7685. Merchants Bank (New Orleans, LA)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
March 7, 1842
Location
New Orleans, Louisiana (29.955, -90.075)

Metadata

Model
gpt-5-mini
Short Digest
20eee7ca

Response Measures

Full suspension

Other: Government writs/attachments against assets of the U.S. Bank assigned in New Orleans triggered distrust; Merchants' Bank subsequently closed and went into liquidation/failure.

Description

Newspaper articles describe an attachment/seizure of assets by the U.S. (January) that produced distrust and crowds at bank doors and refusal to accept notes; Merchants' Bank subsequently closed its doors in early March 1842 and was placed into liquidation/failed. Sequence: governmental legal action → depositor agitation/run → suspension/closure and liquidation. Bank charter type not explicit; 'Merchants' Bank' treated as a state-chartered bank (common usage).

Events (3)
1. March 7, 1842 Run
Cause Details
Public attachment/seizure of assets of the U.S. Bank and writs against banks (fi. fa.) created distrust; Merchants' Bank was reported seized earlier and its notes became unsalable, producing crowds and runs.
Measures
No special liquidity measure described; attempts at injunctions in January protected some business temporarily, but no successful public relief for depositors is reported.
Newspaper Excerpt
crowds were gathered around the doors of those institutions... and crowds were gathered around the doors of those institutions... Improvement, Orleaus, and Merchants' Bank, and crowds were gathered around the doors of those institutions.
Source
newspapers
2. March 7, 1842 Suspension
Cause
Government Action
Cause Details
Following prior attachments and writs (fi. fa.) against assigned assets of the U.S. Bank and threats to seize assets held at Merchants' Bank, the institution refused to pay drafts and closed its doors in early March 1842; actions by the U.S. government and related legal processes precipitated the suspension/closure.
Newspaper Excerpt
notice was published: ... the Merchants' Bank of New Orleans had on the 7th inst refused to pay the drafts of this bank... The Merchants' Bank has closed her doors
Source
newspapers
3. March 9, 1842 Receivership
Newspaper Excerpt
The Improvement and Merchants' Banks are to go into liquidation immediately... COMMERCIAL BANK OF NATCHEZ, March 9th, 1842 ... the Merchants' Bank of New Orleans had on the 7th inst refused to pay the drafts ... In consequence ... I visited New Orleans ... had the ... in consequence of the distrust of the Merchants' Bank, created by the attachment in January by the government, ... arrangements will be made for the payment of their notes. ... the Merchants' Bank was in debt ... and ... their issues have been dishonored—the Merchants' Bank being 'completely bursted up.' The Improvement and Merchants' Banks are to go into liquidation immediately.
Source
newspapers

Newspaper Articles (15)
1. December 18, 1841 Baton-Rouge Gazette Baton Rouge, LA
Article from Baton-Rouge Gazette, December 18, 1841

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NEW ORLEANS, December 181841. MR. EDITOR On the morning of the 7th inne, the "Bank of Louisiana" broke loose from the bends of empension and declared her readiness to resume spocie payments upon all of her notes. Our citizens were startled at the announcement==not because they doubted her ability to pay eptecle, but for the reanonie that the lind'once associated hereelf with other institutions totally unable to meet their liabilities.and that the people had 60 long submited to the will of the Banks and their lordly direc. tore, who, in their majesty, decreed entire stispension. Many are the predictions relative to the couree the balance of our city banks will think fit to adopt : the most prevalent opinion, however, is, that some six others will Testline in the course of a few weeks, and leave the insolvent ones to abide the fate of their "illustrious predocessor." of our sister state. the Brandon Bank. The following named Banks are in Found repute: Bank of Louisiana-paying specie. do. do. Merchan's' Bank, do, do. Gas Bank, The Commercial Bank, State Bank of Loui. siana, Citizens' Bank. Consolidated Associati n Bank, will probably resutine shortly. The health of our city is entirely rustored. Business, tho' not 80 lively as last season. on the increase. Cotton market, tolorably fair; demand good; prices moderate. Yours truly,

2. January 3, 1842 New-York Tribune New York, NY
Article from New-York Tribune, January 3, 1842

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MONEY MARKET. Saturday, P.M. This being ft full holyday with our citizens DO business was due at the Brasers Board or in the street. The Mechanics and National Bank of Providence have declared dividends. Gov. Grason of Maryland states in his Message that there are no funds in the Treasury for the payment of the interestdue 1st test. on the public debt of that State. The Legislature will probably take some inamediate action on the subject. A m etinz has been called at Hagerstown to resist the payment of the LEX laid by the Legislature for the payment of the interest OR the State Debt. Both party papers at that place denounce this movement. Gov. Roman. of Louisiana, having in his Message classed the Carrollton Bank among the institutions which had increased their liabilities within the last two years, the Bank has published a statement in answer to this charge. It appears that the liabilities 975,293 On the 8th of November, 1338. were 4th 611,877 1339, 2d 1-40, 419,541 271,940 1841, 4th October, The liabilities have thus been reduced since 1838 to the extent of $704,323. It is the intention of the Directors to make still further reduction and to prepare for a resump tion of specie payments at as early a period as a majority of the Banks of the City. The most of these liabilities the Bank has in specie, cash assets and bills discounted $1,333,766. The President declared at a meeting of the board of Presidents that the Bank needed no assistance. If the above 18 the trite situation of the Bank, it has not the shadow of an excuse for reinsining 1H the dishonstate of suspension. A resolution has passed the Louisiana Legislature instructing the Committee on Banks to enquire into the sale. trausfer. assets, issues, condition, &c. of the Merchants' Bank of New Orleans, with power to send for papers, &c. This is the Bank which belonged to the Bank of the U.S. and was sold last summer to some individuals in New Orleans at a price supposed to be much below its actual value. The State Bank of Illinois is about to stop all discount business and redeem her circulation as appidly as possible in preperation for a resumption of specie payments. The St. Louis Republican rays that although this course will operate a little hard at first, it is the only thing that car etop her paper from going down, hoping the Bank of Illigois at Shawneetown, will follow her example. The rea for the high rate of Exchange on New-York at Et sou Louis is supposed to be the fact that the Ohio Life and Trust Co. has been 111 the market for exchange 10 order to pay for the million of her bonds bought by the Compa ny a short time since, which were sent here from Europe for sale. One of the Indiana papers states that the extent and boldness of the frauds which have been committed on that State in the sale of her bonds can scarcely be ima gined. IT A mes! acceptable present for New- Book Year's.-DAYTON & SAXTON, Publishers and corner of Fulton and Nasaau streets, New-York have sellers, this day published tha Northern Harp. a collection popular of original and moral Songs, adapted to the most the of Solos. Duetts, end and Guitar-By Mrs. Mary S. Piano Melodies, Forte consisting Family, B. Trios, Dana, and for other AWthor of the Southern Harp," Parted Poems." Like the Southern Harp" by the same author, the Poetry in this volume 15 entirely original, written by and adapted to the most popular melodies, for the Piano Mrs. with an Dana. accompaniment Porte recommendation and Guitar The Southern Harp," need= no other by the favorable regard also dy bestowed upon it with than the public; and for those who have beru acquainted the volume. it will be unnecessary to dwell upou this of the Northern Harp," except to remark that merits work possesses the same general character as its pre- and the decessor, and is printed and bound in the same style, will. least. be equally attractive. The at Northern Harp" does. in general, exhibit another than cheerful and lively variety of sentiment a 10 the Southern Harp," and of music written of that several and embraced more pieces original expresaly containe for this The music was under the careful supervision Mr. work. P.A. Andreu, an accomplished professor of the art. The Rev. Edward W. Hooker, of Bennington, Vt., au thor of a prize essay on music, prepared an introduction the This voluine will be a most acceptable present for Holydays. No paice will be spared to renand mechanical execution der and the most are approaching Harp" the literary attractive; confident of the hopes "North- itself entertained eru by the publishers, that it will commend admirer of Postry and Music happily blended, ex. to every that in the language of Mrs. Daua's own muse, and pressed in the introduction to her "Southern Harp," it will "sing its way to every heart." d21 if Price in Boards, SI: in Cloth, gilt, $1 50. Graham House, Barclay-st. MISS their TRAVER Is and MRS GOSS respectfully inform well friends and the public that they have taken the Goss, KNOWH GSAHAM HOUSE, hitherto kept by Mr. condition R. (who retires.) and, having put it in exeellent fe more for the winter, are prepared to accommodate a W Boarders with Parlors or Bedrooms only on reasonable permanent terms. Their Table will be supplied with City the Vegetables, Fruits, &c. that the markets of and our natural best affords; while those who prefer quiet, simple of Alcoliving and all atimosphere untainted by the odors Home. hol and Tobacco, will find here an agreeable Transient Boarders, or persous visiting the City, 022 if acimmodated on real sonable terms. Medicines of the Been Quality-Approved PerfumPopular Remedies, Lecches, English and French ery, Soaps, Brushes. &c., for sale by J. & I. CODDINGTON Druggists, 13 Imis* 227 Hudson Accorder of Spring

3. January 7, 1842 The Daily Madisonian Washington, DC
Article from The Daily Madisonian, January 7, 1842

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STOCKHOLDERS OF THE U. S. BANK At an annual meeting of the stockholders of the United States Bank, held in the banking house, on Monday, the 3d day of January, 1842, Henry C. Corbit, Esq. was appointed chairman, and Joseph R. Chandler, secretary. Mr. Robertson, the president of the institution, presented the annual report of the directors, which was read by the Secretary. We are indebted to the Courier's correspondence for the following sketch of the REPORT. We are unable to give the report in full, owing to the late hour at which it reached us. It commences with a detail of the circumstances under which the assignments made by the bank took place. It then relates the measures taken to close the different branches and agencies the bank had established.The Merchants' Bank at New Orleans, which had cost the U. S. Bank $1,000,000, or $110 per share, was sold to Edward Yorke, of New Orleans, for $575,000, or $57,50 per share. The Insurance Bank of Columbus in Georgia was sold to Dr. Robert Collins, of South Carolina. It cost the United States Bank $594,000, or about $114 per share. The price obtained for it was $540,000, or $90 per share. The report then goes on to sayAnother important measure of the bank, was the dissolving the contract between the Bank of the United States, and The Associates of the Bank of the United States in New York," which was made in August, 1838. By the terms of that contract, the associates were to transact the business of this bank for fifteen years, for a compensation of twelve thousand dollars per annum ; this bank to pay all the expenses incident to the conducting of the business.These expenses were the rent of the banking-house, salaries of officers and clerks, and contingencies, such as stationery, fuel, &c. As the business of that bank had very much diminished, and materially changed its character from active to suspended debt, the Board of Directors in August last, in their desire to reduce as much as possible the expenses of the institution, were anxious to put an end to the contract. The only way in which this could be done, at least amicably, was expressly pointed out in the contract itself, which provided, that in case either party wished to withdraw before the expiration of the term agreed upon, they should each choose one person as arbitrator, and the persons so chosen should appoint a third, who should together ascertain the value of the contract for the unexpired term thereof and whose award, declared in writing, should be binding upon the parties. This was accordingly done. The arbitrators selected by the par ties were Horace Binney and Samuel Grant, Esqs., of this city, who together chose David B. Ogden, Esq., of New York, for the third referees. The bank was represented before the arbitrators by a Committee of the Board of Directors, (one of whom was a gentleman of the bar,) who explained to them the views of the board in relation the subject. In due time the arbitrators agreed upon an award, and the sum awarded to the New York associate was paid to them by this bank, and the contract was of course dissolved. The amount of the award of the arbitrators of the value of the contract, which was paid by this bank, was $101,613 60. The sum awarded as the value of the unexpired term of the lease of the banking house, was $70,94842; and this sun was also paid to the New York associates-they being the owners of the banking house. The closing and settlements of this contract reduced the annual expense of this bank about thirty thousand dollars. The situation of the debt due by the Bank of the United States in Europe, engaged much of the attention of the Board of Directors since the last meeting of the stockholders; and particularly in relation to the interest which became due in September and Oct ber last and a part of the principal one of the loans due in October. The amount of interest due in Sep£5,000 tember was 24,000 do in October Do do 27,000

4. February 2, 1842 The New York Herald New York, NY
Article from The New York Herald, February 2, 1842

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We yesterday mentioned the seizure of the assets of the United States Bank at New Orleans. It appears the attachment was made under a fi. fa., issued from the United States Court at Philadelphia, directed to the Marshal of New Orleans District. All the assets assigned by the Bank of United States were seized, to satisfy a judgment in favor of the Government for $351,000, most of which assets were in the vaults of the Merchants' Bank, for safe keeping; and an attachment wasissued, under process from the Commercial Court of New Orleans, on a suit entered by the United States, for the sam of nearly two millions of dollars. Under the 6. fa. the Marshal threatened to seize the assets belonging to the Merchants' Bank. On application, however, to the United States Court, Judge McCaleb at once granted an injunction to stay all proceedings against the Merchant's Bank under the fi. fa.; and Judge Watts issued a similar injunction under the attachment. In the mean time the assets assigned by the Bank of United States were taken by the Marshal, and are now in his charge,and the Merchants' Bauk and all her business and assets remain in her own possession, and her business goes on as yet. The question as re gardsthe assets assigned to trustees by the Bank of the United States, will of course undergo the usual and regular judicial investigation. A very numerous meeting of the citizens of Montgomery County, Illinois, was recently held, E. Whitten, Esq. in the chair, to take into consideration the financial condition of the country. The meeting was addressed by Mesers. A. Kitchell, H. Rountree, F. H. Hereford, W. Kitchell and C. B. Blockburger, when the following resolutions were unanimously passed :1. That we will hereafter support no man for National or State office, who is in favor of a National debt-or of increasing our own State indebtedness-or of issuing any more State bonds for any purpose whatever-or of taxing the people at this time a singse cent for the payment of interest or principal on the various demands now against the State, or at any other time for the payment of demands further than the people have received an adequate and valuable consideration. 2. That we will not support any candidate for office, State or National, who will not declare himself in favor of compelling all banking institutions to au immediate and continued payment, on demand, of their notes in gold and silver coin. These resolutions contain the spirit of the repudiating doctrines that are so fast, and BO rapidly spreading throughout the west and south. Lord Ashburton will find it difficult to meet this disposition among the people, The Bank of Pennsylvania, it appears, has been closed under an injunction, issued at the suit of the Governor, on behalf of the State, as one of the depositors. The money deposited was said to befunds appropriated to the payment of the interest due to day, and which had been more than half used by the institution, to meet its own necessities; and consequently the State has failed. The whole affair is a very mysterious one. It appears the Governor was in the bank, and in daily correspondence with it before this explosion took place; and that the bank actually closed its doors on a notice from the Go. vernor, before the injunction was issued, thereby show ing a secret understanding. Similar transactions took place in relation to the United States Bank, in the fall of 1839. It is highly improbable that if the Bank of Penn sylvania had the cash on hand to pay out to the holder of State stock, the other banks would have discredited it; but if it was pay out its own irredeemable paper, and thus flood the city, they would, of course, try to prevent it. The following is the last return of the Bank of Pennsylvania made public.

5. February 3, 1842 Richmond Enquirer Richmond, VA
Article from Richmond Enquirer, February 3, 1842

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BANK AFFAIRS. PHILADELPHIA, Feb. 1.-The Pennsylvania Bank, which was run upon on Saturday, did not open its doors yesterday. This course was pursued in consequence of the action of the Governor, who, to provide for the safety of the public moneys deposited in that institution, as well as to promote the general benefit of those interested in the Bank, had directed the Attorney General to apply to the Supreme Court for an injunetion to restrain the President and Directors from paying out, assigning or transferring the assests of the Bank, and also for the appointment of a receiver. The application was founded upon the affidavit of Job Mann, Esq., Treasurer of the State, shewing that up wards of $800,000 were deposited in said Bank, for the payment of the interest on the State Debt falling due to-day. In anticipation of this movement, the following notice was sent by Gov. Porter to the Bank: Merchants' Hotel, 31st January, 1842, 7 o'clock, Monday morning. President and Directors of the Bank of Pennsy'vania. Gentlemen:-I directed the Attorney General on Saturday evening, to adopt proper legal measures to secure the Public Moneys deposited in the Bank of Pennsylvania, as well as the interests of all who are in any way creditors or debtors of that institution That officer will apply to the Supreme Court, at the earliest possible moment this morning, for an Injunction, and the appointment of a Receiver to take charge of all the assets of the Bank. You are now apprized of that fact, and directed not to open your doors this morning nor pay out any of your money or transfer any of your assets, for any purpose whatever. When the same are placed in the custody of the law, the rights of all parRespectfully, ties will be fully guaranteed. DAVID R. PORTER On receipt of this notification, the subjoined resolu tion was adopted: Resolved, That in pursuance of the direction of the Governor, the Bank is hereby closed. JOSEPH TROTTER, President. Monday morning, 9 o'clock, Jan. 21, 1842. The Bank of Pennsylvania being enjoined, up. on which, it was presumed there would otherwise have been a severe drain, a sharp run was commenced upon a neighboring institution, the Moyamensing Bank, which was continued all day, and was met with great readiness and cheerfulness. To accommodate the public, the Bank was kept open for a considerable time after the usual hour for closing with an under standing that it should remain so long as calls were made. This Bank closed at a late hour in the after noon, and had evidently created a much better feeling than had existed in the morning. INJUNCTION GRANTED.-Yesterday, in the Supreme Court, on application of Ovid F. Johnson, Esq., for the Commonwealth, an injunction was granted against the Bank of Pennsylvania, restraining it from issuing, transferring, or assigning any of its assets. Application was also made for the appointment of a Receiver, which upon a rule was argued at 2 clock, when the Court decided to hold the matter over until this morning, in the mean time giving the Bank an op portunity to file its answer, or suggest a suitable person to be appointed as the Receiver. REQUISITION OF THE Goverson.-The Governor yesterday made a requisition upon all the city and county banks for the balance of the loan of five per cent. of the amount of their respective capitals, as provided for by the law of May 1841. To be paid over this morning in specie or its equivalent. BANK ARRANGEMENT-The adjourned meeting of Bank Officers was held lasteveningat the Philadelphia Bank. We learn that the arrangement between the City and County Banks, as to the issue of notes, are nearly completed; and that in the meantime the paper of each of the Institutions will be universally received on deposite or in payment of debts. The Pennsylvania and Girard Banks not included. The arrangements thus far have been made in view of a resumption of specie payments, on the 1st of August next.-Pennsylzanieru. NEW ORLEANS, Jan. 22-We learn that the Merchants' Bank was, yesterday, seized upon a writ of fieri facias, in favor of the U. S. against the U.S. Bank of Pennsylvania, as the property of said Bank: and that whatever debtsare due by the other Banks of the city to that institution were garnished in favor of the U. S.The fieri facias was issued upon the judgment obtained in the matter of the French Bill.-Bee. I On "board the Columbus there are about 550 men and boys; and more than 200 of these have signed the pledge of total abstinence from all intoxicating two hundred of the crew have the of drinks lumbia Over signed pledge total abstinence. of the Par. CoAt the head of the list is the name of Foxhall A. ker, the captain of the frigate.-Boston Post.

6. February 8, 1842 Richmond Enquirer Richmond, VA
Article from Richmond Enquirer, February 8, 1842

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BANK OF VIRGINIA FARMER Richmond, 29th Jan., 1842 Bank of the Farmers undersigned Directors the foregoing statements Virginia, The certify that believed be correct. been examined, and are SAMUEL MARX, SAMUEL REEVE PLEASANTS JAMES BOSHER, JAMES DUNLOP, SUBLETT McGRUDER to wit Virgi OF VIRGINIA, City of Farmers' Richmond, Bank of J. day personally and made oath the STATE this G Blair, Cashier aforesaid, of appeared the before me, books a Justice that of the of nia, the Peace of the city made out from the the date are the branches, from within Bank, and statements from the latest correct returns to the preceding best of his know. of January, ledge Given and belief. under my hand SIMON this 31st CULLEN, day J. P our this head, Under 1842. "SCENES AT WASHINGTON Enquirer quotes from below, the Alex in friend of Gazette the Richmond an article which in Congress we give 18 presented, andria which picture told of "THAT disorders THE BLAME UPON MEN OF THE OF PRESENT ALL and the public OF THINGS FALLS we are told, that as to "THE IN ACTORS GUILTY OF HOUSE THE CONDITION PARTIES And again THE SCENES OF DISORER REPRESENTA- WHICH THEMSELVES EVERY DAY DISGRACES PREVAIL EXERT THERE MENTION NAMES, TINUALLY, TO SUPPRESS "THE he "DOES CENSURE IS ALMOST GENE because, RAL. We have marked in large capitals It is the one point of to the which which cun we would call of public Federal attention. Editors, when like any the thing Editor of disgraces ning ways their party is discovered, disclaim all partisan jeel denounce by the Alexandria Gazette, both "to parties for the crimes the commit- matter making ted ing, by and their own only, shield and from thus, the public the Federal indignation per "almost which threatens general, to overwhelm old stale trick thein, of the criminal thief. run petrators. affecting It is the to pursue, and Editors, crying "stop the hirelings have put ning When off, all those honest truth Federal out of countenance by become infamous of shameless the banks, fabs rications, and throws at last off the odiumabout lie. then Federalism Oh all the newspapers exposure, attach to itself, by saying, the honest press bringing the from in And this is to discredit to ght, and to cover have their been party deluded famy falsehoods of their own by which the returns, public and frauds on the the When the pipe-laying talse in the New York, New into ballot box, which originated State elections, entered Presidency, and Jersey, and Pennsylvani and made it an universa! hen scene iedebauch: of that fraud, of the knavery, bribery de evelopments, and in Ohio, Pennsylgialative and judicial left no doubt that it sustained was vania, and New York, Federal managers, e granized plan of the of money, the virtuous the foul party scanit only considered "all unmense the decency, contributions &c. necessary to itself to say, from Pooh! all parelections. the dal, ties cheat, and treat, nation and bribe is likely at to perceive, in of of the course body, And now that Administration the and in the broughtin conduct by the the majority of the system Representation which prevailed in the getting elections, demoralizing the natural fruits of such throw vicious off all modes responsibility of by the virtuous "We do not er, the guilty are to which exclaims "the pretend guiltyactors to o "are men of all "because parties. the censure is particulars, almost general because d tion We names, feel it our duty to enter false. into The scenes of dis. e this statement which IS absolutely the Whig Gazette says Whiggery has Abolition graced and confusion Congress, are entirely and Bank the work excitements of which elecd monstrous have, The whole from small beginnings, of ended violence in and abuse elevated which k tion frauds, referred and the to scenes as degrading the once are of Whig d character have been of growth. Congress And and all the those country, the recent animadversion exhibitions origin and which have excited exclusively by Whig of disorder have been shown off Gazette know, the Gazette, the Editor of the alludes that as y actors. late disorders, Does not to which he particularly Congress for the last t the having marred the business introduced of by J. Q. Adains, and two that weeks, not one have Democrat been has appeared, or taken any part in them duty, however, as the charge of participating disgracing It our is imputed to the Democrats, the as Whig majority Congress and disorders for which particular instances in the delay responsible, to specify the have occurred, e is alone violations of decorum which fault lies. For of public may know where the Globe. we this that the shall public hereafter refer to the record WASHINGTON, February 2 In the Senate to day, Mr. proposed Buchanan amend le Congress to Mr Clay speech, on fine, his statesmanof ment sponded to the We Constitution, trust we shall in be a able to We lay do it before think speech. at full length in day or two. to a vote. readers will ever bring his propositions Mr. Clay Mr. Adams consumed a great calls portion In the House He is laying the foundation, by the sub- for of irrelevant sitting matter, having nothing swear to is do necessary with his ject, (but to which stave he off ready all decision to of the all question, that suits while, his defence, at the same time. he wastes brings the forward time of Congress, and t scheme exhausts of its agritation, patience, and that of the nation.-Globe full of to NEW ORLEANS, January the recent city measures was taken rumors the yesterday United States. relative in seizing and attaching States, the which asby the Bank of the United of the as ut sets were assigned in charge by of Mr. Frazier, as the agent signees. taken some pains to ascertain on the the true follow- state of We the facts, have and our readers may depend ing a fi. fa. issued from the U. S. Court District. at all Phila the the Bank delphia, Under directed to the Marshal U S of were this Reized, to satis assets assigned in by favor of the Government vaults for of $251,000. the Mer fy judgment which assets were in the attachment most of Bank for safe keeping; and Commercial an Court C chants process from the the sum issued, this city, under on suitentered by the What U. S., is the for foundation nearly of this two latter millions claim, of we dollars. have no idea, and have no op portunity of learning fi. fa. the Marshal threatened to seize which, the if Under belonging the to the Merchants' Bank; clearly unwar4 executed, assets would hav the whole been stock measure held by the Bank ranted by law, that as Institution was sold in good present faith, pro- and 0 the the U. full S. consideration in money paid by the 8 injunction prietors. On application to the U. S. Court, to stay Judge all proceedings McCaleb at once the granted Merchants an Bank under the under fi. fa.; the and atagainst Watts issued similar injunction assigned 4 Judge In the meantime the assets the Marshal tachment the U S have been taken by Bank the Bank now of in his charge, and the Merchants' her own pos. to and and are all her and business her affairs and have assets their remain customary in regularity, 1 session, free from any judicial as regards interference. the assets assigned of course to trus. un The question the Bank of the U. States, will tees dergo by the usual and regular judicial investigation. Bulletin SENATE BANK BILL DEFEATED House The final vote out all strike on THE the Senate bill was taken after in the the enacting yesterday, clause on a motion stitute to the various sections of the and bill adopted-- adopted 0 and to House. The bill was then read to adopt by the 11 Thus the House has refused result will year 22, DAYS in the Senate, and the the probably bill originated be that no kind of a Bank Bill will be agreed

7. February 9, 1842 Daily Richmond Whig Richmond, VA
Article from Daily Richmond Whig, February 9, 1842

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# THE LATE PROCEEDINGS BY THE GOVERNMENT # AGAINST THE BANK OF THE U. STATES. The suit recently entered by the General Government against the Bank of the U. S., is for the full amount of the last bond given in payment for the stock purchased from the Government, and amounting to $1,996,589 04, with interest since March, 1836, at 6 per cent., making together upwards of $2,500,000. Under this suit a writ of attachment has been issued and all the assetts in this city assigned by the Bank of the U. S. have been seized and are now in possession of the sheriff, and more than one hundred firms'or individuals and various banks have been garnisheed to the same effect, and the petition filed further claims the whole of the assets of the Merchants' Bank. [N. Orleans Bulletin. The property attached under this process is said to amount to 5 millions of dollars. But the strangest and most unaccountable feature in the proceeding, is the immense amount claimed. According to the Report of the Secretary of the Treasury, in December last, there was only $10,315 23 remaining due-the Bank having long since paid the other portion. In the language of the N. O. paper:—"What are we to think of the Department, whose own report states the balance due to be $10,315 23 and in a few days after, orders a suit for $2,500,000, and attaches property to the amount of 5 millions?" We should conclude that the Department was as badly managed now as it was when the very genius of confusion and stupidity presided over it, in the person of Mr Levi Woodbury. But Barker is there now, as he was in the days of Levi-and to that fact, possibly the confusion is attributable.

8. February 10, 1842 Martinsburg Gazette Martinsburg, WV
Article from Martinsburg Gazette, February 10, 1842

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U.S. BANK AFFAIRS IN NEW ORLEANS. -The New Orleans Bee of the 21st ult., says : "We understand that the assets, which were lately assigned by the United States Bank of Pennsylvani to trustees, and placed under the charge of Wm. W. Frazer, Esq., agent for the assignees, were yesterday seized by the Marshal of the United States, under the judgment ob. tained against the bank for the damages upon the French Bill." The same paper of the 22d ult., has the following : " We learn that the Mer. chants' Bank was yesterday seized upon a writ of fieri facias, in favor of the Unit. ed States against the U. S. Bank of Pennsyivania, as the property of said Bank and that whatever debts due by the other Banks of the city to that institution were garnished in favor of the United States. The fieri facias was issued upon the judgment obtained in the matter of the French Bill."

9. March 5, 1842 New-York Tribune New York, NY
Article from New-York Tribune, March 5, 1842

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Commercial and Money Matters. FRIDAY, P.M. The operations in Bank and Road stocks were very large to-day. Of Long Island the sales were very extensive, ex. ceeding 4.000 shares, closing at 553. a decline of 3 per cent. on yesterday's rate. Delaware and Hudson declined f per cent. Bank of Commerce, scrip, t. Paterson 13, Mohawk 1. The market closed rather heavily. State Stocks were not firm and the sales not very large. New-York Sixes sold 82. The sales were as follows: do 4,000 133 4,000 New. York 6s. 62.. 82 G2 1,000 do 1,000 Ohio Sixes, '69 cash 1,000 1.000 Indiana Sterling 58 191 do. next week 194 5.000 do cash 19 2,000 da 3 days 19 193 3,000 indiana 5s 1,000 do in days 19 cash 193 10,000 do 193 1,000 Illinois 6s, 70 do 1.000 cash 193 do 1,000 cash 191 Foreign Exchange heavy and the sales are quite limited. Sterling 73 a 81. Francs at 5.30 a 5.283. Philadelphia exchange is better to-day, and closed in de mand at 4 per cent. On several points the rate improved.Ohio funds are held at 6 per cent. New-Orleans funds are scarce and wanted. but Mobile are plenty and dull. W. quote 41 4 a 15 Philadelphia a15 Montgomery Baltimore 33 Tascaloosa 15A 8 New-Orleans Virginia 5 a 53 H 5 North Cardina a 17 Nashville Charleston 1. 1: Louisville 71 a 8 Savannah 2 12 a20 St. Louis a Cincinnati 6 7 Augusta 18 a Commus Interior of Ohio 9 18 a Indiana Magon 12 a Mobile 11 al4 Illinois 30 U.S. Bank notes are rather more plenty and getting worse. We quote 62 a 63 per cent dist. Within day or two the money market has become rather more tight, and paper is negotiated with less facility at previous rates. The Post of last evening says that it has good authority for saying that application is preparing for aminjunction and the appointment of a Receiver for the Harlem Railroad, which concern it states has been for some time hopelessly insolvent. Letters from New-Orleans state that much excitement EXists in regard to money matters. and also that scarcely one of the large houses remains unsuspended. The strong banks have refused to receive the notes of the Exchange. AteliaMalaya. Improvement. Orleaus, and Merchants' Bank, and crowds were gathered around the doors of those institutions. The notes of tate above named banks are unsalable to-day in Wall street. This is the day fixed for the resumption of the Banks in Ohio. One hundred thousand dollars Ohio Sixes are to be sold at auction. Tuesday next. A small sale of Tea was had to-day at anction which showed a better feeling among the dealers. The Bank of Louisiana has declared a dividi nd of four cent. for the last six months. payable to the New-York stockholders at the Merchants' Bank on the 7th inst. The Committee of Conference to whom the Pennsylvania Resumption bill was committed have been directed by a resolution of the Senate to bring in a bill for immediate resumption. The Attorney General has been directed to commence proceedings against the Bank of Chambersburg for its refusal to loan the State 5 per cent. on its capital. The railroad orders have nearly ceased to circulate in Baltimore and sell with difficulty at 27 a 28 discount. The City Loan of 500,000 dollars payable in these orders had not been taken. A Resimption bill has been introduced in the Virginia Legislature authorizing suspension until 1st January, provided the Banks of Maryland and Pennsylvania shall not resame earlier. New-York Market. ASHES-There is no demand to-day for either Pots or Pearls. The former are held in first hands at 675. The latter at 626 COTTON--The sales to-day have been about 1000 bates. The Taraolinta from Liverpool brings dates to the 25th of January, and advices of a further decline of 1d. per 1b. in Cotton. FLOUR-The market is generally firm to-day at 6 25 for Genesee. The sales are but to moderate extent. Troy is out of the market unless buyers offer 6 25. Ohio Canal in good order 6 12A a 6 25, the latter for prime brands. No Michigan offering. The remainder of the recently arrived New-Orleans is going into store. unless sold at 6121, atloat. There have been sales of about 500 barreis Brandywine for export at 587A. The same price was refused for a considerable parcel of Georgetown. which is held firmly at 591a a 6.00. The market is bare of Fredericksburg and Alexandria. Moward street is held at 500, scarce. Petersburg 6a 12}. Richmond City Mills at? 50. Sales 200 barrels Brandy Corn Meal at 124, which clears the market. Ive Flour 375 a 100. GRAIN-The lot New-Orleans Wheat noticed yesterday, about 2500 bushels, sold at 126c, part for milling and part for export. A parcel of Staten Island is in market. There is no Corn offering. The last sale of Barley was at 75c. delivered at the vessel. Sales 1000 bushels Northern Rve at 68c. to arrive. 90 days with interest. Northern Oats 52c.Jersey 43 a 47. SALES BY AUCTION. TEA SALE. By 1. M. Hoffman & Co. Imported per Ann McKim, &c. Terms- Notes at six

10. March 22, 1842 The New York Herald New York, NY
Article from The New York Herald, March 22, 1842

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Financial Explosions in New Orleans. This is truly the age of revolution in every branch of human life-but in none more so thani in banking and currency. We have just received accountsfrom New Orleans, of the great bank explosion which has taken place in that city. This upheaving of the financial revolution has already closed five banks, and the prospect that ten more will give up the ghost. The following is from our correspondent NEW ORLEANS, March 1812 Grand Bank Revulsion in New Orleans-More Bank Frauds-Tellers running away-Italian OperaIrish Repeal. JAMES GORDON BENNETT, Esq.:DEAR SIR:It is a great pity that there is no one to read your articles on the currency, (which are the best written of any paper in the United States,) and so understand them as to put them in practice. If some one here would undertake to do it, he would reap more honor in the end than half a dozen financiers. As this is the second commercial point in the United States, it should have a solid specie currency, and its exports should always exceed the imports. Yesterday the city was all excitement again, caused by the closing of the Atachafalaya Exchange and Orleans Banks, by the Attorney General, under the new Bank Law, which will be liquidated by the Board of Currency, who are all in favor of specie payment, and three better men could not have been chosen is our whole community. The Improvement Bank has petitioned the Legislature to go into liquidation, which I think will be granted. The Attorney General has commenced suits against all of the other banks that have not accepted the law-viz: City, Union, Louisiana, Canal and Commercial, all of which will probably be closed upin a few days. The Merchants' Bank has closed her doors, after being perfectly used up She was trying to get a snapat the public pap, but her wind broke before that stream could be brough to her aid. Uncle Sam cannot de better than to leave his money where it is, in the Union Bank. Failures are plenty here, but rouges are more so. Yesterday morning the Paying Teller of the Atachafalaya Bank was discovered to be among the missing; and as usual in suca cases, the cashier, clerks and all, began to overhaul the accounts, when it was ascertained that several individuals, with himself, had overdrawn their accounts to the amount of 150 to $2000,000, for which amount he left his due bill. His securities are not worth one cent, and some of them may have had a finger in the pie. So wego-we will soon arrive to such a state that when a man accepts any office whatever in a bank, he will be immediately set down as a rouge. We are a very quiet people here; the banks can pay or not, just as they please; it matters not to us. If they had acted in some places as they have done here, they would all have been laid to the dust ere this; while here you will only discover few persons collected together in some shanty, talking the subjectover very calmly. Business-as far that there is none here, and the less said about it the better. Cotion dull, very; flour $5, and dull; will be lower with you; pig lead, one of our great articles, has of late taken a new channel, and some 10 to 12,000 pigs have been purchased for the French market, at $3,75 to $4; whiskey 16c; corn 42s. Theatricals are in full tide just now. At the San Carlos they have the Italian Opera, which is doing wonders. Madame Ober Rassi has taken our creoles by storm, and it is with the utmost difficu ty that you can get a seat on the nights of the Opera. Mr. Bulter is playing the off-nights, in conjunction Brown and Miss Rock. Last night Fanny tz commenced an engagement at the American to a brilliant house. The Or.eans is doing nothing of note while the Italians are at the Saint Charles. This is a great city, and we do things up on the most approved plan. Of late we have had several Irish repeal meetings; and to-morrow night we are to have an anti-repeal one, so you see we shall have the benefit of both sides of the argument. We have had a very serious los in the burning of Jefferson College, which was one of the greatest ornaments to the State. Loss about $160,000; insured for $62.000, $40,000 of which is in the Ocean Insurance Company We have here now the most delightful weather, like July with you. River on the stand: More anon.

11. March 23, 1842 The New York Herald New York, NY
Article from The New York Herald, March 23, 1842

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NEW YORK, WEDNESDAY MORNING, MARCH 23, 1842. Albany New Orleans. PRIVATE CURE. ELL, [Correspondence of the (Correspondence of the Herald.) DOCTOR JORDAN'S SPECIFIC COURSE No 1-For N, ALEANY the prompt cure of C-p or Gonorrhoea, Gleets, and all NEW ORLEANS, March 12, 1842. other wethral discharges. and his Specific Course. No. 2, for REET, The SPEAKER has returned and The Banking Crisis in New Orleans-State of Things the complete eradication, and permanent cure of venereal disease, without exposure, inconvenience, or loss of time. m131m* -Theatricals. this morning. He has been deta Each course is enclosed in neat tin case. comprising every some time, owing to sickness in h DEAR BENNETTmedicine, wash, and requisite, ever required either for internal or external use; and whether the case be recent or old, a cure IATION, Mr. O'SULLIVAN remarked that is guaranteed if used as directed. Each package also conAsyou often say, the crisis is approaching in this, E OF ains Dr. Jordan's private trestise, called the Monitor, here. the minutes, he perceived he stoo the "Crescent City." The new bank law is now in E BOATS. in isfull directions, with a plain discription of the nature of contumacious contempt. He imptoms, consequences and treatment of secret *dieeases;to full force, and the frauds 60 long carried on and so which is added much valuable information, useful hints, and LDING wish to remain in that position, a important advice-removing all the difficulties of self treatlong concealed, are about to be brought to light.ment. The price of Monitor is fi/ty cents: one dollar seut tion on his part could relieve him The Attorney General has already closed the doors ost paid, will ensure its reception. The courses No. 1 and 2, DWAY, each $3, and guaranteed-a designed for resi be happy to make it. He then of five of the banks, viz, the Orleans, Atchafalaya, dents IN the country, being complete, compact, 'convenieut was suddenly called on important and efficient Post paid letters covering the amount, have Merchants' Exchange, and Improvement, while the prompt attention. Sold for the exoprietor, only at Drug Store, ington, and had availed himself o 69 Mari on street, second below Prince, second block east board of currency has notified five others that they of Broadway. Marion street is a direct continuition of nored custom of asking leave o too will be immediately proceeded against if they 1m* AINS Centre. had been taken, &c. do not at once accept of the new law: in the mean AN IMPORTANT DISCOVERY FOR THE S. Mr. TAYLOR then submitted a I LADIES. time their notes are refused by the banks that have DR A. C. CASTLE, Dentist. 257 Broadway, New York, O'S be excused. After some dis has a Paste for filling decayed teeth, which, while it is perfee' accepted the bill. The sheriff, in taking an account & CO, 1y harmless in its composition, can be put into the most tender tion was adopted, and Mr. O'Sulli of the assets of the Exchange Bank, found about E, tooth, with which it becomes compacted mt one solid body, his uncomfortable situation. mainteining its original appearance and USES without any pain $4,500 in specie and $4000 in notes of other banks whatsoever. The most painful tooth eath be thut presered ir friends and the A petition was presented for the The numerous inonials from ladies in the Grat society to meet a circulation of $600,000. This bank has ensive assortment sufficiently as to its fficacy, inserts artifi the Atlas Insurance Company, an d Venetian Carpealways been under the control of Edward Yorke,one cial Teeth without liga uree on the principle of atmespheric pres3ure, guar&uteed to withstond the effects of lious acid ard and Cook's Marine Benevole of the owners of the Merchants' Bank, and from stomach. and ree from feeled oders. Matts. Table and Toothact Pills, one of which put in the tooth will effect a report of the New York Chemic which he obtained a large portion of the amount es. together with ra ical cure. refera as to his professional skill to to men'ion. We ceived and ordered printed, as was required to pay the United States Bank for the purDr. Johnson, President of he Medical Society, Le Che and patterns. A valier Don A Calderon de la Barca, Spanish Ambissador, Mr Comptroller, covering a correspo chase, but the Exchange notes being now rendered Staughton, Spauish Consul, Rev. Mr Lyell, Rev. Mr. Ki-sam. 1 that this is the Delaware and Hudson Canal C the Professors of the Univerty of the College of Physicians useless. Our g'slature, not admiring Mr. Yorke's and Surgeons of New York. RY & CO. New York and Erie Rail Road. DEAFNESS-Drs Castle & Edwards, Aurists, attend to mode of financiering, he (Yorke,) and his friend, 0 Pearl street every disease incidental to the human ear. Ae ustic Dropsreceived from the Senate to the Minturn, in order, if possible, to sustain their Biddle Sure cure desfness, paius. noises, or hard wax in the ear. ETH. m17 houses will go into joint ballot on characters were obliged to part with the banking NOT COMMON SENSE teach ua that EXPEC twelve o'clock, for the purpose of house of the Merchants' Bank, and the splendid TORATION is the most natural as well as effectual URE mansion adjoining, of the President Minturn, for agent in arresting and curing Pulmonary Diseases Reason gent of the University in the plac says Jes. because Obstruction is either immediately or re$50,000, being one-fourth of their first cost. This I called on Mr. Irving. The question then occur motely the cause of Inflam mation or Catarrhal Fevers. produones. and it a'amount did not, however, last them long, and as a passage of the bill in relation to th cing crosp. consemption. and abscesses of the lungs, pain and 11 and ability as last resort to save their individual credit, they made 8 reness of the throat, breast, sides, or shoulders, bronchitis, lic Schools 1 and a ted with exciting mucous and perulent secretions. thereby clogging up use of the funds belonging to the C. immercial Bank Mr. E G. BALDWIN moved to 1 less painful presthe lungs, 80 to more or less impede both respiration and the f Natchez, to the amount of $150,000. This moon the table to-morrow, at twe free circulation of the blood, causing difficulty of breathing to the especial noney had been deposited by the Natchez Bank to and asthma, Heurisy, hoarseness, and loss of voice, dropsy of der to allow a committee appoin the public. feeling the heart and chest, rupture of blood vessels, and bleeding from meet their notes, made payable at the Merchants' may confidently meeting in the city of New Yerk, the throat and lungs. and spitting of blood Bank: the consequence is, their issues have been be heard To remove this obstruction, om which all these alarminz dishonored-the Merchants' Bank being [to use its an dangerous diseases originate, and to produce a radical cure, Mr. MACLAY hoped this motion TTISON, M D. nothing has ever been found equal to JAYNE'S EXPECTO cashier's own language] "completely bursted up." He was not sati-fied that this con ity of New Yerk. RANT The cashier of the Natchez Bank has published a thorized to act in behalf of the ped It stands unrivalled-it stands pre-eminent-try it, and you 's 260 Broadway, card, in which he says, arrangements will be at will be forced to acknowledge that its virtues have not, nor canthe reports and accounts he had re m151 once made for the payment of their notes. We not be that M stands far above and beyond the reach him to believe that they were not of competition: that it is the only reasonable, the only natural A W have not yet heard what are the ass ts of the other Mr D. S. WRIGHT moved the and the only truly succes ful method of arresting and curing from their debts, concerns, but, from their at conduct it is feared the bill to the committee on publi diseases of the pulmonary organs. W. SKIDMORE. Sold in New York at wholesale and retail, by A. B. & D. they are not much better off Mr. Breedlow. the leges, with instructions. Mr. W her kinds of law Sands. Druggists, Nos. 79 and 100 Fulton; David Sands & Co., president of the Atchafalaya, has resigned it is f10 2m* the bill, was that it did not go far 77 East Broadway A. Sands Co., No. 273 Broadway. lieved that the citizens of New m171m* said he has helped himself freely, and been very MAKER liberal to the financiers, M. and Y., and fearing an pared to agree with the views of expose of the affairs, while he held the reins, has DRS. SARGEANT AND K. extenso, &cc. &c. withdrawn. large deficit has been discovered in Mr. GROUT remarked that he fel of 214 Froadway MALLESON, the accounts of the teller of this bank, the amount of to give the reasons which should bestspeenmen of PHYSICIANS and Surgeous from London and Paris. are in which has not yet been ascertained. It is said to on this bill. It will be recollecte constant attendance throughout the day. at their office, 89 Cedar: second door from Broadway. and may be conALPS. be large. The only difference between bank prethat when this question was first b sulted with the strictest confidence in all cases of either a me Rating, that native sidents and bank clerks is, that the former financier House, he submitted a propositi dical or surgical character. boasting and hum Executive officers of the Public within the law, while the latter go rather beyond Drs Sargeant and Malleson have had most extensive epporand best judges in tunities of obtaining and perfecting a thorough and practical h line. This was not the case with the presidents leaving its laws and system in he public can now knowledge of their profession, having been in active practice edal last year, and trustees to be elected in the wards Minturn and Yorke when they used the funds of the for several years, both in England and France, as well as the American Institute. to elect six trustees in each ward Natchez Bank. It is thought about eight of our United States; also attended for a number of years the Hos. halon respectfully pitals in London and Paris, sudied and obtained their dislomas banks will be able to hold out; the other eight will one-third going out each year alte is premium impro under Sir Benjunin Brodie and the first physicians in Eng elegance, close re be put into immediate liquidation. The rate of disshould devolve the duties and pow land. cal structure, may count on repudiated paper varies to day from 50 to officers. This proposed to bring N.B. A select assortment of perfumery, and the most ap pieces of art ever mlo 75 per cent. discount: this IS an awful state of afproved patent medicines. home to the bosoms of the people ver half an oknce, fairs, and although there has been no manifestations scould not fail to satisfy them DOCTORI has been submitted °0 some of th as yet, of any thing like mob law, still it could n'scelebrated OCTOR BELL devotes his personal attention (daily until scarcely be wondered at, when we see the widow the Public School Society, and M.) to removal of private diseases every stage UFF, and laborer so opevly and shamefully cheated. with, however, the expression of Allsuffering under protracted ca,aggravated or unsuccessful e head, and a thor Both our theatres are doing a fair business--at the over other propositions. Thisseem 3 treated by inexperiencedorpretendedpractitioners those le head, but leaves boring under the destructive effects of mercury or quack DOE San Carles we have the opera, and at the American they dia not intend to submit to trums, and all who suspect the remains of disease lurking in the ink. Fanny Fitz is drawing crowds. E!saler is still in the the system Why, he wonld ask system, may consult Dr. B. always with a guarantee of cure.RD PHALON. Havana she has taken the Tacon theatre for a Persons contemplating marriage, who have been the gus if not as a public corporation for jects of delicatediseases. may consult Dr. Bell with honorable educate the children of the peop number of nights to lighten the loss sustained by the confidence. POST letters, of persons a manager during her engagement. The Spaniards and did they not know that the distance, have hi proupptattention. Dr. treatment never ING nion setting against them, an exposesto suspicion, is wellknownto be safe and perma appear to have lost all taste for the graceful danG. ment. seuse. to meet the danger half way than ving an entirenew w Private offices 4 COURTLANDT STREET. two Machinery, of the They must therefore undoubtedly Our hotels are full of strangers, most of whom m71m* doorsfrom Broadway. repared to execute of the people. There was no eso have little else to do than walk the streets or lounge DANDRUFF or loss of hair is caused iby a languia or ob. e manner. sides it was for their interest 80 to structed circulation in the small blood vessels which supabout the bar rooms. The weather is getting very er kinds of Blank dly the scalp and hair with nourishment in consequence of style that is warwarm; iced julaps are plenty. Our bail season 13 they preferred this plan-it which the perspiration becomes thick and clammy. and cries red can be done in popularise their system, as it wou over, and it being most of our beautiful Creole on the suriace, forming a crust called dandrnff, which clogs adlong experience sible to the people, and at the E girls (being of the Catholic persuasion) refrain from up the percs of the skin, and by its pressure against the roots of the hair prevents it from receiving sufficient nourishicen to the main features of the system, all grieties. We have just heard that James H. Caldlate Presses. Apretain vitality The hair then becomes harsh and umpleasant. m18 1m appeared (and perhaps justly so) well has been nominated by Captain Tyler as supercharges color and falls off. This unnealthy affection is very It was said that there was a stro intendent of cur mint Mr. C. is a popular man, speedily and effectually cured by Jayne's Hair Tomic, which PETING. revives The dormaut powers of the surface vessels, removes existing in the city of New York and 1 have no doubt the appointment will give genea.d fresh stock of the dandruff. and produces a new and healthy growth of hair rat sattefaction hear from me again in a and that there had been a great P listing of Brursels to supply the loss of the old: and baldness is prevented or reYours, their feeling Let stair Carpeting, few days. exists it where already moved 'M of this public demonstration Cloths. from 2 to is selected which snffi dently

12. March 23, 1842 The New York Herald New York, NY
Article from The New York Herald, March 23, 1842

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Leaving a balance of $1,055,000 of $610,000 Of which amount the sum of one hundred and fifty thousand is now within the command of the Fund Com- missioners. This shows, we think, conclusively that the indebted- ness of the present year cannot be met. The means provided are an issue of $1,800,000 of State stock, not to be sold under par. These constitute the domestic bonds with which the contractors are to be paid. They are not worth 50 cents on the dollar now. The real state of the case is that the State has but $390,000 to meet $1,665,- 000 between now and July, a deficiency of $1,275,000. Mr. Cornell, the Cashier of the Mechanics' Banking Association, is, we understand, an applicant for the re- ceivership of the Lafayette Bank. There are strong ob- jections always to appointing an officer of one bank as a receiver for another failed institution, for many reasons. Among others the officer of a bank has as much as he can do to attend to the interests of the stockholders, from whom he receives a salary. But this is not all. If such a precedent should be established it might lead to collu- sions between the officers of different banks, which in case of ultimate failure, might be forever concealed from the stockholders through the agency of the receiver. For instance we will suppose a case. There might be an individual who is a director in two institutions, A. and B. Through influence with the cashier of A., he may obtain a special loan say for $4,000, and when a visit from the Bank Commissioners is expected, he may, to meet it, draw a check on B., and its cashier may mark it "good" in red ink in the usual way, although there are no funds to meet it. This check so certified may then be counted by the cashier of A. as among the notes and checks of other banks on hand." The sud- den appearance of the Bank Commissioners to examine, might then cause this check to be sent unexpectedly to B. for payment, when it would figure among his over- drafts, and be converted into a special loan by the depo- site of the stocks of A. as collaterals, which may fall on his hands and the bank sustain a loss of one half more on the failure of A., and the appointment of the cashier of B. as the receiver, a whole train of similar transactions might be covered up, and "special loans" of all the parties be swallowed up without the stockholders finding out how their money goes. We have here supposed a case in order to point out what abuses might arise from allow- ing the officer of one bank to have the settlement of the affairs of another institution. At New Orleans on the 11th, the panic had somewhat subsided. The holders of bank funds invested them in cotton as rapidly as possible, which caused an advance of ¼ a cent in the article: 1500 bags changed hands. The state of the currency was as follows on a specie basis:- Bank'le funds 7 to 9 r.c.dis. Impr't Bk f'da 35 to 40 p. c. die. Municipal do 8 to 10 " Exch'ge Bank 60 to 65 " Sight Ex onNY 2 to 3 " Blue back C'ks 20 to 30 " Orl's Bk funds 65 to 75 " Alabama funds 18 to 21 " Atchafalaya do 55 to 60 " Tennessee do 15 to 17 " Exchange on New York was actually at a discount for specie. In relation to the failure of the Merchants' Bank the following notice was published:- # COMMERCIAL BANK OF NATCHEZ, March 9th, 1842. # TO THE PUBLIC. No person could have been more surprised than I was to learn this morning that the Merchants' Bank of New Orleans had on the 7th inst refused to pay the drafts of this bank, as at that time the Merchants' Bank was in- debted to this bank over $150,000 for deposites made to meet the drafts, and besides held a large amount of bills belonging to the bank, all maturing within twenty days. In consequence of the distrust of the Merchants' Bank, created by the attachment in January by the govern- ment, I visited New Orleans, and while there had the

13. April 6, 1842 The New York Herald New York, NY
Article from The New York Herald, April 6, 1842

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MONEY MARKET. Tuesday, April 5-6 P. M. The stock market was rather more heavy to-day, and prices gave way. Delaware & Hudson fell 1; Indiana 5's, 1 per cent; Long Island, Mohawk, 1; Illinois 6's rose 1. A sale of $1000 United States 6 per cent stock, redeem. able in 1844, was made at 95, equal to an interest of 8.94 per cent per an num. Failures continue to take place daily among the large dry goods houses, and merchandise is very cheap. This is the natural operation of the breaking up of the credit system. The produce of the farmers under the double operation of increasing supplies and the breaking down of the banks has long since found the specie level, and merchandise of all kinds i3 now rapidly following, and will continue to do so in spite of all the clamors of the advocates of tariff and taxation. We learn from New Orleans that the Exchange, Orleans and Atchafalaya Banks have been closed by writs of sequestration, issued by the District Court on applica tion of the Attorney General. The Improvement and Merchants' Banks are to go into liquidation immediately There is upon the market some duplicate issues of the bonds of the State of Indiana, which have been out nearly two years. Certain brokers in order to affect pri. ces are now making a clamor through a Wall street paper about them, as if it was a new thing, in order to affect prices. In 1838 the Morris Canal Company received from the State $300,000 of sterling bonds, to be exchanged for others held in London, which exchange was not made nor were the bonds ever returned to the State. In 1839 $190,000 more sterling bills were issued to the company, to be used in the payment of the interest due January 1840. This was not done, but the bonds appropriated to other purposes. In the latter part of 1840, the commis" sioners in making settlement with the company, insisted upon the immediate return of the bonds. This demand the President evaded, but said he had sold the $190,000 to Mr. Beers, and received for them certificates of deposite of the North American Trust and Banking Company, which certificates were made over to the commissioners, but we believe have never been paid by the company. The pretence for retaining the $300,000 of duplicate bonds, was that money had been raised upon them for the use of the State of Indiana, but the President said he considered himself bound to return the bonds. These are the bonds-which are now upon the market, numbered from 701 to 1000 inclusive. These bonds and others form sn amount of $4,233,000, that will never be acknowledg. ed or paid by the State, except so far asanything may be realized from the securities, which will be next to no. thing at all. Some indication of the determination of the State in regard to the bonds may be found in the fact that a call was made upon the commissioners for the numbers of the bonds so situated, and are to be found on the 96th page of the report of the investigating committee. Also the law authorising the Lawrenceburgh and Indianapolis Railroad to pay its debt to the State in bonds, directs,t it is to be in the bonds for which full pay ment has been made. Also the law authorising the sale of the public works for bonds, exemptsthose included in the suspended debt, clearly showing that there is intention of acknowledging the existence of those bonds. The following is a statement of the situation of the scrip issues by the State of Indiana:INDIANA STATE SCRIP. The first issue of scrip, authorised in 1840, amounted 1) $1,500,000 Of this amount there was received at the State Treasury. and de stroyed in 1841,fun taxes of 1840, about $150,000 And there will be received and destroyed this year, 1842, for taxes of 1841, about 300,000 450,000

14. November 10, 1856 New Orleans Daily Crescent New Orleans, LA
Article from New Orleans Daily Crescent, November 10, 1856

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THE BANKING SYSTEM OF LOUISIANA. The Bank of Louisana.-No. 3. On the fourth of March, 1837, although there was no telegraph to give the intelligence in an hour from Maine to Texas, the banking house of the Josephs in New York, failed. On the same day in this city', several heavy commercial firms suspended payment, which was followed through that month and April by every class and kind of merchants, traders, dealers, land speculators, shin-plaster manufacturers, until the month of May, when the banks one and all (excepting the Merchants' Bank here in this city, and the Bank of Mobile) through the union suspended payments in "specie." Now, was this not a splendid conglomeration of events? The Bank of Louisiana went with the mass, all duly, legally, and it is supposed honorably protested. There was not a bank in the city in 1837, that could pay its circulation in specie, let alone its deposits, excepting the Merchants' Bank, but that suspended in 1842. to balance accounts it is supposed. In the month of May, 1837, thirteen years after the organization of the Bank of Louisiana, it was found to be in the following condition, that is, about the time it suspended payment.

15. October 8, 1857 New Orleans Daily Crescent New Orleans, LA
Article from New Orleans Daily Crescent, October 8, 1857

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New Orleans Daily Grescent. THE COMMERCIAL DEPARTMENT. Acto Orleans Money Market. CRESCENT OFFICE, No. 70 Camp street, Wednesday Evening, Oct. 7, 1857. There was no change in the general money market to-day either for good or evil. The offerings in most of the Banks dis. counting to-day show no increase over last week. As an evidence, the Bank of New Orleans, which is generally called on very largely, discounted nearly three-fourths of the offerings, The State Bank also done very well, and if-yes, the word if happens very opportunely-thero were means at hand to purchase exchange, we should do very well. It was supposed that there would be large calls on the Banks for coin to go by the steamer Daniel Webstel, to leave to-morrow for New York. Up to a late hour there was nothing called for more than in the ordinary course of business. Some few old women, hucksters and vegetable traders called with a few five and ten dollar notes. We heard of nothing more. The amount of specie on freight by the Webster was $32,000 for New York and $6000 for Havana. Total, $38,000. This is a great falling off from the amount reported. We ailuded on Monday last to the calls for specie for Mobile, and attributed it to the selling of exchange in this market by the Bank of Mobile. We are now informed that it was not this Bank which drew for coin. The call was by the Southern Bank of Alabama, and the amount forwarded was $130,000. While on this subject, it is not out of place to remark that the Bank of Mobile is the only monied institution in the Southwest (with the exception of the Merchants' Bank of this city, that was,) that did not suspend payments in specie in 1837. The Merchants' Bank did fail in 1842, and proved a bad one. The Bank of Mobile, therefore, stands pre-eminent of all the Banks in the Union as having passed the ordeal, There W as very little done in paper on the streets. Some trifling amounts were negotiated of good names at 18@24 per cent. There is very little paper offering through brokers, and those wanting are squeezing through in a very commendable manner. Exchange is about a blank. Some sales of clear sterling were made to-day at 973/2. Bills-with shipping documents are no where, we might remark, but can be fixed at 90@94. Francs are about as low as they can well be and called saleable 5.75@ 5.65 are about the figures. Some time birls on New York are ffering at 4@4½ discount, and 5 is talked of, but we have not heard of any sales, and we might as well say there are no actual quotations other than for checks on New York, which two of the Banks are furnishing in small sums at 11/4@1/2 per cent. premium. There were some negotiations going on for Bank of Louisiana stock, but they had not reached a contract at a late hour. No. thing doing in bonds. The last sale we heard of WRS $20,000 State six per cents at 75. The Governor of the State paid 893/8 in August. The New York Evening Post, of the 30th ult., says An impression has gone abroad that the Bank of Commerce in this city, of which the Pennsylvania Bank WRS the correspondent in Philadelphia, had a large amount of collection paper with that institution. We have ascertained that every dollar was withdrawn before the suspension. A letter was received from the Cashier on the day after the suspension, enclosing about $20,000 of notes which had been casually overlooked. The rumor alluded to is doubtless the explanation of the decline in its stock, between the sales of the first and second Board of yesterday. There is probably no Bank in the country the affairs of which are conducted more prudently, or that is better Prepared at all times for an emergency like the present. It has no Bank bils in circulation, and it ranks among its depositors and stockholders the best merchants and capitalists of the country. About this Bank of Commerce we have no great faith. It is managed by Black Republicans of the deepest dye, and though it is the depository or drawing post of the Canal Bank of this city, as well as the Mechanics' and Traders' Bank, we have no faith in its kindness towards the South, and we suggest that these Banks clear themselves of the charges against them. In Louisville, Ky., the strongest confidence prevails, and unless another crash takes place in New York, there are no fears for the Banks in Kentucky unless one or two country institutions can be called Banks? The last Louisville papers remark as follows The people have confidence in our Banks, and we are happy to feel that their confidence is not misplaced. Our Banks were really never in a better condition for a crisis. They could not have been caught by it in a better condition. They have gold in their vaults, and Eastern exchange and Southern exchange, and the notes of sister Banks that are good, while their circulation is less than it has been since 1854. They have contracted their circulation several millions since the beginning of the present year. They are all right so far as we can learn, and nothing but a crash in New York and New Orleans, both combined, would effect our Banks. The notes of the State Bank of Ohio were thrown out of the Bank yesterday, though we have no doubt that it is as good as ever it was. The New York papers teem with lists of failures, but only one from Kentucky-Ward & Nash, and that they parade day after day." As everything relating to the movements of Banks is of great interest at this moment, we give the following from the Nashville American BANK OF NASHVILLE, Sept. 28, 1857.-In consequence of prejudicial and unfounded reports relative to the solvency of this Bank, causing a large number of depositors to withdraw their funds, besides a heavy demand for coin, we have been forced to suspend payments for the present. We beg of our friends to take no action in the matter for a few days until we have had time for reflection as to the best course to be pursued. Our assers are ample to pay all liabilities, and they shall be faithfully applied. N. HOBSON, President. W. WHELESS, Cashier. To place creditors of the Bank of Nashville beyond all doubt, we have determined to convey our private property additional security to be used in the even of necessity, reserving only