Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1837-07-15
Highly Important from Europe.

this country We have our regular files of Paris and
Havre papers up the latest hour, and London Jour.
nails to the 18th of June
The houses of Wilson Wilde, Virgins, Bell and
Grant and Gowan and Marx, Of London, have stopped
payment In relation to these stoppages, the London
Times Of the 3rd of June, says
The engagements OF the banking hosses of Wildes
Wilson and Virgins, which have failed, have been for
tunatey cssened since they received assistance from
the bank in consequence Of which the effects of their
failure will be less severely felt. The engagements of
these houses amount altogether millions sterling
The heaviest loss will fall upon the houses which have
given security to the bank for of from $4,000
100000. There must be large number Of houses so
situated, the bank has received securities the
Of one million, 100000. But Notwithstanding
these securities the payment OF which the bank has the
right peremptoriy, it viii nevertheless be 10
The house of Wilson had extensive transactions
particularly with Canada. 1t the agent Of several
banks which agencies must now be transferred to other
hands, The Indebtedness of this house is greater than
that of the others for it had large transactions in In
da and China and accepted several large drafts from
Canton within the last few weeks.
The house of Wilson had, besides the agency for
paying the Brazilian and Danish dividends, and had
contracted for loans for different banks commercial
Indebtedness distinct from that of the bank transac
tons is very considerable. The house of Virgins
well that of Wilde, also did business extensively
with America The last of these houses has been for
some time under the superintendencc of the bank from
which it received assistance, aud hence has arisen diff
cuty relative the creditors who held their paper be-
fore these arrangements with the bank II is unortu
for the commercial world that this blow has been
weakened by the measures which the bank had adopted
before hand Such might naturally be ex-
ected to cause warm discussions meeting of the
bank directors, and such has been the Matters
have went far, that OF the most notably in
terescd persons in the bank threatened TO resign On
the whole, the decision of the bank be found
fault WITH for had already gone far and perhaps
even farther, than prudence permitted.
We regret announce that Wilson * Co. and Wig
gins Co., have failed. They can, however, pay all
their engagements in short time for they rich and
have confidence in their American characterization
Globe
With the downfall of these houses, score of others
have gone. Disguise it may, the intelligence of
our Bank suspensions will be knock down hun
dreds of others and endanger the Bank Of England. A
very just article appears in the Times, relative the
system Of bosterng As it has been carried into prac
ice on this side of the great extent, re-
pablish it.
"THE PEcUsIARY CRIsIs.-The great blow, so long
held in terror the city having fallen the nvestga
ton into it's and has begun and OBJ
servaton has been wildly the alert learn all that
has been possible collect the subject. There is
notion abroad that in giving guarantees for the Aner
houses engagement has at the same time been
entered into, by the establishments who thus came for
ward give preference the Bank, in of fail
ures over all other creditors This supposition has
been the subject of much remark aud discussion of
Verv Indignant description. That the B2nk should take
their chance for such guarantee with other (contn-
eent) creditors having the power of making their
Selection o the parties and inquiry into their solvency
was position injurious in itself to the body OF creditors
but that they should be permitted by n arrange
ent TO absorb the whole of the property in the
Of any serious disaster is what any who is exposed
10 su.c- BY il will at pronounce downright rob
berry And Of this too they will learn something of
an ubiquitous principle which it is involved, in any
Bank interference support, as the approved and
admirable phrase is bolster up certain houses.
"If they are allowed TO fall when their indiscre
ton has brought them into situation apply for such
support all their creditors obtain fair proportion of the
assets but this bostering enables few arttul men
all that is owed them, and leave nothing to the
rest The fact is soorious that where houses have
ceiyed bank assistance and afterwards failed is by
the way generally the case the division among the great
body OF creditors has been uniformly avery small one
II the history OF these American guarantees
could be made known, u would disclose IN that respect
IRE ex,cnt of IL too must have been enormous, for
Ms few took engagements tor more tnan t2oooo, and
the average probably did not exceed 10000 from 100
10 $50 houses must probably have got thus cntangcd
with the Bank and the American houses they were en-.
deavoring to "bolsterup It's wen known thet when
these circumstances reached foreign countries Tor con.
ceanent in such case altogether out OF the ques
ton they produced general dstrust Of the merchants
of London who ALL as il could not be known who
did assist involved in the general ccnsure OF impru'
dencc.
This Is state of things, Of the consequences of
the abolsternn system which Is positive evil OF the
greatest magnitude and must be lost sight of when
the legislature sit in judgment as they must IN
doubtcdy do the conduct Of the bonk N tins whole
affair The actual imprudcnce OF the bank, tor so
there is lc doubt il will be termed, IN tnking
this STEP will be visited asst is now pretty evident by
a retribuon very large and absolute loss
must be incurred. We have heard 4 taken as
rough estimate f7O0,000, but would not he sur
prsed were IL much larger.
Mcssr.. T. Virgins Il Co. have published the follow
ing circular by which would appear that they will be
enabled meet all their engagements. But the allacy
of these estimates is unfortunately well known
LONDON June a." Being under the painful necessity
Of suspcndng payment, anxious diminish fear
and excitement much possible; and therefore,
Ici attention 10 the statement which presented to the