The Portland daily press., 1873-09-27
THE STOCK PANIC.
A State of. Suspense.
GOVERNMENT REFUSES II
TAKE ACTION.
EXCHANGE BLOCKED
JAY COOKIES STATEMENT.
Settling I'm.

New YORK, Sept 26.-The police have DIS
persed all groups of persons who thre atened TO
interfere with the sidewalk traffic in Wall and
Broad streets, aud there have been no large
gatherings to-day. Since the appointment OF
the committee to effect clearances a number OF
private settlements b ave been made by brokers,
who prefer settling between themselves 10
having their business brought before the COM
mttee A member of the governing committee
said that many of the bank officers had ex.
pressed their willingness to extend the time OF
calling in loaus from members of the Elk
change for twenty days after the Exchange re-
opens, but that general misapprehens'oh
seemed to exist among them in reference TO
the proposition of the Stock Exchange commit
tee for guaranteeing certified checks. Iue
brokers simply sire that the banks refuse to
give anything but certified checks, shall receive
certified CHI cks as cash, remaining at liberty to
make any restrictions they please as to the
method of certifying, including a rule that no
banker shall certify check unless money is on
deposit
The present method obstructs all business,
not only among the members of the Stock Ex-
change, but at the Cotton and Produce Ex-
changes.
The ubTreasury has paid ort $1O0OO000 in
redemption currency certificates and $1S,OG0,000
in purchase bonds.
The Assistant Treasurer has received no fur
Their orders from Washington.
The proposed meeting of the Chamber of
most OF the members appear to think any ac-
ton by the Chamber ineXpedent.
Quiet Restored.
The Board of Trade to-day passed resolu-
ton that the Board of Directors entertain no
complaints relative to failures TO meet contracts
after to-day.
Twenty-Five banks have continued business
to day as usual, and there was no run, although
several paid ont quite heavy sums There is no
particular excitement on the street.
Cause of the Block.
1t is definitely stated that the block in the
opening of the Exchange is the Inability OF
three brokering firms to settle their old corl-
tracts, viz: Osborne & Chaplin, (Jay Gould's
brokers,) Davis & freeman, (Vanderbilt's bro
kers,) and Plume & Van Emb1rg, (John r.
Travers' brokers.) These are the three large
firms who have bought immense amounts of
stock at low figures and have found themselves
unable to pay for them.
$17,000,000 Of loan certificates have been
issued.
Every movement for relief depresses business
and there is no fuel for the panic to feed upon.
The uneasiness has now extended to commercial
circles, especially the shippers of grain and
other produce merchants, who are compelled TO
accedt bills of exchange. This phase of the
financial revelation is just begiunng to be felt.
DIR. Lennerman, director of the Mint, thinks
the stock panic will eventuate in specie pay
ments, and has issued orders for largely increas-
ing the coinage.
1t is vitality necessary to get all the old bust
ness cleared up. An application of the clear
ing house system by which only balances be
settled and sold would seem therefore the great
need OF the hour, since these balances again
could be settled without greenbacks by passing
checks through the clearing house of the asso-
ciated banks. The move of the governing
board of the stock exchange appears therefore
to be in the right direction, the chief obstacle
in their way being the difficulty of fixing the
Spttlinu Drica while the aychapua aip
closed.
Possibly the auction sales in open market for
investment might in the emergency afford
some such basis.
houses must be proved unsound, and the Soon
er they suffer the consequences, now that the
danger is over, the better for busuess at large.
Under speedy settlement the country may be
/, better for the clearing out The street has suf-
fered, but further delay will be dangerous to all
our business interests.
Opening of the Exchange Called For.
A leading financial writer says the need of
the hour is to so far settle things GU the
street. that the banks may know where they
stand and put themselves in position to resume
their ordinary mercantile functions, There has
been an apu dance of time to call in maroi ms
where their business has been with sound GUS
TONER'S and the only reason for further delay
is in the natural desire shown to put off the ia
tai day as long as possible. There has been
reason to permit this SO far as failures would
renew the pane, but it is known definitely that
many brokers must go down, and the effect of
the specific announcement though they will
produce some little excitement among outside
public has already been discontinued on the
street. The banking houses cannot go on uu-
Jil something is done towards a settlement of
the brokers accounts and if the banks do not
soon 90 on every thing is in danger of coming to
standstill.
MARI Tapley"
BUFFALO, Sept. 26.-There is no run on the
banks here. Only one hank has suspended and
financial and business circles are cheerful.
Jay Cooke n Co.'s Statement.
PHILADELPHIA, Sept. 26-The statement of
the assets and liabilities of Jay Cooke & Co at
| Philadelphia, New York and Washington has
been prepared by them, which is to be submit
| ted to their creditors. The following is a sum
mary: Liabilities $7.939,409 Is; assets, bills re-
| celvable, bank, insurance and other Sticks,
| bonds and real estate 1885,, $40 12; loans to
| Northern Pacific Railroad Company on S. 750,-
! 000 OF stock Of the Oregon Steam Navigation
Company, S.,500,000 loans to the Northern Pa
citic Company on bonds of the company 81
| O6S, 1909; second mortgage railroad bonds
stock, &c, $3.50 ,3j6 S.; total S15. 966, 212 II,
The above exhibit of liabilities is exclusive of
| 81, 70l, 1909 OF loans OF the firm, which are
| fully secured by good colltteras. The excess
of colaterals upon these loans has been esti-
| mated and included in the assets The firm ex
poets soon to submit proposition for settle
ment with its creditors which it believes will he
acceptable, although of course it will require
time in conversion of its assets. The hand
some showing made leaves no doubt of its abl-
| ity to pay every dollar Of its indebtedness with
interest and still have a surp. us of several mil
| lion dollars. A gratifying feature in the above
| exhibit is the fact that although some of the
| endorsements of the firm WEIR occasioped bv
its large advances to tn Northern Pacific and
| connecting roads. which it was carving DURING
| DpriO0 of unDrpcpdpntai nj,
| cy. Its resources outside of these advances
are amply sufficient to secure all its creditors
| from ultimate loss.
Another Baltimore Suspension.
| BALTIMORE, Sept. 26.-Wm Fisher & Sons,
| 81 South street, one of the leading stock and
gold brokers of this city have closed their doors.
| post thereon this card 1--WE Have been forced
! by the delinquencIes of our customers to sus-
| pend business for the present, until we can col
| lect from onr customers what is due us We
expect to pay every obligation in full and only
ask short time Of indulgence
Action of Banks Approved.
CHICAGO, Sept 26-Despatch4s from the
best informed sources received at the office of
| associated press in this city, from most of the
| principal cities in Illinois and Iowa, in refer
| ence to the present financial troubles in the
| east, concur in saying that the action of the
| Chicago banks in following the course of the
| New York banks in suspending payments of
| large sums of currency is almost universally
| sustained and commented by bankers and bust
| ness men, as wise and timely, and calculated
| to arrest the panic and fiud the way to relief
| them from the present difficulties
brought 10 Stan .stiII.
The failures of several National banks here
today, had the effect of bringing operations on
| change to nearly standstill, and the action of
the board in passing resolutions suspending
| the rules in reference to option sales so as to
prohibit any further dealings of that sort till
the panic subsidies brought everything to a full
stop except an occasoned settlement of trade
or cash operation.
Five Chicago Banks Suspend.