Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1907-10-22
CAN'T GET CURRENCY
Interest for Cash Mounts High
Stocks Fall Away to Low
est Point of Year.


stood corteIyou has ordered $6,ooo,ooo
distributed among the leading national
banks of New York.
CANNOT OBTAIN CURRENCY.
New York, Oct. 22.-The knicker-
booker Trust company stopped paying
money to depositors at 1890, state
ment being made the company could not
obtain currency rapidly enough.
ACCOUNTS UNDER SCRUTINY.
New York, Oct. 22.-The state bank
examiner today started an examination
of fhe accounts of the Knickerbocker
Trust company.
INTEREST REACHES 30 PER CENT.
New York, Oct. PA lean Of
100000 was made on the stock ex.
change this afternoon at 20 per cent.
Several bankers formed a pool of $4,-
100000 which was loaned at between
40 and SO.
LOWEST POINT OF THE YEAR.
New York, Oct. 22.-There was an
other crum5ling away of prices at 2
o'clock, active market leaders selling
down to the lowest point of the day
and of the year.
Stops Payment of Checks.
New York, Oct. 22-Second Vice
President Brown of the Knickerbocker
Trust company, in announcing the CON-
pany had stopped payments to deposi-
tors, said: The trust company finds
it will be impossible to pay any more
checks today on account of the COM
pany's inability to get sufficient cur
rency. The trust company is perfectly
solvent, and may resume payment to-
morrow"
Alarm In the Street.
New York, Oct. 90 Excitement
amounting to almost alarm marked the
opening of business today in Wall
street. The stock market opened de-
moralized under heavy selling by bro
kers in all departments of the exchange
and at the same moment a run of con-
siderable proportions was being made
on the various Offices of the Knicker-
booker Trust company
The stock markets opening showed
the effect of renewed shock to conf.
dence caused by the spread of financial
distrust by the published details of the
affairs of the Knickerbocker Trust com
pany. Prices broke widely on the open
ing transactions under this outpouring
of stocks, but almost Immediately raj
lied.
Are Sensational Scenes.
The closing of the Knickerboclle'
Trust company, the second largest
trust company in the city, with de
posits amounting to about $50 1000, 900
was attended with sensational scenes
at its main banking room and the
Harlem branch. Depositors whi
crowded the rooms clamoring for then
money were insistent that they be per
mitted to withdraw even a few dollar!
and when this request was refuse,
many refused to leave the building
Police assistance was necessary t
preserve order.
Morse Makes Statement.
Charles w. Morse issued the follow
ing statement today: 81 have not boz
rowed a dollar from the Mercantil
National bank since HeinZe was elect
eu president anu 40 not owe IQGm
dollar now. Any statement to TIL
contrary is false"
Resignation IL Sudden.
New York, Oct. 22.-Charles T. Ba'
ney, president of the Knickerbocke
Trust company. the largest in the cit
from the standpoint of deposits wit
one exception, rendered his resign.
tion to the board of directors at a spt
cal meeting of the directors yesterda
afternoon. Mr.. Barney is a brothe
in-law of the late w. C. Whitney.
About the same time that this SUE
den and unexpected action becam
known in the financial district it wa
learned that the National Bank {
Commerce had served notice both up0
the Clearing House association an
the Knickerbocker Trust company tht
it refused longer to clear for the la
ter institution. At the meeting :
which Mr.. Barney's resignation We
accepted A. Foster Higgins was elec
ed to his place.
Gives No Good Reason.