Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1837-05-26

The banks in New Orleans are pursuing the road
to destruction. They have Legislature TO deal with
that may give them great trouble when it assemblies
The design of Converting that body at once is knock
ed on the head in consequence Of the division that
anlmates the councils of the various corporations
Some Of them persist in redeeming their five and ten
dollar bills The consequence is that you can
y meet with bill of this description from those in
stitutisns. The public are beginning to suffer from
the course, for it widens the gap, and throws The
dealer on TO their 20 But seven or eight Of the
others are trying to counterfeit this pernicous mea-
sure, and are calling in their zoos and SOS, and
changing them for SIS and los and 20s have
never before witnessed such downright ignorance on
the part of men aspiring 10 the rank of fnancers
Mr.. Forstali, of the Citizens, is for redeeming
all his circulation, and for stamping on the back
of his reissues-not payable in specie! This will
be dome SHEPPARD of the pet Union, is going
to- pay off all his depostors in Union notes. and
refuse TO take any more. This will increase his
circulation s9e0,00O and put him totally in the
power Of the other banks. But he will do it. In
the Gas Bank there are but four directors-two
for stopping and two are for going on. They have
about Sl40, 900 circulation out and $780, 600 to pay it
with. Their suspended debt two millions and
they owe the United States Bank near three mil
lions Yet they hope by perssting to become the
depository of all the specie in town, and to real up
above the heads of every other Institution, and SO
they go on. What with the experiments of President
FSrsall-he far sightedness of President Shephard-
the obstinate ignorance of President Hughes, and the
humbugging Of Director Caldwell the community is
kept in continual uproar the paper Of the nom specie
paying banks thrown below par, workmen quarrel
ling with their employers to what money they will
take, the market people made disrusul Of all sorts
of notes. and the city made the victim of these mems
mad schemes at juncture when the question s life
or death. They lessening the system in the eyes
of the poor and working classes, and my word for it,
in five years, state banks will be odous as the
United States Bank now.
| We had looked for your suspensions. You went
by the board three days before we did. The news
has created STIR it has served to reconcile many
to their fate. We now look for the u. S. B. to go by
the board what can save her? The Bank of Eng
land will complete the series. Ere month go by the
ball will have Frustrated erery single bank in the
Union like SO many nincp pins. Whafsto be done
will the Undertook Dutchman persist in endeavor-
| ing TO curse the country with his policy.
Seine little stir in produce but it is all yet
sde-that of the holders. / do not what will ever
bring cottonin,o favor again. The End Municipality
issuing l2a, Is, 5octs ST. 81, and s. notes to the
amount Of 100000.
The TIMEs.-Ne,c Orleans, Nay Is. The money
market and the circumstances that relate To private
credit have been of so exciting nature for some time
past, that the public attention and our own has been
directed to nothing else We have the pleasure 10 OBJ
serve that the evils which were apprehended and
which in fact were felt for the first two days in
consequence OF the suspension of specie payments by
| some of the banks have In measure disappeared.
Of
OF domestic economy and the bills of the different
banks maintain their credit in great degree. Notes
are paid with facility, and believe that the number
of protests since Saturday has been much smaller
than in any equal lapse of time within the last six
months. This state ofthings may not be interrupted
provided expansion of the paper circulation OF the
banks take place. But it, unfortunately one or more
of those institutions should resolve upon the runous
and, we may term it, the suicidal measure of throwing
more paper into circulatlOn-such an act would not
be easily concealed. 1t would surely be found out
and il would as soon as known bring ruin upon the
credit OF the institution that had committed it, besides
affecting or less iDJlrousy the paper ofthc other
| banks. II would be breach of faith towards tho
community, that would deserve and most assuredly
would receive the severes rcprobation. Any bank,
now unable 10 redeem its notes, il is evident has
right TO sue private merchant in failing
circumstances who should issue his note to an lnd
vdual who ignorant Of the true state of his affairs
would make himself Liable TO criminal prosecution
on the charge of raising money on false pretences.-
Bee
The ignorance and imbecilty that distinguish the
Pet banks of this city, IS subject of general remark
Instead of taking the lead in rclnsianng public
fdence, they are conspicuous for opposite
We are informed they do not take on dcpositc tn;
notes Of the other banks Of this city, known to be al
good as themselves, and that they continue the mao
scheme of reaeeming the very notes that the com
munlty most require. Why do they not initiate h'
government banks Of New York. that guided by mel
of intelligence in with their sister ins,it
tlons anl aid in sustaining the credit of ALL Iru
American.
IL Yeatman, Woods g. Co, have published care
in the Western papers, stating that the amount o
their Liabilities IN round numbers, is one millions
while they can exhibit means to the sum Of two mil
lions two hundred thousand dollars. According Il
this their paper is far better than that of any regu
larly ncorp :rated bank.-Ibid
MONEY MARKEr-CIry, May l7.-On on, on move
the ball Of revulson. The would-be commercial
economists laughed when we dared Ia predict TN
prostraen of all the mercantile interests in the Uni
on. We scoffed at for prophecyng that TN
banking interests would have TO yield to the blast
was urged that nothing could move these towers o
strength. The results have, however, proved tina
our premises were correct And before the storm
rolls over every bank in the Union will be struck
the ground
The unanimity that distinguished the suspension o
the New York banks, should serve as lessen TO tb
moon struck 6nanciers of New Orleans and Balii
!, more While we are struggling like big fish in shall
low water for the element Of ex sencc Philadsl phi