The Democratic sentinel and Harrison County farmer. [volume] (Cadiz, Ohio) 1851-1852, 1851-10-08
Broken Banks.

Broken Banks.
The brokers have generally returned to
the discount of our State meney; for the
present, all uncurrent money is bought 5al
per cent, higher than usual quotations. j..
Thompson publishes the following list of
broken banks:
2P. NJ, Oct 2-Broken Banks.-List
of Banks already failed-James Bank, Sar-
atoga County; Bank of New Rochelle; Far
mers' Bank of Nina; Western Bank, White
Creek; Peoples Bank, Patterson, N. j.;
Commercial Bank, Perth Amboy; The Bank
of Salisbury, Md.
The Bank of Cayuga Lake, and State
Bank of Saugerties are regularly taken by
the brokers to-day. The New Y ork Agent
of these Banks has published the following
notice:
| The Bank of Cayuga Lake and State
Bank at Saugerties are wholly secured by
U. S. and N. Y Stock and redeemed by
, WashbuIn & Co., at / per cent. discount in
specie, at the bank at par, and received by
the brokers at the current rates.
The Albany Evening Journal, of last
night states that
"There was little furry in the streets
this morning, caused by a rumor that three
free banks were not redeemed at their agen-
cy in this city The rumor was true; but
the absence of funds will only be Temporal
ry, and is caused by an unusual and unex-
lpected rush of the bills of these particular
banks. They will, we are informed, proba-
bly, be redeemed as usual, tomorrow. Or
if they should not be, they are just as good
as gold, inasmuch as they are secured by
an abundance Of first rate stock
In respect to the Commercial Bank at
Amboy, the Newark Advertiser states
1--WE understand that an injunction was
granted on Saturday last, against the Com
jmercial Bank Of N. J. The injunction was
served, and the assets taken by the receiv-
ers on Monday morning. No full investi-
cation of the affairs of the bank could yet
be had, but it is the opinion of the officers,
and those best acquainted with the matter,
that there are assets more than sufficient to
redeem their circulation, in which case the
holders would do well not to sacrifice their
bills too suddenly. The following explana-
ton of the unfortunate occurrence has just
been communicated to us:
at is said that the stoppage of this bank
was perfect surprise upon its officers and
directors. The Mechanics Bank in ~ Y.
were its agents for redeeming $l0's and
upward. On the afternoon of the 24th OF
September, the same day on which the
Peoples Bank stopped, Thompson's Bank
Note Reporter appeared with notice pasted
on it, that the agents had ceased to redeem
the bills of the Commercial Bank also, which
was not the case, but it, of course, created
anxiety to dispose of the bills. The Me-
chanic's Bank had that day what was sup
posed to be quite sufficient for all redemp-
tons that were to be. anticipated, and had
besides in their hands some $4,000 of ex-
cellent paper for collection, and as security,
belonging to the Commercial Bank. The
morning of the 25th found them in possess
sion of about "a, 900 cash, and early after
bank hours draft for $500, held by a
broker interested with Thompson, it was
said, was presented, drawn the day before
by the cashier at Amboy, in ignorance of
the difficulty in Wall street and the panic
about banks.
"The President of the Amboy Bank had
not at that hour, reached town--yet the
Mechanics Bank, Notwithstanding their
knowledge Of this fact, and their large Sc
curities, not only dishonored the draft, but
sent notes to all the banks in the city that
they had ceased to redeem the Amboy bills.
In this situation the President arrived in the
city; but Of course the panic SO created
could not be allayed, and any bank must
have suspended under such circumstances.
eve further learn that the people Of Am
boy sympathize greatly with the bank and
its directors. The occurrence is indeed, for
their sake, to be greatly regretted, for a
more useful institution did not exist in the
State, and its officers were deservedly pop
ular."
We understand that the most responsible
Director Of the bank has alienated that por.
| ton Of his real estate which Is situated nj
New Jersey 8G ~ &