Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-03-13
ABANK SYNDICATE FORMED
To Tide an Embarrassed Institution
Over Its Difficulties,
HEADED BY THE BANK OF FRANCE.
Fund of Fifty Million Francs Guaran.
teed by the Latter,
TO MEET ALL PRESSING NECESSITIES


PARIS, March 12.-There came very near
being a big financial crash here to-day
through the critical embarrassment OF the
Societie ies Despots des Completes Courants.
Monsieur Rouvier, Minister of Finance,
consulted last night with directors of the
principal financial institutions of
the city with view of saving
the Societle, which was greatly embarrassed
by the Anglo Argentine crisis, the Object
being to obtain a sum of 10000, 600 francs
before the opening of the Bourse this morn
ing. The object of the meeting was to form
a syndicate, and the Bank of France, on be-
ing asked, declined to render assistance.
The Societie has been prominent on Bourse
dealings for the last few days. This morn
ing the Societie paid out money freely icr
several hours and it was alleged that its
difficulties were tided over, the position of the
bank being really sound
Rescued From Its Position.
Although the institution occupies very re-
spectacle position here in financial circles, it
does not hold the first rank. either in the
amount of its capital or volume ot business
transacted. While its nominal capital Is
SgQOO0,OOO, only $50 OOU.O GOO have been paid up.
Its deposits are not large, and its stoppage
would not have had 4 widespread effect.
This afternoon it trauspired that Rouvier's
syndicate advanced the 60,OC0, 600 required, hut
the shares of the company have fallen to SO
francs share, decline of $50 francs. 1t was
stated that the Bank OF France consented to
place itself at the head of the syndicate and
that tie SOciete would go into liquidation.
The following was the arrangement proposed
by which it was hoped the Societe would be
enatled to overcome its embarrassment. The
Bank of France proposed TO advance to the
SOcIete, guaranteed by suitable obligations, a
certain sum- and the Snciete makes call upon
its stockholders for S75 francs per share. Other
The assets of the Societe are to be assigned to
assure the repayment OF these notes.
Assured Against Failure.
The latest developments in the affairs of the
society prove that it is assured against any
thing like failure. The Council of the Regency
of the Bank of France has consented to guaran-
tee about 5O,OGO,0O0 francs and only the
details remain TO be settled. The real
assets are fund to be far less than nominal
OF the 100000 francs in bills, the majority are
notes on the customs for advances on collateral
security One hundred and sixty thousand
shares are owned by $500 people. The situa-
tion, as stated by friends and directors, is as
follows:
= Sight and seveu-day deposits and current ac- |
January 81 in its treasury, 100,0C0010 francs in |
paper. or in current accounts Then there was |
also sum of l000 600 of unisS7ed stock, |
which was available at call for only 80 600 had
been paid up and it was only question of the |
value of the bills and the chances of imInedi- |
ately realizing upon then that the Bank of |
France made the guarantee il has given to the |
five houses aiding the Societe.
Governor Maguin said at the conference after |
the decision had been reached: II hope we |
years" BY this expression he referred TO the |
Comptols Descompte affal: OF 1852