Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1873-09-26
THE MEMPHIS PANIC.

The scenes of yesterday will long be
remembered by all who we're on Madison
street in the forenoon. The closing of
two leading banks was succeeded by an
indiscriminate rush upon some Of the
others. The crowd was so great about
the Union and Planters that strong
squad of police was sent TO preserve
order; and while the mounted members
sat like videttes in front Of the curbstone,
two policemen kept order at the door
This only lasted an hour, when quiet
and confidence were somewhat restored.
The DeSoto Bank had made ample ar
raugements for all expected contingen-
cies with correspondent in New York,
which Of course were not available with
in the last few days. The assets of the
bank are abundant, but not convertl-
BILE at once into currency. The bills re-
ceivable on hand amount to twice as
much as the accounts of depositors, yet
these resources amounted to nothing
when sight exchange in New York was
worth no more practically than so much
brown paper. The bank is an old insti-
tuition, with a charter giving extraordi-
nary exemptions and privileges, which
were extended for a term of years by
the last Legislature. 1t seems to have
been conducted within the rules Of safe
and legitimate banking at all times.
The suspension resulted from a want
of currency to weather the storm,
which is sweeping all over the country.
1t originated in New York, and the
closing Of the doors was deemed more
prudent while some funds yet remained
in hand than to wait until every dollar
was exhausted and then be compelled to
suspend, We can say Of this bank, as
of others, that if the country does not
go to ruin and everybody fail, it can re-
sumo at no distant day on a secure bs-
sis. IT. however, everything goes to
pieces and bills receivable " should
still go a begging, there is no hope. No
one can see far into the future, nor could
the most clear-headed fnancier antici-
pate the present crisis three weeks ago.
The unfortunate depositors Of closed
banks will have to await Developments
as best they can. The country seems to
be going TO the bad as fast as the most
vindictive John Bull could desire. But
we have faint glinting of hope that
after this disaster will follow reform and
prudence, and that We will have less
credit and more economy in private as
we'll as public affairs, when people will
learn to live within their incomes and
be satisfied with safe, regular business
rather than rush into all manner Of
reckless speculations. The productions
Of the country are the real basis Of all
values, and not fictitious issues Of paper
money, to be redeemed, il ever, by the
sweat Of toiling millions who pay all the
taxes at last The banks in this city
which survived yesterdays shock will
probably stand any test that may be
made Of their stability. The Union and
Planters Bank proved nssii to be
solid institution, and has the confidence
of moneyed men, for al the hight Of the
excitement yesterday they received
large deposits voluntarily made. The
= otal amount checked out vas about
81 81. 900, but $4,000 was deposited be.
fore ,he bank closed. Ample arrange
n.nts which began many days ago,
have been made for any contingency
that NAV arise. There is not likely TO be
such . run again. but should 1t reeur.
the bank is believed 20 be able 10 pay
every dollar that can Be demanded and