The Burlington weekly hawk-eye. [volume] (Burlington, Iowa) 1857-1858, 1857-09-09
The Bank Panic Of the f.t.

The New York papers of the I'd inst, contain
full particulars Of the bank panic which occur
red in that city on the previous day. We copy
| the following account from the money article q
the Times -
The day has been one Of varied anxiety in
financial and mercantile circles. The Stock Ex.
change and the Railways have for the moment
lost their primary interest in the Wall street re-
ports A state of things is brought about by
the events Of last week which is subjecting our
merchants to real and most annoying, and to
all appearances this afternoon, rapidly embar-
RAISING pressure for Banking facilities. The diff.
ficalty is too intense, however, to last long, and
too susceptible OF remedy not to be speedily re-
moved. The Clearing House association of City
Banks this morning threw out the Mechanics
Banking Association, and the concern with its
S65o,000 capital went to the wall. The deposits
by the weekly report Of Yesterday are 1914, 2l4
Most OF these will probably lquidate without
serious loss through the loan column of 81 no.
$50. The circulation is $223, ll6; secured by
S245, 900, State Stocks, in the Banking Depart
ment at Albany. The public who hold the cir
culating notes will lose little or nothing. Even
the Inconvenience Of the failure will be spared
to the community through the good offices OF
some OF the leading banks, where the notes will
be taken on deposit at par, and return to Al
bany for payment.
There ought to be nothing serious in this
event, particularly as the Bank was never one
OF prominence. But the failure, after u fair
and thorough trial of its resources through the
Clearing House examination, and after all prop
er assistance had been rendered by its associ-
ates, nevertheless created sufficient excitement
in the city to give rise to various rumors against
other banking concerns in and out OF Wall
street, and to further paralyze the Discount
Market. 1t made money not scarce, in the
general acceptation, but extremely difficult to
come at. Some Of the heavy banks acted well
in the emergency, and accommodated literally.
Others were not able to see when or where the
the trouble was to end, and 90 threw their best
customers out The private banking firms, who
had money on deposit, declined-to employ it
freely. The domestic exchange and other
money brokers were indisposed to negotiate de-
mand loans, or, in other words, hunt for cash,
for any consideration. They loaned out their
own means, to some extent, but the market
was too unsettled to authorize close sailing even
in this way.
On the top Of this came the announcement Of
The failure OF Messrs. Bebe l. Co., the old and
firm of Bullion Broker, who from
being large money lenders ten days ago, were
suddenly driven by the unavailable character Of
some OF their demand loans, 10 Notifying sus-
pension OF payments on their own acceptances
drawn by Southern and other correspondents
and depositors. The liabilities of the house are
not stated, but are understood to bear q favor |
able relation to their means, il the latter can be
made available without the terrible sacrifices /
which continuance of the present state of |
'hings would entail
J. H. Prentice l. Sons, Fur dealers, ian old |
house in the business and of Adams 4 Buck |
ngham, Grain factors, and the agents of num- |
Der of Western bankers and millers, were am
and the suspension OF Breese, Knee
and 4 Co., Locomotive and Car builders, al
uded to yesterday Twas confirmed. The house
5 carried down, Temporarily it is hoped, by the
depreciation and dscredit of the securities taken
rom the railways with which they have closed
ontsacts.
Now we humbly submit. after the foregoing
etalls, that the business day is one which ought
OF TO be parallel either tomorrow, or next
ay, or in the next week. Tnere il no substal-
al occasion or cause for its repetition, if the
ank people and other money lenders, the
lcrchants and brokers, will only for few
oars tomorrow, soy from . 10 O'Clock, all
'ok one way, and that tie rag 10 iuDsed;ate
Iasual relief from panic. The community Of
ote.holders aud depositors are all right The
ank-note currency Of town and country is ali
anted to do the necessary aud cnovenient Off. !
. OF trade aud traffic, wholesale and retail, on
e highways and in the shops, hotels, market ]
aces and counting-rooms Ot the City. The !
'positors are generally calm, sensible people.
u needlessiy excited. We had the test Of ali
is to-day. No idle rulnors Of bank runs here =
there, up town or down town, could move !,
g masses. The yillainous placards Of the 60 . !.
lied Bank Note Detectors, effected no serious ! !
schief. The people have confidence that the !. =
INKS stand well aud mean well. they know :
eir circulation is secured 1t Albany. But the =
Hks must not lash themselves into an excite ),
mt, or drive their own customers to madness, =
disgust or 70 retaliation. The folles Of the :. =
y should suffice for the whole week-lor the = :
NTH, if possible-particularly % the Specie =
ears 10 Bank are Increasing from all quarters
the awfully rigid curtailment Of loans and 4,
counts, as we see in the weekly statement !.
day, only serves 70 liquidate m equal amount d
deposits, which for tho most part would have -
erwise bean left ct the use Of the Banks. =,
! that part Of the curtailment was called for =,
stop the export demand for gold on : low :
rage. This ID admitted. But the end &C. (.
aplislled, another i've million curtailment 3
cipitately enforced, would seem to be pro- ~
tive Of dismay aud embarrassment outside. ~
bout serving any useful purpose within ex- n,
/ 70 cut short the dividends or the Banks -
y their enlarged capitals. =.
! KIxG yoR rHE CAxADIAHs.-A provincial
or mentions rumor that the object of the n.
eInor Generate visit to England, is to con- 81,
on project Of uQion Of the Brltish and n
u American provinces. under King, 70 be q.
plisd from the present bountifnl Royal stock III,
!sHOna. -Ths lansing Journal aays wheat etl