Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1840-10-13


Thus far have the funds of the suspended districts be
elualixed at Charleston central point. Hitherto
it has been supposed that tho United States Bank would
end enable to resume. Governor Porter
that the time for resumption should account
b. extended and the othe bank confirmed the
hope that would be able TO resume. The face of Of
fairs changed and has become nearly certain
that no resumption viii take place. The bank, in re-
cent confessed It's inability to resume without the
assistance of the other banks The matter has been taken
into consideration by them and the result is that no
sis.snce can be afforded. Under the peculiar circum-
of the case the fourteen banks holding demands
part against the United States Bank for
called pom to change them into demands twelve months
hence without additional security in order 20 the
credit debtor bank, submit to the loss attending
her dcre Most ofhc directors Of the banks do not feel
themselves authorized to comply with the request of the
United States Bank without meeting AMI consultation Of
their shareholders. There has been hints thrown
out that the stoc kholdcrs England would adv
amount oncy sufficient aid in resumption, but TO OBJ
tain further loans from their friends who hold
stock deprecated 30 per cent and which has yielded
income FOR he first year, additional and unioubed
ry requisite and also such viii be available. This
is precisely what the bank give Her choicest
cures all pledged last year for loans which are
again falling due. The result will be that resumption
will take place Philadcl has still sufficient power
control the movements Of the southern and south
baxa and of the southern States ill follow in the
same course II part of Phade lphia institutions
strong enough sustain themselves independently OF the
Others be by remaining within their shells and
don, no business
The recent decision of the Chancellor of this state
less reversed in the OF Errors is likely have
very serious effect the value Of state securities. The
decision against the legality of the sale the part of the
Illinois fund commissioners rested their want Of suho-
ri,y 1, sell on a credit, as follows:
Fva il the usage Otherwise rs TO sales OF stocks
GERS or Of state, who authorised to borrow
money for its use to contract TO sell deliver the pub
Ic securities credit without express authority for
III At purpose The three recent instances in hch
have had the misfortune to lose large amounts Of
their Consequence OF the mistakes OF their agents
suffering the stock TO out Of their hands before they
received the money agreed to be loaned cannot amount to
a general usage TO sell state stocks on a credit
Tss strikes the Legality Of almos, all the contracts
TIA have made BY the states for two years hack We
gave on Saturday last the which of the
stock OF this issued Prime, Ward King and
the Manhattan Bank last year. by which the state lost;
may months interest. In the way many other
states issued loans credit perhaps to the following
amounts;
Michigan TO L. States Bank Morris Canal s. 900 600
Arkansas " " American Trust s Bkng Co. 100000
Indiana, Morris Canal 100000
Pennsyl yanie. United states Bank, 100000
Mississippi, 100000
Total $40 900
OF Ibis amount the instruments half have not
been paid The csst OF this decision on the contractors
mus make them hold up lfthe decision othc Chan
eeor OF New York is to become the rule and the BITS
set aside according it's tenor more money will
pail them The securtc. TO the amount of 50
pleic3 by United States Bank in Europe, stand
eop,rly and will be subjected the depreciation
ou.t on the faint thus thrown uron them. All the stock
on the market suffer the extent unless the
Court Of Errors which this suit is he carried re-
the decision. Th. fact stands much in the way
asy improvement OF the ,sset Of the bank enable