The Washington herald., 1907-10-24

trust company circles was cleared to-
night by conferences between the trust
company officials. clearinghouse bankers.
and members Of the private banking firm
Of J. P. Morgan & Co. at a meeting in
the uptown Office Of the Union Trust
Company, and at meeting between
some Of the bankers and Secretary Cor
telyou in the Hotel Manhattan.
The trust companies, It was announced.
would henceforth stand unitedIy behind
the Trust Company Of America sub
standal and responsible organization hav-
ing been effected in the office Of J. P.
Morgan & Co, in the afternoon, and both
trust companies and banks would have.
besides the support Of the clearing house.
prominent private bankers and the Secre-
tary OF the Treasury, who announced his
intention 10 deposit S25.Ola000 in New
York banks forthwith.
Aid for Trust Company.
At the conclusion Of ths conference to-
night, an Official statement, it was an
nounced. was in the course OF prepara-
ton Before this was ready Frank A.
Yanderlip. vice president Of the National
City Bank. ,lue down from Mr.. Cor
telyou's room and summarized the situa-
ton as follows:
THE situation has been met. gentle
men; the trust companies are going TO
come TO the aid of the Trust Company Of
America. IN Mr.. Morgan's Office this af-
ternoon there was a sort Of clearing
house committee for trust companies ap-
pointed That committee made a thorough
examination of the books of the Trust
Company OF America. and found that
their securities were good and ample.
This decision. in connection with what
Mr.. Cortelyou has To say, viii absolutely
assure ample cash coming into New York
banks and clear the situation"
Secretary CortelyOu said tonight:
"I have said 10 a number Of gentlemen
who called on me to-day that any state
ment to the public regarding existing con
ditions here should be made with the
utmost frankness. that depositors and
others interested in banks might realize
that entire reliance could be placed
upon It.
Fears Not Well Founded.
Those familiar with the facts have
known that the Situation was made serl-
Gus largely because Of the circulation Of
unfounded rumors. and the uureasoning
anxiety OF many who thought only of
the moment To pass safely through
such day as this. one Of most Unueces-
sary excitement, as it has been, is the
best evidence of strength and support on
the difficult task of re-estabIishing pub
lie credit
Wherever there is weakness. and il
has been in but a comparatively few in
stances. strong and able men are rem
dering aid. and in behalf OF the Treasury
Department I may say that l believe il
my duty TO do, and I shall do in the
largest way possible. whatever may be
necessary TO afford relief.
IF the press Of the city viii continue
its cooperation, ard if the public on its
part will reflect upon the natural strength
of our banking Institutions there viii be
a prompt return of the confidence which
their condition warrants.
As evidence Of the Treasury's position.
I have directed deposits in this city to the
extent Of S25.000.G0"
Crisis ut an End.
Il is the belief of Secretary Cortelyou
that the crisis Of the situation passed
with to-day The secretary felt much
more strongly tonight than he did the
preceding night that the worst was over
and that to-day would see better condi-
tions. The secretary Is convinced that
panic has been averted.
1t is authorltativelv stated that the So
10000 of Treasury money, which VIII be
deposited in New York banks, is to re-
lieve the general situation. The distri-
button of this money is in the hands OF
the banks. and out of hands of the sec
rotary. he having. Of course. received
collateral to secure the amount It is
understood however, that "a considerable
proportion of the S25,0J0 900 viii be turned
over by the banks receiving it for the re-
lief Of the trust companies.
John d. Rockefeller announced tonight
that he was cO-OperatingAIn the move
ment to supply money tOFmeet what he
believed to be a temporary crisis and
would deposit money in various banks
and lend to trust companies on good col
lateral
On the stock exchange trading was still
ftful and excited. but there was no such
violent crash in prices as on the preced-
ing day, and banks which were calling
loans thus had a market on which TO
Cous;,uod - n n r.,