The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1875-09-04

customers OF each ARD buying 81 Selling "a the case
may be- For instance, II tho customer OF one bank 10
buying he takes his money OF that bank and pays II
20 the customers Of another bank who arc selling and
takes larger volume OF coin TO do the business when
| the market is active than when II s stagnant.
RELATIONS BKrwRKa FLOOD o'BRIEN AND THE BANK.
kBPoRrER-What truth is there in the rumors con-
Meeting the failure Of tho bank with tho hostility OF
Flood 40 Brton To the institution
Mr. RALsToS-There is no foundation for them. our
relations with Flood oBren have been very cordial
and they have treated us in a friendly way Individ-
ually too, friendly terms and this talk about
enmty jealousy or anything of that SORT so far as We
know, Is utterly lAlso.
THE AUGUST or THE RANKS DEPOSITS
REroErER-What has been about the average deposits
or the Bank of Californian
Mr RALsTos-From $40, 500 900 TO $13 500 900, and
tho met OF their being so large operates against us at
time like this With bank Of small deposits II don't
amount TO much, but take bank like ours and what Is
$500 900 5000 900 600 600 II don't amount TO
anything in proportion TO the total
REPoRrER-Were your loan and discount transactions
Mr., RALsroS-Ther amount was from 50 COO 900 to
Sl3, 900 600
REpoRrER-How much was drawn out of your bank
today
Mr. RALsTos-we paid 81, 400, 600 over the counter
REroRrER-What time did The commence?
Mr.. RAISrON-AbOut one o'clOck-or rather, IL
thon noticed it, II had been going quietly all the
morning but IL was not until one O'Clock, or there
abouts that they began TO come up to the counter six
or eight deep. BY two O'Clock tho bank was full and
they began to crowd the sidewalk in front OF the
but it like pouring water into knothole, saw
that il no TO hold out that we could not
weather the storm, and, knowing that face the
music, at about twenty-five minutes TO throe had the
doors closed
now THE AFFAIRS BANK TO SETTLED.
REPoRrER-I understand that there has been some
talk of assigning all the assets of the bank TO Michael
Reese, J. B. Haggin and William Schollc.
Mr. demonstrating Of the kind will be done The
matter discussed by us as to whether or not we
could do it, but we were advised by Mr. Wilson, the at
torney for the bank, that it would not only be ilad
visod, but that il could not be done under our laws.
REPoRTER-Wbat, then, can you do In this dlrec-
ton?
Mr. RALsroy-The majority of the stockholders
appoint trustees to close the affairs of the bank or
put tho institution into bankruptcy. We shall make an
offer get the majority Of the stockholders to appoint
trustees with power TO go and close up the affairs Of
the bank. purpose giving my undivided time and
attention to it until the last picayunc is collected and
disbnrsed give you my personal son assurance that
and the stockholders will get handsome dividend be-
sides.
RnPoRrER--what about your bills of exchange? They
won't be paid, supposeS
Mr.. RALsToS-0h, no. Our people in Now York will
be instructed by telegraph to close their doors and not
TO pay anything.
Ex-UNrTED STATES SENATOR LATHAM's VIEWS
During the afternoon OF the bank failure Mr. Latham
consulted of the oracles of California street
whose opinions financial matters worth know
ing He stated that the report that their bank had
fused the checks of the Bank of California deposit
was untrue After the bank suspended they did refuse
them He gave various for tho tightness in
tho money market He said that So 900, 900 was
used in moving grain, of which onothrd had passed
through their own bank Twenty-Five millions in gold
had gone East since January against So 900 last
year great deal Of money had been sent East to pay
for material glass &c. brought from the East and used
in the Palace Hotel and various other new buildings OF
the city It also currently believed that great
deal Of money locked up by parties in tho city but
he did really know whether true not Money
was undoubtedly very tight Their own financial CON
dition good and he expected to be able to weather
any storms that might arise. The London and San
F%ncsco Bank entirely outside of the stock bust
n, S. and he had not himself purchased share for
Indefinite period.