THE MONEY PANIC.

Taranaki Daily News, Volume L, Issue 61, 26 October 1907, Page 2

THE MONEY PANIC.

latest CABLE NEWS

(By Cuble.—l'ress Aaaoci»tlon.-Oopyv * ;'

GOVERNMENT AND MILLIONAIRES --J lilv ESTABLISHING CONFIDENCE.' * "1 '4 New Kork, October 24., I'he enormous spectacular display of wealth, including a pile of two million •' two hundred thousand pounds' worth of " . bills and notes in the tellers 1 possession • failed to stop the run on th'e Trust •Company of America. _ The directors mingled with the panic- *; stricken depositors and frequently re- ' monatrated with them on their cowardice. Wall Street sympathises wilh a furl- .f----pus attack made by Sir. lurnbuU, vice- £ president of the Knickerbocker Trust, against President Roosevelt'for precipftating the panic. The publio newspapers, however, do not attribute the mischief 1 to President Roosevelt. ' - Leading financiers met Mr. Pierpont ' Morgan, the noted millionaire, to arrange . concerted measures in conjunction with > Mr. CJortelyou to re-establish confidence. The Hon. 6. B. Cortelyou, in an interview, said, "1 shall do in the largest way whatever is necessary to afford relief." Mr. Cortelyou has deposited twenty-' s live million dollars of Treasury funds with the banks. Mr. J. D. Rockefeller is lending the Government immense ? sums. : • Mr. Cortelyou declares 'that ' ■ tional banks of New York are in an ex- f ceptionally strong position. He expects the movement already , $ initiated among the banking and trust companies for concerted action and •' stricter supervision to have a healthful . and far-reaching effect. *

AN. ENORMOUS "RUN." j .£40,000,000 WITHDRAWN FROM WESE STORK BANES, j ' SEVERAL ADDITIONAL "BANKS SUSPEND j OWING TO SHORTAGE OF READY. .. . ~.„, ~ J WALL STREET MORE HOPEFUL. Receiyed Oct. 25,11.1,2 pan. New York, October 25. Forty millions sterling has been with-, drawn from the New York banks during the past fortnight, The tight money market in New York yesierday caused paralysis of the-Fo-re gn Exchange Market. It is expected the Knickerbocker * Trust will shortly resume,' The Hamilton Bank of New Xotk. ? with £1,400,000 in deposits, and tin Twelfth Ward Bank have suspended - owing to lack of ready cash, but they - have been examined and both found S solvent, also the Empire City Saving* >i Bank, w bich availed itself of the tyr§ days- clause to save a run. -.„'fl The Nevada State Bonk at Carson^" 5 ? has suspended, * ■; The Southern Steel Company'of Bir- '* mingham, Alabama, (with, live' million ~ sterling capital, has failed, ~ Wall Street was cheerful at the outset, but the forced liquidation of some stocks led to a slump. Tnere was a slight rally later generally in.the position, and in the evening it waa distinctly more hopeful.

President Roosevelt, speaking at Keokuk, lowa, early in the month, admitted that his attitude towards the trusts had been a contributory cause of the financial weakness, but' it would have, he said, to be aceopjted as a disagreeable, yet unavoidable, feature of hi* policy! In another speech "at Provincetown, fie declared that it was the aim of the government to secure criminal prosecutions against the men themselves who ran the trusts, and not merely to fine the corporations. "The policy of the Government," said the President, "consists in the upholding of the laws of the country, and to show that it is the people who rule, and not the ruthless rich men, who are formidable. because they hide behind great corporations, and thereby plunder the people, it is idle to ask the Government not' to prosecute such men; it is intended to do so; and every principal of an illegal trust should bo held to a criminal accountability." He then went on to say that there would be no attack upon "honest wealth" or upon combinations whjeh operated within the law and were.advantageous and not hurtful to the common good. He advocated the passage of laws regulatinß corporations engaged in the inter-State business. These laws should permit Government supervision and control. Wise legislation of this kind," he conceded, "will go far towards reassuring the community with regard to trusts, and will prove no detriment to corporations honestly run." F