The Cincinnati daily star. [volume] ([Cincinnati, Ohio]) 1875-1880, 1875-08-27
LAST EDITION.
CALIFORNIA; FINANCIAL FURRY
Yesterdays Suspension Is Followed by
Another To-Day.
The Stock board AdJOurns I'm q
State of Excitement.

before closing yesterday, annoHnced its
at the opening hour this
No statement is made. but 1t
is understood that depositors will be
paid In full when cash can be realized on
the banks securities.
The California Stock Board met this
morning. From the first the greatest
uneasiness and confusion prevailed, and
1t was decided to adjourn till the excite
ment passed away.
There is this morning the greatest con-
fusion and excitement In all business
and financial circles.
ANOTHER TEMPORARY CLOSE.
SAN FRANCISCO, August T.-The Mer-
chants Exchange Bank closed Its doors
this morning. The Directors have pre-
pared the following notice tor the after
noon papers:
. In consequence of the excitement and
disappointment in getting coin, the al
rectOrs deem 1t for the best interest, and
the interest Of all not to open our doors
for the present.
The Secretary states the bank has
$1,000 in coin on hand; the amount La
BILE for deposits is $SO0,OO0, but against
that may be $4OO, 900 in notes. The bank
is perfectly solvent, and the, only trouble
is the lack OF coin.
GOLD COMING.
Heavy transfers of gold from
Washington are being made by the
Treasury, to-day, in the support of
the banks, upon official notice be-
ing received at the Depart
ment that agents Of the banks have de-
posted gold with the Assistant Treas
urer at New York. Telegraphic instruo-
tions have been received. by the Assist
ant Treasurer here, placing credit to the
respective banks making such deposits
in New York. Thus far over million
dollars have been transferred.
SAN FRANCISCO, August 27.-The Bank
of California closed its doors yesterday,
and the officers say that no attempt will
be made to recommence business again.
The following announcement was made /:
!.OFF1CE BANK OF CALIFORNIA,
August 26, 1875.
"The Trustees are under the painful
neces sity of stating to customers Of the
bank and the public that the bank Is COM
PEELED to suspend business. At this mo-
ment, and without reports from the
agencies, we are not prepared to make a
statement as to the situation Of the bank.
but are now examining its interests crit
ically, and will at the earliest possible
moment make definite report. By
order Of the Trustees.
!. as. +. RANKIN. Secretary"
The general feeling about town yester.
day is rather blue. The Cashier of the
n1IA T,1,e M, q
stated to gentleman, who interviewed
him yesterday, that the bank would open
lii the morning, but might have to sus-
pend during the day. This bank paid
out all it's gold yesterday afternoon, and
| a good deal of silver. II it can make ar
rangements tonight Tor coin II may be
able to ride over.
| A run is expected on the San Fran.
cisco and Merchants' Exchange banks.
A meeting OF Bank Presidents was
| held last evening to concert measures OF
relief. The Board Of Brokers have also
called meeting.
what the New York Press has tO
Say About it.
NEW YORK, August N.-The morning
papers editorially to-day refer briefly to
Yesterdays failure in San francisco
The Herald says the failure OF the Bank Of
California is one Of the most startling
financial events Of the season. Both as d
political and commercial power this In.
stitution exercised great influence, and
the effect Of the failure upon the inter
ests OF the Pacific slope must be I'm.
\ mense. 1t is TO be hoped, however, th at
the disaster will lead to the adoption OF
sounder business principles ON the Pa
citic coast than has been the rule In the
past, and though much suffering will neo
essariIy be the result, the lesson. can
hardly fail to be a salutary one.
| The World considers the failure Sc
rious affair, and though no serious runs
on the other banks are reported, and the
public has manifested neither panic MOI
is sufficiently indicated by the San Fran
cisco Stock Exchange. We may expec,
to hear that many stocks and gigantic
private enterprises have been the prin-
| cipal cause Of the suspension, and that
its effect will be felt in politics as wei
as in financial circles throughout the Pa
citlc coast.
The Tribune editorial is brief and
hopeful. It says the announcement oi
the suspension OF the bank OF California
l will occasion a shock OF surprise as il
has been regarded as among the wealth.
est Banking Companies in the country
| Il is hoped, however, that its liabilities
1 win be fully met.
The bank had connections with many
foreign houses, and was largely interest
ed In the Asiatic trade aud exchange
Its power in California and Nevada af
fairs has been enormous. Outside OF rht
Pacific slope its suspension need moi
seriously affect the current OF business.
The Times says the failure OF the banl
Of California will create much conster
naiion in San Francisco and throughout
the Pacific States and territories. This
was bank of deposit and discount or
Qanized under State laws. Directly OF
i Indirectly almost every industrial pro
| iect of any note there was connected
| with 1t.
The famous Palace Hotel of San Fran.
| cisco, an enormous structure, is among
| the speculative ventures Of Mr.. RIls.on,
| the President OF the bank, he having
nufchased the interest in that concern
i sstf hie soIa nartnar Senntor .Sharun oI