The Montgomery advertiser., 1907-10-26
NEW YORK PASSES
 TRYING DAY
fcestl.uea frsn P.Ee one.l


 issues occurred in 1873 ana 1884. The last occasion on which they were used was in 1893. The clearing house cer- ffflcate is practically guarantee byaH banks in the clearing house that the certificates shall be redeemed at par, but the clearing house banks are pro- tected against loss by the Tact that first class securities, either commercial -p paper or stocks and bonds. are re- uuired before the certificates are is- sued The certificates are used only be- tween banks. They do not appear in general circulation. but by relieving the banks of the strain of large debit balances. they enable them to keep their cash reserves comparatively in- tact
 If is believed by competent bankers that an issue of s50.0o0, 900 will be the outside requirement. at present. It is believed also that the mere fact that they are to be Issued will SO far re- store confidence that runs upon banks win cease. so that it will not be nee- essary to keep certificates outstanding for any considerable time. Already the strong city banks are receiving large deposits from persons who have withdrawn their money from institu- tions which have fallen under suspi- cion. This does not preclude the fact that considerable amounts have been put in safe deposit boxes and thereby withdrawn from circulation. but 1t is believed that renewed confidence will cause the return of this money to the banks within a short time.
 Imports of Cold.
 Late in the afternoon q favorable light was cast upon the prospects of imports of gold by a sudden fall in foreign exchange. The market has been practically at a standstill for sev- era1 days with large offerings of bills and few takers. This afternoon. how- ever, the rate dropped to 4.s5, which practically makes imports of gold pos-f sible at profit. Leading bankers and foreign exchange houses have been looking for this development but hard Iy expected that if would come so soon. The tide of gold. once it sets on~ the way will undoubtedly reach a large volume, in view of the considerable ainounts due this country for the out Goins crops and for securities.
 While the present market Is one to encourage the general public to buy American securities, fhere are always shrewd observers in Europe who are disposed to buy at times like the pres- ent and some of them have been in the market during the past few days. It will be possible even by the process of loans to transfer a part of the burden of carrying stocks from New York to London and Paris, but this has been lone thus far to only a limited extent.
 The fact that sfe banks and the stock exchanges will be open for busi- aess but two hours tomorrow and that Sunday with all its opportunities of calming public sentiment will inter-, vene, added to the more hopeful view taken by leading financiers tonight. will do much toward clearing the financial skies before next week.
 At meeting of the directors of the Lincoln Trust Company tonight. Louis Sterns a director, was authorized to make the following statement; stThe directors of the Lincoln Trust Company are justified in statin@ that the company is in a position to meet every demand that may be made upon it, and that the company is in a strong CT position tonight than any day this week. Furthermore, the withdrawal of funds has beenlless day by day."
 At a meeting late today. the direc-. tors of the Knickerboclxer Txust Com pany appointed a committed to take steps to bring about a resumption of business. The committee later an- nounced that an agreement providing for the deposit of claims of depositors, and of shares of stock of the company was haing, prepared The committee agreement
 Run Continues.
 Raltimore. Oct. 25-The run on the East Branch of the H0me Bank contin- lied today, and shortly before noon, the depositors who were in line waiting for their money were notified that the bank would take advantage of a char ter provision which permits the in- stitution to demand sixty days notice Of a deposifor's intention to withdraw his or her account.
 A membar of the firm of Bernstein, Cohen and Company, owners of the hank, today admitted that the run has been of much larger proportions than had been roDorted-
 Runa on Paxstueket Banks.
 Pawtucket, R. L. Oct. 25.-Follow- ing the posting of the ninety day mo- tice to depositors by the local branch of inc New England Trust Company, of Providence, runs were started today on all banks in Pawtucket. With the exception of the New England Trust Company all the banks met the de- mapd without dificulty
 GOVERNOR APPEALED TO.
  A Legal Holiday to Relieve Financial
 situation Asked Fer.
 Albany, N. F.. Oct. Ex-Governor Hughes today received a number of teIegrams suggesting that he proclaim legal holiday during which the finan- clal situation might be relieved. The Governor acknowledged the receipt of all of these messages without indicat- ing his intentions. He would not dis cuss the question tonight, but there is a good reason to believe there is no immediate probability of his taking this step. COMPTROLLER OF CURRENCY
 GIVES OUT A STATEMENT. Washington, Oct. 25.-The following statement was given out today by the Comptroller's office:
 "The First National Bank of Brook lyn. N. r., closed it's doors this after noon and National Bank Examiner George T. Cutts has taken charge by order of the Comptroller of the Cur rency. The First National Bank clear cd for the Williamsburg Trust Com pany and the Jenkins Trust Company of Brooklyn. both of which failed to- day. The National Bank was closed to protect it's depositors against the checks of the Trust Companies. which might be presented through the Clear IIotaea