Telegram-herald., 1890-11-13
A CRISIS.
Z PAz;s i tAs St0ek Market o.
Wall Street
SssenSi B;E Firsos Faal-cscksr, tsc~-
e. = Co.s LAB tlss Esti-
msfsd Al sc Ooo ocO.

henss 4uss3aY. zaa tae atusosphsre vtll
n3w doabtless clear En Ar nenry
Nillar4 brokers. tbe Ga sad sespscte1
frm q psezsF, HoNell & Co. weFe
fofccd 20 saspend. aftsr ssFlously involv y
ing enc OF she Wall street b&Aks An
eaerm0gs iieuiastion IA the Willard
stoeks-Northera Pacific aRd North
preceded an4 followed tie
formal announcement % suspension.
aud as IN progress when tae marker
clOset
transactions In Northern Pacific pre-
fsrrea aggregated -, c01 and Il closed
on q act fall OF llss OF North Ameri.
esa over g5, 600 shases we're dealt ia. II
closed above the lowest bat shoRs
3 net decline OF s5s Northern Pacific
common vas less active, but IS down =
per cent
THIS and the two failures that pre-
eeded IL, tho embarrassment ot the
Bank OF North America, and the potent
measures adopted by The clearing house
banks Tuesday afternoon 70 relieve the
banks and the COMMUNITY Of the strain
caused By the scarcity OF money made
a dramatic chain OF incidents.
While rcal failures were taking place
on the Stock Exchange lot Of fictitious
ones were being proclaimed throughout
Wall street by rumor-mongers who
quoted the names % suspicious banks as
being unable 10 maintain their credit
The current sensationalism. so far as
the banks were concerned. had much
more invention than fact in it Yet
there was undeniable apprehension in
banking circles. Bankers would not ad-
nit this freely, bu. carly in the day there
were conferences among represen ta-
tiTes of clearinghouse banks and the
banks Of the New York Clearing House
Association determined 10 provide
against every possible misfortune and
exigency By pledging their associated
credit in behalf of every bank in the
association.
The associated banks OF New York
have available assets OF S95, 600, 600.
Against this it was voted to issue clear
ing-house certificates in such volumes
as the situation might suggest or re-
ouire. As measure of relief tho
bankers who resolved upon it are con-
fdeut that It viii at once se effectual.
There is almost universal agreement
among leading New York bankers that
the money markets rsceat range and
tightness came through artificial in
fuences. Funds have been locked up,
taken out OF ordinary business channels.
kept out OF reach-all in order TO
carry forward the bear cam paign Of de-
preston, apprehension and quotation
smashing. The provisions OF clearing
house ccrtifcates-unlimited. If need
be, up to S95, 0O0, 000-will, of course, put
to rout all these manipulative schemes.
HEAVY FAILURES.
II was just after 2:l5 o'clock D. m.
that the failure of Decker, Howell e
Co. Of A Broadway, *as announced on
the Stock Exchange. w. Nelson Crom-
we'll, the assignee for tho firm, made
the following statement concerning its
affairs late in the afternoon:
The liabilities are about SO eco 600 and tho
assets az the present market price largely ex-
ceed that sum- The Liabilities arc due almost
entirely 10 banks and bankers on leans made
in course CT business AID are well secured.
The cause OF the suspension was the in
ability OF the nrm 10 borrow the necessary
amount Of cash required IN the days busi-
ness The arTn'S transactions we're very large,
10 being necessary 10 borrew several millions
daily The Arm had abundant collateral To-
day ard It was not for lac, OF security but tho
inability 20 mike it available that caused tho
crgsA. u was simply matter OF absolute in
ability % get money on the best securities.
owl7s 10 TIC extraordinary money stlingency
nov prevailing"
Joseph r. Decker. the senior mem
Der OF the firm. said: "0ur failure is
due 10 the simple fact that We could not
get tho money to carry on our business.
We had ample assets. bat could not
realize on them. The distress which
has been caused By onr failure is not
local. It is world wide"
Tho frn OF Decker. Howell & Co. was
one OF the most prominept on the Stock
Exchange. 1t VAS identified not only
with the Willard stock but with the
Standard Oil interests as well. and also
carried the accounts Of the bicgest stock
. operating firm in Chicago at the begin
ming Of the present year tho firm
claimed to be worth S4o0, 900 in cash.
Tho suspension of c. NJ. Whitney &
Co. was announced at IL o'clock In the
/ forenoon.
The suspension OF Whitney & Co.
was by sales under the rule for their ac-
count OF 1900 shares of Columbus &
Hooking Valley and Iron Company stock
at 1874 to 15t[, 400 shares
Toledo, Ann Arbor & North
Michigan at from % 10 1874, SOC
shares Texas & Pacific, 100 shares
Michigan Central, 100 shares Missouri
Pacific and 200 shares St Paul common.
In many cases Hooking Coal and
Iron was dealt in to some extent
at e4H TO s13., and Toledo, Ann
Arbor & North Michigan az from STil
I % 401s. 80 that the loss on the 2,soC
I shares of these two stocks Is from 10 q
+ is points since May. or say an sggre-
gate OF possibly $40. 600. ooo- This Of
itself does not indicate failure OF an =
considerable Importance. though IL Is
not known yet what other securities
they are interested in or whether tbs
whole liabilities Uill BE sufficient q
cripple any other tradsrs
HELPING BANKS oUT OF TROUBLE.
+ At The close O. the market e va
earned shat three banks which wers
members Of the New York Clear "a
House Assoc alton bad difficulty IN set
tiinE ths claims of The other bank
against them Ihsrs vas bsl
saca against the Bank - Nsrts
America of s. see oos. which it Ws'
unshle 20 settle Ths ethsT bank
we're ths Norfh River sui tas Msosanic'
ssd Trsaerst Durirr the asY ths Ne
~h.rfrs sr5 Trasprs Raak n a5e So