THE BANK FAILURE IN BERLIN.

Waikato Times, Volume XXXVIII, Issue 3043, 16 January 1892, Page 1 (Supplement)

THE BANK FAILURE IN BERLIN.

The sensation causd by tho failure of the Bank of tbe Hirsehfeld and Wolfl' in Berlin is on tho increase says the Standard's Berlin correspondent). Tho house has existed for more than sixty years, and has been rewarded for about twenty years past as one of tho safest in the trade. Consequently the wildest rumours lire current about the persons affected by the failure, and even Princes of the blood are included among them. There is no truth in this, but Count Zfiditz, the Mitii ter, and several of tho highest Court disrnitartes, generals, and largo landowners, are among tho losers The head of the firm, M. Wolff,- who has held various offices for many- years, and has a great reputation for charity, has been arrested and taken to-prison at Moabit, on a charge of fraudulent bankruptcy. It is maintained that the firm has been in difficulties for about twenty years, and that it kept its head übove water so long only owing to tho trust placed in it by its clientele. Tho chief cause of the catastrophe has be<;n the extravaffe of this senior partner, who is said to have been addicted to heavy gambling. Secret gambling has become a great scandal in Berlin, ana all the attempts hitherto made to put a stop to it havo proved abortive. Tho severest measures possible have been taken at the Emperor's instance. When ho commanded the Potsdam Hussars, as Prince William, he had a dispute with his grandfather because he forbade his officers to visit clubs in which gambling was carried on. On his accession ho took still more energetic steps. All officers who could not pay their gambling debts, or who were known to bo gamblers, were dismissed the service, no matter how high their rank or how distinguished their birth, while the members of the Diplomatic Corps who were suspected of this vice ceased to be received at Court, and were in some cases recalled. These steps checked the practice for a time, but they did not go to the root of the matter. In the lower classes the state of things is not. much hotter, for the trotting races' and the Totali-ateur have utterly ruined many people of small means, who have squandered their last pfennigs in bettius.'. The bookmakers were warned off tho course two or three months asro, but it is doubtful whether it will be possible to enforce this measure. Recent events have thrown a strong light on the morality of Berlin. I (In not believe that in this respect this city is worse than others. But it is unfortunate that all the*o evils have been shown up at tho same time.