People's Pilot, Volume 2, Number 51, Rensselaer, Jasper County, 9 June 1893 — AFTER THEIR CASH. [ARTICLE]

AFTER THEIR CASH.

Cmmi Depositor* Make Things Ltvoly for B*r*r*l Chicago Wank* Heavy Boas Experienced, Bat AH Demand* Ar* Mot, Only One B**pen*lon Being Announced. Chicago, JnneO. —The opening of the banks in Chicago was characterized by strong symptoms of a panic. Much nn easiness existed since Saturday, and the doubts and fear* among depositors had become so far augmented, even long before 10 o’clock, that crowds, including men and women and working girls, found their way to the bank doors and were ready to improve the first possible opportunity to withdraw what money they had on deposit. As the day wore on the crowds increased, and by noon a fullfledged panic of no mean magnitude was inaugurated Savings banks which experienced a run Monday kept their tellers at work until aU who had been in line up to the hour of ordinary closing were paid, and notices were posted on the doors that the banks would be open for business at the regular hour this morning. The panic did not extend beyond the owners of small savings accounts, but there was an intense strain in financial affairs. It is to the rumor mongers that the day is indebted for its worst phase. They succeeded in frightening many people. Instead of the dozen disasters that were talked about there is found to be but one suspension that would in ordinary times excite no especial comment or occasion serious trouble. Some of the banks that had runs did in a few cases take advantage of the sixty-day limit. But there was no occasion for the loss of confidence displayed by their patrons. Chicago, June 6.—The private banking house of Meadowcroft Bros., 100 Washington street, at the northeast corner of W’ashington and Dearborn streets, has been placed in the hands of a receiver, being forced to suspend because of the prevailing monetary stringency. Lyman E. Crandall has been appointed receiver. Eddy & W’alker, attorneys for the firm, have given an approximate estimate of the bank’s assets and liabilities. They place the liabilities at $250,000, and the assets at $460,000.

The depositors began a run on the Illinois Trust and Savings bank in the Rookery building early in the morning and clamored for their money all day long. The bank made every effort to pay promptly and th£ officials expressed no fear for the result of the demand for deposits. This bank kept its doors open until after midnight in order that everyone who wanted his money might have it. The last depositor in the line got his money at 3a. m., then the bank closed: until 10 o’clock. Shortly after the doors of the Bank of Commerce were opened a run was started which continued for hours. President Felsenthal says rumors are responsible for the run; the bank was conducted on soundest financial principles, its officers do not speculate, and there was plenty of cash in its vaults to meet all demands. There was a heavy run upon the Prairie State national bank and the Prairie State Savings and Trust company all day. The bank officials appear to take the matter easily and met all the demands made upon them.

In the general excitement that struck the public the Hibernian bankidid not escape, but the result thus far is not alarming to the officials. Meadowcroft Brothers’ failure precipitated a run on the Dime savings bank at 104 Washington street. But here, as at the Bank of Commerce, the run was made chiefly by the small depositors and there was really more excitement on the sidewalk than inside the bank. Officials claim to be in a position to meet all demands. A run was made on the Union Trust bank, of which Stephen W. Rawson is president. The run began about noon and was kept up during the afternoon.

At the Globe savings bank the run kept up all day. At 2p. m. it was decided to take advantage of the thirtyday notice provided for savings accounts. Vice President. Hayes said this would not have been done had the run been on that bank alone. There was a slight run at the Milwaukee avenue state bank, but the crowds began to diminish by the close of the business day. It was a wild day on the board of trade. The uneasy feeling in the financial world invaded the speculators iiii grains and provisions and caused a temporary panic. Prices tumbled headlong. The bears could not trade fast enough to keep up with the reducing market. July wheat sold down to 65%, a drop of nearly 3 cents. Cash wheat declined 2 cents and reached a figure lower than it has sold in the last thirty years. Intense excitement prevailed. All deliveries of grain and provisions suffered in a similar manner. September was 'not quite as radical as July. It opened at 72%, reached 70 and closed at 70%. iwhile corn and oats were off froip a cent to a cent and a half. Pork was a very sick commodity, and declined over a dollar a barrel, with hogs off from 40 to 60 cents. All tol'd, the day was a disastrous one and even the alarmists did not care to exaggerate the feeling of unrest. The market has been weak and its nerves all on edge. It has only needed the slightest* pretext to pull prices down about the ears of speculators.