The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-07-24
THE MONEY CRISIS.
SIOppaRe of the Birmingham Banking
company - Two Millions of Pounds
Sterling InVOAVed.

SIOppage of the Birmingham Banking
company Two Millions of Pounds
Sterling InVOAVed.
Birmingham (Juty 49, night) telegraph TO London
Times.
just now (nearly midnight) it has been deter
mined that the Birmingham Banking Company
will not open its doors tomorrow. 1t had
three-iourths of the business of the trading com
munity of this district, To say this is to give
some idea OF the irIghttul results which must
ensue from this calamity.
At this late hour we cannot enter int the
details of the circumstances which have led to
this disaster. II has arisen out of the lavish
advances made Jew years since to one in dl
vidual in particular, and to many engaged IN
the iron trade. The subjoined letter, from the
general manager contains the only particulars
OF this fearful disaster which we can give at this
moment:-
TO THE SHAREHOLDERS OF THE BIRMINGHAM BANK.
ING COMPANY.
Gentlemen-Bv order OF your directors it becomes
my painful duty to inform you that OWING to gross
past msmans cement recently discovered, they nave
aimed heavy losses, and larse amount OF CAPITA
ha, been locked up in securities that for lme
cannon be Iealzed Under these circumstances your
directors have been compelled to close the bank.
While expressing deep sympathy with creditors. 1t
IS Eet necessary for me to say anything more than
that their claims are perfectly safe, put to you am
that although the whole OF the reserve fund is lost
poi il0n OF the paid-up capital will remain If the
estate is realized with care and economy. / am,
THOMAS F. SHAW, Manager
The amount of the deposits is about $500, 600.
Probably the total liabilities are f2, ,000 900.
The number of shareholders exceeds 800. The
company was established in 1929; its paid-up
capital at this moment is O little short of
f2S0, 1000. Contingent depreciations and reserve
fund at the last report in February f200,0 900.
They are f20 shares, paid up, bnt on the original
shares no more than "a IS Cd. has been paid up.
The dividend and bonus of late years has been
&2 per share annually.
Less than two years since the capital was
increased by the issue of 10000 new shares OF
Gl0, paid up at Gl0 per share premium. At
thai time the price Of the shares was ETA.
Within the last few months gradual decline
has taken place. Yesterday the shares sud
denly ran down to 20; to-day it began to be
talked about that all was over but very few
people believed it. The shares were sold at Is
IN The course of the day.
The stoppage Of Atwood & Spoouer's bank
was as nothing compared with what this must
other bankers IN the town tonight, ana they
are well prepared for tomorrow; but the scene
there Will be in the town is something fearful
TO contemplate. The following circular has
been prepared
SUSPENSION OF BIRMINGHAM BANKING COMPANY.
The aforementioned banks desrOus of allevating
as much as pos IDLE the effects OF the stoppage Oh the
birmingham Banking Company are prepared 20
afford facilities for supplying the i'm mediate necessi-
BiTminO nam Town and District Bank Birmingham
and Midland Bank, BIRMINGHAM Jolnt stock Bank
(lImjIedl LlOydis BANKING Company (llmited), Ma
hOnal Provincial Bank OF england.