The Emporia news. [volume] (Emporia, Kan.) 1859-1881, 1873-09-26


the government, in the transaction
of its enormous business, had led
the public to assume that the house
was impregnable. It held a place
in the financial affairs of this coun-
try almost equal to that of the
Rothschilds in the affairs of Europe.
The firm had wide and varied
connections at home and abroad,
and many institutions which are
large repositories of individual
funds are so closely linked with
them that their failure had dis
tressing effect everywhere. Five
savings banks for freedmen, two
national banks, one bank in Canada,
and six banking firms In other cities,
had confided their interests in New
York to the keeping of this partner
ship. They were also the promot-
ers of the Northern Pacific road,
and their transactions, immediate
and contingent, with and for this
company, were the primary cause
of the suspension. Right here it
must be mentioned that the known
loading-np of houses with unpro-
ductive railway shares and bonds is
the cause of great alarm, and is of
itself enough to produce financial
disasters. The general condition of
the country is healthy. Foreign
trade is good the crops are prom
ising. The season has arrived for
moving the harvests and for the
great yearly purchases of the coun-
try merchants, Money, however,
has been difficult to procure for the
legitimate enterprises of ordinary
business, while it has been freely
loaned on the securities and collat-
erals which Wall street loves not
wisely but too we'll. So when the
crash came the causes leading to it
are manifest, and men exhort each
other solemnly to change of heart
and of base, and then return quick
ly to the old and evil methods of
doing business. Wisdom, alas! is
not learned by experience. That
there is 70 loss by the failure of Jay
Cooke & Co. to the government, is
the assurance of the Secretary of
the Treasury. The Syndicate, he
says, have no bonds in their hands
except what they have bought and
paid for; and, in fact, there is bal
ance in their favor in the Treasury
on the purchase of bonds not yet
taken up.
There are remarkable financial
dates in recent history-the Black
Friday, September a, 1869; the
Blue Monday, October 8, 1871, after
the Chicago fire, and the panic day
last Friday, The days to which we
have referred were days of disaster /,
but how soon the community rail-
he'd, and how steady and firm was
the public pulse after the brief stay
of the delirium! But this disaster
has continued for several days, and
no one can tell where it will stop,
or how soon the country will rally
from the shock. All feel that there
must be an end to the ways of Wall
street. So long as the lessons
taught by an overruling hand were
confined in their results to that
street the public feeling was COM
paratively unconcerned, but the
waves of disaster are reaching out,
and the whole country feels them.
There must be change. The days
of the gamblers and sWindlers must
have an end, The country stands
on o financial volcano, so long as
dishonesty rules the financial GEN.
tres, as it has for years.
Following the excitement of Fri
day, thirteen other banking houses
in New York Immediately suspend
ed, among them two or three of the
best known institutions in that city.
The excitement at the stock ex-
change beggared description. The
scenes of "Black Friday" were re-
peated, and there was q heavy de-
cline in all railroad stocks. The
wealthy men of two days before
were ruined. 1t is believed, though,
that many of the firms can resume
after the panic is over, as they have
ample assets to dose.
On the 10th the doors of the stock
exchange were closed, and opera
tons on the street prohibited on the
penalty Of expulsion. Secretary
Richardson ordered the purchase of
$40, O00, 900 in government bonds, in
order to stop the crisis. At half
past ten 9. m. the Union Trust COM
pany suspended and g report reach
ed circulation that its cashier, Chas.
T. Carleton, was q defaulter to the
tune of half 8 million of dollars.
This company is reported to be
sound. Many other suspensions are
reported in New York, Philadel-
phia, st. Louis, Canada and other
points.
Sabbath, the day of rest interYen-
cd, and It was undoubtedly q true
day of rest to the bankers of New
York. On Monday better feeling
existed, and it was telegraphed
over the country that the crisis had
ended.
Tuesdays dispatches, however,
changed the tone of the news ags In,
and the announcements that the pam
ic stiIl continues the mostimportant
failure that day, Was that Of the |
we'll known firm of Henry Clewa 3 |
Go. this tended greatly TO revive
he excitement. The firm paid ST.
go. goo in legal tenders to depositoFs