Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1839-11-11

oso
This Bank made no returns the Comply in July last.
but appears from the report Of that oer that 5000
securities deposited with him, and thai he had ued
$4,000 circulating notes The immediate Cause Of their M
ure the maturity Of the note given them to nttu
ton city for the SECURITIES the hands Of tho comp
troer Their inability the note from the constant
depreciation and hconveraby Of the securities they hold
This is general and therefore affects in the way
o.t Of the small that have been attempted be
sanred under the banking law The above copy Of cir
cuatny b will be Observed dated August H. bat il is of
parcel which has been circulated has been impos
sble to keep without the most constant exerons
hence the of that host Of post notes to which
have drawn the attention Of readers heretofore The
Bank OF Commere Of Buffalo, 10 stated, has issued
$50 600 Of this spurious currency IN the western states
The hanks Of York experiencing from this class Of
hank, the same difficulties under which the Louisiana and MIS-
sss,p sound aboring from the action Of the
Real Estate banks Of sections In those two states
bank capital based real estate and the
bank, got into operation hy the sale Of hsr bonds for the
dempton OF which the property Of the stock holders liable
bv mortgage in addition the credit Of the state The state
having become and its bonds for the stock
The facilities all these banks have been employed
in the widest Of those speculative schemes which character
sed the 1887 and tended to initiate prices to that
degree which embarrassed and jeoPsrde the assets Of the
sound banks They the wreck Of that system which
IL the result Of departure from sound banking pnci
Mes On IN. subject the following circular from eminent
house in this city
NHw YoRx, Oct. 10, 1880.
Upward. Of eight years ago ush Sept 1917 first adj
xesd Ia our circulars 10 the ampering ofhe Bank Of the
insd states with foreign exchanges and the consequent
nop Of its when the Of business indicated the
prope,y and necessity Of directly opposite sou. o. action
the chief Of the OF trade and the then
eng monetary affairs IN this country Since
49, r~.. N bn an pnr
ercusrs and urge upon such oou friends
a. have honored with their personal confidence the danger
ss sseS 4 variance With
lust principles Of nercia policy and prsceay opposed to
snes and srtsnt OF desrucoa proportional 70 the length
s existence TIE correctness Of these views has now re-
n,ss states Bsni involving that Of other. to such an extent
that soubtf whether New York will not have
the homo, nsy the o. honesty and n
"Wednesday the 9th Instant IL oncially announced
that the post the Pennsyvsria Bank Of the United
State psvabie in this city would not be paid and on the
s,ms s.y he bank .topped-or IS fancifsy termed,
pendel-pa, fhilsd.lphia Tn. creumstsnees show
soneusvey result has oloweds course
~ action ~ which hoped 70 Irossrs in the ars, IN.
s,ascs the suspension Of the New York bsshs cloak TO
s ~. II mi. market Of its post notes bills Of exchange.
together with the extsnsios cf lie issues through the de-
d spublc notice that i notes would Be redeemed OF
received deposits par BY It's namesake In the city
ri. csncsru sacceeded Ia establishing drain on our re
sources to such extent that amer having RENTED 70
Ave millions Of dollars In specie still has residue IN ne
vaults Of four millions II s hoped ~ refusing
payment OF all debts due New York. and BY procuring
claims against this city 10 be demanded In specie s 70 60
cree banks Sto suspension but the Only effect o. h
notable scheme will be 10 projectors with confusion
snd disgrace. WOlHERsPoON ~
The difference between the southern real estate banks and
these ephesa based stocks and real estate
~, only that the former have bees longer in ers
,apc. while the latter vii perish before they have been
an. r.u., AZ any real mischief IN the community
The<onvc,ion that the New Ysrh policy alone 10 right 10
fast vrcsuens sutsry elects IN the south In New Or.
there ID much siscsssiou the subject Of immediate
resumvtiop BY the banks Of that city The necessity Of the
measure evident the rsszsd condition Of the produce
h.s sns NE rates Of exchange On New York. II sight, the
rate four per ert pr.miu and sterling suchssgs Fear
teen psr premium arising e~ The inability q As bssAs
10 perssrn their sssusss~sl fsstisss q ssssssss sss
sossbls bs whern IN city goea sterling ~ ~ - hs1
at isl pr sss 10 pss esst lee Ass a Nsw osA s
result that specie Aswias V his city frss ssssN -