Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1907-11-22

which passes current anywhere. 1t is
not money and 1t cannot be forced up
on the clamoring creditor.
Railroad Cash In New York.
Here is another thing we have dis
covered. The great railroads have
withdrawn their funds from local
banks. Hartman, Gould, the Wander
bilt system-all the great railway
managers no matter where their head
quarters, have ordered the daily re-
ceipts, which invariably come in the
shape Of cash, not checks boxed up
and shipped by express to New York.
This money aggregates an enormous
sum daily and as 1t reaches New York
1t is put away in the safe deposit vaults
of some of the big trust companies.
The same policy, we understand. is be-
ing pursued by the big insurance COM
panies and by other corporations whose
daily receipts amount to hundreds Of
thousands Of dollars. This means that
millions daily are drawn from local
circulation. The patrons Of these roads
are compelled to pay cash for trans
portations Of freight the corporations
pay of in pay check which, OF
course, are absolutely good, but the
employe finds trouble in having them
cashed. A workman at Pittsburg re-
Gently drew his pay in the shape Of
pay check and went to the railway sta-
tion to get ticket to New York. He
presented his pay check which had
been issued by the great steel corpora
tion, In payment for his transporta-
ton. The ticket agent refused the
check. This is but one OF many In
stances that have been discovered
tending to show the way these opera
tions, are working against the interests
Of the public"
To Buy Cheap Stocks.
What Is to be done with these enor-
nous collections of capital rushing
daily to New York? is question peo-
pie well may ask. This stringency was
caused originally by overspeculation,
and the demand for money in New
York to support the stock market, a
matter in which the depositor and
small business man throughout the
country is not concerned. The bottom
has fallen out of the stock market and
good paying stocks that few months
ego were quoted at high figures have
been pounded down anywhere from ten
to fifty points. The dividend paying
value of these stocks has not shrunk
but their paper values, which repre-
sent the wealth and the profits Of the
owners and managers Of the railroads,
have shrunk enormously. The market
Is at a low ebb and the reaction must
come. It Is the earnest conviction OF
eminent government officials that these
railway managers, the big banks. the
insurance companies. and the specula-
tors have gathered their money to-
gether to form an immense pool to
buy up stocks while they are cheap and
ultimately to put quotations back
where they were before the raid be-
gan, It would not surprise high treas
Fury oficials II many interior banks,
that now are loudly blaming New York
for their failure to get their reserve
funds, did not know Of this plan and
we're party to 1t, In order that their
money might earn its share OF the
great profits that are in expectation
when the market turns :.
This money is bound to come back
to these banks. There is no question
Of the solvency Of the banks, but while
the small business man is waiting Tor
his money and working along under
difficulties, those in charge Of his funds
In many institutions appear to be US
ing them for their personal profit. and
that the market will turn and big pro-
fits be made by even the most humble
member Of the pool no sane man
doubts. The railway magnates now In
the millionaire class will become BILL
lionaires, and times again will boom
and money will be plenty.
Secretary Cortelyou Is determined 10
prevent the segregation Of as much OF
this money as possible. He will use
the power he possesses over the FUNDS
that have been loaned to compel these
New York banks to ease up the sit
uation in the interior and II 1t is not
eased up Immediately 1t will be be-
cause the interior financial institutions
are more anxious to participate In the
stock market than to take care OF their
local conditions.
The people have not lost their heads,
nor will they lose their money; but
meanwhile they are subjected to hard
ships that ought not to be imposed,
and which will not be long continued
II the treasury can prevent It.
This is the phase of the financial
situation about which people are enti-
tied to know. 1t does not present the
bankers-many Of them-in favora-
BILE light, but 1t is the view OF respon-
sible treasury officials.