The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-11-27
Rank OF England notes


BILE even lessen partially the OF the case
by sending the required renittances IN thai form
The fact on about two thirds Of the Scotch circulation
being in under Is, coupled WIN tne known naots
Glasgow, IN using the banks places Of deposit for
their savings viii account for any popular disturbances
that may have been threatened such move
ments however more evanescent and more easily
than those OF larger capitalists, and, these should
fright the whole affair will probably be of short
duration II appears that the rate Of allowance of the
Scotch banks for deposits throughout all the recent ad
in the money market has not been raised above
per cent although the changes in the rates Of discount
have kept pace with those OF the Bank q England. In
deed they recently charging 81 per cent when the
London rate s. The reasons assigned for keeping
down the allowance for deposits are, that the banks
considered 10 offer the only means OF investment ap
preaching safety mortgages or consols
the former scarcely be obtained and consols pay
still lower interest per cent is sufficient temptation
Annexed is the circular issued by Messrs Sanderson
Sandeman Co announcing the necessity for their suspen
sion The liabilities of the house To depostors, by whom
bills are held security stated to be between three
millions and three millions and half while those to other
parties be about GOO 600 The great majority OF the
bills held being perfectly good and such as would be dis
counted by the Bank OF England the depositors VIII not
these inconvenience, ana the effects OF
the stoppage will therefore be very limited when com
pared with the magnitude of its appearance Ten years
and in less than five months II resumed business, Mr.
Sandeman being admitted rs a partner An equally IA.
vorabe result is confidently hoped for on present
occasion. The principal difficulties of the firm have
from the failure of the Liverpool Borough Bank
and Dennistoun CO. but from neither Of these
any ultimate deficiency be much apprehended -
KING WILLIAM STREET Nov. IL.
1t is with extreme pain have to announce to you
that house is under the necessity OF suspendng its
business-an event which was wholly unforeseen and
unexpected by US.
death of senior partner Mr. Sanderson have left
alternative but To take this step which we trust will
be but temporary The accounts being made up with
all despatch, and in few days they will be in a state to
be submitted to those interested We are, &c,
SANDERS0N, SANDMAN co.
The applications a, the bank to-day discount
again extraordinarily numerous, but this feature loses
much of its importance from the circumstance that it is
chiefly from parties ovsrsuppying themselves. These
persons, when they get the money pay il into their
bankers by whom the end of the day it is again paid
into the Bank Of England Many merchants, in order TO
crafty ignorant impulse OF caution have ut their
bankers two or three times the amount they ordinarily
keep The reason they give they ''do not know what
NAV happen" They might know if they would take the
trouble to reason that the foreign drain hav
ing been almost wholly checked, there can be no
increased demand for money, except such as may be
occasoned by their own fears and by any tempo
rary contingency like the Scotch panic that under such
circumstances whatever is taken from the bank must
always within few days return 10 it, and that under
the bank will continue to afford at the fair
market price every accommodation would ever have
granted even in the calmest times.
1t announced this morning that the Bank of France
have adopted rates of discount in place OF the
cent fixed the Goth of October Hencefch the charges
be per for bills not having than 80 days
per cent for those between 60 and 90 days decree
shortly expected 10 modify the law OF 1907 which prevents
bankers and traders generally from charging more than
The English funds opened this morning the advanced
quotations attained yesterday after regular hours but the
market presented an uncertain appearance and subse
querty experienced fluctuations. The first quo
Of consols for money s9 to a. from which
the publication of the by the India mail tsere
further Improvement se5s to s.. The stoppage of
the City of Glasgow Bank then caused reaction 10 s9
from which there was a tendency a rebound when
the suspension of Messr sndeson Co TRANSFERRED and
produced further sudden depression the final transac
tons being at S. !" tor the .tn 81 december the
securities offered AT per cent but II
afterwards difficult to obtain them at higher rate
cnf, tho nfcb hank artrp in
that could be had During the day two failures
nounced in the stock Exchange, but they of nsig
nhcaBt amount Bank stock left OIL at 200 I'll reduced
ST. a three per cents s73 TO u; India stock
30 2l3 India bonds Sos to 4es discount and exche
quer bills 25s. to 2os. discount
In the course Of the afternoon report circulated
that the Australian mail steamer Emeu had arrived at
Snez with nearly amlion Of gold. The actual sum is
f525 900 and this opportnne amount be expected to
reach Southampton 10y the Australasan on the 18th or
18th inst
The market was dull this morning with tendency
lower prices, owing the removal OF the prohibition
against the expectation Of wheat from France.
The final quotations OF the French three per
the Paris Boursc this evening 6ef 6oc for money
6ef 75c for the end OF the month showing decline
of eighth. At Vienna there great heayness and the
premium COLE has increased
AZ Hamburg the OF discount has advanced 10 10
The Paris letters mention failure Of "
CO. house in the South American trade, with liabilities
for f3s 900.
From The London Times (City Articie) Nov 49,
The Bank Charter act II abrogated It, fate at the
Of trgal has been the al the first. The
authorized extend their issues approved
seem without regard the amount OF bullion their
vaults, at a rate Of not less than ten per cent.
Although the announcement will give immense relief
from fears which rapidly spreading there can scarce
IN b. an EngihHdn tchO ciU recctr nth deep
gr@ fFova The humiliation u tarorcs II must have re
suited from causes-ether blind fright or
inherently unhealthy condition 81 business which prevent
ed merchants from sustaining themselves against rate
Of discount such borne AT Paris, Hamburg and
number OF other centres Of commerce In either case the
conclusion equally lowering 10 lame mercantile
nation II satisfactory believe thai the
neiher asked for recommended by the directors Of
the Bank Of England any delegated representatives oC
the leading mercantile or banking firms. Al the same
time, Justice To the government, must be admitted
that the pcrod had obviously arrived when protective
steps OF some kind had become absolutely necessary.
The position Of the Bank OF England and the private
bank never Of higher confidence but The apprc-
henaion evident all sides that withdrawal OF de
posts the discount houses aud JOINT stock banks
might commence at any instant and totally cripple
their power 10 continue further accommodation that the
Bank Of England from the point 70 which their reserve
ha been brought by the sudden sweeping away OF nearly
millions gold for Ireland and scotland, could in
such case afford DO adequate help ana consequently th
fesl-tess panic not 10 he considered A. having
actually commenced. were IN position IN which no
one could calculate on ~ being Kept of even Tor single
hour.
Bp, hee loers remedies opaiiabtr cher than thai #
breaking and dctroying the tdicfor idw Which his
ts oosdsmned each Ocodsi0n q trial NUT bc Looked
upon destroyed The state t. which lad come had
not been brought about by any fault 81 the government
81 the community a large. and Il for those who
had occasioncd 1t 10 dnd their own means Of oxtrca
ten They did hot look about Tor those means, be
cause they know they could obtain relief elsewhere
II this conviction had not animated them they would
long before the present week have concerted
~ defence whole history o. situation y plain
For years past certain provincial JOINT stock banks have
gsmbied incredible amount by means q what
termed d. counts-thst with limited capital they
have granted accommodated 20 an almost unlimited
tent sending the larger proportion Of the bills thus
taied 10 the discount establishments Ia London, who in
turn them the Joint stock bank the strength
chiefly Of the endorsement 81 such bank, and upon
any ~ the responsibility Of the drawers
or aoCepiors the legitimate character q the transac
tons they represent "Of safe with the
endorse ~ the Liverpool Borough Bank Is the cry
ssTbc character of rs bGsuess may be doubtful, but
~ shareholders are all liable 20 their last
farsAlng Again why should We hesitate with
Tho Western Bank of Scptandy Among its pro
prietsry are two or three which
alone good many millions. But how Is the money