The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1873-10-14
The Suspension q Henry clews s

Co. s1f
1 This house have issued their regular
monthly circular tor October as they
were in the habit Of doing each month be.
fore the panic. In 1t they allude 10 the
causes that compelled their suspension.
Mir. CIEws publishes letter that he wrote
to the Secretary Of the Treasury on the
18th Of September, warning him that q
panic in New York was close at hand un.
less the Government acted decidedly in
relieving the money market. To this let
ter he says that he had no acknowledg.
ment. The following is an extract from
the circular: .
When panic has once fairly set In, ac-
companied with run upon deposits, ev.
cry banker has the alternative OF real.
izing upon his assets al heavy sacrifice,
In order to meet promptly the demands OF
depositors, or Of declining 10 pay and
holding his assets intact. The latter
course was adopted by some banking
houses upon the first symptoms Of run.
Our views Of the claims ol our depositors,
and our cash resources in hand, induced
US to take different course Our money
balances being large, we deemed II proper
to meet every demand so far as our cash
in hand would permit, and so long as it
was possible to procure money upon COL
laterals. We followed this course without
wayering, until 81, $50, 900 Of deposits had
been paid; but, at that point the banks
suspended currency payments, and the
prevailing condition o!utter diStrust made
II impossible 10 convert our assets into
cash or otherwise procure money upon
them. The suspension Of the banks, we
regret to say, made our suspension inev-
liable. We have the satisfaction, how
ever, Of knowing that o larger percentage
Of our whole deposits were paid than In
the case Of any other banker or bank
upon which the panicky demands Of de-
positors were made, .,,i,. ua.
II Is proper 10 allude 10 the Iact that the
Clearing House banks, by their making
common cause with each other, have o
means OF resisting q run which private
bankers, who stand upon their own re-
sources, have not. 1t Is In view Of this
fact that we have always deemed It pro-
per 10 hold large balances In cash; and
this policy has been justified by our ability
70 meet such heavy and sudden drain
upon our deposits.
1--WE do not profess 10 have held our.
selves ready to llquidate all our deposits
on the instant. That Ia an impossibility
10 banking; yet 1t Is what Is always de-
manded OF banks and bankers In time Of
panic. We had hoped, nevertheless, that
the unusually large cash balance we had
provided for the convenience Of our de-
positorS would provo adequate 10 even an
extraordinary emergency; and the fact Of
its not having so proved should, we
think, in Justice be charged rather TO the
extreme severity ol the crisis than 10 our
lack OF due precaution and provision,
We entertain the hope that when affairs
have settled into calmcr condition, our
remaining resources will enable US TO re.
sumo business with the same claims to
the confidence Of our friends as we have
hitherto possessed
In the meantime, we have made ar.
rangemente, under special trust, for ex.
ecuIing any business which our friends
may confide 10 our supervision. We are
now, therefore, enabled to transact any
business conaded 10 Us.