The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1893-06-30

New YoRK, Juno 2O.-The rates for
money which mounted akyward this
morning, as much as rs pOr cent being
quoted In the forenoon, broke in the
most unexpected manner about mid
day as tho result Of the action OF tho
clearing house loan committee, Which,
US has been previously pointed out, is
the same as the clearing house commit.
tee, only tho chairman Of tho associa'
tion, &. G. Williams, president OF the
Chemical Bank. is ex.otIicio mombcr
oft, and Frederick D. Tappon, prgsi'
don't OF tho Gallattn National Bank, is
the chairmrn of it, instead Of E. II,
Perkins, jr, president Of the Import
ers' and Traders' National Bank.
This morning the committee, or
rather q majority Of them, in Conjunc.
tion with George +, Baker, president OF
the First National bank, virtually
formed q syndicate by agreeing to take
out n lot OF clearing house loan Certiil'
cates for the purpose Of putting stop
to tho high rates for money aud tho
panic that virtually existed in the
money market. Some Of the banks,
the Gallatin and the First National for
instance, had neVor takon out loan Ger.
tiAcates before, and thoy had no need
To do 90 now, except for tho moral
effect to ho produced thereby. By TAX
ing out certificates, though it enables
them to lend large sums OF money
without intrenching upon the cash in
their vaults, all OF them have their re.
Quired lawful reserve Of twenty-five per
cent OF their deposits.
As result OF tho committees deliber.
alton this morning an issue oil 10000
ol certificates was authorized, and all
the members OF the loan committee
availed themselves OF tho opportunity
in proportion to their capital except
the Chemical and Importers and Trad
ors National Banks.
The amounts thus taken were as fol.
lows: Gallatin National Bank, $500, 900;
Fourth National Bunk, 81, 100000; Chase
National Bank, Sl,5O0,0O0; Corn Ex.
change Bank, $500 900; First National
Bank, S2,5O0,0O0. Total, S0,000000.
Immediately aitor the issue OF certifi'
catos was authorized, II, P. Frothing.
ham, representing some Of tho banks,
lent $3,000,000 on the stock exchange at
1.S of pcr cent aud interest, and the
rato Immediately foil TO per cent, Ot'
terwprds increasing to l9 per cent, and
then falling at . o'clock to . per cont
Mr.. Tappan, president Of tho Gallatin
Bank, frankly admitted that his bank
had taken out half q million dollars OF
loan certificates, but declined to state
tho names OF tho other banks that had
done 30 In accordance with the rule
OF the committee, however, ho snid tho
committee had to-day authorized tho
issue OF S0,0OO,OOO Of certificates, which
made about Sl5,000,0O0 issued alto
gother.
In explanation Of to.day's action, Mr.,
Tappcn said: mo money was to bo
obtained this morning at any price, and
the COMMITTEES thought 1t was time
something should bo done. This bank
took out $500, 900 Of cct tidcates, not be-
cause wo needed them, but to break up
tho high rate for money. 0thor banks
took out largo amount, but you must
got the names from them,
Mr.. Simmons, president OF tho Fourth
National Bank, said: 'This bank did
not need the certificates or money, bu!
II seomCd to mo necessary that some
action should DO tOken to givO roliet Ia
tho pressing denanda Of tho merchants
and 10 stop this unreasonable money
panic. This morning our cash on hand
aud our call loans exceeded 10 per cent
Of our deposits"
Tho stock market enjoyed boom in
prices 40 result Of the clearing house
committees action mud tho rcltOt was
general, ~
The condition ol affairs in Philadol'
phiu banking circles In connection with
their accounts with banks In this city
10 which attention was called In thosI
dlspaiChes couple Of days ago, 10 bG
coming moro marked, According Il
adviccs received lrom Philadelphia thil
inorning, Now York exchange In thai
cILy ia al a premium OF - for Sl,0OO OF
Laii cent ON the dollar Several inrgt
Lanla IN this city have largo balances
owinp 10 thon by Philadelphia
bnuks, whilo tho iattor arc unable
tn rOinlt on account OF thoir In
Rbillty to procure Now rkoxchangC
or currency ono bank In this city has
$50 900 ilod up IN Philadelphia In tha
way; another has SG0O,OOO and another
s6OOOOO, aud tho question Is becoming
n sntiuus ono. UulosB tho Philadelphia
hanks remit this wcrk, II is probnblt
according TO somo New York bankot
tint Discount will DO charged on al
iGilalnlphin exchange received iron
drnlprs hero. ono case Ia known whor
largo discount was charged for II cheeI
Of 100000 1t being q special trnnsac
ton. --..--..--.
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