The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1866-05-25
FROM EUROPE.
Particulars Concerning the Financial
Panic.

BY the steamship Cuba, from Liverpool 18th,
we have important news,athe general points by
| which, have been given in our kilograms The
following, however, gives the particulars in refer
once to tho financial panic:
GREAT BRITAIN.
Terrible Financial Panic.
The financial panic commenced late on Tbura
| day afternoon OF the 10th, in the suspension of
| Overend, Gurney & Co. The business was con.
verted in August last into limited liability com
Pany, with nominal capital Of five million ster-
| ling, OF which a million and half was paid up.
The Iabilities are stated at from ten to twelve
million pounds sterling. The break down is at
| trlbuted to heavy speculative sales of shares
which forced them down from ten premium to a
discount ,Depositors then began to get alarmed,
o.t; ana tno cram on the 10th was worry severe. APP
| Phcation Ior assistance was made at the Bank of
England, but the governors declined to give any.
on the ground that it would be vain in a crisis
like the present to assist one establishment un-
less they were prepared to help other applications
as well. 1t was too late to make call on the
tSe take any other stop The doors
The failure does not compromise the Gurney
Bank at Norwich.
On the following morning Fridsy the 11th) in
tense e1ctement prevailed in the financial circles
OF London, Liverpool, and other centres, and bu-
| siness was almost suspended.
The Times Of the 18th, in it's city article, says:
| "Ihe Bank OF England yesterday raised the rate
OF discount from to per cent, and charge for
special advances to 10. The pressure even at
these terms was enormous; and it was only on
| unexceptionable bills that an accommodation
| could be obtained Meanwhile additional and
most serious disasters were hourly announced
the English Joint Stock. for fsoO, 900 sterne Them then
came that of Petto & Belts for four millions ster
ling; then that OF w. Shrimpton, railway contrac-
that the Imperial Mercantile Credit Association.
whose paid-up capital is half million sterling,
and the Consolidated Discount Company with q
paid-up capital Of quarter Of million of ster-
ling, must, with extremely: heavy commitments.
pass into liquidation. During the day the most
intense anxiety was manifested to ascertain if
and bankers to represent to the Government the
extent or the crisis, and false notification in the
STOCK exchange to the effect that an extra issue
or bank notes to the extent Of ten millions had
bound in prices"
Later in the evening it transpired that the Gov
ernment had resolved to suspend the Bank Char
ter Aot.
The assets of Peto & Belts, even under the most
depressed circumstances, are estimated at five
that In short time proposition for the adjust
ment OF all claims can be submitted.
ESsry S one Will hope that this may be the case,
nently among those who have carried the fame Of
English enterprise to all Parts Of the globe, while
sections among their countrymen:
II 10 already known >hss eovo-ai EAiIares sa.uux
approaching hslf.monthly settlement on the Stock
Exchange. A large number OF country bankers
were In London to confer with their London
runs: Rumors were circulated In the course Of
the day OF q severe run on the bank Of Barnett's
a4Sres' ,aonbuTy o., but they were entirely
or three other banks, and being well met soon SUBJ
sided. Both in London and in the country ample
preparations were very generally made for such
In the Liverpool ootton market there was an in
creased panic at the commencement on Friday
but less unsteadiness at the close
MaDche9tar N Iaka
Glasgow the iron brokers resolved to suspend
business till Monday.
In the produce markets at London prices were
| almost wholly nominal. Taking into account the
| depreciation that has simultaneously occurred in
English funds, railway and foreign securities &C.,
since the beginning Of the year mny be considered
to reach one hundred and thirty millions sterling.
to say nothing Of the Losses ON cotton, cotton
goods, iron and other articles.
THE ACTION OF THE GOVERNMENT
The action Of the Government was announced
IN the House OF Commons on Friday at midnight,
| by Gladstone, who had been engaged all the eve,
ming in computation with bankers and others, who
represented to him that the panic in the CITY was
without parallel in the financial history Of the
country. -.
| Mr.. Gladstone said he had addressed lettar to
che Bank of England to the effect that il thew
should find occasion to afford relief to the wants
| OF legitimate commerce, and make such advances
amount allowed by the ACT, the aoyemment enf
recommended them not to hesitate in doinn 40
and undertook, In the event Of that contingency
to make imm.diate application to Parliament for
The Times, in an editorial, says "If anything
can !Istity the suspension Of the Bank Charter
on Friday may excuse the step, although We be.
1 lieved the rein of terror was approaohino
its end, and would have speedily ceased had
| no infraction OF the bank law been permitted
Even now 1t b probable the license allowed to
The bank viii not be used. It cannot however
be denied that about midday yesterday, the
tumult became route. The doors Of the most
respectable banking houses were besieged, moro
perhaps by mob, actuated by . strange sympa-
thy. which makes and keeps o mob together than
| by the creditors Of banks, and thrones heay1ne
and tumbing about Lombard-street made that
narrow thoroughfare impassable Such excite
ment on all sides has not been witnessed since the
great crisis Of 1895. Each man exsggeratedt the
suspicions OF his neighbor, and until report, ct
that time unfounded, was circulated In the after
bank directors to issue ve millions additional in
notes, it seemed as If the fear and distrust of the
commercial world had suddenly become bound
less. The statement was baseless at the time
but served to allsy the panic which had no solid
foundation. Even the announcement Of Peto's
suspension did not revive the panic In its 6rss In
tensaity, ana i the S statement Of other stoppages
The Times adds: eve need to be persuaded
that had the Government stood firm the nanic
would have subsidized itself and II, as we Are to
1 expect, confidence will be speedily restored va
shall attribute 1t to natural causes rather than to
the interference OF the Executive Governments"
| Inc DAILY News spplaudg the wise and pron,nt
eotion OF the Government. It Says: "Durinr iii.
until the amount exceeded four rniIliona aterIinv
The effect to re1noa Tho rs.,I. .AAh.