New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-08-12

about 10 o,aIock on Wednesday morning. They
went at once to Rothschlds agency where 1t seems
nothing was known of the event Of the day.. and
drew ont all their money. At II o'clock tho cashier
Of Rothschilds went to their hotel and found one OF
them in his ROOM The cashier was pale and ex-
cited he rushed to the American without waiting
to say Good morning. and shook the notes in his
face. Duncan. Sherman d Co. have failed. sald
he. and want you to return that money
Then spoke the American, who had locked tho
cash in his trunk 81 have MT the money about me-
and if had l would MT return it,"
"You refuse then.' was the cashiers response ;
"you refuse. ! will have you arrested Immediately"
He went down the stairs at run. Soon he re-
turned with agent of police. and they threatened
incarceration if the money were not restored. Inc
American was firm, and was taken away, but not to
prison. He was escorted to the American Embassy
where Minister Washburne told tho cashier that no
could not arrest the gentleman who happened to he
personally known to him. 'You can only seize his
baggage, and advise You not 10 do that Inc
cashier concluded he would wait awhile, apologlzed
and departed. The two Americans told me Their
story in the evening and said that business of an
imperative nature would take them TO London by
the earliest train and they have gone. know of
two Others who drew their money at Rothschilds
before that house received the of the failure
and doubtless they will do so-when they return to
Paris.
American banking credits have been nuch injured
in European ewes in the las; decade by the failures
that are known to every one familiar with Partisan
affairs Norton d Co., Bowles Brothers. Henry
Clews & Co.. Jay Cooke d Co.. and others nave not
tended to create confidence In the Americans that
establish houses in Paris London and New-iork tor
the sale of credits Many people regarded these
houses during their existence a. standing on sandy
foundation and refused to have any dealings with
them except on cash basis. The failnre OF house
so well and favorably known as Duncan, Sherman
a. Co has probably done more 10 weaken American
credit than that of all the others combined One oil
the most prominent and best known bankers OF
Paris declared Yesterday that he would have no
more business with any American clearinghouse
and think YOU will find other bankers making the
same declaration.
In the short time since Wednesday morning the
subject has been widely discussed, and several plans
have been proposed for greater security 10 travellers
credits One gentleman has made "A suggestion,
worthy of consideration at all events. IL Is TINS ::
Let the present system by which the holder OF a
note of any of the National banks Is secured by the
Government he extended 10 the issuing OF credits
| Let credit notes De printed and issued from the
| Treasury to certain authorized banks who have
deposited the necessary security, just IA they de-
| nost sccyrity when they receive their notes. These
credit notes would be good all the globe, Just as
the hankers' credits are supposed 10 ne good now.
but too often turn ont dellso tnliik inc mat
ter is worth the attention OF some Oh oii hlahcIeis
who direct the affairs of Congress Ii IS certain that
| such system of credits would be highly popular
| with travellers.