The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-10-24

y Albany. N. Y, Oct. Ex-Governor
y Hughes tonight appointed Clark VII
= liams, heretofore vice president OF
y the Columbia Trust company OF New =
y York to be superintendent of banks
y Mr. Williams will take office tomor-
4 row
New York. Oct. 2S.-The crisis in New
York financial circles was safely passed
tonight. After prolonged conferences al
J. Pierpont Morgans offices. an organ
ization of the presidents Of New YORK
trust companies was effected not differ
ent in principle from the Clearing House
association. 1t is in the nature OF a pro
tective combination. All or the leadlhs
and admittedly conservative trust com
RI panes participated. John A. stewart,
chairman OF the board Of the United
States Trust company, presided ana was
yslected chairman of committee whose
duties are to be analogous 10 those OF
the clearing house committee. A reso-
luton was unanimously adopted provld-
ing for an examination of the various
trust companies and report OF thelr
findings 10 the association
Following this organization. which was
regarded as one of the most Important
adjustments ever successfully carried
through in New York financial circles,
a report was made 10 the committee to
night respecting the investigation into the
affairs of the Trust Company of Amer
lea.
Ample Securities.
This report was carefully considered in
a prolonged conference of the committee
and 1t was apparent that the trust COM
pany had ample securities TO warrant
continuing advances. As result, all OF
the trust companies of New York unanl-
mously agreed TO come to the aid OF the
Trust Company of America, by providing
such funds as il needs. There is no rea-
son to doubt therefore, that the Trust
Of will he All
ali demands upon II.
AT the same time. and even more i'm
portant, the secretary of the New YORK
banks authorized an announcement that
he had directed that the government de-
posts be placed in the banks of this
city 20 the extent of S25.O04, 900. These two
measures are admittedly adequate for all
the needs of the banks and trust COM
panies of New York in the present emer-
gency.
CorteIyou's Statement.
Secretary Cortelyou's official statement
follows:
men who called on me today that pub
lie statement regarding conditions here
should be made with the utmost frank
ness. that depositors and others inter
ested in banks might realize that entire
reliance might be placed upon it.
Those familiar with the facts have
known that the situation has been made
serious largely by the circulation of I'M
ETY. of many who thought only for the
moment
ITO pass safely through such a day as
this. one of the most unnecessary eX-
element as it has been, is the best evil
dence of strength and support on the part
of those who have undertaken the diff
cult task of re-eStablishing public conf
dence.
Strong Men at Work.
Wherever there is weakness, and it has
been in but a comparatively few in
stances, strong and able men are render
ing aid; and in behalf of the treasury
department | may say that / believe that
il is my duty to do what | can, and | will
do in the largest way possible what may
be necessary to afford relief.
The treasury department will continue
its cooperation and If the public on its
part will reflect on the strength of our
banking Institutions, there will be a fast
return of confidence which this condition
warrants.
YAs evidence OF the treasury's position
! have directed deposits in this city to
the extent of SIS. 1000"
knickerbocker Failure.
The failure of the Knickerbocker Trust
company, which suspended yesterday to
reopen today did not exercise such an ad-
verse influence on the general situation
as might have been expected and the early
action of Acting Superintendent of Banks
Skinner in taking possession of the in
SutullOn on lnt ADVICE OF the attorney
general, gave rise TO a feeling of relief
as it was felt that the state would make
the most out of the situa ton.
II is said to be question whether the
institution will ever reopen at least I'M
der the present management
Another favorable disposition TODAY was
sort of tacit understanding between the
banks and the stock exchange to aid each
other. the banks by lOaning money AT
something like normal rates and the trad
ers by preventing the bottom dropping out
of the prices on the exchange. Though
call money ruled nOminally at 20 per cent
today and the final accommodation was
secured at 90 per cent. throughout the
day several of the biggest banks renewed
loans at 6 per cent, and millions Were let
out at hale the interest rate that might
have been squeezed from desperate Dor
rowers
WagonIoads of Securities.
The conferences at the offices of J. P
Morgan & Co. made a thorough review
lea The company's securities were
brought over in wagonloads. carefully
scrutinized and il is understood found so
satisfactory that the trust company will
receive assistance should it be needed to-
morrow At the conference. or rather
series of conferences, were present not
only all the presidents of the trust com
panies concerned principally with the
Trust Company of America. but many
other financiers who are vitality interest