NEWS OF THE WEEK.
1HE financial crisis which was threatened in New York last
week became a reality on Tuesday, when there was a run, amid scenes of extraordinary excitement, on the offices of the Knickerbocker Trust Company. The directors of the company tried to restore public confidence by the display of waggons of specie and elaborately arranged heaps of notes and money inside the offices. The rush of depositors, however, continued, and at 12.30 the company stopped payment. The police had to drive away the disappointed depositors. On Tuesday night Mr. Cortelyou, of the Treasury, arrived in New York from Washington to try to save the situation by giving Government help to solvent but hardly pressed concerns. He announced that " the general situation is well in hand." Nevertheless on Wednesday there was a run on the offices of the Trust Company of America, which successfully continued payment till the end of the day. At Pittsburg on Tuesday the Stock Exchange was temporarily closed. In the afternoon receivers were appointed to the Westinghouse Electric and Westing- house Machine Companies and the Security Investment Company. Mr. Cortelyou here, as at New York, gave Treasury help to all the temporarily embarrassed but solvent houses. On Thursday three more banks suspended payment in New York. It was also announced that receivers had been appointed to the Iron City Trust Company at Pittsburg. Mr. Cortelyou has so far advanced five millions sterling on the best collateral security. Mr. Rockefeller and other millionaires are also putting their resources at the disposal of embarrassed institutions, and it is hoped that in most cases stability will be restored.
