Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1840-01-14
sAR. II ENNGTT,s LET rERs.


| 'cnuyHW 00K-Iae Gu0rd Bank.
The more l search into the affairs Of the U. S.
Bank the more satisfied become that their recent
difficulties have been mainly occasioned by the mis-
management Of the President and Directors in this
| city-and that had MIR. Biddle been at the head Of
the institution, the affair with the Hottnguers, in
Paris, which laid the train in Europe, would not
have taken place at all.
In June and July last. tAe bank was selling ex.
change largely, on their correspondents in Europe
If tins measure had not been undertaken by the bank
at that time, the banks of New York would have
lost much of their specie than they did, and
hence would have been weakened sufi centy to have
suspended when Philadelphia suspended. But this
was not all. While the U. S. Bank were thus draw
ing their cores ondents in Eurepe-among these
the Hottinguers-by some piece ofneg gence at the
bank, tho Hottnguers were not advised that, at the
time these drafts sent forward, there were sui
Observation-Disclosures making in specie, and other assets,
advice that caused the Hotnguers act as they did
The bank here has charged the Hottinsuers with
faithlessness, to hide their ow s.igence. When
the enquiry came to be made how the neglect was
occasIoned, the real way in which it occurred at the
bank could not be discovered, or was concealed.
In the same way the difficulty occurred with the
Michigan State Stock, which at one time, the OIL
GERS Of the bank could not tell what had been done
with it.
The truth is, the bank, since Mr.. Bidde's resigna-
ton, has been like large ship at sea, entirely in
the hands of the crew, without capable navigator.
There is no master spirit in the bank Mr..
Dunlap is fine gentemanly fellow, and loves fine
segar, good glass OF wine and to look At beauti-
full woman, just much as do, but he knows little
of high finance, and his assoc ates are very clever
men in their way, but i'll never die of surfeit Of
general knowledge on any subject above the retail
trade. Mr.. Cowperthwaite is the abIest man in the
bank and thouga much disked, yet his friends, who
know him, crack him up pretty high.
On the appearance of the articles in the Courier
and Enquirer, exposing what they facetiously called
the conspiracy of the Barings, and Prime 4 Co.,
against the bank, understand that Master James
Watson Webb wrote long letter to the President,
in his best mock heroic style, telling the bank that he
had defended their cause, and attacked their foes
without any solicitation their part. 81 have defen
ed the bank says the chivaric Colonel, ''and shat
tered the right arm Of the Barings, purely out of
gratitude for what have ceived from you in former
days" 1t seems Webb received his information and
suggestions from friend Of my friend MIR. George
Griswold, in W all street, who would make better
President, after Mr.. Jauaon than almost any of them.
Webs magnificent letter is the files Of the bank,
and it is great a curiosity in style, spirit and
composition any of his famous bulletins of bat lie
done in Washington. SHALL on nay return, procure
copy and forward it by express for publication. in
large letters OF gold. 1t may $50 or 500 to
procure a copy ofit-but don't care about the ex-
pense. Perices Of Athens collected Homer's stories
of Hector, at vast expense-so shall collect the bull
letns Of the modern Hector himself
About couple Of years ago, Mr.. Dunlap lived on
$4,000, in a small house in the lower end of walnu,
street. in the neighborhood Of the paper Offices
and oyster cellars. He was then glad to get an &C.
commodstion note of $500 discounted at the Bank OF
Pennsy lvania. Re now lives ON salary Of $1,000,
at the rate Of SO 900 in paper fashionable house
dining at clock, and regulating fashion and finance
throug hout the city and commonwealth. Mr.. Bdele
seldom visits the bank. He spends the most Of his
time in summer, in overseeing beautiful vineyard /
the city-and in winter, in town. enjoying his |
friends talking over literary and scientific Subjects
and laughing at all the new Jokes he hears. He has
most remark able taste for the fine arts and never
troubles himself about financ al affairs.
The frauds of Lewis leaked out in a curious way.
II seems that two years ago, Lewis lost large sums
by stock speculations. To conceal his losses, and
save his credit he tsok the money out Of the Schuyl
kill Bank TO pay for them. To conceal these defal
cations he driven 10 issue the fraudulent cert.
fcates Of the Kentucky Bank. The transfer clerk
at that time vas Maxwell, who knew OF these CERT
fcates from the beginning. While this business was
going on Maxwell established a son in the brokers'
business, in Wall street. Maxwell, anticipating
a blow up last November, ordered large am cunts OF
these shares to be sold in New York for fall But
il SENS that Lewis had not made his arrang emenis
for an erpose till the latter part Of December, or
few DAYS before the Kentucky Bank agency was to
be removed 10 the United States Bank. Maxwell
in order to knock down the stock in New York. LET
the secret out there first. This happened on a Sa-
turday.
Things being in this position, letter was written
BY certain gentleman in Wall street, whose name
shall not mention, addressed to Mr.. Dunlap, the
president Of the L. S Bank, informing him that il
atated there that Lewis had issued 900 shares Of
fraudulent certificates. On Monday, Mr.. Dunlap
handed the letter TO Mr.. Taylor of the clerks,
observing. that is probably trick OF the Wall
street brokers" Afterwards, on the same day, Mr..
Dunlap aud Nj Lardner, anotbo off of the bank,
kill Bank. After little surprise, parley ing, and 80
forth Lewis Acknowledged tnat the fact so. The
truth soon spread, and Lewis anticipated in the
explosion by about three weeks, In Consequence OF
the stock operations of his transfer clerk in the New
York ma, ket Lewis continued in the bank al Tues.
day On Wednesday he rode yat with Peter Wager,
and diaed at his (Levis's) CHATEAU. On Wednesday
the public indignation begas 10 be reused, and on
Thursday the cashier disappeared, never to be seen