St. Paul daily globe., 1893-07-21
FACTS AS TO FINANCE.
JUDGE BROWNS ACTION CREATES
COMMENT IN WASHING TON.
STERLING EXCHANGE WEAK

Louis and Kansas City-Situa-
tion in Philadelphia Said to Be
Worse General Financial
Talk.
New YORK, July 2O.-The nervous
feeling in Wall street which was so
noticeable today was said to be due
largely TO the uncertainty regarding the
identity of some corporation. on behalf
of which an application was made yes
terday in the United States circuit
court for the appointment Of a receiver
without disclosing the name of the ap-
pllcant. By direction or Judge Brown,
the papers, IN accordance with the re-
quest of counsel on both sides, were
kept private, SO that the name of the
embarrassed company should not be
diyulged. This action of Judge Brown
was vigorously condemned in financial
circles this morning. 1t resulted in the
names of several prominent companies
being suggested as the one concerned,
and In at least one case serious decline
In the price of the stock of one or those
companies resulted therefrom. Prompt
denials were, of course, made by the
ofhcerS of the companies against whom
suspicion was thus directed, but in the
absence of precise information as to
what company the application referred
to the rumors were not set at rest.
Well-snforined Bankers
and others quickly learned that none of
the companies mentioned was the one
referred to in the application. Several
bank presidents said that the action of
Judge Brown was iil-advised, because
IL might be the means of doing great
injustice to innocent persons.
For instance" said one of them,
this bank might in good faith today
discount a note of this mysterious cor
poration or accept some of its checks,
only to learn tomorrow, too late to pro-
tect ourselves. that the company was in
the hands of receiver"
Sterling exchange was weak and
lower this morning, the quoted rates
being S4.S2H@4S419. and there was
some talk heard of further imports of
gold. The subtreasury was debtor at
the clearing house this morning S451, 900,
of which about 100000 was settled IN
gold. The subtreaSury up to midday
had exchanged 100000 in currency,
mostly "fves," "tenS' and ''twenties,"
for large greenbacks and gold certiti-
Gates, and it was expected that a little
more would be exchanged later in the
day. 1t was supposed that the currency
thus obtained from the subtreasury was
for shipment TO st. Louis and Kansas
City, from which points demands for
cash were reported today by two or
three of the larger banks.
Regarding the shipments of cash to
st. Louis, the president of one of
The Large Banks
which sent out the money said that he
did not regard the demand from that
center at this time at all serious. "St.
Louis" he said, lis doing what Chicago
ought to do, namely. ral!ying to the
assistance of her neighhors instead of
boarding her cash. and like all other big
cities, it finds it has to come to New
York when its own resources run out,
st. Louis and Kansas City will soon
begin to reap the benefit of the for
WardIng of cotton, and therefore | do
not think any trouble need be antici-
pated there. Similarly, do not view
with alarm the suspension of the banks
of Denver. They are probably all
solvent. and have closed temporarily
for their own protection, which was
the best thing for them to do under the
circumstances. The threatened closing
of the mills in the East | regard as a
much more serious feature of the pres
ent situation than the closing of the
Denver Danks."
The situation in Philadelphia was
SAID by New York bankers today to be
worse. Applications had been received
from there for cash in order that this
weeks pay rolls might be supplied.
The banks which received the applica-
tiOns forwarded the necessary currency.
1t is probable that son.e of the banks i'm
this city will adopt some method this
week to avail themselves Of their credit
balances in Philadelphia. The trouble
is said to exist only at some of the banks
in Philadelphia. New York banks say
0i''V Vii0y may SA"A 80 q COtuliISolOll Ot
per cent after today on all Philadelphia
checks received for collection.
The clearing house committee met
this morning and issued $4,000 of loan
certificates to a small uptown bank.
No certificates were retired, but it was
regarded as probable that S15O. 1000
would be retired before the close of
business TODAY.