Daily Nashville patriot. [volume] (Nashville, Tenn.) 1857-1858, 1857-10-20

TUESDAY, OCTOBER 20, 1867.
From the N. Y. Sun. Oct IA

:
ting point. The storm increased yesterday to
a hurricane. and our City Banks, which bad
| struggled hardtO keep above water, yielded at
last to the fury of the elements. The run on
all the Banks commenced at the hour OF opeE-
ing, and before tie hour of closing some
twenty of them, drained Of their specie BY the
demands of depositors, had suspended. Most
of the Wall street Banks went through the day
lsuccessfnlly, ard at closing hours we're still re-
solved to continue specie pay menfs. But
when the extent of the disasters of the day
/ were fully knowE, and the fact became appar-
| cot that confidence was wholly gone, on the
par of depOsitoFs, the -Gnavoidableness Of a
general suspension was admitted by ALL
! Suspension was hard alternative for some
of the Banks, but the misfortunes of their as
soclates LETT. them no choice. a pro. racted
meeting OF the Bank Directors was held last
evening, aDd the gloomy result of their delib-
/ eratlons is published 10 another column. It is
| oil no use DOW to imagine the cause or causes
OF the panic which has produced such disss-
irnns consequences. 1t is equally useless at
! the present moment, to speculate on what
must follow the events of yesterday, for mad
! ness rules the hour, and no one will listen TO
counsel. evil has eliminated the fnal
plunge has been taken, and our Banks are
1 dragged down by frightened and needy credi-
tors from the position which they struggled so
zealouSiy, If not in the wisest manner, 70
maintain. 1t is some consolation that the bill
holders cannot suffer loss, as they did 10 1887,
bat depOsitors must now abide the progress of
liquidation. s
TIE CLEARANCE HOUSE MEETING
The members of the Clearing House assembled
Immediately after the close Of Bank hours nearly
all CT the forty four banks being repressntnd TIE
events of the day had prepared the n 'nds Of the
majority OF the Bank r. representatives. for that which
was the ultimate result OF their deliberations and
! alter brit nv cOmDaFinO notas vota usS tskaD
on general suspension of specie payments, to
take eject this morning. Nearly three-quarters
voted age, whereupon the dozen in the negative,
forming clique by themselves, retired for separate
| dehoerauon Those who remained were confirm
eo In their conclusions by further discussion, and
necessarily showed impatenee at the unwillingness
OF the seceders to accede to the wishes of the ma
| jorty.
! The amount of specie paid out by the members
| OF the clearing hOase, within the last two days,
was found to be upO1Tds of sic millions of dollars
| Of which at least fo1tr millions and GhaLf
l0ere paid yesterday alone. With this fact staring
them in the face; with recollection of the crowds
| which thronged every Bank without exception du
ring the latter part of the day, and the evidently
| increasing panic" eezing upon every one, fur
| Their continuance to pay out coin was manifestly
! impossible 1t could not honestly be maintained
| for half day, and would not meet one-tenth of
the call 10 which they would inevitably be subject
ed. and the dishonesty of "sogerIng" paying out
-
was pretty generally condemned ''#
At lsst-at about nine O'clock-the aeceders
turned, and the suspension discussed aresh for
a few moments. The roll was then called OH
the renewed question, and forty out of forty -four
! Banks, answered to their names. OF these, only
| three nays were given, and then the arrangement
! was entered into warmly. The details were then
discussed, and the plan adopted, of which the fol
! lowing is the substance =
The Clearing House transactions to be continued
| HHrnD ffea hahn I'D Ia.iIa
and report as to what Banks shall be considered
members of il.
The balances at the Clearing House to be paid
by the debtor Banks in specie every day-thus
KEEPING up movement of specie, which must
greatly assist in an early resumption Of general
specie payments.
Business in the several Banks to be transacted
by certifying checks, instead of attempting to pay
them, either in specie or bills.
committee of three consisting of ,Shephprd
Knapp, Thomas Tileston, and Z. w Dunham we're
appointed to go to Albany to-day, and urge Gov
ernOr King 70 call an extra session of the Legisa-
latnre Immediately, that measure may be
passed for the general relief of the community
I6ls committee subsequently, agreed to start in the
noon train to-day.
Whence these decisions were made known to the
directors IN waiting in the various Bank parUrs-
for special meetings had been called in nearly every
one-great was the rejoicing. load OF care,
which seemed insUpportabie, was at once thrown
All had seen the necessity OF the conclusion-in
fact, its unavoidability-but until the decision was
made, their nervousness was excessive.
At the Broadway if oui information il correct,
the ''pIuck" manifested during the day showed it.
self cOnspicuOusly, The directors were not els |
posed to lie down quietly under mere specie sus- !
pension, without direct effort to break the dead |
lock OF business under which, much mere than IN
der lack of specie, the community is suf ring.
Propositions were made that the business be con-
tinued this morning. under a special arrangement
with the dealers, to the effect that deposits should
be received, and checks paid in the bills of State
as well ss city banks. This measure could not but
have good effect, and is just what il is plain to
see that all the city banks will sooner later be
comp He'd to do, means of general relief Very
probably, indeed, the Broadway folks will adopt it.
aud put it in operation this morning. Should they
drcide to do, believe that ia cir dealers will
sustain them in it. and that the public generally
will applaud them for the undertaking.
A Good Example 10 Tradesmen.