Omaha daily bee., 1907-11-28
1t Will Cost Millions and Much Time
to Regain It,
BANKERS BLAME IT FOR PANIC
Westerners Believe New York Sought
to Protect Itself Only,
FoRGAN BACK FROM WASHINGTON
Three Hundred Bankers In OIid-west
write that They Are Ready to
Do Business ON Cash
Hnsia.

NEW 1ONhs NOV Gis--E OiHAt oSNlNNNAs
OF the Treasury Leslie NJ. Shaw, president
of the Carnegie Trust company, returned
TO New York yesterday from Chicago.
whore he conferred with many bankers
regarding the financial situation. In dis
cussng conditions. he said:
"The west has lost confidence IN the
east 1t will cost us hero millions OF
dollars before we regain the prestige ana
cordial relationship OF the past. The men
of the west say that New York is re-
sponsihle for the financial stringency; that
when the squeeze came the banks OF New
York resorted to clearing house certlfl-
Gates first and forced the rest of the
country to do the same.
The bankers OF western cities have no
love now for the bankers Of New York.
They had placed their money on deposit
here but when they asked for II they were
refused. They say New York sought to
protect only itself and tied up everything
so that all the rest OF the country was
forced to adopt urgent measures TO save
itself"
I.azard Freres announced the engagement
of 81 100000 in gold today. This brings the
total during the present movement to $751;
100000.
ForEan Back from Washington.
Ol1lA NAIOt ANONs @ts--JalllNo u Ibl boit
president Of the First National bank re-
turned yesterday from Washington. where
he had conference with President Roose-
welt regarding the financial situation.
"I was a busy man during the three and
a half hours l spent in Washington said
Mr.. Forgan. THE president asked many
questions concerning the financial situa-
ton in Chicago and other western cities
and gave him my views. l told him mat
ters were improving every day and was
hopeful that normal currency payments
would be resumed before long. He seemed
glad to receive this information"
Nearly 700 letters were received yesterday
from western bankers by the Chicago
Clearing house committee in response to
the letter sent out asking their views on
the resumption Of normal currency pay
ments. Most of the letters indicated that
the bankers were ready and desrous OF
resuming currency payments. The letters
are from bankers in Illinois, Iowa. Mchi-
gan, Kansas, Nebraska, Minnesota. Wis
consln and Missouri. Bankers in the far
west have not had time to reply
Washington Situation Better.
WASHINGTON Nov. 27.-rhe situation
at the treasury was so far relaxed this
afternoon that Secretary Cortelyou was
! hDl0 10 ltdNt carly TO dlNtIu the WeuulnB
of Miss Rott and Lieutenant Grant. There
is no longer any doubt felt among
treasury officials Of the success Of both
the loans-the Panama canal bonds and
| the one-yeaT treasury certificates II
! considerably less than 81, 1000 100000 is al
| loted in the certificates 1t Will not be be-
cause the subscriptions are not more than
sufficient to cover the amount 1t Will
be because so large an issue is no longer
| felt to be necessary to restore the situa-
| tion. Calculations are already being made
as to the probable conditions in The
money market next spring and the abil-
| ity TO call in part of the certificates. II
! the amount issued should be only $780,
| 900 and half of these should be paid
! off in six months. the interest charges
would fall materially below the SO, 000 900
originally calculated upon the full issue
! for one year The sum Of S25, 1000, 600
for six months would draw interest to
the amount of $975,OOO and an additional
amount of $4,000. 900 for one year would
draw S750,OOO making a total of Sl,l25,-
600. This would be at the rate Of less
than l " cents per capita for the people
of the country, and it is argued that this
would be a cheap means OF escape from
difficulty even for the humblest citizen,
whose labor might be affected by the con-
tinuance Of the crisis.
Des MOines IL Ready.
DEs MONIES, Nov. ga circular to
the banks Of Iowa has been sent out by
the Des Moines clearing house commit
tee urging them to aid in an effort to get
currency in circulation so that Des Molnes
banks will be ready to follow the lead Of
! Chicago and New York and resume cur
rency payments in, full in two weeks.