Los Angeles herald., 1907-10-25

Payment pending the complete
restoration of public confidence. A notice
posted on the banks doors declared 1t
was solvent, but suspended payment In
Justice to its depositors, until confidence
in banks is restored.
p. r. Thomas, who was associated with
f. A. Heinze and Charles w. Morse in
several banks and financial ventures,
j was president of the Hamilton bank, bur
resigned after the break in United Copper
stocks which marked the beginning of
the recent financial troubles in this city.
Orlando F. Thomas, brother of e. r.
Thomas. also recently resigned as a di-
rector, and William r. Montgomery was
elected president The bank has a
capital stock of 100000 and deposits OF
about s7,00O,00o. 1t has four branches in
this city, The Hamilton bank is not one
Of the large institutions in the city. Its
location in Harlem gave it good neigh
borhood business, but it never was in
any way representative New York
bank. The Twelfth Ward bank also sus-
pended payment. 1t is a state institu-
tion and a state bank examiner will be
placed in charge of its affairs. Accord
ing to a recent statement the institution
owed depositors about $3000,000.
The Empire City savings bank, located
~ Il
street. posted a notice this morning an
nouncing suspension for thirty days un-
der the banking laws. The officials of
the oa nk declare that the institution is
financially solid, but that they desire to
avail themselves of the thirty days notice
of withdrawal, because they feared
run owing to the suspension of pay
ment by the Hamilton and Twelfth Ward
banks The Empire City Savings bank,
1f,~~ -
depositors about sSS00,000 1t is COM
paratively minor organization. It's sus-
pension is without bearing on the gen
eral situation in New York.
Aspect Most Favorable
Developments in the financial situation
this morning were more favorable than
they had been at any time within the
last week. Under the firm confidence
established by the result of last nights
conference and Secretary Cortelyou's en-
couraging statement the stock market
opened strong with prices from to
points higher than last night. The Trust
Company of America opened it's doors
for business at the usual hour. A short
time before that, Oakleigh Thorne, pres
ident of the institution announced to the
waiting depositors that the institution
was entirely solvent and prepared to
meet all claims. Mr.. Thorne said he was
confident that the institution had seen
the worst of its difficulties yesterday and
he apprehended no further trouble.
In the first half hour of business at
the Trust Company of America this
morning, more money was deposited than
was withdrawn.
The deposits up to 1920 a. m. amounted
TO 100000. At 1O:45 j. P. Mosgan, in re-
rly to a question as to the situation,
said:
1T is all right"
James Stillman, president of the Nation
al City bank, the largest bank in the
United States, who was with Mr.. Morgan,
concurred.
Secretary Cortelyou, at II o'clock, said:
Things look pretty good now. 1 will
remain here some time longer How long
I cannot say. The rumor that we are
short of small bills Is unfounded. We
have $10,000,000 in small denominations
The run on the Trust Company of
America was continued this morning
AS early as o'clock a little knot of per-
sons had gathered in front of the com
pany's main banking house in Wall
street, and at $3.50 about 1900 were In line
The shaky conditions of recent days, 1t
was evident, had been greatly minimized
by the strong backing resulting from the
consultations between trust company off
cials, clearing house bankers and the
members of the firm of j. p. Morgan
e. Co.
Influences Calming
The determination of the trust COM
panies to aid the Trust Company of
America, no matter what contingencies
may arise today, Morgan's pronounced
part in staying the panic, and the calm
ing statements by John D. Rockefeller,
President StilIman of the National City
bank and Vice President Frank A Van
derlip it is considered cannot fail to
help what is In some respects the most
acute money crisis New York city has
seen since the Grant-Ward failure
in 1884
Governor Hughes prompt appointment
Of new superintendent of banks in the
person OF Clark Williams. a prominent
bank president, to fill an office suddenly
vacated this week. and the steps taken
TO have the Knickerbocker Trust COM
pany resume business are other satisfac-
tory signs.
AS is always the custom in time of
financial excitement, New York bankers
and brokers were at their desks early this
morning, awaiting the London quotations
of American stocks.
At 10 O'Clock prices on the London ex-
change showed considerable strength.
American securities-Union Pacific was
up 2h, Baltimore & Ohio 2A. Atchison "a.
Quthern Pacific 2, Amalgamated Copper
United tSates Steel and Erie A.
fe run on the Dollar Savings bank
Bronx which began Tuesday con-
ed today. Nearly 300 depositors were
sfting for an opportunity to withdraw
their savings when daylight came Many
of them, a majority of whom were wo-
men, had stood all night in the line.
A large percentage Of the Dollar
Savings banks depositors are foreigners.
The stock market opened strong and
higher. Smelling and ST. Paul advanced
one point, Atehison two. Active buying
orders were in the market. but the OPEN
ing prices proved too rapid to be main
sained There was a reaction and the
activity diminished at the lower prices.
There were indications of renewal OF
forced liquidation in some stocks Mis-
souri, Pacific was forced on four points