The herald. [volume] (New York [N.Y.]) 1835-1837, 1837-03-18

York The failure Of the Banking House of the
Messrs. Josephs q Co, to meet their engagements
at the banks announced an early hour in Wall
street. To few, the apprehension of such result
known for few days past, in consequence Of
the news from New Orleans of several heavy failures
there. To the public such a suspicion never entered
their mind.
The astonishment created by this announcement
could not have been greater If an earthquake had
swallowed halt the business district of our splendid
city. As soon it known, the news flew
like ighning-people rubbed their eyes, and would
scarcely believe the reality of the fact Crowds col
lected in Wall steet-and that busy avenue was filled
with anxious faces through the live long day.
This failure is generally believed to have been
caused by the recent suspension of several houses at
New Orleans. The house of Josephs received few
days ago. intelligence of the calamity that had whem
ed their New Orleans connections; but up to Thurs
day night, they beiesed they could weather the
storm. The Express Mail Of Thursday brought such
gloomy accounts from New Orleans, that all farther
<Se us were deemed unavailable.
Yesterday morning, therefore, on the announcement
of the state of their affairs the managers of several of
our banking institutions held consultation, to ascer
ta;a whether aid could not be furnished that would
he sufficient 10 carry them the breakers The
Morris Canal United States Bank Merchants Bank
and several Others united TO raise 81, 100000, or
Sl50OOO0 satisfactory security TO meet these en-
papements. On investigation OF Their affairs, II
was found that il could not be effected the part of
the house-all their securities of any value having
been already disposed of. The meeting broke up
without coming TO any conclusion, and the matter
was laid over to Monday next, there being hope that
in the interval news may be received from New Or
leans of sorae favorable character but upon what
foundation such an expectation is based we know not.
Things continued in this position u the arrival OF
the Express mail, about four yesterday afternoon.
By this mail the house received the following letter,
copy of which we have been permitted to publish for
the information Of the publlc:-
NEW ORLEANS, March o. 1917.
Nessrs J L. & :. Joseph N Co.
Dear addressed The 7th last IN relation :, tho
affairs Of re, psp" ss mi op 'a e mse r.
erlsy promise early and satisfactory adjustment Of which
rnra.ars. come from The hapks themselves
leisure ,oT s O.. g and Is
; dat ReySSd Marsha sme man. anew both here and
Ns'oe5 e. The h 1 S6 nSs s % s %Sn s
not ss linn INK a n ne s9s.'s
g,ng II parties a p y y and %on'hs Tor re payment
&. nS m a &: ss i 10
has much impaired our ecIi as Seriously g aif Ct eur
as e. ~ o aSis. very ao%osi 9acss.
san o. @ ob wt s paD" we % to ali the pae. Concerned
- T. a e do ri a &c s.s Si a SG r. asa
.SG month"; e * e he t dad d % S
and have this moment lcant thai two more whose boards
"'0 'u'' Y,us iay THOMAS BARRETT & co.
On this letter being perused, the Messrs. Josephs
under the impulse Of those honorable feelings, which
always have distinguished them, Immediately an
nounccd their intention Of respming payments TO-
day. As soon this announcement was known
number OF intelligent and respectable business men
assembled their office in the evening 10 discuss the
propnety Of such resumption Of payment Their
ter vas considered in all its bcanngs-the of the
country canvassed-the excitement already prodnced
the general disorders sti existing in the currency,
by the unwse action of the government; and thus
viewing the matter in all liz ramIfcaons, they came
to the conclusion that the measure was imprudent and
premature and would not be sustained by the course
Of events. The Messrs. Joscphs, having the fullest
conhdencen the Judgment and friendship Of their adj
visers reluctantly sacrificed their feelings, and
fell back therefore, upon their previous position until
they shall receive further adyices from New Orleans
Of the re-cstablishment of their correspondents credit
in that quarter. Taey hare therefore, on me best and
rtaturss adrice, suspended payments for the present
btl Nth strong hope that This davis Erpr,ss Mil
may settle farordbiy The perpierirg question:. We
are left therefore, in state Of hope and fear but sad
experience has shown that by the great laws of trade
and of public opinion the loss Of credit for half dav
il equivalent to It's loss for hall a century.
The liabilities of this house arc heavy. II s diff
cult to get at the fact but fixes IT a a varying
sum Of free 70 eight millions Of dollars. Another
statement mentions that as far acertaned their
sets at their present current value, exceed their LA
biltcs s75O000 to sl,000,000 II this is a correct
statement, present value, the failure will be very
great Sad experience proves how assets diminish
in value after bankruptcy
We feel and sympathise with the gentlemen invo
we'd in this calamity. The Josephs and their partners
were the favores Of the merchants Of New York.
Their liberality-ther aptitude for business-their
gentlemanly behaviour, and their honorable conduct
their frank, unassuming manners-have made for
them, in their days ofprosperity "uoops Of friends
We will see who will feel and sympahsc, and honor
them for these personal qualities in their days Of ad-
versity. From the heart can say Of oach-"we
could have better spared better man."
The operations Of the Josephs were principally in
foreign and domestic exchanges During the last two
years they have gone largely into that business Mr..