Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1841-05-14
Correspondence Of the W y. Herald

Satan let loose In veo Orlcans-Fanny Eissicr out-
donc-RoGbcry, Piunder and Black Mail, 10 smash
Splendid Ftnaneicring IN .Ne'c Orieans-M the
Banks bit sinks Of COrruption- Gfnerat bo,c mp in
.Sep Oricans-Derd still busy-.narkcis, DC.
Dear Sir--Ths great Emporium, as it is called, was
yeste rday thrown into CONSERVATION by runor that
the Bank Of Louisiana compelled To stop discount.
ing by the defalcaton Of some of lis officers To-
wards the anxiety and trepdation were very in
tense among many Of the business men, as yesterday
being discount day. II WAS reported the directors had
closed all their books, and resolved not to make
loans or renew old ones, by which means several in
diyiduals were exceedingly embarrassed, and brought
to the verge of protest On examination, II appeared
that two or three Of the clerks, in imitation Of te Of
6cers Of the IT, S. Bank, had undertaken 10 loan mo-
ney to themselves without the intervention Of the
Board of Directors How long they had been suffer
ed to proceed in this mode OF nancicring, mn una
BILE state 1t found, however, that the funds OF
the Bank were minus upwards OF scventy-hve thou
sand dollars. Two Of the clerks have disappeared
The investigation is still going on consequently The
full amount Of the robbery is not yet nscertancd.
This great stroke of finance made in connection
with the explosion which took place few days preyl
ously at the opposite of the street, in the Lou
isiana State Bank" Several persons, among whom is
a mula,to man named Herrand, had ovcrdrawn their
accounts to very large amount, with the connlVance
of one of the book keepers Herrands overdrat alone
is over twenty thousand dollars. Several other per
sons implicated some Of whom have hitherto borne
a good character Herrand has been long known as
designing fellow; in this last act he has shown himself
less dishonest than Of his white compeers in ii.
nance he has voluntarily offered all his property tc
the bank an indemnifcation. The whole amount oil
the dealcations yet asceraned in the Stale Bank
one hundred and twenty thousand dollars. One Of the
clerks who concerned in robbing the Bank Of Lon
isiana had an account in the State Bank, which he
oyerdrew to the Of sixteen thousand dollars The
whole amount of the loss Of the State Bank not yet
known nor is il probable that il will be known 10
the public how much other institutions have been rob-
bed Of as you know in such the directors fear
full of mparing their credit
These two robberies, detected within a few days oil
each other, and at moment when every body is agl
tated and astonshed at the developments in relation 10
the u S. Bank, have shaken the banking system in
this city to its centre The two banks which were
robbed universally acknowledged to be the most
puable and most worthy Of confidence of all mo-
neyed institutions. People now ask, what shall we
think of the Mechanics and Traders, the Carrolllon
the Exchange. and the City Bank, when robbery has
made s way into old Ben Storys bank, and the State
Bank? There is reason in this question, and you may
rest assured the public sentiment, is fast settling down
upon opinion, 10 wit that nearly all the banks in
New Orleans, IT their affairs ripped up and eXh
bited TO the light Of day, would appear hdcou.
than even the U. s. Bank has done under the partia
disclosures which have been made by the stockholders
committee. The day is fast approaching when the
Infamous band of ,nsolyent directors in this city will
be able to blihdiold the community with their dirty
humbuggery>.
Ii 10 believed by all classes Of men, that the drec
tors in most of the banks have been guilty of acts tel
times more atrocous than any that have been charged
upon the clerks of the Bank of Louisiana and III,
State Bank. 1t is we'll known that Presidents and Di
rectors were III the practice of taking any in note
from the telers drawer, and leaving due bill to re
represent them rs cash. Bank notes were drawn on
on checks dated two days ahead, and paid by none,
drawn from other banks by checks likewise dated SOM
days ahead 1t is known that of the best finan
ciers among u.s. "a good fnancer means man who cal
rob adroty that is to say, some of our bank presi
dents more money than they would be able TO pa
if they had all the specie in their banks, and the year
interest on their debts amounted to ten times tn
value of their property How in the nature of thing
can these men be expected to manage the affairs of tn
banks with prudence and integrity The thing is GU
of the question-only look at the banks of New Or
leans. The Commercial, the Louisiana, and the Atcha