People's voice. [volume] (Wellington, Sumner County, Kansas) 1890-1917, 1897-09-30
Kansas Money in Demand.


Strange thugs happen in Kansas. |
Twelve short months have reversed all |
the financial conditions Of the state, !
and did it without a crash. What has
happened in Kansas since August,
1885, could not have happened any
where else so quietly. Then the notes
and papers of the farmers of Kansas
were treated with contempt and dis
honor in every market east of the
state line. Today those who spurned
Kansas are coming to this state solic-
iting that which they denied with an
insult year ago.
The Topeka correspondent for the
Kansas City Times has it from the
best authority, with documents to
prove every assertion, that some Of
the largest corporations in America
are in Kansas trying to raise money
On their commercial paper II would
be a very conservative estimate to
say that there are now in this state
applications for money On the COM
mercial paper Of eastern corporations
aggregating more than million dol
lars, and the food tide is still in
creasing. 1t is a we'll known fact
that the banks OF Kansas are over.
flowing with money and that many OF
them are refusing, or have refused,
deposits for the reason that there is
no demand for loans, and banks did
not care to accept the risk Of handling
money which they could not use.
This startling fact has been the
means OF opening up an entirely new
and unlocked for field of investment
for the surplus money of the state,
and the probability is that from now
on the Kansas banks will refuse no
money, but, on the contrary, will take
and invest it. The representative Of
d well known packing company called
at the offices of eastern brokers who
do an extensive business, recently,
stating the queer and anomalous
financial condition of the banks Of
Kansas, and presented them ninety
one lSO-day notes, each Of $500, aggre.
eating 100000, and asked them to
place the paper 10 Kansas for them.
The brokers at once saw in the sug-
gestion a splendid business opportun-
lJy, and sent letters to every bank in
Kansas, proposing to borrow every
surplus dollar 10 their vaults on COM
mercial paper OF unQuestiOned secur.
ity. On the other hand, the broker
age company in question sent letters
TO commercial institutions of high
standing, soliciting their commercial
paper, to be used for sale in the Kan
Sas market.
Thus it came about few days ago
that over fifty banks in Kansas, upon
opening letters received, found prop
oSitlOns for the borrowing of money
on the commercial paper of one of the
most solid packing companies in the
United States, as well as on the CON-
mercial paper OF other corporate en-
terpriSeS. The institutions that are
soliciting these loans are stock COM
panies, who think it safer to borrow
money on their commercial paper
than to raise money by the sale Of
their stocks. They can make more
money by dividends Oh their stocks
than they have TO pay for money Dor
roWed on their paper; besides, the
throwing of stocks on the market
would not only decrease their value,
but would, to some extent, affect the
reputation of their firm and business.
A we'll known banker of the state has
made prophecy that before January
1 there will be slO,OOO,OOO worth of
eastern commercial Taper in the bank
vaults Of Kansas.