The New York herald., 1870-03-06
ITALY
The Money Panic in Naples--Bnbble Banks
aud the OBSERVATION-DISCLOSURES OF Fugitive
Efuuuc

The Money Panic in Naples-E3nbblc Banks
nnd the Consequenccs-Arrcsty OF Fugitive
Fnanciers.
despatch from Florence OF the Goth of February
saysWe are still waiting for NJ Sella's plans; but
they will not be known until the opening OF Par
lament Every sensible Minister OF Finance &C.
knowedges that the National Bank has saved the
credit OF Italy and that It's help absolutely neces.
sary TO re-estGblish the finances.
Ihe Naples journals announce that the population
OF tnat city were IN the greatest agitation and alarm
in consequence OF the failure OF several banks, as
briefly stated by the cable. private letter ex-
plans the origin OF the oisaster thus
Gambling takes many forms and crops up every
where. AT Naples every individual with the
disposal was lately ndulging in q golden dream.
bubble nnancier started a bank OF deposit
susceptible part OF their mature The aspiration or
the southern Italian Is to get rich without any
waiting or exertion. He invests at the bank OF de.
pos5 These banks are carried on simply by offering
an excessively nigh rate OF interest TO be paid at the
END of every month aud IN some cases IN advance.
The capital can be Withdrawn option at the end
| OF the month. TINS scheme was originated by NJ.
Rufo Scla who in 1866 offered to pay the depositors
OF paper money III gold at the expiration OF three
| weeks
The Punooto Of Naples gives the following account
| OF the crlss:-
minated Their sad career by producing general ruin.
The authorities received notice lately Jnat NJ Scla
was preparing manifesto to the following eject
Payments having extraordinarily augmented and deposits
diminished he was under the necessity Of asking for more
tne Tor reltnDursemen
That announcement, in fact, signiled that no
funds existed. The banker, on being pressed con-
fessed that his liabilities reached the enormous
figure OF Jorty millions OF francs, ana that
mis- assets hardly exceeded one. thus then
IN only OF these famous establish
ments deficiency existed OF thlrty-nine millions.
NJ ocilla was III consequence, detained custody.
He mas made some avow ais, the detatls OF which
not thoroughly known, but which have led to FUR
ther measures against the other bankers. Agents
have been sent by the authorities TO the various
Establishments and the assets and books have been
seized and the clerks arrested that at this
moment at least twenty OF the persons engaged
in this brancn OF business under lock any key.
What the liabilities OF the Costa house be Is not
known but probably they VIII exceed eight millions.
The others VIII certainly be less, but they may be
estimated safely TO form total OF from nifty to sixty
millions.
The Ptcc0tO Gt0,7sdie, OF Naples enumeraes the
following arrests OF financiers:-
Nj. Corvino, at the railway station, at the moment
was said to have escaped in the morning, was
caught about four O'Clock with 150,000i on him;
M. Coppolo cashier at the LAMA bank; NJ Catalano
had just dlsbursed 145,000f wnen he was requested
to go TO the QuHst0rs Office. lie was detained there,
after having avowed that he paid interest and re-
Imbnrsed former deposits with new Ones M. Buon-
goinf was also taken into custody alter his sale had
been seized; NJ. Lattanzi has experienced the same
fate. The authorities nave not been able to proceed
against the others, who have not yet been caugn
in fagrdnte delicto or swindlng or fraud, they
pay regularly.