The sun. [volume] (New York [N.Y.]) 1833-1916, 1875-09-01
THE PANIC IN CALIFORNIA.
USING THE FIN1NCIAL CRASH ron
POLITICIL EFFECT.
Unfounded Rumors to Influence the Elections
condition ofthe Broken Bnnks Yesterday
-Rnlston Believed to be n Defauiter.

Unfounded Rumors to Influence the Elections
-COnditton ofthe Broken Banks Yesterday Y
-Rnlston Believed to be n Defsuiter.
SAN FRANCISCO. Aug. 31.-Mr Sharon last
evening. IN regard TO tho statement credited to
him that the Bank OF California would resume
business, said ave are moving heaven and
earth to reopen. II Is possible and not mproba-
BILE that the bank will resume. There Is rea-
sonsble probability Of it," In reply to a uues-
tion as TO the rumors OF an overissue Of stock,
the substitution Of worthless paper in envelopes
which had contained collateral security, and
other fraudulent acts. he said :: "I know nothing
alb out IT, have not been among the clerks or
In the vaults" Mr.. Bel one of the directors, in
reply to similar question last evening, said, Il
know nothing OF the kind"
The financial situation develops no new
features this morning. The National Gold
Bank, Bank and Trust Company, and the Mer-
chants Exchange Bank remain closed.
Tho election tomorrow begins to engross a
large share of the public sttention, which Ia
heightened by contradictory reports believed to
have political significance as to the condition
Of the Bank OF California and the prospects OF
Its rcsuming.
THE BANK OF CALIFORNIA; CONDITION.
In connection with recent rumors concerning
the affairs Of the Bank OF California, respecting
the oveilssue of stock, disappcarance OF securi-
much Ia known positively, that from three to
three and a half millions OF the assets Of the
bank have been very recently abstraCted with
out the knowledge of the directors. How this
has has been done Is not known at present.
,n uho di.ectors are siil busy examining
known when the report may be ready
1t Is being stated ABOUT town, aud generally cir
culated, that the Bank OF California will posi-
lively resume business. The statement "a dill
gently used here as factor In the political
problems. within the last half hour, a personal
interview held n
nent gentlemen OF the Board OF Directors, who
saws that all such statements are premature,
that an effort Ia being made to reOTganize by
forming a guarantee fund to liquidate the
affairs OF the bank. ard afford means to resume
business, and that the responses of those ap-
prnacheu are OF an encouraging nature but
that nothing can yet be stated definitely.
RALsToN DEFAuLTER.
In answer to the question concerning the ru-
mors OF fraudulent acknowledgement on the part
OF halston, the gentleman replied: "All can
say about that Is that Mr.. RaistOn appropriated
the funds Of the bank largely to his own use"
On being asked whether there appeared to be
evidence Of intentional fraud on Ralston's
part, hs replied " Mr. Ralston got into u scrape
out"
1t is impossible at present to give any state
ment worthy OF credence as to the assets aud
liabilities of the Bank OF California. The Drec-
tors themselves do not as yet know the actual
condition OF affairs. 1t is given out that the
nominal assets are IN the neighborhood OF $lS-
$4,000, with liabilities OF about $l2,0OO.OOO. But,
from the best information at present obtalnable
sufficient to pay depOsitors over eighty cents on
the dollar, the stockholders losing everything.
Much labor Is yet required on the part OF the
Directors to ascertain the character of the
assets.
AN UNFoUNDED RrMoR.
A rumor has prevailed that Durling Bros. one
Of the most prominent firms OF stock brokers,
have failed for s2,Wo.0oO Inquiry fails to con-
nrm the report. 1t Il true that the firm is AZ
fected tc tie amount Of about half million by
TIE suspension of the Bank OF California, but II
Is believed they are able to stand 1t and Vt Is
said on good authority that Mr. Sharon will
back them up II any AID Is needed.
As indicative of the feeling In stocks, private
transactions have been made within the follow
ing figures: Ophir, 40ds43; Mexican, 16K; Crown
Point, "a Yellow Jacket, 90; Belcner, lSdl20;
Consolidated Virginia, 2s5 and California, 80.
report obtained circulation to-day that the
Burilng brothers had hypo hecated stock OF the
Bank OF California with the Savings aud Loan
society on Clay street, which proved to be an
over-issue, OUT on inquiry, the President % the
savings bank says there Is no truth In the repo :.
prominent Front street merchant in an IN
terVlew this afternoon, gave an encouraging ac-
count OF affairs among the mercantile public.
No failures have occurred among them, ana
none tr9 anticipated. The brokers also speak
hopefully Of the condition and feeling. They
are generally cheerful and confident