The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1856-10-05

The French Railway Robbery.
Accounts from Europe represent the French
capital in state Of extreme excitement, owing
to the arrest Of some Of the persons implicated
in the late robbery Of the Railway du Nord.
They had not yet heard of the capture Of Grelet
and his companion here; but the ahsconding su-
perintendent, Guerin, had been caught in London
and lady "who had had most intimate rela-
tons with the defaulters," had been apprehended
at Brussels. NJ. de Rothschild is represented as
racing over the continent from place to place, in
connection with the measures taken for the arrest
Of the criminals. Altogether, everybody seems to
be excited, and not q few alarmed and uneasy.
This nervous condition is not wholly due, we
apprehend, to the theft Of 100000 railway
shares Other persons, besides the shareholders
in the Chemin du Nord are said to be laboring
under anxiety. We do not doubt the fact. Nor
have we any hesitation in stating our conviction
that this anxiety and this nervousness are due to
the fact that many other enterprises are in the
same condition as the Northern Railway, and that
Grelet Guerin h Company are only the least
adroit Of large band of INSCRIPTIONS specula-
tors A French cotemporary Of ours may object
to this view, as he did the last time it was ex-
pressed; but something more than rhetoric
viii be needed to refate it. For eight years
at least France has been in an unsound
financial condition. Even under Louis
Philippe, the annual public deficit was
much larger than a mercantile nation
would consider safe: after his expulsion things
from bad got worse, the debt was increased,
the revenue fell of, makeshifts were eagerly re-
sorted to by the ministries Of the day, and when
Louis Napoleon assumed the direction of affairs,
the kingdom was on the verge Of bankruptcy.
Has he done anything toward wholesome RENE
dy? In plain truth, he has done nothing but
spend money and stimulate speculation He and
his creatures founded the Credit Mobilier, that
fraudulent version Of the United States Bank,
helped it to declare dividends not earned, suffer-
ed its managers to knock its stock up and down
for purposes of stockjobbing, encouraged it to
embark in all sorts Of wild speculations hardly
any of which have ever proved really remunera-
tive, and crowned it the leading financial institu-
ton Of France. In the way of economy Louis
Napoleon has set up the most expensive court
seen in France since the days Of the old empire,
has plunged into war which must have cost him
00,000000, the whole thrown away without
hope Of return, has kept the people from revolu-
ton by sustaining the price Of bread below that
of -four, has dispensed with productive items in
the customs duties, has spent millions upon
millions in improving Paris Not in single act
of his reign can we discover any intelligent
purpose to retrench or to save money On the other
hand, he has not increased the productive power
Of the country. In none Of the branches of French
industry has the increase been larger than usual
since he became Emperor, and one of the most
extensive producing interests-the wine interest
has enormously fallen of. Add to this that,
while setting the example of extravaganza him
self, and imposing the same conduct on his court,
he has tried to help it along with the people by
fostering their natural proclivity to gambling,
and has given his sanction to more joint stock
companies than ever existed under the old re-
gency-and cause enough will be seen to trembe
for the financial stability Of France.
We believe simply that the kingdom and most
of the corporate financial institutions within 1t
are at this moment insoivent, and that the period
is not far distant when their condition viii be dis
covered. For the Emperor, who is a master of
the arts Of politics and war, is a mere child in
finance, and has never been able either to suggest
any scheme Of economy, or even to appreciate
the danger which threatens him. He can spend
money; but he can do nothing else with it. There
fore, we assume that when the evil day does
come, the shock win be more sudden than that
which the skill Of Necker and the nerve of Man
pertins and Calone availed in moderating seven
ty years ago; and we are prepared to find, on
that startling occasion, that very few concerns
have been allowed by their managers to break
without first afforaing opportunities to schuylers
and Grelets TO exhibit their astonishing financial
abilities.