Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1885-04-05
NORFOLK QUITTING DOWN.
RE sIrvzTIoN YESTERDAY

THE SIT0ATiON YEoTEhDd1s
oshes BssEs Dissssstiss ~ ususi-whst .
L<assAs paskss sass-The Crash Fsss'
seer.
tCorespoudeEce Of che Richmond Dispatch
NORFOLK, April 4, 1885.
The excitment caused by the sus-
pension Of the banks has subsidized en-
tirely, and the outsider would see mo-
thing in the conduct Of our people TO
indicate that they had passed through
. crisis, but the trouble is not at an
end. The city's business has been
shaken to the centre, and 1t will take
time to recover.
So far ~ the other banks are coz
cerned, they will be the gamers BY the
suspension Of the Exchange, ~ OF
course the business Of this bank, which
was fully one third Of the business Of
the combined banks Of the city, must
be distributed through the other banks,
and already many new accounts have
been opened. These banks have plenty
Of money, and there is more money in
the city to-day than ever before in the
history Of the city. II was brought in
yesterday in bales, and all the banks
are flushed.
Ihaye just had a talk with promi-
nent banker, and he speaks encourage
ingly. He says the banks knew several
days beforehand that the Exchange was
in bad way. Indeed, the Exchange
had called On the other banks for help,
and they had agreed to put up 5000, 900,
so that when the crash came the banks
not only had their usual funds, but
each some 100000 additional.
There was nothing Of a panic, as that
term is understood. That is to say,
the Exchange did not fail by reason Of
run on its deposits, but by the mis-
management of its officers.
Business with the banks is quite
active to-day, and in a purely business
way they are discounting as usual. No
failures are reported as yet, and it is
hoped that ali will be able to tide over
the storm.
The other banks in the city have al
ways been on terms Of confidence with
each other, and know pretty well how
the business Of each stands, but the
Exchange was the big bank, and kept
its secrets. Even the clerks in the
bank knew nothing Of the true condi-
ton Of things, it is said, and were as
much surprised as the outside public
at the closing Of the banks doors.
The Exchange does not make the best
showing in the world, and the greatest
surprise is expressed that the Bains
were allowed to run such large ac-
count. 1t has now been ascertained be-
yond doubt that this one concern owed
the bank Sl,28l, 900, most of which
was unsecured. Finally, as stated yes
terday, they put up $4,000 in
securities--Southern Telegraph bonds,
Meherrin- Valley railroad bonds, and Sea-
board Compress stock-none Of which
begin to represent their face value,
About one third Of the balance was not
endorsed.
The Bains estimate their liabilities at
81, 900, 900, but still do not know what
their assets are worth. The position of
Mr.. George M. Balm, late cashier Of the
Exchange, is most embarrassing, as he
stands between two fires-the deposit
tors of the Exchange and of Balm &
Brother, of which concern he was
partner. lie is completely Frustrated
and not able to talk. IL he assigns in
favor of the depositors Of either con-
Germ he will bring upon his head the
curses Of the other.
Mr.. r. T. X. Balm has assured csm-
mittee from the depositors Of Balm 4
Brother that he and his brothers will
assign all their property, real and per-
sonal, in favor of their creditors on an
equal footing, and that they will sub
NIT a report of their standing as soon
as possible.
The United States officials have been
engaged to-day in examining paper sent
to the bank for collection, and all such
paper will be returned to the source
whence it came as soon as it has been
collected. Mayor Lamb gives notice
that all valuables, bonds, &C., deposited
in the bank for safekeeping only will
be returned to the owners at once.
TWAS feared that some concerns in the
city employing large forces of laborers,
&C., would not be able to pay off to-
day for the weeks work, but no such
trouble is reported, and altogether the
situation is much better than could be
expected.
The committee appointed by the de-
positors to-day appointed a sub-com-
mittee to go to Washington and urge the
Comptroller to allow the bank to 90 into
voluntary liquidation, or if the bank
must go into the hands Of receivers
that Judge T. S. Garrett and W. III.
Peters be appointed. ELLA.
tBy Associated Press.l
WASHINGTON April 4.-The Comp
troller Of the Currency said to-day, in
speaking Of the affairs Of the suspended
Exchange National Bank of Norfolk,
Va, that there is margin Of about
$50, 900 in United States bonds deposited
in the Treasury to secure public moneys
which may have been deposited with
the bank over and above the amount
due the Government and disbursing
agents according to the books Of the
bank at the time Of the suspension
PETERSBURG AND VICINITY.