The Vinita weekly chieftain. [volume] (Vinita, Indian Territory [Okla.]) 1902-1905, 1907-11-07


/ Bryan's Commoner for Novem.
Der ! sums up the present tinan'
cial situation as follows
The panic broke With full force on
the whole country Monday, October
1913. On Sunday bankers conferences
we're held IN every town IN theL nIted
States. In order TO prevent runs on
banks tbe various financial lnstiiu.
tions IN different cities adopted
the clearing house certificate plan.
which plan was devised 10 keep busi.
ness moving without requiring the
banks 10 pay outall Of their cash on
hand. Cash payments were every.
where suspended although checks
we're honored 70 the extent Of a
small per cent Of The individuals
deposit. Tho newspaper dispatches
Of the day tela this story "New
fSrk bankers have engaged about
l2.00o.000 IN gold Ia Europe.
Bankers fruat company o. Kansas
City closed because denied The priv.
ilege Of issuing cleiKing h0Ese GER
tihcates. Has deposits u ssstsl 600.
An the banks IN Oklahoma closed
Tor a week by holiday proclamation
OF governor because unable % get
cash from Kansas City aud Sl.Lonis
banks. Duluth gram Eanrksl sns-
pended aud elevators advised not 10
buy grain. Wheat broke four cents
at Chicago aud 4 At New York and
all grain weak. Runs continue ON
two small banks as New York. New
York stock market opened At an nd.
vance.
In an editorial entitled "a Bank
Situation Without Precedent, the
Omaha World. Herald says "ln
the midst Of great prosperity several
thousand Of the leading banks Of
the United States yesterday sus.
pended cash payments. They had
hundreds og millions ol dollars ia
their vaults belonging 10 their de.
positors, but they refused % pay i
out. Fhls occurred all over the
United States and /, came With a
suddenness which taok everybody
by surprise, including the bankers
themselves. For such au occurrence
there Hs 40 parallel ia history aud
no warrant IN las. Jnquesii0aahly
the first elect 81 such d perform.
ance Il 4 shock Which sill jar the
business world FROM center % cir
cumlegence Everyone viii feel ii
and leN wlll escape damage There
b. however, some satisfaction IN the
reflection that such a universal aud
such an AGATE attack cannot last
long. Whatever change occurs now
will be for the better. Apparently
We are now al ID the same boat
with New York and ~ her condition
improves ours will mend. Two
great factors have combined BE-
force The troubles Of New York on
the rast Of The country. One vas
The fact that the rest OF the country
had several hundred million dollars
in New York banks vhlch bad united
IN refusing 10 pay i out. The other
VAS that the crop moving period
having arrived. western and south
em banks. unable 10 gel their money
from New York, we're getting Il from
the other reserve eenters. Chieag0
beng the chief. With thirty or forty
million dollars tied up in New York,
Chicago could not meet The strain
and not only suspended, aa New
York had done. The making Of cash
payments, bat advised aud forced
the ether cities Of the west 10 do
the same. TIE effect will be 10 keep
money IL the banks, 10 expand the
currency by The injection Of certified
checks. cashiers checks and clsas-
ing house certificates, and I, give
the country time % regain IT, imam
cial equilibrium"
In The midst Of this time q plenty
everyone Is asking. "Hov didlt
happen ? The World Herald throws
some light upon the situation ii this
aays eThe four great banking IN.
slitutions Ia New York belong 10
what Il known As The STANDARD OIL
crowd Then there are eight
grsat trust companies which are
benks that DO = banking business,
practically without Fesrvea.
eIn those institutions waa eon.
eentrated almost exactly cue billion
dollars, and thers vas where The
trouble begun. The trust companies
were oumpetilors II these and other
Standard banks. The panae began
With $ faht between them for busl-
ness. and the Standard Oh methods
we're used. Il did not work aa vel
as when a little independent Oh
company vas 10 b crushed ct"