The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-01-05

ten persons in thousand who have SO much as heard
a great financial crisis in Europe and America.
In spite of all tho assertions Of the Conionnel how
ever it Is well known that system Of government sup
port aid of private credit has been rcsorted TO- which
taxes its energies to the utmost, and which nothing
but the possibility of speedy return to better state OF
affairs enables ii TO sustain
The London Money Market.
TRADING CORRUPTION AND IT'S CONSEQUENCES IN
ENGLAND.
from the London Times fCiy Artce), Dec. Is ]
The suspension has been announced of the hartford and
Gravesend Bank of Messrs. Jonathan Hills Sous. II
was established about rs years back but its liabilities
believed to be comparatively MISUNDERSTANDING not
exceeding $40 600. 1t was not bank OF issue.
The failure of Messrs William Cheesebrough Son, one
of the largest woollen firms in Yorkshire has been de-
nitively announced oday in the following circular 1t
is feared this will bring down many smaller houses:
BRADFORD, YORKSHIRE Dec. To-
GrsrIENEN-In Of the embsr OF
tain mercantile houses in which we heavily Interested
nec,ions to Suspend our payments We deeply regret the
necessity for this most painful step but belle wing confidently
the Indulgence Of creditors until staemen; Of our
hands Of an experienced pubic accountant report
% Be wa sa before you * 81 Sta On an
The public are asounded at the commercial disclosures
on every side Even those most for years past
with ali the great operations Of business had idea Of
The de0ee of corruption that each defeating tie
efforts Of the honest trader. The question is have they
yet any adequate conception OF the extent TO which tho
system has been carriedY Persons disposed to COM
themselves by the conclusion that every case OF de-
nquency appears in print and makes great STIR while
regularity day after day and excite no notice, There
could NOT be a greater deusion. On all hands there
a combination 10 TaIiiaie and hush up the practices that
hore been prevalent and difficult or dangerous
duty could undertaken than that OF endeavorng TO
deiea, it. Even any class o. oosetyers happen 10 De
Objectionable and suspicious features In the manage
ment of companies or firms, they can do little to
warn the community until some open default has been
committed and the final explosion AZ consequently ut
hand The forces that were drawn together at Glasgow,
consisting of the arsocracy and wealth Of Scotland,
to beat down all who might attempt 10 question the
position o the Western Bank and TO expose its vile career
FURNISHED specimen of the obstacles be encountered
and il is feet that, while that applying for
help the other banks, even the statement that these
banks wished to tpuate for winding up OF It's affairs
was widely denounced malignant libel In another
case firm whose position understood, but which had
through the help of the Western Bank Temporal
rly 10 arrest exposure. induced well known
legal house in London Ia protest agains, the
damage reckossy f" inflicted its credit by
the mention Of its name. although within fort
night Of that date was shown TO he disgracefuly in
solvent When Mr. Oliver broke down at Liverpool after
a OF speculation Ia the height OF which be bad
been presented by his admrrg townspeople with scr
vice plate, Of the leading merchants, Including
the Chairman OF Borough Bank, and, II believed,
Mr.. De Wolf, of the great firm OF DE Wolf CO. which
has lust stopped for abou, GOO 600. showing 2s in the
round for creditors, actually posted notice on the
Exchange, contradctng and sgmatzing the announce
mers as a wanion injury. If this Is the experience
in the most rotten and hopeless cases, what would
have be expected breath were uttered regarding
So as 10 allow of it's efying ali mputa,onsY The case Of
the North Of Europe steam Company, IN which warning
avert since drew forth unqualified denial from the
directors which led many persons 10 increase their Invest
at high prices will be fresh IN reooecnon The habit
is universal and - encouraged in all quarters There Is
abundant sympathy for the Spectator who has lived In
good style for years and whose position may AZ last he
que STONED but for the great OF the people,
who In consequence Of bis operations have been paying
higher prices all the Decessafes Of life: none for those
who have been tempted by high wages into ovcrstockcd
branches Of labor, and who Suddenly thrown into
desiution and for society in general, which viii
suffer through many future years from generation
IN thA haI INI
Gere 60 Is no such aiSo az 2oneS trode, and no,
he is gTeoied 'cho most egtels az ne cdmtfd',on
and ne management If fraudulent suspensions Such
is ever The Tie offender IN his distress Is tang
gble object OF pity, while the community he has wronged
eminent In relieving him, at the cost OF violating
law merely out the wishes Of the majority In these
circumstances gill be easily Understood that no; one
1.-THE Of the dolnqrcnces that now pcryadc every
branch Of trade likely 70 come 20 light There Is no
Legal machinery to promote any such object but most
extensive end almost resstlcss action the other side
The Legislature have always been too busy in mcddng as
TO the nature q obligations wheh commercial men
should be allowed 10 undertake 20 be able 10 devote time
to the Introduction Of laws TO enforce under swift and
adequate penalties the simple principle that every obga
ton once made must he faithfully fulfilled and TO bring TO
justice every who has robbed another by false pre-
fences There much display OF business IN this line
last session, bu, has apparently effected nothing The
prosecution Of the British sauk directors was
wonderful eMrt to mark the Inauguration Of
reign Of virtue, but IS understood
the experiment is never likely TO be repeated the
ccs,s and CONFUSION having been awful Notwithstanding
Ali tho po,oriety OF his case easy toprophesy ths, Mr.
stephens OF the london and Eastern Corporation, will
escsne 70 enjoy the remainder o his life the marriage
settlement acquired from the funds or that establishment
the FIRST the other directors have never even been
Threatened with prosecution II Is true the daily journals
are nowed with Developments OF cases OF sequcstaton
or bankruptcy, Of the winding up Of fraudulent con
Germs but these all exceptional, and any ono reading
the proceedings will that they merely relate 10 few
stacrers that have been caught out sf whole army OF
oss TO ssoy how the Individual nscyent was but
one of constantly extending circehow he was terri
fed into lending more money or granting further accep
him and how be In turn got from some one else
in the manager OF joint stock bank-by pur
suing similar course In pending at Glas-
gow house is shown 10 have had seventy five real
fictitious correspondents, all hsolvent like itself upon
whom bad drawn to the amount Of ESQ ooo The whoo
specfncnY Arc there not hundreds OF analogous but
adrot that might be developed on every sdo
often apparently without much difficulty, II any judg
mcn may be formed from the leading figures lately pre-
sentcd in Of the london balance sheets and
a the present crisis over, will not oil these persons
again 90 10 work. In the present state Of the law there
nothing 10 obsruct and everything TO encourage them
The belief that, notwithstanding the recent wrecks and
the ateness of the period TO which tho recr granted by
hesuspensop Of the Bank Charter act deferred the
commodaon paper still In circulation IN london and
throughout the Kingdom would present total such few
persons accustomed 10 reflect such matters would he
prepared 10 expect The remedy OF course would be 20
punish the drawers and acccpors for conspiracy TO de-
fraud. Every bill OF exchange purpos 10 have been Tor
"value received" II two men conspre 10 manufac'ure
such document and 10 pass genuine into the hands
Of third nothing be obvious than the nature OF
the transaction but Parliament perhaps, would rather
pass whole session in discussing whether they could ue
wise measures " interfere with the natural
of enterprise and direct into such channels rs
might he fashionable with them for the moment than oe
scend to so small matter as This simple apphcauon OF
the criminal law.
BANK or ENGLAND.
Iron the Liverpool limos Getty Article) Dec III
The return from the Rank OF england LOT ,ue Week Su
ing the 10th OF December gives the following results when
compared with the previous week ..
Public deposits f6,eiy352 Increase. tIpe no
lher den sits 1901 i2s Increase ...... 526.lOl