The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1875-09-02
EFFECTS IN NEW YORK.


EFFECTS IN NEW YORK.
GOVERNMENT ACIIoN-A PANIC IN TEE MAR
KETTLE NEW YORK AGENTs-How THE
RANK OF CALIFORNIA CAME TO GRIEF.
Wv YORK, Aug. 27.-Heavy transfers OF
goa 20 California are being made by the
treasury to-day in support of the banks of
that section. Upon official notice being re-
cefvsd at the department that the agents of
tie banks had deposited gold with the as
s,s.a..- treasurer at New York, Geographic
Instructions are sent to the assistant treas
- AZ San Francisco, placing cTediIs 10 the
resusctlve banks making such deposits IN
New York. Thus far over million
OF dollars have been transferred.
Financial and commercial circles We're
tb-,vyn into state of the greatest excite
~ ~ the opening of business by the re-
mort Of the suspension of the bank OF Cali
toruis. and for a time the utmost confusion
existed in the gold and stock exchanges,
the price Of gold rising plump TO Il4A, wnlIe
stocks declined from 70 Z points on lLee
pressure OF sales. at the opening OF the
stoei- exchange there was rush to sell, ana
for a timethe noise and din was equai 20 a
firzt-elass panic occasion. reasonably
fsfr idea of the immense business cone ana
4,e din and racket attending 1t may De i0rin-
ed when it is stated that the amount
of shares transacted registered over Sl4. COO.
The anxiety to sell at first was marked and
uricss 5ropped quickly and severely. AFTER
fbis sudden decline, however, numher o.
strong buyers stepped into the msIAe,, euu
before the board closed there wss strong
i-sllv. Lake Shore moving up 10 6O24, Nortn'
Western common to AZ; St. Pau common
To az. the preferred TO 63; Pacific Mall TO
SSIL, and Western Union Telegraph to o254.
The news of the suspension produced con
siderable excitement among the
pEPosIToRs AND CREDITORS
in, ~ oil
The Office of Laidiow & Co., the agents oil
the bank in this city, have, since the open
INC of the doors at an early hour, been
throuced with anxious inquirers. In obe-
iieuce to instructions received by telegraph,
no checks were cashed. The senior member
OF the firm was asked for information con
cerniug the condition OF the affairs of the
bsnk and of the affairs OF Laidlow q Co.,
in9enendeptly of their agency fol-
the Bank of California, hut
he replied that he could say
nothing, Among the visitors who Wera
anxious 20 obtain money for paper were
fanr or Eve Cinnamon who persisted in lin
crarino about after they had been assured
the. teeir paper could only be csshed IL
San Francisco on presentation at the
bank. Fish & Hatch say that the
interest as investors in the central
Pacific railroad. The secretary OF the con-
pany 10 this city confirms this
statSIneut, but says that the cen
trial Pacific rail road Rad an account
with the bank and had made loans from It
he had not heard that the condition OF the
bank had been considered unsouud by
BANKERS. Persons interested in the sfairs
- the hank are positive in their assertion
tbat the bank will, alter short time, Dc
able to fully satisfy all it's creditors. Int
failure of the bank of California. while
immediately caused by a deposit oT's run, was
q direct outcome Of the conflict between
Two CLASSES OF CALIFORNIA sPEcULAToRs
one OF the Bank of California party, headed
~ Mr.. Ralston and Mr.. Sharon, and thu
other headed by Messrs. Flood, OBrien ant
Hsvdenfelt. The latter party have estao
Hshed bank in San Francisco, called TIT
sank OF Nevada, with cash capital OF 80,
0l0.OOO in gold and the night TO increase IL V
son 600 COO. Incidental to this nght naV'
heen the mining properties known
az the Savage, the Caledonia, the Califor
MA the Opbir and the CONSOLIDATED Virgins
the three latter are known as the big 30
mama mines. The bank OF California 90 .
.ontrol of the stock the California was rul
-, f-OD1 sixtv to eight hundred, aud wa
Stan multiplied by i've, which would max
the highest price $50. II has since dechne'
TO So. The Ophir stock, while tney w" -a.
Getting control, advanced from % 10 iU'
5Sss ya,itiplieC by FIVE, making 200 repre-
sent 40 in the new stock. IL mas since oe
cIined to 46 The consolidated NTginl
during the process Of getting con COM Osst ~
vanced from Sc to $50. 1t was yeste
6av os7. That the hank has bee
strained of late and piDched, has oeen ev
dent to the bankers here, who have snuI iI1.
fI,ejr bills from. In fact, 10 the past sl11
Savs most OF the bills offered In mark
80. heen those Of other institution 81
$50 h, the Bank of Califcr ia.
THE INFERENCE
ms been that the Bank OF California III
nv. o.hecated securities with Il ose who le
their bills, and that this borrowed exchan
wss used to obtain the funds needed to car
ON the large operations of the ban
Among the borrowed bills which Ia
so appeared were those oSs Of tha the san 5a'
w-;.;sh North America. The amount OF
ansccepted bills Of the Bank
CsIifornia In this market sWs