in full, and only ask a short indulgence. In New York, yesterday, Senator Morton, being asked to give his opinion as to the present financial panic, said that his conviction was that the worst was over. "I do not expect the affair to subside all at once," he added, "but my feeling is entirely hopeful." Referring to the suggestion that the government ought to come to the reseue, he said the government will do all It can, but it must not evade the law. In New York yesterday the police were called upon to disperse all groups which threatened to interfere with sidewalk traffic. The brokers were by this means driven into the road, but they fared no better there. The police ordered trucks to be driven through the crowd, and so compelled the brokers to scatter in all directions. Driven from the road, some of the most inveterate speculators and curb-stone brokers adjourned to the gold exchange court, and held high carnival there for about rifteen minutes when the sergeant of the police, with half a dozen men, drove them helter-skelter from their refuge. A Chicago telegram yesterday announced that the Union national, Second national and Manufacturers' national banks have suspended. A notice on the door of the former says that the bank has abundant securities, but is compelled to suspend payment on account of the lack of currency until able to realize. Nothing has been lost from the failures, and depositors will be made safe. The Cook county City national and National Bank of Commerce have followed the example of the Union national and closed their doors. There was a run for an hour on the Corn Exchange bank, but as everything was paid the run was soon stopped. Some who drew have redeposited. The bank is considered very strong. Other national banks are paying regularly. There is considerable excitement among business men, and the grain trade shows some effect. Coolbaugh, president of the Union national, is severely censured by other bankers and the whole community, As his extreme course was wholly unnecessary, it is suggested that there must be something rotten in his bank, though it has been regarded very strong.
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ILLINOIS. CHICAGO, Sept. 26. It is just announced that the Union National Second National and Manufacturers' National Banks. have suspended. A notice on the dcor of the former savs the bank has abundant securities, but is compelled to suspend payment on account of lack of currenev until able to realize. Nothing has been lost from failures. and depositors will be made safe. The Cook County, City National and National Bank of Commerce, have followed the example of the Union National Bank. and closed their doors. There was a run for an hour on coin at the Exchange Bank. but. as everything was paid. the run stopped. Some who drew have redeposited. This bank is considered very strong The other National Banks are paying regularly. There is considerable excitement among business men, and the grain trade shows the effect. Coolbaugh, President of the Union National Bank. IS severely censured by other bankers and the whole community. It is suggested that there must be something rotten in his bank. though it has been regarded as very strong.
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THE FINANCIAL SITUATION. Reports From Various Cities. : Bank Suspensions in Chicago. CHICAGO. September 26.-To-day has been one ofmost intense excitement in banking and business circles in this city; a day of wild rumors and suspended banks and other financial calamities Moet of this excitement has been cause ed by false rumors. The following banks have temporarily suspended: W. F. Coolbaugh Pres't; Second Union Note, National, Manufacturers' Cook NaBank of Commerce, National. Rumor Conunty tional, had it being this morning that uns are made the on banking German houses National of Preston, (Kenn & Co.. Bank, Corn Exchange National, City National, Merchants' National and Farmers but be Savings Merchants, Bank, they and proved Mechanics' to false. Each of these institutions has been doing business as the day. usnal during The officers of the National Bank of they have only closed for and it on Commerce, the day, say will depend the condition of affairs whether they open not. The banks are of en to-morrow keeping or doors other and National doing business as with of some few that are paying usual, only the exception email It is not banks have deposite. Savings suspended learned rumored that during that any the It has been a fearful run is being made on day. Chan Corn namerce, Exchange Bank, in and the excitement was 80 inten to require the interferance of the police, but it to Ibe false. proved There bank had out been a run for money on the 188 the greater part h ad been got rid 01 the banks had alr eady received $40,000 more than had been drawn cut, had not found it necessary vaults nor even the express of from open package money juet received and New York. All was quiet the bank tyment for provided p all than who in thought their money safer out the The bank as and while not court sets, vaults. they did had ample the excitement, they dia'n't tear a ran. An explanatory notice of the Union National made its solvent it'is periectly by president and states has that met with no loases by suspensions in the east and has in cash and paper maturing within sixty days sufficient to pay all liabilities to depositors stock without touching a dollar of its capital or Purplus. Bank officers of Merchants' Saving, Loan ank Trust Company say that all collections maturing in the next few and all remittances been but days exbausted expresses received its ability have to all demands it mitted to ar and de range meet equitably fully per with all poeitors. TERRE HAUTE, September 26.-A1 is financially here at d no runso The suspensions. quiet Prairie Clews City & Bank, t Co., correspondent of Henry New and Wooler, Co., of meets Indianapolin, York, promptly Webb & all OD drawn out pandemands Clews & Co, made its before deposite, the with ic overHaute indidrawn. and with Terre Wooler, Webb banks & Co. had vidual with but are as they deposits recognized Clews sound & and Co., there are no indications of a run. If one should occur on any bank all will close doors. OMAHA, September 26.-Omaha banks are suffering very little in con sequence of the panic, and are transacting business as nsual. LOUISVILLE, Sept. 26.-The money market is tight, but nothing serious is on hand is pressure apprehended. very light, The stock and the of pork could not have come in a more favorable time for the provision dealers, but unless money will gets curtailed easier the for business want of of packing be cash.
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OTHER CITIES. Scattering Failures at Various Points The Chicago Grain Trade Stalled. New Orleans Discounts Certificates 5 per cent. Chicago Six or Seven Banks SusBoard of pend-The Trade Suspend Their Rules-No Grain Market. CHICAGO, Sept. 26-It is announced that the Union National, Second National, and Manufacturers' National banks have A notice on the door of the that bank former, suspended. says has abundant payment secubut is compelled to suspend of lack of currency to has teen lost realize. on rities, account Nothing from safe. until failures able and depositor will be made & Co., the National, LATER-Cook the Commerce City National Bank of have the of the and followed the example Union National and closed their door% There was a run for an hour on the Corn Exchange Bank, but everything was paid and the run soon Some who bank is very ed. stopped. The considered drew have redeposit- strong. Other National banks are paying regularly. There is considerable excitement among business men and the grain trade shows the effect. Coolbaugh, President consured of the by Union other National, is severely the whole as course was extreme bankers and wholly community, be unnecessary. something his It is suggested there must rotten in his bank, though it has been regarded as very strong. [It was Mr. Coolthat on Thursday resobaugh certificate offered the system.] lution adopting the loan The Board of Directors of the Board of Trade at a full meeting this morning unanthe following of which was greeted reading limously passed resolution, with applause the and universally approved. That all rules Resolved, directors of the to board authorizing the board of consider act on complaints of and far for violation such comcontract be suspended so as plaints are based on contracts for delivery of property in the future, made between the of this resolution of the association; ther passage order and and the further furthat the board shall not entertain complaints for the violation of contracts claimed to have been closed during the time indicated reason of the non deposit a that this resolution no case by provided shall of made in margin, in the be held to apply to any trades settlement of existing contracts. The bank failures brought operations on to astend 'Change nearly still rules and the brought action of the board suspending the to a full stop everything except still on rarer occasional settlement of a trade or a cash operation. The following banks continue to transact business as usual: The Commercial National, the Third National Bank, the Montreal Central National. the Corn Exchange, the Fifth, First, Fourth, Germania, International, the Merchants' National Bank, the Illinois, the Northwestern Traders' Bank of Chicago, the Union Stock Yards, Merchants' and Trust Company, the German Mechanics' National, Loan and Marine any ComThere has been no run upon of these although some pany. institutions, amounts of of them curhave paid out considerable To the above list the National Bank, lency. City which should the be officers added have all demands on to be very say There appears paid little presentation. excitement the the on the streets, beyond intense of among feeling people indiguation Union against Coolbaugh, President of the National, who is bitterly denounced by many as having unnecessarily precipitated this suspension to-day. it is authoritatively stated that Coolbaugh this morning received telegran S from his New York correspondents authorizing him to draw for the entire amount of bis balance there and $500,000 additional, which offer he refused. St. Losis Sympathetic--some Banks Paying Currency and Others Issuing Loan Certificates. ST. LOUIS, Sept. 26.-The action of the banks in this city last night seems to be by and an comparamunity, generally approved improved the mercantile manifested and com. this tively buoyant feeling was but when news came banks had forenoon, Chicago closed their that doors, several deep and and business on sprung anxiety up, apprehension became 'Change immed entirely almost lately stopped. Prices and for entirely nominal, except for settlements for grain and an occasional sale futures,
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Telegraphic Dispatches SPECIAL TO THE PIOCHE DAILY RECORD. Eastern Dispatches. The Finances-- Disappointment at the Action of the Government--Lo Bonds Found-Alabama Bank Suspended-=Georgia Financies-Phila delphia Races: Goldsmith Maid Heats Fullerton - New Jersey Bank Suspends-913,000,000 - of Greenbacks Disbursed since Saturday - Arrival of Wilkie Collins-Banks Suspended - Bank Closed in Washington. NEW YORK, Sept 25. There has been no panic on Wall street but a quiet The action of pression. to-day, the feeling Government of dein its bond even suspending purchases, intense if it is to be temporary, creates A of the states disappointment. Secretary Treasury telegram from that vis- the his official duties will prevent him from iting New York and consulting with the Clearing House Committee. the examination During this Union morning Trust of the large safe of the a box belonging to Company, found the missing to Secretary was opened and contain $25,000 in United States bonds which had been supposed to be lost. Howes & Macy have resolved to open their doors and solicit special deposits on trust obligations, to be paid as fast as they can realize on the securities of foreign exchange. NEW YORK, Sept. 25. The London Times of the 12th has the from Verdun, dated 11: "An incident Sept. following telegram occurred become yester- pubwhich did not or it might day licly known, happily have produced much excitement. At 11 o'clock, at the moment when financial questions were believed to be entirely settled, the Germans suddenly declared that another million francs was due them for having kept up the postoffice on behalf of the French Government during the occupation of French departments. On being asked to give details of this claim they replied that they had accurately estimated what was due them, and if the million was not paid they would prolong the ocThe matter was cupation. to Government, and immediately referred the upon an order from Versailles the Receiver of Taxes at Verdun this morning paid the sum claimed. SELMA, Ala., Sept. 25. The Selma Savings Bank suspended to-day. Assets are believed ample to pay all liabilities, and save the capital stock nearly entire. SAVANNAH, Ga., Sept. 25. on the and Trust has on The Company run Savannah ceased. Bank That the Bank of Georgia continued up to the hour of closing. Both are thought to be fully able to meet all demands. Other banks are proceeding as usual, The ex25 eitement is diminishing 680 100 100 trustee To wart Thos, Truste Hart Than PHILADELPHIA, Sept. 25. The race for a purse of $5,000, bey a tween Goldsmith Maid and Judge Fulr. lerton was won by lhe Maid. Timele 2:22, 2:21 1/2, 2:23 1/4 ATLANTA, Ga., Sept. 25. y The Dollar Savings Bank suspended to-day. ror NEWARK, N. J. Sept. 25. The State Bank at Brunswick suspenThis is the bank crippled e by of ded the to-day. irregularities Appleton, Cashier. is NEW YORK, Sept 25. k The actual disbursements of greene backs for the purchase of bonds by the Sub Treasury since Saturday, are $13, ot 000,000 r. h, Wilkie Collins is among the arrivals is from Europe to-day. eCHICAGO, Sept. 26. e, It is announced Union just that the s, Second National, National 1facturers' National, banks have and suspend Manuay ed. A notice on the door of the former atsays the bank has abundant securities, ce but is compelled to suspend payments, in on account of the lack of currency until nt it will be able to realize. Nothing has ne been lost from the failures, and deposito tors will be made safe. The Cook County, City National, and National Bank of Commerce have fol ay lowed the example of the Union National n8 and closed their doors. There was he run for an hour on the Commercial Ex
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Iowa Merchants Approve the Action of the Chicago Banks. CHICAGO, III., Sept. 26, 1873. Despatches from the best informed sources, received at the office of the Associated Press in this city from most of the principal cities in Illinois and Iowa, in reference to the present financial troubles in the East, concur in saying that the action of the Chicago banks in following the course of the New York banks, in suspending payment of large sums of currency. is almost universally sustained and commended by bankers and business men as wise and timely and calculated to arrest the panic and pave the way to relief from the present difficulties. The following IS a correct list of the banks which have suspended in this city:Union National Bank. Cooke County National Bank. Second National Bank. Manulacturers' National Bank. National Bank or Commerce.
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THE SUSPENDED BANKS. The banks that have actually closed their loors owe it to their depositors and to the publio oithor to reopen forthwith or go into voluntary liquidation at once, under the process provided by the National Currency not. If they neglect to do so, it is the duty of the Comptrollor of the Currency to put thom in the hands of a Receiver. It is proper that the interests of their croditors should bo protected, and it is for the public good that their assets should be turned out as speedily as is practicable. If they really cannot reopon, the better way out of their embarrassments is a formal notice of voluntary liquidation. This will enable them, under the law, to turn over to the dopositors their just proportion of the currency on hand, and as many of the bills recoivable and convertible assets as necessary. Mr. Holmes, of the Manufacturers' National, is tho only one of the suspended bankers who has announced the intontion of adopting this course. The others should loso no time in coming to some decision. The Union Bank closed, according to its own statement, with 8600,000 currency in the vaulte, $800,000 of Eastern exchange, which is falling due from day to day, and collaterals on maturing notes which may be converted into cash. The Union Bank has no right, legal or moral, to withhold this largo amount of money from the publio at such a time as this, and much less from the depositors whom it owes. If there was a necessity to suspend business, then it becamo proper, at the same time, to adopt the readiost means for turning out to dopositors the cash and negotiable assets on hand. What is true of this case is equally true of all the others. Time enough will have elapsed by Monday to decide whether a resumption is possible. The whole secret of the financial distress in Chicago and the West is the lock-up of the currency. We have not been remies in constigating the cowardly dopositors who have mado a disgraceful seramble for currency to stow away in Bafety deposits and private vaults. When half a dozen banks close, and thus keep an aggregate of one to two millions of money out of the market at this time, we apprehend that a large share of the blamo must be transferred to their shoulders. If this large amount of money is to be locked up in the vaults of bankers who are doing no businees, it does nobody any good. It cannot relieve the banks, nor the merchants, nor the grain-doalers. It should como out. If the suspended banks do not voluntarily adopt the means provided by law for just such a contingency, the depositors will undoubtedly take stops to have them placed in the hands of a Rozoiver. This becomes the duty of the Comptroller of the Currency upon the application of any creditor who fails to receive his money on demand. The depositors have a right to representation and protection. In the present condition of the suspended banks, the interests of the creditors are entirely in the hands of the debtors. If the suspended banks are actually solvent, as they all claim to be and as we believe they are, this process will enable them to save their charters and perhaps their capital. They will then be in a condition to resume business with restored confidence. If any of them are not solvent, it will still be better for them to BAVO the exponse and delay of a Recoivership, and escape the improcations which such expense and procrastination will be sure to bring down upon them Every baukor who is not in a condition to resume to-morrow morning can do his Bhore toward relieving the distress by giving notice of voluntary liquidation, and turning out his assets as fast as possible.
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Another Meeting of the Chicago Clearing House Association. RESTORATION OF QUIET AND CONFIDENCE IN THE CITY. CHICAGO, Sept. 27.-The Clearing House Association of this city held an ad journed meeting to might, which was at tended by representative of all the banks belonging to the Association, including those that suspended yesterday and today. The committee appointed last night to consider and report a plan similar to that adopted in New York and other cities, providing for the issue of loan certificates and the payment of checks through the Clearing House, only submitted two reports, which were essentially the same, the only difference being that the former recommended the adoption of the New York plan in all/its details, while the lat ter recommended the adoption of the New York plan, or something similar to it. After a prolonged and somewhat irregular discussion, in which the representa tives of some of the stronger banks opposed the adoption of either of the re ports, both reports were tabled by a ma jority vote. The situation here is therefore essentially unchanged. A considerable amount of currency has come in to-day, a good portion of which went into the banks, and there has been serious drain upon either National or Savings Institutions. Some of the suspended banks promise an early resumption, and only one, the Manufacturers National, dmits that it will go into liquidation, and asserts that it will be able to pay dollar for dollar. The people generally are taking matters very quietly, and there seems to be considerable confidence among bankers that with prudent management and no further trouble east they will be able to pull through. Flurryat SaltLake/City--1stNation al Bank Closed. SALT LAKE, Sept. 27.-There is con siderable excitement here -day. The First National Bank did'nt open its doors to-day. The notice on its doors states the cause of the suspension, failure of eastern houses, and inability to obtain currency. The liabilities are amply secured by good assets. Depositors need not feel any uneasiness as to ultimate loss. The assets are over $360,000. Liabilities $277,000, exclusive the personal property Warren Hussy ho holds himself responsible for all bank indebtedness The bank was a Government depository The Salt Lake National and Deseret National are open and meeting all demands. Walker Bro's., Wells, Fargo & Co., T. F. Tracy Consand White and McCormick also prepared to meet demands. A slight run commenced on the latter, but no fear of succumbing LATER AND BETTER -CONFIDENCE RE STORED. SALT LAKE, Sept. 97.-The excitement in financial circles has génerally subsided. The run on White & McCormick was brief. Confidence is restored. The firm will meet all demands and have a surplus. All the banking institutions are in the best condition. Warren Hussey, president of the First National Bank, says the institution is perfectly solvent has met no losses: is amply able to pay Windebtedness; capital and surplus are unimpaired, end but little time is required make No trouble need be apprehended by the bankers. Progress toward Resumption at Memphis. MEMPAIS, Sept. 27-The report of the committee to examine into the condition of the First National Bank was received to-day. It presents a much better exhibit than was anticipated, and steps have been adopted looking to its immediate resumption. According to the report its demand liabilities are $824,000, against available assets. of $655,000, the doubtful and unavoidable assets being $101,000, making total assets of $656,000. Atter paying all liabilities the stockhold can realize par of their shares. On the reading of the report of the commit $900,000 was subscribed towards ena bling the bank to resume.
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Latest Financial LOUIVVILLE, Sept. 27. SUSPENSIONS The following banks suspended payment temporarily to-day German Bank. Ma. onic savings bank, Western bank. German Insurance bank. Louisville Banking Co., German savings bank, and Central savings bank. The run on these banks has been steadily increasing for three days. All have abundant resources. Other banks have heavily drawn on the suspended banks All the savings institutions are owned chiefly by Germans. PANIC CONTINUES. LITTLE Rock, Sept. 27. The money panic continued to-day. Never in the history of the city has money been so stringent. It is impossible collaterals. to get any money with any sort of CONFIDENCE. CHICAGO, Sept. 25. People generally are taking matters very quietly and there seems to be considerable confidence among bankers that with prudent management and no further trouble East they will be able to pull through. AT CINCINNATI. CINCINNATI, Ohio, Sept. 27. The day has passed quietly in financial and commercial circles. There was positively an improved feeling among all classes. Prices on change stiffened materially, and some articles brought higher figures than since the panic. A number of banks have announced that they would pay all currency checks against new deposits, and certify checks in checks. A currency against deposits fair mechanics amount of currency has been paid to and manufacturers for wages, and no great dissatisfaction was expressed by any one. A much healthier tone has prevailed, and greatly increased hopefulness has been manifested on all sides. AT DUBUQUE. DUBUQUE. I., Sept. 27. The Commercial National Bank is the national bank in this city that is meetdemands in full in currency. only ing all The Merchants' National Bank has suspended. The First National Bank is paying in bills receivable and small amounts of currency. The run on the German Sayings Bank and the Peoples' Sayings Bank has subsided. AT PHILADELPHIA. PHILADELPHIA. Sept. 27. A committee of the stock board had a this afternoon bank at which the latter it presidents, conference with stated the that was not the intentions of banks to force any securities upon the market and they would not do anything that would tend to cause a decline of securities of the stock board. AT CHICAGO. CHICAGO, Sept. 27. The clearing house association held adjourned meeting last night. The committee on Friday night to a plan, submitted appointed report two consider reports and which were essentially the same, the only difference being that one recommended the of the New York adoption recommended plan in all the its details: while the other adoption of something similar to it. After e a prolonged discussion both reports were 1 tabled by a majority vote. The situation 1 here is therefore essentially unchanged. currency a of which went has been no serious e or savings S either and large Considerable there portion national arrived into yesterday, institutions. drain the banks upon e Some suspended banks promise early resumption, and only one, the Manufacturers' National admits it will go into a liquidation and this will pay dollar for dollar.
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they have determined to open their doors at once for resumption of business. This bank will accordingly open for business at 10 o'clock this morning. W. F. COOLBAUGH, President C. T. WHEELER, Vice-President. GEORGE A. IVES. Cashier. This is accompanied by a written paper signed by all the resident directors, pledging their personal responsibility for payment of all deposits of the bank. Officers of the National Rank of Commerce were busy to-day in the examination of the accounts and securities of the institution, preparatory to an anticipated resumption of business to-morrow. A special meeting of the directors is to be held before banking hours, to determine as to its future action. There is little doubt of the bank being solvent, and. having considerable cash on hand, they will resume business at once and open their doors for a full resumption. The resumptions of business and the influx of currency have brightened the skies here greatly. The Tribune says, editorially, to-morrow morning : Now if the depositors will exercise the reasonable prudence demanded by the situation and warranted by the solvency of our banks they will not only get the greenbacks they need the sooner, but they will reestablish the agencies of their own credit. This will enable them to go on doing a profitable business. The weakening of three of the banks that suspended last Friday, and the enormous and steady influx of currency into the city, ought to convince everybody of the advantage there will be in sustaining all the banks for the few days they will need it. CHICAGO BANK PROSPECTS--ANOTHER SUSPENSIONTHE LOAN CERTIFICATE PLAN ADOPTED. CHICAGO. Sept. 27.-At the Clearing-house meeting, which continued to an early hour this morning, the suspended banks were permitted to vote. Mr. Coolbaugh handed communication to the public, signed by the President and Directors of the Union National Bank, saying they would hold themselves personally responsible, as inviduals, for the payment of all deposits now held by the bank. or which may hereafter be made with it. Mr. Coolbaugh stated that he had been advised that the banks in Ciacinnati and St. Louis were doing business on other than a currency basis. He believed, in view of the change made by these cities. that it would be as impossible for Chicago to do business on a currency basis as it would be for it to do business for the surrounding country on a gold basis. For the information of those present, he would say that the entire assets of the bank amounted to $4,300,000, not over $50,000 of which was doubtful. In 60 days $4,000.000 would mature, and at the present time there was in bank $1,000,000. It was announced, this morning, that the Third National Bank had suspended. At a meeting of the Clearing-house Association, to-night. a committee was appointed to draft a plan for the issue of loan certificates, to be used in the Clearing-house in the settlement of balances. Sept. 8.-The Clearing-house Association of this city held an adjourned meeting last night, which was at tended by representatives of all the banks belonging to the association, including those that suspended on Friday and yesterday. The committee appointed on Friday night to consider and report a plan similar to that adopted in New-York and other cities providing for the issue of loan certificates, and the payment of checks through the Cleariag-house only, submitted two reports, which were essentially the same. the only difference being that one recommended the adoption of the New-York plan in all its details. while the other recommended the adoption of the New-York plan, or something similar to it. After a long discussion, in which the representatives of some of the strongest banks opposed the adoption of either of the reports, both reports were tabled. The situation here is therefore essentially unchanged. A considerable amount of currency arrived here yesterday, a large portion of which went: into the banks, and there has been no serious drain upon either national or savings institutions. Some of the suspended banks prom180 an early resumption, and only one, the Manufacturers National, admits that it will go into liquidation, and this one asserts that it will be aole to pay dollar for dollar. The people generally are very quiet, and there seems to be confidence among bankers that with prudent management and no further crouble East they will be able to pull through. CHEAP TRANSPORTATION-A NATIONAL CONVENTION CALLED. CHICAGO, Sept. 28.-The State Central Committee of the Illinois State Farmers' Association have issued a call to Farmers' Clubs, Granges, Farmers' Associations, Agricultural Societies, Boards of Agrieulture, and other organizations of the industrial classes of the United States, requesting them to send from their own numbers, identified with their interest, one delegate from each organization, to meet in Chicago, on Oct. 22, for the purpose of discussing the prevailing overcharges in transportation, to insure a perfect organization of the agricultural and other industrial classes who chiefiy suffer from these overcharges in every State, Territory, and province in the country with a view or throwing a combined and overwhelming influence against future exactions, and to take such measures as shall secure prompt and efficient legislation that shall end in the complete extinction of all railroad or other monopolies now preying on the productive interests of America.
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body known as the "People's Party;" repudiates party fealty as a tyrannical rule, sinking the citizen to a servile partisan; condemning the system of using money corruptly in elections; condemning all political rings and cliques formed to control elections; pledging the party to civil-service reform and to resist all Credit-Mobilier contracts with finance companies; denounces the present system of the distribution of lands and grants of lands to railway and other corporations; opposes all kinds of subsidy by Federal, State, county or municipal governments; opposes the present tariffs; favors taxing solvent debts; favors the eight-hour law; opposed to Chinese immigration, and also opposed to the election of the President for more than one term of four years. The last resolution indorses the stand taken by Governor Booth in behalf of popular rights against the encroachments of politicians and railway corporations. A dispatch from Denver, Col., states that over two-thirds of the mining town of Fairplay, Col., had been consumed on the 26th. All the stores, printing offices, the United States land office, post office, express office, hotels and other business places, with two or three exceptions, had been utterly destroyed. The Right Rev. Geo. M. Randall, Episcopal Bishop of Colorado, New Mexico and Wyoming, died at Denver, Colorado, on the 28th, of typhoid pneumonia. The Third National Bank, of Chicago, closed its doors on the 27th. The Cook County National, one of the suspended banks of that city, had announced its resumption. The Manufacturers' and Second National banks had decided to go into liquidation. The Union National, the first of the Chicago banks that closed its doors, had announced its assets at $5,600,000, and its liabilities at $4,300,000, and given notice of its speedy resumption of business. The Clearing-House Association met on the evening of the 27th, and after an animated discussion resolved not to issue Clearing-House certificates. A dispatch from St. Louis of the 27th says that the rear wall of the five-story warehouse, on the corner of Second and Chestnut streets, had fallen, opening a gap in the building fifty feet wide from the ground to the roof. One man had been killed and two seriously injured. In Chicago, on the 29th, business had resumed very nearly its normal condition. Three of the suspended banks had resumed business and were receiving deposits and paying out on checks as before the panic. Over $3,000,000 currency had been received during the preceding forty-eight hours. Traffic had fallen off on the various lines of railroad, and a large number of trains had been drawn off, and many men discharged. A St. Louis dispatch of the 29th says that while Joseph H. Fore, who attempted to kill his wife, on the 4th of June last, was being tried in that city on the 29th for that offense, he threw a heavy cut glass inkstand at his wife as she was giving in her testimony. The missile missed her, but struck her counsel full in the forehead, inflicting an ugly and dangerous wound. At a late hour on the night of the 29th the Union National Bank of Chicago, which had resumed business on that morning, and during the day had paid out $400,000, decided to go into liquidation, under the provisions of Sec. 42 of the National Currency Act. A call has been issued for a Northwestern Farmers' Convention, to meet at Chicago on the 22d of October, to consist of delegates from Granges and farmers' organizations. In Chicago, on the 30th, matters had very nearly resumed their normal condition, so far as the banks were concerned. The effect of the late panic was just beginning to be felt by merchants and traders. Trade was unmistakably dull and collections difficult to be made. A Madison, Wisconsin, dispatch of the 1st announces that the Bank of Madison had failed. A dispatch from Springfield, III., of the 1st, says the Leland House of that city had been damaged by fire to the extent of $10,000.
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Federal, State, county or musicipal governments; opposes the present tariffs; favors taking solvent debts: favors the eight-hour law; opposed to Chinese immigration, and also opposed to the election of the President more than one term of four years. The last resolution indorses the stand taken by Governor Booth in behalf of popular rights against the encroachments of politicians and railway corporations. A dispatch from Deaver, Col., states that over vo-thirds of the mining town of Fairplay, Col., had been consumed on he 26th. All the stores, printing offices, the United States land office, post office, express office, als and other business places, three exceptions, had been utterly destroyed. The Right Rev. Geo. M. Randall, Episcopal Bishop of Colorado New Mexico and Wyoming, died at Denver, Colorado, on the 28th, of typhold pneumonia. The Third National Bank, of Chicago, closed its doors on the 27th. The Cook County National, one of the suspended banks of that city, had announced its resumption. The Manufacturers' and Second National banks had decided to go into liquidation. The Union National, the first of the Chicago banks that closed its doors, had announced its assets at $5,600,000, and its liabilities at $4,300,000. and given notice of its speedy resumption of business. The Clearing-Ho Association met on the evening of the 27th, and after an animated discussion resolved not to issue ClearHouse certificates. A dispatch from St. Louis of the 27th says that the rear wall of the five-story warehouse, on the corner of Second and Chestnut streets, had fallen, opening gap in the building fifty feet wide from the ground to the roof. One man had been killed and two seriously injured. In Chicago, on the 29th, business had resumed very nearly its normal condition. Three of the suspended banks had resumed business and were receiving deposits and paying out on checks as before the panic. Over $3,000,000 currency had been received during the preceding forty-eight hours. Traffic had fallen off on the various lines of railroad, and a large number of trains had been drawn off, and many men discharged. A St. Louis dispatch of the 29th says that while Joseph H. Fore, who attempted to kill his wife, on the 4th of June last, was being tried in that city on the 29th for that offense, hethrew heavy cut glass inkstand at his wife as she was giving in her testimony. The missile missed her, but struck her counsel full in the forehead, inflicting an ugly and danger wound. At a late hour on the night of the 29th the Union National Bank of Chicago, which had resumed business on that morning, and during the day had paid out $400,000, decided to go into liquidation, under the provisions of Sec. 42 of the National Currency Act. A call has been issued for a Northwestern Farmers' Convention, to meet at Chicago on the 22d of October, to consist of delegates from Granges and farmers' organizations. The South. A dispatch from Richmond, Va., of the 23d, says that the Merchants' National, the Planters', the Mechanics', the Peoples', the First National, and the Citizens' banks, of Petersburg, had suspended. A Baltimere telegram of the 24th announced that all the banks of that city had stopped currency payment. Brown, Lancaster & Cowell, agents of the Chesapeak and Ohio Railway, having houses in Baltimore, New York and Richmond, had also suspended. A Little Rock, Ark., dispatch of the 24th says the money panic in that city continued, caused not 80 much by Eastern financial complications as by the refusal of the city banks to take the shinplasters that have been current there. A dispatch from Richmond, Va., says that the Richmond Dollar Savings Bank had suspended, and that Taylor & Williams, bankers, had failed. A dispatch to the Associated Press, from Brownsville, Texas, of September 24, says that a series of butcheries and robberies had recently been committed in Mexico, the victime every case being Americans. The perpetrators of these crimes were arrested, and their guilt fully established, yet not one of them had been punished, the authorities being either indifferent or powerless. The facts had been reported by the Consuls to Washington, in the hopes that redress would be demanded. A Memphis dispatch of the 25th says that the First National and De Soto banks, of that city, had closed their doors. A dispatch from Nashville Tenn., says that the National Banks of that city had suspended currency payments on all balances exceeding $200. A dispatch from Selma, Ala., of the 25th. says the Savings Bank of Selma had suspended in consequence of an extraordinary run by depositors. All the banks of New Orleans partially suspended payment on the 25th, according to a dispatch from that city. The suspension was to remain in force for thirty days. Telegrams from various cities in Georgia, of the 25th, say the following banks had suspended: National Exchange, the Merchants' and Planters' National, the Planters' Loan and Savings Banks, of Augusta, Ga.; the Dollar Savings Bank, of Atlanta, Ga.: Savannah Bank and Trust Company, and the South ern Bank of Georgia. A dispatch from Shreveport, La., of the 25th, says the fever, which seemed to have abated on the preceding day, had broken out with renewed violence. The interments numbered twenty-two. A dispatch from Shreveport, La., of the 29th says that within the last four days sever al of the most prominent and useful citizens of that city had fallen victims to the epidemic. The dispatch adds: "The population has been fearfully thinned out by sickness and death We no longer have funerals. The hearses, followed by one or two carriages, dash through the streets like a section of artillery in a battle seeking position. A few men are drummed up, the coffins shoved into the hearse, and driven rapidly to the cemetery. This is the case even with the most prominent citizens. The Howards have opened an orphan asylum, and are feeding about two-thirds of the resident population. There are fewer deaths and new cases, because there are fewer people.' A Jackson, Miss., dispatch of the 29th says Governor Powers, acting under the advice of Attorney-General Morris, had issued proclamation postponing the State election. The Governor says that he will convene the Legislature in extraordinary session as soon as possible. The Pilot, the State organ, has pronounced the Governor's movement incendiary, and calculated to lead to revolution and anarchy.
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CHICAGO PREPARED. No Present Distress in the City-Business Active and Unhampered, but the Winter Dreaded-A Table of Receipts and Shipments. CHICAGO, Nov. 3, 1873. Less, perhaps, than any large city on the Continent has Chicago been affected by the panic which commenced with the suspension of the Buchu banker of Philadelphia and continues with the failures and rumors of failures in Rhode Island. The panic among our banks was short and sharp, but all have weathered the storm save the Second National and Manufacturers' National, both of which have gone into private liquidation, and the Franklin, a small institution, which has been declared bankrupt. The liquidating banks will pay dollar for dollar, as Chicago never adopted the plan of issuing Clearing House certificates. Each bank stood from the outset on its own bottom. and the result is that all our other banking institutions are in excellent condition, doing business as usual, save that discounts are not granted as readily as of old. The savings banks having decided to stand by time rule, are all intact, and as their line of deposits was very large, frugal poor people. who were almost entirely their customers, will have a resource in case of distress. There has not been a single failure of note in mercantile circles, and BUSINESS IS ACTIVE AND UNHAMPERED, except by the difficulty of making collections. Take, for example, the dry goods-line:Mr. Leiter, of the firm of Field, Leiter & Co., the heaviest house here, declares that we are better prepared for hard times than any other section of the country. Business is flourishing and our orders average 100 a day. The past week was the best we have ever seen in the way of filling orders. It 'is our largest week on record. Our banks are in superb condition: they were never better. Not a single manufacturing house has thus tar shut down. THE PORK PACKING SEASON has not, however, fairly opened, and the prospect is at present that general scarcity of money will prevent anything like the business of former seasons. As this is our principal industry in winter, it is greatly leared that much distress will prevail among a large class dependent upon it for their winter's sustenance. No building operations have been suspended. The city goes on with its improvements, employing thousands of men, but the season for this kind of labor will close about the 1st of December, and if the packing houses are not in full blast men who usually work at anything in summer, and in the packing houses in winter, will suffer in the cold. As a rule the railways having shops in the city, or anywhere in the Northwest, have made no considerable, if any, reduction in their force; but the Chicago, Burlington and Quincy, Northwestern and LakeShore lines have cut down the wages of all their operatives from seven to ten per cent. I hear that THE WHOLESALE CLOTHIERS will not employ a large number of tailors this winter, and as the manufacture of clothing was carried on largely here it is likely that there will be much suffering among those depender upon this line of industry. Business upon 'Change is lively, though there is net 80 much speculation as usual, owing to the feeling of distrust among operators. To indicate how little trade in grain has been affected, I send a statement of receipts and shipments of breadstoffs and live stock at this point during the past week, comparing them with those of the corresponding week of last year :RECEIPTS.
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A NEW QUESTION. Can a National Bank Be Put into Bankruptcy. The Question Raised with Respect to the Manufacturers' National. A week ago Saturday J. R. Smith & Co. filed a petition against the Manufacturers' National Bank, to throw it into bankruptcy, alleging that the bank was then a debtor of the petitioners to the amount of $1,500, on account of money deposited, which it had failed to pay for fourteen days after request for the same, and charging that the bank had committed acts of bankruptcy in suspending payment of said deposit, and, also, by giving numerous preferential assignments to various persons, by turning over paper and securities in payment of sundry creditors. The usual rule to show cause was not issued, but was deferred until an argument could be heard on the question as to whether a National Bank could be put into bankruptcy. Messrs. Harding, McCoy & Pratt and Mr. T. C. Whiteside appeared for petitioners, and argued that the power was unquestionable, as the jurisdiction is expressly given by the Banking act of 1864, and also by the Bankrupt law of 1867. The Banking act, by the eighth and thirty-seventh sections, expressly gives to creditors the right to sue the corporation as they would other natural persons. The Bankrupt act was passed nearly three years after the Banking act, and merely gave a remedy which a creditor under the old Banking act had a right to use. The Bankrupt act confers the same power by the thirty-seventh section, where it is said the Bankrupt act shall apply to all moneyed and stock corporations, and where a banker has fraudulently suspended payment of his commercial paper it shall be deemed an act of bankruptcy. The remedies are either concurrent or that given under the Bankrupt act is a distinct remedy. The Banking act does not provide any scheme for the bankruptcy of banks, does not make any provision for their insolvency. There is only one provision made in the Banking act for the non-payment of anything, and that is for the non-payment of the circulating notes of the bank, in which case the Comptroller may sell the bonds held by him, or, with the concurrence of the Secretary of the Treasury, have a Receiver appointed to distribute the assets, but there is no provision for any other non-payment. The Bankrupt act simply furnishes a proceeding which the Banking act says a creditor shall have against a bank, and the policy of the Bankrupt act is in perfect harmony with the Banking act. The fundamental error is in supposing that the two acts are inconsistent. Judge Lawrence, associated with Messrs. Ayer and Kales, for the bank, argued that the Comptroller is the person appointed by law to wind up the affairs of the bank. When a bank is insolvent it can go into voluntary liquidation and settle its claims. Supposing an Assignee were to be appointed, no person could be found who, on the sale of the assets, would bid anything near their true value when it was known that the Comptroller could stop in and assert hostile rights. Again, no Assignee could reduce to possession the bonds held by the United States. They might be sold for the benefit of the holders of notes, and then there would remain a surplus in the hands of the Government, assets which could not be reduced to possession by the Assignee. It is impossible to conceive of a greater conflict than would arise from this cause. The act in existence provides for all emergencies, and for the security of the Government. A bank cannot be put into bankruptcy unless the Bankrupt act repeals the Banking act and substitutes the Bankrupt act, and the question is to determine which of the laws is in force. Now, does the Bankrupt law repeal the Banking law? In the 8th Wallace the question is settled. The Court there recognizes the provisions of the Banking act as in full force, and Congress recognizes it as in full force. The counsel on the other side must fall back on the proposition that either of the remedies are applicable, at the discretion of the Judge. By the act, the banks are required to keep on hand enough to pay the ordinary run of their depositors, which is fixed at 25 per cent of their notes; and it is not the intention that depositors shall be allowed to force a bank into bankruptcy in that mode. If the Bankrupt act were to be repealed to-morrow, the banks could go on as they have done under the Banking law. If the depositors during the late panic, when everyone was apprehensive and doubtful where he stood, could have forced the National Banks into bankruptcy, it would have caused a universal crash over the country, and would have done more than anything else to make it hopelessly insolvent. The argument was not concluded, but will be resumed when Judge Blodgett shall have concluded the Howell case, now on trial.
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CAN A NATIONAL BANK BE PUT INTO BANKRUPTCY?-The Chicago Tribune of the 23d reports the following case as pending, on argument, in that city:-A week ago Saturday J. R. Smith & Co. filed a petition against the Manufacturers' National Bank, to throw it into bankruptcy, alleging that the bank was then a debtor of the petitionersto the amount of $1,500, on account of money deposited, which it had failed to pay for fourteen days after revuest for the same, and charging that the bank had committed actsof bankruptcy in suspending paymeet of said deposit, and, also, by giving numerous preferential assignments to various persons, by turning over paper and securities in payment of sundry creditors. The usual rule to FOOW cause was Lot issued, but was deferred until an argument could be heard on the question as to whether a national bank could be put into bankruptcy.
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many COW came to night. stance, Ira lays out a subdivision to Chicago, as I have said, and he sells these lots to H. E. Picket, a prominent director of the bank, then the bank makes a loan of $1,500 on each lottheir full value-for which Picket issues his bonds, running five years, at eight per cent.; be then gives Ira Holmes $600 per lot, secured by his notes, and a second mortgage; both the bonds and notes constitute part of the assets of the bank, Ira having sold the notes to the bank and got his money for them. Here is another : Ira had some land near Humbolt Park, worth about $40,000. He sells this land to a dummy" for $60,000, the bank loans the dummy $60,000 and holds the note and mortgage as assets. I said Ira had a hotel, the Clifton House. Well, this is how he built it. He leased a lot on the corner of Adams and Wabash avenue, issued bonds running ten years for $150,000, and sold them to his bank. There is nothing like knowing how to do it. Some queer scenet have transpired in the reception room of that bank. A burly fellow strides in, looks fiercely around, declaring he will have his money, that he is a ruined man without it. There is no compromise in his eye, he means war. Holmes hastens to meet him ; he is a little man with black hair and eyes, but his face is aglow with smiles as he grasps the horny hand of the irate depositor, shakes it, and squeezes it cordially, tells him how sorry he is, how the fates have been against the bank, &c., &c., and soon the two are sitting together upon the sofa. Ira's friendly arm thrown kindly around the aggrieved man's neck he hears Ira's story, laughs at his jokes, and departs believing Holmes the finest fellow in the world. Ira is a character-bold and unscrupulous, he has a magnetism which wins him hosts of friends. His audacity is boundless, in fact it takes your breath away. You came to contend with the fellow, and in sist upon your rights, but he opens before you a field of brass, new and wonderful, so much larger than you had even conceived that you are completely non-plussed, and he beats you, but you go away liking him. An attempt was made to throw the Manufacturers' National into bankruptcy. The ablest counsel in the State was retained on both sides, but the court decided that the bankrup: law takes precedence to the banking law, settling the question that a National Bank cannot be thrust into bankruptcy. Thus the Manufacturers' National Bank went down, and what is the moral to be drawn? this, viz. Put not your trust in Princes. What are we to say of bank inspector Spink who continued to certify to the soundness of this concern, when, if he had made a proper use of the power invested in his office, and had made an honest report the depositors would have been warned before it was too late ? Such inspectors are frauds. It is a public disgrace, that such unreliable, incapable men are suffered to hold responsible positions. Many a man deposited his earnings in of the bank relying upon the vigiance the Government Inspector, and now he awakes to the knowledge that he was leaning upon a broken reed, and the Government officials whose salary he is taxed to pay, is a delusion and a snare. C. HON. JOHN T. AVERILL informs us that if our people will get up a petition, stating just what increase of mail ser-
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CHICAGO COURTS, THE MANUFACTURERS' NATIONAL BANK. The motion for a Receiver In the case of Irons vs. The Manufacturers' National Bank came up again before Judge Blodgett yeaterday morning. A1 was stated in THE TRIBUNE, the Judge had appointed J. D. Harvey Receiver of the bank, but no entry of the order was made, time being given until yesterday to the bank to decide whether or not to tile an answer. Mr. Hutchinson, in behalf of the bank, said he would consent to the appointment of a Receiver to take possession of the assets, but be wished to have the case go to the Supreme Court on the present question raised, as to whether the Court had a right to appoint & Receiver of a National Bank. The Judge, however, said the case could not be appealed until & final decree was entered. There must first be & reference to the Master to take proof, or answer must be filed and a docree be made on it. The Receiver was an officer of the Court, who acted under its direction, and the Court would not stultify itself by appointing A Receiver and then practically tying bis hands. Mr. Hutchluson then suggested that Mr. A. H. Burley be appointed, NO that the bank could have the advantage of the vaults of the Cook County Bank, of which he was Receiver. Judge Blodgett declined to change his Bppointment, remarking that be knew Mr. Harvey to be A man of undoubted integrity, and who, as Receiver of the Scandinavian Bank, was well posted in this line of business, and also had sufficient vaulta. Dir. Burley, on the other band, was learning his lesson, and, moreover, had just surrendered possession of the bank's vault. He would therefore cause to be entered the order prointing Mr. Harver Receiver, and still giva
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# THE MANUFACTURERS' NATIONAL BANK. REPORT OF THE RECEIVER. J. D. Harvey, the Receiver of the Manufacturers' National Bank, appointed by Judge Blodgett Feb. 20, filed his first report of the condition of the bank. The liabilities aro'as follows:
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"FAST BANKING.-The Chicago Tri. bune says; The Cook County National Bank paid the highest rates known in this city for deposits. The history of banking here and elsewhere dces not encourage the idea that placing deposts where they will draw the highest interest is putting them where they will do the most good to the depositor. When the extinguished financier under whose auspices the Manufacturers' National Bank of thiscity we tinto liquidations became its president, he outbid all the other bankers in the city in interest on deposits. He paid 5 and 6 per cent., and even more. "How can you afford to pay such rates?" he was asked one day by a fellow-financier. "Pay!" said he, "I don't care what rates I pay. I am going to build up the business of this bank, no matter what it costs!" Whatit costs, the report of the Receiver, lately published, showed to the full satisfaction, it is to be hoped, of the depositors.
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MONEY AND COMMERCE. FINANCIAL. A rapid advance in the price of exchange was the only change in the financial situation. Sales were made at 25@50c premium between banks for $1,000. The sudden fall in price the day before is to be attributed to the large amounts simultaneously offered by the banks upon discovering that they had run down their stocks of currency lower than they wanted to see them. The amount of exchange made by the cattle trade here has been very large. During the past week fully $2,000,000 of exchange has been made at the StockYards. It is worth noticing that the cattle trade of the West and Northwest now centres at this point. The cattle, instead of being shipped as in earlier days, through Chicago on Eastern account, are purchased here and shipped on Western account, The discount market remains without any noticeable new features. Merchants are borrowing largely on account of the retardation of collections, and business in the country on account of the cold, unseasonable weather. Rates at the banks are 8@10 per cent. On the street there is less good paper offering than could be taken. Rates are 7@18 per cent. The clearings Saturday were $3,096,275.05; for the week the clearings were $18,998,852.21; and the baiances $1,995,489.41: for the corresponding week of last year the figures were respectively $17,180,770.79 and $1,937,000.40. 5-20 BONDS. The seventeenth call for the redemption of 5-20 bonds of 1862 states that the principal and interest of the following bonds will be paid July 20, 1875, and intercet will cease after that date: Coupon bonds, known as the Fourth Series, Act of Feb. 23, 1852, dated May 1, 1862, ns follows: COUPON BONDS. $30-No. 15,401 to No. 17,100, both inclusive. $500No 20,001 to 22,400, both inclusive. $100-No. 40,001 to No. 44,200, both inclusive. $1,000-No. 66,001 to No. 70,950, both inclusive. $5,000,000. The amount outstanding (embraced in the numbers as above) is $5,000,000. United States securities, forwarded for redemption, should be addressed to the Loan Division of the Sacretary's Office." THE ERIE HAILROAD IN THE LONDON STOCK MARKET. The London Times of the 10th inst., in its financial article, says: A correspondent writes complaining very bitterly of the way in which pamphiets and circulars are kept flying about filled with extremely damaging statements as to the present position of the Erie Railway. He says bons fide investors are disturbed, frightened, and induced to sell on terms by which they are nearly ruined, and gives a number of figures to prove that the line is not FO bad as these publications assert. Probably he is right. The winter has been a very bad one for Erie, there is no doubt; but by latest accounts traffic has been recovering, and working expenses have been so reduced that the line may fairly be held to be better off than it was some time ago. At the same time, this cannot be asserted positively, and until the traffic receipts are again issued month by month it is impossible to prevent the evil rumors from doing harm, however false they may be. The shareholders ought to know the state of receipts in any case, and, although we can quite understand the desire of the President of the line to lat the bad time go by without saying anything, 80 that his work might appear all the greater when it is revealed, we think it is time secrecy W38 discarded. Even bad traffics, if honestly explained, would at once put an end to the disgraceful running-down system that has been in progress for some time now, and which has unquestionably resulted in the recuperative capacity of the line being grossly underestimated. RECEIVERS FOR INSOLVENT NATIONAL BANKS. The scandalous results of the voluntary liquidation of the Manufacturers' National Bank of this city have evoked considerable discussion of the defects in the National Banking act, which renders such things possible, Comptroller Knox sends the New York Daily Bulletin the following extract from a bill authorized to be reported by the Bank Committee of the last Congress, and intended to cure this defect in the law. The following is the section of the Bank Committee bill to which the Comptroller alludes SEC. 2. That whenever any association shall be dissolved, and its rights, privileges and franchises declared forfeited, as prescribed in Sec. 5,239 of said statutes, or whenever any creditor of any such association shall have obtained a judgment against it,and execution thereon shall have been returned unsatisfied, the Comptroller of the Currency may, on the application of such judgment-creditor, accompanied by a certificate from the Clerk of the court in which such judgment may have been rendered, stating that such judgment has been rendered, and execution thereon has been issued and returned unsatisfied, appoint a Receiver, who shall proceed to close up such association, and enforce the personal liability of the shareholders, as provided in Sec. 5,234 of said statutes. The Bulletin thinks that this clause, if adopted, would undoubtedly have given the creditors of an insolvent bank a remedy through the Banking Department. But the thing needed is that it shall be impossible for an insolvent bank to undertake its own liquidation simply at its own option. The law should provide that, when a bank proposes to go into liquidation, the Comptroller of the Currency shall institute an examination into its affairs, and upon such examination determine whether, in the interests of its greditors, the bank shall be liquidated under & Rebeiver, or may be safely allowed to wind up its own affairs," GOVERNMENT BONDS. Bid. 1.Asked.
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IMPORT NT DECISION. The Highest Tribunal On the Insolvent Mann facturers Bank Case. WASHINGTON. March 28.-A decision was rendered by the United States supreme court to-day in the insolvent bank case of Alonzo Richmond, Charles Comstock and others against Agnes F. Irons and Andrew H. Foskett, executor and executrix of James Irons, deceased, and others, an appeal from the United States circuit court for the northern district of Illinois. This was a suit to enforce the personal liabilities of stockholders for the debts of the insolvent Manufacturers' National bank of Chicago. A master, anpointed by the court below to ascertain the amount of the debts and assets of the bank, reported on the 25th day of May, 1886, that the indebtedness of the bank at that time was $346,733; that $69,346 should be added to that sum for the expenses of the receivership, making a total of $416,079 and that the necessary assessment which should be made on the stockholder to pay said indebtedness was 83.2 per cent upon the capital stock of $500,000. Many exceptions were made to the master's report, but they were overruled and the decree was entered against each stockholder severally for the amount computed to be due from him according to the amount of his stock. From this decree Richmond, Comstock and others appealed. This court holds: 1. That the action of the circuit court in permitting amendments to the original pleadings is justified by the rules on that subject as stated by this court in the case of Neale vs Neale (9 Wallace 1) and in the Tremolo patent (23 Wallace 518), etc. 2. That the statute of limitations, even if applicable as a bar to this proceeding, ceased to run against the creditors of the bank entitied to the benefit of the decree from the time when the amended bill was filed in October, 1876. It had not then taken effect. 3. That the obligation of the deceased stockholder survives as against his personal representatives. 4. That Comstock is liable on stock sold by him in good faith but not transferred by him on the books, as well as on stock sold with a knowledge of the bank's insolvency. 5. That the stockholders are by law exonerated from obligation to contribute to the payment of all claims in class D, amounting in the aggregate to $18,500. 6. That the creditors are entitled to interest on the dates of the bank as against the stockholders. 7. That the stockholders are not bound to' contribute as a debt due from the bank or themselves to a fund for the payment of the expenses of the receivership. The decree of the circuit court, in so far as it is inconsistent with the foregoing decision, is reversed and the cause remanded with directions to proceed therein as justice and equity may require in conformity with this opinion. Opinion by Justice Matthews.