The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1879-01-22
BRITISH DISTRESS.
The Last Straw on Corn
wallis Back.
FAILURE OF "TWEEDY'S."
Glimpses Of Cornish Country
and City Life.
pzszAscr, Cornwall. Jan. 8, 1879.

PxSzANcE. Cornwall. Jan. 8. 1879.
The sanguine people who thought and hoped that
the year which is past and gone had seen the lowest
point of the financial barometer are mistaken and
disappointed-thc hand remains at gloomy" The
first week of the new year had not slipped away be-
fore another disaster fell upon the of England
the Cornish Bank. whose headquarters at Truro
in Cornwall. and whose business extended over the
central part of that county stopped payment. Sit
uated as 1t is, or rather was. with its various
branches in the very centre of the mining district
the principal industry of the county with which it
had the most intimate business connections. the an
nouncement was received with astonishment and
blank dismay for the bank established back
the 177o was regarded having Its very ounda
lions laid in safety and solidity Its proprietors
were men of the highest integrity. and
regarded as being possessed OF wealth far more
than sufficient to place them completely beyond the
effects OF panic, however severe. But variety Of
circumstances have compelled them to succumb, and
the disaster, following closely upon the Glasgow
and South Wales and West of England Bank failures.
has created q feeling of alarm which is not alone
confined to Cornwall but has made itself felt over
almost every part Of the country. From the
treme north Of Scotland to the far west Of England
Giant Ruin has stalked with rapid strides over the
island. and the distress which has followed in his
track it is impossible to exaggerate.
EFFECT OF THE FAILURE CORNISH MINING.
In Cornwall this latest bank failure has created
quite panic. for it means the probable suspension
and abandonment of OF the largest mines in the
county, followed. It may be. by poverty and ruin
TO large numbers of persons who connected with
them either as shareholders or employees. For many
years past the mining interest of Cornwall has been
in state OF great depression. and during the
year now ended this depression has. perhaps, been
unexainpled. The extensive mportatons of tin from
Australia, Tasmania and elsewhere. have had most
disastrous effect upon the staple industry the price
both of tin and copper having been brought down to
SO low a figure that many mines have long since had
to working while not few of those that have
held owe their existence to the large assistance
which they have received from the now defunct Cor
nish Bank. Among the mining community it was
known essentially an accommodating bank, and
thus it enjoyed the confidence OF most of the leading
men of tho county and had the business-good, bad
and indifferent-of ninetenths of the mines in the
central part of West Cornwall. But has
been the prevailing depression and miserably low
has been the price of metals that OF the largest
of these mines have long since been compelled to
sderaby overdraw their accounts.
-ovERDRAFTs ON TIN IN STOCK.
Six years ago the price of tin ore stood at f1O0
ton, but it gradually receded until. when it had
come down to EGO. the managers of the mines do
cared it would not pay to sell their produce at such
price. Some of them forthwith commenced to
stock their tin. borrowing money from the banks
the security Of the stock. and from that moment the
mischief commenced which now threatens to end in
such disaster for them. But the folly OF stocking
soon became apparent for the market. instead of inn
proving, became rapidly worse, and this policy
discontinued. But heavy debts to the Cornish Bank
had already been incurred. aud although few mines
have since then somewhat reduced their liabilities
we arc probably within the mark in stating that the
different mines in tho county are indebted to the
bank at the present moment in no less q sum than
f10000 II the adventurers in the mines are called
upon to make good this deficiency Immediately, or
within what may be termed reasonable period it is
easy to foresee what must be the effect upon large
and important industry already overweighted with
the burden OF depression and adversely.
THE DoLcoATH NINE
Prominent among the mines heavily liable to the
Cornish Bank is the grand old Dolcoath mine. the
pioneer of the district in which it is situated and
said to be the deepest and richest tin mine in the
world It has made enormous overdraft. and.
although at present 1t is somewhat premature to say
what its liabilities to the bank are 1t is generally be-
lieved that they not less than f2OOO0 amount
which would be nothing like met by the sale of tho
which is in stock. Such has been the immediate
effect of the stoprage of the bank upon the mine,
that between saturday, the 4th inst when the doors
were closed. and Monday. the 9th. there has been
depreciation in the value of the shares taken in tho
aggregate, of less sum than Eli 900. To have to
make good the deficit to the bank would be strain
upon the adventurous which comparatively few of
them would be able to bear. heavy call would
mean absolute ruin to many of them; and TO sell the
stocked tin would involve serious sacrifice. 1t
would not realize much more than one-half the
amount that was obtainable when the stocking first
began The only other way out of the difficulty is
thai some other bank in the county will take over
the acddnts OF the mine and become responsible for
the debt. There lie strong reason for hoping that
this will be done in more cases than one-even in
those cases where the mines have such security
10 offer as the far-faned Dolcoath. In instance
that has already been done. and should the example
be followed in the others there can bc question
that much misery and disaster will be avoided. and
that the ultimate effects OF tho failure at any rate SO
far as tho mining industry of the county Is con-
ccrnod will 10 reduced to o minimum.
rirx WEST nAnEr NINE.
west Dasset. another large and important minc
not long ago owed the Cornish Bank something like
f25,000. This has since been sensibly reduced by
of tin sales aud calls upon the shareholders;
but even now it is believed that about s15O0o ro-
tice. The West Bssset. however. has been relieved
out Of its difficulty. IN eminent banking firm vt
Pcnxance-thc Mcssrs Bohtho--hsving Undertaken
to become responsible for the amount. But there
other mines that not as yet Fortunate and
in tho absence Of any such assistance from outside.
there Is much to fear that they will have
60 suspend operations. This more particularly ap-
plies 10 whoal Basset and South Crofty. both of
which have for years been lighting hard against the
long prevailing depression. These fow facts. Alto
gcthcr apart from the suffering which viii accrue to
individual dcpositorr, who are distributed
every part OF Cornwall. and worry many Of whom had
charlottesville snna IN the bank. arc sufhcicnt 10 In
dicaic how cicss ths Interest between the bank
aud tho ccunty's most important industry, and how
overwhelming the disaster might have boon.
WHAT Tnk looks MAY sHow.
IL Is said thxs tho bank " q solvent concern, and
that whom the books to be cd-thcy have
boon placed In the hands OF London frin Of account
antsit Will be found capable of paying dividend OF
twenty shilings In tho pound But tho dcpositors
arr not hopeful Of any such result. The thing
was promised whom the Glasgow and tho West OF
England banks came to grief; but the experience
there gives no encouragement to te unfortunate dr.
positurs In tho Cornish Bank aud frightened hold