The Washington herald., 1907-10-24
AID FOR BANKS.
Confined from Page One.

ALL TOA DAlNhO.
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/ place securities. II was a weak market,
! but at all times there were buyers for
the standard investments and bonds.
Run on Lincoln Trust.
Apart from the run on the Trust Com
pany Of America, there was a run Of
much less magnitude on the Lincoln Trust
Company, which had the misfortune to
be located in close proximity 70 the
rush on the Knickerbocler Trust Com
I pany on Fifth avenue.
! The most disagreeable development OF
the day was the condition OF the money
market on the stock exchange. There
was no time money marketed whatever,
either for loans. secured by stock ex-
change collateral or for loans on. COM
mercial paper
For call loans there was practically
no market in the last hour of the stock
/ exchange trading. The last loan of the
day was made at the extraordinarily high
rate Of 125 per cent, and, according to
most conservative estimates, the market
closed with an urgent and unsatished
demands for loans aggregating $5.o00,oCo
According 10 stock exchange houses,
brokers had drawn checks on banks in
payment for stocks. and unless the banks
carry the overdrafts or place money in
/ the loan market tomorrow morning, as
many as fifty Of them, II is estimated,
will nnd themselves in most troublesome
situation.
Many Conferences Held.
Secretary Cortelyou remained in the
subtreasury from long before the open
ing f the banks until long after the
close He had no conferences throughout
the day, but kept in close touch with the
situation through bankers who called on
him, and otherwise gave assistance 10
the amount it was estimated, Of about
$7,005,C50. This money was placed in ma
tional banks for one specific purpose and
the banks held it IN support for the Trust
Company OF America or turned it over
TO thai institution.
The Secretary did not concern himself
with the stock exchange operations, the
scarcity of money on stock exchange
loans. or the condition OF the general
money market. Apparently, his work
was directed effectively toward assisting
in every proper way legitimate business
interests, 10 quote the language Of his
statement the night before
The Sccretary's day was made an the
buster by the failure of the Westing-
house companies. by far the biggest in
dustrial failure OF the year; the c0nse-
quent closing Of the Pittsburg Stock Ex-
change. and the resultant panicl,y condi-
ton In PittsbuvE. the home of the West
inghouse company.
Mr.. Cortelyou let it be known that he
would deposit as soon as possible sub
stantial sums in the national banks Of
Pittsburg as well as here. Pittsburg is
not a subtreaSury city. so that deposits
in the banks there could not be made by
telegraphic transfer.
Expect Government Aid.
Announcement Of the deposits. how
ever. justified Pittsbu-g bankers in de-
creasinE their cash resources in the
knowledge that the government money
would Doe placed in their vaults as soon
as it could be brought 10 them by ex-
press from this city or other subtreas-
uries.
Across the street from the subtreasury. /
az the offices OF J. p. Morgan & Co. ar /
rangements were made for putting into 4
effect the agreement made the night be- /
fore 20 support the Trust Company OF /
America in case the institution on exami- /
nation was found solvent
These arrangements were carried out /
through the two principal banks Of the /
so-caIled Morgan interests and the two I
principal banks commonly associated with 1
the standard oil interests. the First Ma
tonaI Bank al the Chase National |
Of the Morgan group and the National /
city and Hanover National OF the other /
COnferS with Mr. Morgan.
James SuIiman. president Of the Ma |
uonal City, the largest bank in the city /
and IN the country. conferred with Mr.. /
Morgan for long periods at the Iatter's /
Office. The securities transferred by the
Trust Company Of America 10 secure ad- /
vances from these four banks were de-
posted in the National City Bank. Il is [
understood that all of the government de- /
posits OF the day were placed in these
four institutions.
Out Of the conference in the Morgan
offices early IN the day. fl was reported.
there was sent To prominent stock mar
ket operators and brokers fair notice
that the day was no day for bear raids
on securities. The men who were en-
gagged in seeing the financial community
through "a grave crisis were in no mood
TO tolerate professional attacks on the
market by hardened spectators.
The most important conference of the |
day in Hr. Morsans office was held inn
mediately after the close of banking
hours. There were present a large num-
ber of the most prominent bankers Of
the city. The conferrees remained to- /
gether until after o'clock. The result
was a consummation Of plan on which
definite steps were first taken on the
night Of the crisis in the affairs of the
hnickerbockeT Trust Company.
Hartman Calls often.
4 visitor who occasioned much COM
ment was T. II. Hartman. and the COM
ment was accentuated when Mr.. Harri-
man called the second time. and became
very acute when he returned once again.
At the close Of his final interview with
Mr. Morgan, Mr.. Hartman was pressed
for a statement of his views on the stu
alton.
1T is no time for words" he said.
quickly, as he FASTENED to his Office, this
is the time for action"
Among the other callers were Judge
Ebert H. Gary and ". z. Corey, of the
United States Steel Corporation; August
Belmont, Hamilton Fish, Assistant United
States Treasurer In charge of the sub