The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1842-03-23
NEW YORK WEDNESDAY MORNING, MARCH 49, 1912.
New Orleans
Correspondence of the Ferald)
New ORLEANS, March II, 1872.
The Banking Crisis in Ne1c OrleGns- State Of Things
-Theatricais.
New Orleans.


New ORLEANS, March II, lSi2.
The Banking Crisis in Netc Orleans State Of Things
-Iheatricals.
DEAR BENNETT
Asyou often say, the crisis is approaching in this,
the Crescent City" The new bank law is now IN
full force, and the frauds long carried on and so
long concealed are about to be brought to lgh'-
The Attorney General has already closed the doors
OF five ofthe banks, viz the Orleans Atchafdlaya,
Merchants Exchange, ard Improvement, while the
board of currency has notified five others that they
TOO vii; be Immediately proceeded against if they
do not at once accept of the new law; in the mean
time their notes are refused by the banks that have
accepted the bill The sheriff, in taking account
OF the assets of the Exchange Bank, found about
S., 5O0 in specie and $1,000 in notes OF other banks
to meet circulation of S6OO0O0 This bank has
always been under the control of Edward Yorke,
Of the owners of the Merchants Bank, aud from
which he obtained large portion of the amount
requr, 10 pay the United States Bank for the pui
chase, but the Exchange notes being now rendered
useless. Our g stature, not admi.ing MIR. Yorke's
mode of iinanciering, HI Yorke,) and his friend,
Minturn, in order, fpossbe, to sustain their Bidde
characters were obliged to part with the banking
house Of the Merchants Bank, and the splendid
mansion adjoining, of the President Minturn, for
$4,000 being one-foulth OF their first cost. This
amount did not, however, last Them long, ard as
last resort to their individual credit they made
of tia funds belonging to the Commercial Bank
e NaicheZ, to the amount of Sl50O00 This mo-
ney had been deposited by the Natchez Bank TO
meet Their notes, made payable at the Merchants
Bank: the Consequence is, their issues have been
dishono,ed-the Merchants Bank being ITO use lis
The cashier of the Nachez Bank has published
card, in which he says, arrangements will be at
once made for the payment of their notes We
have not yet heard what are the assets of the other
they are not much better eff Mr. Breedow, the
president Of the Atchaalaya, has resigned it is
said he has helped himself freely, and bee very
liberal to the insncers, A. and Y, and fearing an
expose Of the affairs, while he held the rens, has
Withdrawn. Alarge deficit has been discovered in
the accounts of the teller of this bank the amount of
which has not yet been ascertained. 1t is said to
be large. The only difference between bank pre-
sidents and bank clerks is that the former nancier
within the law, while the latter 60 rather beyond
h.. line. This was not the with the presidents
Minturn and Yorke when they used the funds Of the
Nachez Bank: 1t is thought about eight of our
be put into immediate liquidation The rate Of dis
count on repudated paper varies 10 day from 30 TO
Is per cent discount this is an awful state of af-
fairs, and although there has been manifestations
scarcely be wondered at, when we sec the widow
and laborer so openly and shamefuly cheated.
Both our theatres ale doing lair busness-at the
San Carries we have the opera, and at the American
Fanny FitZ Is drawing crowds E!sssr is still IN the
Havana she has taken the Tacon theatre for a
number Of nights to tighten the loss sustained by the
manager during her engagement. The Spaniards
appear to have lost all taste for the graceful dan
| seuse.
| Our hotels ale full Of strangers, most of whom
have little else 10 do than walk the streets lounge
about the bar rooms. The weather is getting very
warm; iced iuaps are plenty Our bail season is
nd 1 Ian pfo hea mi CYpo
girls (being of the Catholic persuasiou) refrain from
all rSetes We have just heard that James H. Cald
well has been nominated by Captain Tyler super
intendent Of cur mint Mr.. C. is a popular man
and have no doubt the appointment will give gene
| rat sariefacs'~n Xan shall hear from me again in
| few days. Yours,