The Sun.
London, England, 1869-10-13 00:00:00

THE SUN, LONDON, WEDNESDAY EVENING, OCTOBER 13, 1869.

AS this important Eoinitninication has but just been
written it will be long beforo the colonists can receive
it, and longer before a reply can reach England. But
the despatch is certain to raise a tremendous storm
in the colony.

further. The whaling schooner Cornelia brougnt
an anchor found at the extreme north, marked
E. S., 1776, supposed to have belonged to the
first explorers. The doctor has prepared a report of
his voyage, which will soon appear in the American press.
lie says that wherever he found that Sir John Franklin's
companions had died, he erected monuments, fired salutes,
and waved the star-spangled banner over them, in memory
of the North-west Passage.

reached its highest point, a pale and haggard man
sprang upon the rostrum, and, pushing the presi-
dent from his place, cried aloud, " I am ALBERT
SrEYER; some persons have threatened to shoot
me; I am here, now shoot—shoot," and he was led
by his friends back to his office. While the lines
" wavered," the " bull" ranks striving to maintain
the ground they had gained, and the cowed and dis-
organized "bears" showing symptoms of utter
defeat, a thunderbolt thrown by the Secretary
of the Treasury shattered the attack, relieving the
endangered bear clique. Shortly after the opening
of business an offer had been made to settle with the
" bears" at 150, but it was declined, and as the rise
to over 160 quickly followed a number of small
operators failed. Again an offer was made to
settle at 148 to 150, which was taken by the larger
portion of those with short interest. About noon
the Secretary of the Treasury announced that he
would sell $4,000,000 gold on the following day, and
this was accompanied with a rumour that Duscas,
SiimimaN, and Co. had been orderel by the Go-
vernment to sell $13,000,000. This interference of
the Executive at once paralyzed the operations
for the rise, and the rout was so complete that there
was no after rally. Yet short as had been the time
allowed for the operations on that eventful Friday
more than $300,000,000 of gold had been bought
and sold, and men had to face the frightful differ-
ences on transactions of sufficient magnitude each to
involve a fortune. Then came another phase of
the fight. The battle was over, but the pursuit
and the captures had still to be made. The office
Of SmITII, GOULD, and MARTIN is directly opposite
the Stock Exchange, and they were said to be the',
leaders of the gold clique employing WILLIAM
HEATH and Co. to act for them. Simultaneously
both WM.:co and bcoarno the scene of
some contests among the surging and excited
crowd. Mr. Smut' addressed the throng, stating
that the operations of the day had been so immense
as to embarrass and delay the Gold Exchange Bank ;
hence they could not transact business for that day,
but would pay all their liabilities on the next. Two
deputy sheriffs had to guard the door, and a clerk
of the house, named ARMSTRONG, got into a pugi-
listic encounter in endeavouring to thrust back
the struggling brokers, for which he and his
assailant were walked off to -the station-house.
XV H.LIAM lie.vra and Company asserted that up-
wards of one million was due to them at the Gold
B ink, which would more than cover their losses.
But in vain these attempts were made to quiet the
panic-stricken throng, among whom no rumour was
too wild for belief. Many had no conception of
what had happened, for the work had been so sud-
den that no time had been given even to understand
the position. Quick came the names of the failed
firms, if failed they had, and it was added that
the Gold Bank had not balanced its books for three
days, and would not settle until it had made its
I accounts tally. Mr. BENEDICT, the President of the
Gold Exchange Bank, wrote on the Friday to the
papers—
" The rules of the Clearing Department of this Bank re-
quire the payment of all balances to the Bank before the
payment of any balances by the Bank. Owing to the
failure of several dealers the adjustment of the accounts
has been delayed. The Bank has a large surplus both of
gold and currency on the movements of the day, and will
pay out to dealers as fast as the accounts can be settled."
In the Stock Exchange the President read a letter
from Messrs. CHASE, M'CLURE, and Co., announcing
that they had suspended payment. Another notice
was received from JAMES BORDEN stating that,
although embarrassed in the suspension of VAN
DEVENTER and Co., he would pay all demands
made against him at his office. But dozens of names
were mentioned, and far into the night men kept
wondering whether the great houses would meet
their engagements, and dreary were the anticipa-
tions of many. The excitement is described as be-
ing kapt up all the night, for men were eager for
the light to show them what the ruin was. If the
leaders of the combination were able to meet their
engagements, it was thought possible that the crisis
might be tided over without very serious damage ; if
not, it was feared the flood might burst the banks,
and involve thousands in ruin. Messrs. BARING
13.7-kom.ri.3 oLuereu, triannta,
DUNCAN and SHERMAN, to sell $5,000,000 in gold,
which was a heavy load for the operators to carry
away. The Assistant Secretary of the Treasury
gave notice that on Saturday " the Government
reserves the right to accept all bids made at twelve,
even in excess of $4,000,000 for gold or bonds, in
its discretion." The failure of the Gold Bank to
deliver cheques for balances due threw the Stock
Exchange into confusion. At 5 o'clock, however,
the Bank was able to make payments. On the Stock
Exchange, when the "corner" in gold broke up, a
revulsion took place, and the shares in the VANDER-
BILT lines rapidly rose. That gentleman, who was
at one time said to be dead, was now rumoured to
be in his office, guiding the storm, and through his
brokers largely buying the Stock which he was de-
clared to have himself depreciated. As we last
week anticipated, a list of the failures cannot be
given till the arrival of the next mail, but we regret
to say positively that among them the well-known
house of LocKWOOD & CO. have suspended. FIST: and
GOULD, and the Erie ring generally, were, of course,
at the bottom of the disturbance. Against them the
greatest wrath was expressed, coupled with the hope
that they might be able to meet their engagements,
which would enable the brokers who had been in
the fight to pull through the crisis, and judging from
after telegrams, they appear to have done so. It is
ominous of their losses that Erie shares should have
fallen on the London market, on, it is believed,
orders from New York to force sales to cover losses.