The Morris County chronicle. [volume] (Morristown, N.J.) 1877-1915, 1907-11-12
PREMIUM BRINGS OUT
boarded CURRENCY
Money Brokers Bids Draw Mil
lions Out of Strong Boxes.
CROP MOVEMENT DELAYED
Railroads Ask Government to Let
Them Give Grain Right of Way
fastening Shipments to Get
Gold From Europe.

Gold From Europe.
New York City.-While the local
banking situation continues to clear
rapidly, the general shortage of cur
,rency Is causing trouble in other
parts of the country. Money is need
ed for the movement of crops, and
bankers and railroad men are making
every effort to get grain to New York
and cotton to Southern ports, that
they may draw on Europe for more
gold.
A committee of railroad men, rep
resenting the big grain roads, re-
turned from mission to Washing
ton. They appealed to the Interstate
Commerce Commission for authority
to give grain shipments the right of
way over other freight. The Com
mission refused to authorize this
violation of the law, but the railroad
men are said to have received the
intimation somewhere in Washington
that they might hurry the grain
along without fear of serious objec-
ton from the Government.
Railroad men declare there is
enough grain at Buffalo to save the
situation if it can only be forwarded
to New York and loaded on steamers.
Europe is anxious to buy, and, once
the grain is loaded, the bankers can
draw against it.
1t is understood here that Southern
railroads will rush cotton shipments
to Mobile, Savannah, New Orleans
and Galveston on their own RESPONSE
bility. Cotton exports to date are
more than 400, 900 bales short of last
year. At $50 bale, this is matter
of $2O,000,000, which would be a
great help In the present stringency.
One reason for the cotton shortage
Is a pool of Texas farmers, who are
said here to be holding two million
bales for price of fifteen cents a
pound. The current price is eleven
cents.
There was something of al furry
when the National City Bank, where
the city has millions on deposit, re-
fused to cash the checks drawn by
Comptroller Metz for last month s
salary of policemen and school teach
ers. Those who presented checks
were told that they must cash them
elsewhere, as the National City Bank
would only pay them when they had
passed through the Clearing House.
Some 10000 checks have been is
sued to date, and there are $4,000
yet to come. The policemen and
school teachers hold the city's checks
for 100000 and there was much
scurrying among small tradesmen and
friends with bank accounts.
Tho WoI1 CtrAat voanorx
who have been buying and selling
currency during the present furry,
estimated that they had succeeded,
by the offer of premiums, in draw
Ing out of strong boxes from SIS ,0O0,-
900 to $8,000,000 of boarded money.
One firm placed the amount at $10,-
100000.
The release of this amount of cur
rency, it is believed, cannot but have
a beneficial effect on the money mar
ket
The demand came largely from
manufactures and large commercial
houses who have to meet heavy pay
rolls, and who could not obtain the
full amount of cash at their banks
One concern, a large smelling works
in New Jersey, bought 100000, pay
ing three and one-quarter per cent.
premium. The firms bank supplied
$4,000 of another 100000 needed,
and 100000 will be paid to employees
in checks. The premium ranged dur
ing the day from two to three and
three-quarter per cent. and closed
around three per cent.
This was one of the heaviest days
we have had since the present situa-
ton developed said a representa-
tive of the firm of Bolognesi, Hart
field & Co. THE premium is very at
tractive to those persons with ready
cash, and we are getting many offers
of both large and small sums. The
demand comes from all classes of in
dividuals and firms all over the coun-
try, but mostly in this city and vi
cinity. The premium may go higher,
or it may go lower; it will depend
altogether on conditions"
At the Office of Mann, Bill & Ware
bit was stated that the premium had
been above three per cent. One man
came in during the day who said
he had $4,000 in cash to sell. The
offer was at first regarded as bluff,
but representative of the firm ac-
companied the lucky individual to a
nearby safety deposit vault company,
and the man took out the $4,000
in cash from his box. The money
was in packages bound with slips
just as it had been received from the
bank when the depositor had drawn
it out. The $4,000 was sold in
lump to Mann, Bill & Ware, the seller
receiving a certified check payable
through the Clearing House in Clear
ing House funds.