The Weather To-day: IKSo’BS?!! RAIN; COOLER. The News and Observer. VOL.XLVII. NO. 33. mm ill north carouna dailies in news hi angulation. BRITISH EXPECT A BATTLE TODAY Advance of Boers and Free State Troops. THE ENGLISH FORCES ABOUT 12,000 UNDER GEN. STEW ART WHITE NEAR LADYSMITH THE QUEEN CALLS OUT THE RESERVES A Supplementary Army Estimate Issued at London, Asking the House of Com mons to Vote 35,000 Men and 10,000 Pounds. London, October 18. —A special dis patch dated at Pretoria at noon yester day says: “After a few shots were tired ait Mafeking the white flag was hoisted. A Boer party bearing a liag of truce xvas sent to iuqttine whether the town sur rendered. No definite reply was re ceived. The burgher messenger was de tained for six hours and then released.” The War Office lias issued the follow ing statement: “News has been received from Gen eral Sir George Stewart White, the gen eral commanding in. Natal, that the an ticipated movement of Boer forces across the Drakensberg, already reported from several quarters, was lively to be con tinued on October 17th and that more of them might be expected to arrive at Boaan Bunk that night and probably to come into contact with our cavalry between Ladysmith and the Passes of the Drakensberg. “On the north the Boer forces from lugagane are advancing accompanied by a few batteries of artillery. “On the Buffalo River the Boers from Yryheid are moving toward Yants and Rorkers Drifts. "Our cavalry remain in observation and report movements in Orange Free State. The Basutos are said to mani fest an attitude hostile to the Boers and they may neutralize a certain number of the Boer forces.” CLAIM BOER VICTORIES. Lourenzo Marques, October 18. —The Volkssteu, the Boer official organ at Pretoria, gives the following account of the occupation of the British camp at Ramathlabania, just north oi' Mafe king: “The British camp at Ramathlabania has been captured and sacked by Gen eral Cronje after severe fighting. Many burghers were killed or wounded. The British loss is not known. ’ The Volkssten added that “success has thus far everywhere attended the burghers,” although it admits that in the various skirmishes near Mafeking and at other points the Boer casualties number some sixty or seventy killed and wounded. A representative of the Transvaal Government has arrived here and is Inly ing up all the provisions obtainable. One hundred and thirty persons just released from the Barlierton jail, Trns vaaJ, have been put over the Portuguese border. / MORE MEN, MONEY WANTED. London, October 18. —A supplementary army estimate has been issued, asking the House of Comniones to vote an ad ditional 35,000 men and 10,000,000 pounds sterling in consequence of the situation in South Africa. It is expected that the 35,000 men rep resent the probable maximum excess l>e yond the establishments fixed for the year 1808-1900, and is in consequence of the calling out of the reserves ami of the temporary transfer of troops from, the Indian to the British establishment. With the additional 10,000,000 pounds the total estimates are 30,017,000 pounds. CALLING OUT THE RESERVES. London, Oct. 18.— In the House of Commons today the first laird of the Treasury and Government leader, Ar thur J. Balfour, brought in the following message from the Queen: “The state of affairs in ‘.South Africa having constituted, in the opinion of Her Majesty, a case of great emergency, within the meaning of the act of Par liament. Her Majesty deems it proper to provide additional means for military service. She has, therefore, thought it right to comuminicute lo the House that Her Majesty is, by proclamation, about to order the embodiment of the militia ami to call out the militia reserve force, or such part thereof as Heir Majesty may think necessary, for tierinaneul service.” i i The calling out of the militia and the militia, reserves has occasioned wide spread wonderment. Old stories of pre parations against (Vmtinientnl combina tions arc revived. It is frisdy rumored that the Government is determined to demonstrate to Etirop* that the British army is not a negligible quantity. AN ENGAGEMENT IMMINENT. Camp Glencoe, Natal, Oct, ‘lB. —2 i*. in. Boer scouts have ls«*n sighted at Hat ting Sprut, »eveu miles from the British ca tnip and am engagement is im minent. THE BOERS BEGAN HOSTILITIES Ladysmith. Natal. Oct. 18. —An offi cial note published here says: “A Free Staltc < 'ointnwt.mfci yesterday commenced actual Jus: if dies. The Frit* State has thus taken upon itseif rhe re sponsibilty of beginning war and cannot hereafter pise as the injured party.” It is stated that the enemy’s scouts are almost in touch with the outposts at Glencoe. The Boers are working around both sides with the idea of getting south of Ladysmith and attacking in force with the co-operation of com mandant General Joubert. At Glencoe, the British patrol covered a wide area in order to prevent out flanking and were subjected to a hot fire in persistent skirmishing. General Sir George Stewart White is quite prepared to offer battle and t'he camp is pleased at the prospect of striking a definite blow. A BATTLE IN PROGRESS. At Paris yesterday M. Goiiier, writer of leading articles for the Dreyfaward organ Aurore, fought a duel with the son of 'General Merrier, former Minister m War. M. Merrier was pinked in the chest, but is not thought to tie seriously hurt. 5:05 p. nil. —The British cavalry paltrols have been in action at Acton Homes and Lesters Station since midday and the action is still in progress. A aimniiier of casualties have been reported. Supports are leaving the camp and expect, to fight tomorrow. Ladysmith, Oct. IS —5:25 p. m—The British forces came into contact with the enemy tin t'he neighborhood of Acton Homes and Lesters Station about lb miles out, this mowing. The fining be gan about 10 o’clock. THE ZULUS ARE ARMING. I>melon, Oct 18. —According to a s]W‘- eial dispatch from 1 >ueb:m. Natal the Zulus are mailing with assagais. Chief Dinzulu says lie is uniabde to restrain them. It is expected ttnait they will Ik* joined by the Swazis. London, Oct. 18. —There is still no authentic news from Mafeking. but all reports tend to confirm the belief that Colonel Baden-Powell is holding his own, and no credit is given to the vague ru mor that a flag of truce had been dis played. A considerable engagement is antici pated in the vicinity of Ladysmith to day. The combined advance of Boers and Free State troops in this direction has been executed with not inconsidera ble skill and shows a clear appreciation of the British position. General Sir George Stewart White lias 12,000 men and forty-six guns available, besides a considerable force of volunteers, to hold Ladysmith, and no anxiety is felt on this account, for the Natal country where the engagement is expected, is fairly open, and although the work of moving them will tie difficult, the guns lire likely to do good work. The country is not favorable for Boer tactics, and it will be very difficult for them to avoid the exposure of their flanks to attack by a vigorous nnd mo liile enemy already occupying useful positions* that is. supposing they really mean to fight and not merely to attempt to draw General White farther out with u view of surrounding him. General White has a large laxly of ex cellent cavalry which will be put to good use. TO URGE REMOVAL OF OTIS. Lawton Frequently Denied the Fruits of Victory. Vancouver, B. C., October 18. —Prof. 1). C. Worcester ami Colonel Denby, Philippine commissioners, arrived here oday on the steamer Press of Japan and left this afternoon for Washington where they will make their rejiort to tile President. Until the report is made neither gentleman will make a state ment of any kind for publication. Among the passengers on the Empress was Editor Lettmour, proprietor of the Manila American. His mission to America is to urge the removal of Gen eral Otis from the command of the Uni toil States forces in the Philippines and the promotion of General Lawton to the command. Lettmour says that Lawton is frequently denied the fruits of victory by the hesitation of General Otis. TELEGRAPHIC BRIEFS. At Key West ten new cases of yellow fever are repeated nmd one death. At. Ciordele, Ga., yesterday, W. 11. Cochran shot and killed 11. A. Dukes ill self-defense. Tlw Cologne Gazette amioinaces offi cially that Emperor William will start for England on November 1 It'll. At Norfolk yesterday, Dr. F. iM. Mor gan. of Berkley, under indictment for causing the death of a Norfolk lady and her child in May last, was acquitted. At New Orleans there Is one new ease of yellow fever and no deaths. Finis 11. Harris, telegraph editor of the Pa-ayune, died last night. Admiral Dewey was forced to decline the invitation to visit Savannah on his trip South. His Southern trip will ne cessarily lie limited to the visit to At lanta. President I/oubet has signed the par don of Emile Art on, who. In Novemlier, IStXI, was sentenced to eight years im prisonment for complicity with Baron in* Roiiiaoh and Dr. Cornelius Her* in the frauds on *the Panama Canal Com pany. At Paris tin- Minister of the Colonies. M. De Orals, has reoeiv«*d an official ilispateh aimiounciuig that Captain Voulet and 'Captain Chanoine, of the out lawed French expedition Cm the Soudan, whose men.fuel's rweeomtly massacred most of tin* members of tlhje under Lieutenant Colonel Klolbb, sent to arrest those officers on charges of cruelty and insuliordiinatinn, have lieon shot oy their own men. RALEIGH, NORTH CAROLINA, THURSDAY MORNING, OCTOBER 19, 1899, ROARING CROWDS WELCOME BRYAN First Democratic Demonstra tion of the Campaign. TUPPORT THE NOMINEE THE DISSATISFIED DEMOCRATS ELECT REPUBLICANS. BRYAN RASPS THE ADMINISTRATION He Compares McKinley to George the Third of England and Alfonzo of Spain. Bryan Will Begin the Ohio Cam paign Today. Louisville,, Ivy., October 18.— Twenty thousand people greeted W. J. Bryan and the candidates on the Democratic State ticket at Churchill Downs, this afternoon, the occasion being the first demonstration by local Democrats in tin* State campaign now in progress. The crowd was filled with enthusiasm and satiated with harhecued meat and bur goo. It fid upon oratory by the State lenders, notably ex-Speaker J. C. S. Blackburn and William Goebel and tin* champion of the cause in National jioli ties, \V. J. Brvan. The barbecue was the feature of the third day’s programme of the party which has been stumping Kentucky in the interest of the regular Democratic nominee. They spent three hours at the .Jockey Club grounds, all full of speech making and then resumed their trip to Covington, Ky. After a meeting there tonight the campaign in Ohio will lie begun. A notable part of the day’s pro gramme was played by the Cook County Marching Club of Chicago, which, three hundred strong, came into town at 8 o'clock this morning and to the music of five bauds cut a swath through the heart of lamisville that brought cheers from the hundreds who had gathered to greet them. Tomorrow they will take a trip to the Blue Grass region, touching Frankfort, Lexington and Paris, jumping into tile midst of the Ohio campaign on Friday at Cincinnati. When Mr. Bryan arrived at the race track he was greeted with loud applause. The crowd completely filled Vhe large grand stand, even down to the bottom of tin* steiss, and several thousand Iso lde were jammed and packed together on the ground. The speaking stand was immediately in front of the grand stand. It was a sea of humanity that the speak*- ers faced. The Chicago Democrats were seated in the center of the grand st a nil. Mr. Bryan liegan by reading a let ter from John Young Brown, which had lieen handed to him on his arri val in the city. The letter cited the statements con cerning the agreement of Goebel and Stone, by which they were to combine their forces for the purpose of securing the organization of the Louisville Con vention and asked whether, “after over tliris* hundred men wore placed in tin* convention instead of the delegates se lected,” the convention could give oGc tsd the nomination of tin* party. He also asked whether such a contract was not fraudulent. Gov. Brown further asked whether a chairman had right to deny an apiienl; whither armed police in the convention were not a menace to free government: whether Bryan was in favor of the Goebel Election Law, and lastly, wheth er Bryan had any plea save that of jxdi tieal expeudiency to justify submis sion. Mr. Bryan said on the subject of the letter: “Now, lie asks if it Tie true that this was done. I want to say that 1 did not come to sit in judgment on any convention. I did not come to discuss the details of an election law. I come to way, and I say with emphasis, that if there was anything done in that con vention that a Democrat dors not think ought to have been done, I ask of that Democrat, what his remedy is. Is it to elect a Republican Governor ami Repub lican officialsV The man who tries to correct a Democratic convention by electing a Republican Governor assumes responsibility for all that that Governor does after lie has been elected.” Mr. Bryan then urged his hearers to support tin* regular nominees of the Democratic convention, saying that that convention not only reaffirmed the dec laration of the Chicago platform, but de fined the attitude of the party on the issues that have arisen since 1890. The survival of these principles, he declared, to lie more importance than the question of candidates. Il<“ asserted it was not a question between Goebel and another Democrat but between Goebel and tlx* election of a Republican Governor and Republican State officers. He recogni zed the right of any man to bolt, hut said In* thought this a very poor way of remedying any wrong, fancied or real, that might have been done by the Louisville Convention. Mr. Bryan again attacked the Phil ippine policy of the Administration. Ho cited Mr. McKinley’s statement that the United States would hold the archi pelago ami quoted) the President as say ing: “I confidently believe that Congress will provide for these people a govern ment. that will bring them blessings and advance their material Interests.” “Change this sentence but slightly,” said Mr. Bryan. “Put ‘Parliament’ instead of ‘Con gress’ and ‘colonists’ instead of ‘people’ uml you have a declaration exactly in line with the policy of King George when the American patriots were in revolution. “Again put ‘Cortes’ instead of ‘Con gress,’ and ‘Cubans’ instead of ’people’ arid you have the announcement of the Spanish King in justification of his campaign, of subjugation at. the time tin* l nited States interfered to free the desolated island near our coast. “These things denote a departure from the principles contained in the Declaration of Independence. As an illustration of the demoralizing effect of this imperialism, let me cite a recent manifestation of our foreign policy. When Greece was struggling for free dom, Daniel Webster thundered the ap proval of tlie American nation. When Cuba was devastated the American ra tion came to the rescue. Now tlx* gal lant Boers in South Africa are shedding their lib's blood for the right of men to govern themselves and this nation stands with its hands tied, it’s throat gagged. “If we appealed to England in behalf of the Boers, she would reply, “What’s thi' matter with the FilipinosV’ "I want tills nation to be at peace with the other nations of the world, but 1 would rather have the gratitude of these valiant Boers than the smile of an English aristocracy.” Mr. Bryan attributed to President Mc- Kinley a statement that our position in the Philippines was a matter of divine direction. If lie felt lit an impulse to go into his* pocket and give to the desti tute he might, he said, trace that feel ing to God. But if lie felt inclined to reach into another man’s iweket and rob him, lie would not charge that against the Almighty. The Republican x nHip pine policy, he said, reminded him of a colored man about whom, lie had heard. This negro said he had found that if lie prayed to God to send him a chicken lie rarely ever responded, hut if he pray ed to G<>d to send him to a chicken, lie most always got it. Mr. Bryan, urged upon his hearers, the importance to the party of the election to the United States Senate of J. (’. S. Blackburn, saying his vote was needed an tlie d ‘-.wmination of the questions of public policy brought to us b,v tlx* Spanish war in the event of pis sible legislation looking o an increase of the standing army, - non as. r.e said, was attempted last session; and in the matter of trusts and thj income tax. At many periods of his discussion of national issues, he paused for the re mark,"And yet they ask u.s to stop while these questions are pending, to settle the details of a State convention.” Mr. Bryan’s speech was interrupted frequently with applause. He was fol lowed by Mr. Goebel after which the party went eastward, expecting to ar rive at Covington tonight. WELCOMED TO*OHIO. Cincinnati, Ohio, Oct. 18. —Mr. Bryan was met at Covington, Ky., by Hon. Allen (). Myers ami others, represent ing the Ohio dhinifooratie committee and afterward w as escorted to a special train in waiting lien* for the Ohio tour. Many from Oinciaunn'ti had crossed the river to hear Bryan. Mr. Bryan spoke from a platform in Park Place, in Covington, and it is esti mated that twenty thousand people sur rounded if. When in* stopp'd s[ leaking there was a rudli for the platform to shake hands. Mr, Bryan was escorted to Ohiio by great crowds with blazing lights, but declined a public reception, ami repaired at once to litis car, leaving alt 11 o’clock p. in. for Dayton. There the private ear of Hon. John R. Medxsui, the Democratic candidate for Governor, will be attached to the train at 7:30 a. in., and thence tin* train will proceed to Greenville, where Mr. Bryan speaks at 9 o’clock a. m. Air. McLean and other Democratic leaders will accompany Mr. Bryan in Ohio tin* rest of this week. Then Mr. Bryan will hasten to Nebraska for the last two weeks of the campaign. The Derelict Carrie a Lane. Beaufort, N. ('.. Oel. 18. —(S[>eeiftl.) — The tug Blanche from Wilmington towed in and safely anchored tin* derelict schooner Carrie A. Dine, in Cape Look out picket. The tug was paiid one thou sand dollars to do tin* work. The cargo is a large lot of luiinlwr which it is sup- IMCsi'.d’wiai be sold. Parties from Florida arc anxious to buy it. The schooner can lx* pumped out and towed to destination for repairs. Her lugging aud decks are gone. She was insured in the Boston Marine Insurance Company, and (they have ordeml the insurance agent here to turn her over to the owner’s agent, who arrived here last might. BLOTTED OUT HIS FAMILY. Mad Farmer Kills Wife, Three Chil dren and Himself. Redwood Falls., Minn., October 18. — Frank E. Babcock, a farmer, residing near this city, murdered his wife and three sons on his farm today. The murders were committed in a fit of in sanity. Babcock loaded his gun and went to where his two little boys were playing near the house and shot both of them, blowing their brains out. His wife saw the deed and ran to the barn for safety. Babcock went into the house and wrote a note to his brother in-law, Frank Mason, saying he went out to kill a rooster and shot his son Theodore and could not face the crime. 'Phi'll lie searched for and found his wife in the barn and shot her through the head. From the barn lie walked a male south to' where his oldest son was at work and at close range lie fired a shot that blew out the brains of this son. Alien, reloading he placed the muzzle to liis month and fired off one barrel, killing In nisei f instantly. HeMell over on the gun which still had one barrel cocked and ready for action. COTTON GROWE h WET LAST J' rIT Interesting Discussion by Practical Cotton Planters, SOME VALUABLE PAPERS A COMMITTEE NAMED TO MEET THIS MORI NIL CO-OPERATION OF SOUTHERN PLANTERS That is What is Desired by the Farmers to the End that Cotton be not Sacrificed. The Cotton Growers’ Convention met in the Hall of the House of Representa tives last night. It was a large gathering of representative farmers. The body was called to order by Mr. 8. L. Patter son, Commissioner of Agriculture, who said: MR. PAT TERSON’S SPEECH. At tlie suggestion and request of Col. John S. Cunningham, chairman of our State Board of Agriculture, I issued about a mouth ago a call for a meeting at this time and place of the Cotton Growers of North Carolina, the purpose being, that in homing together they might confer with one another on vari ous matters of interest incident to their business, and more particularly that ( tlicy might devise some plan, if possible, which would enable thm to market their cotton this year at a price in keeping with the shortness of the crops, and :he increasing demands of the spinners. Since this call was issued the only change in conditions has been evidence of a greater shortage of the c itton crop, and a corresponding increase in value. How are our cotton planters best to se cure this increase now, and in the future will be one of the questions to engage your attention, tonight. Under tlie common law of supply and demand the planter is entitled to tyi increase of price in proportion, to the de crease of his crop. The same expense of seed, fertilizer, planting, cultivation ail have been necessary to make it—a saving to him only in the picking and market ing; and in an untrammelled market, under the same law, he would secure the relative increase in value. It has occur red in the past that smaller exports have returned more to the producer, not only in price per pound, but in actual value, and so at would be again, if natural causes were let alone to produce natural effects. But, when, ns there sems to have been now, a studied and determined effort to create a false impression in tlie great markets of the world as to the size oi the cotton crop of 1899, for the purpose of depreciating the price, at any rate until after those farmers who are pinch ed by mortgage indebtedness and crop liens, have been forced to put their crops oil the market, it is time for intelligent and self protecting men to take serious and thoughtful action to thwart such nefarious schemes. The world’s demand for cotton is year ly increasing. Prices of all manufactur ed products have shot upwards, and of liuich of the raw materials. Cotton spinners have met, anil have fixed minimum prices for cotton goods, in ad vance of last year's prices to correspond with the advancing cotton: the farmer’s goods next year will cost him more than for years .vast; to thwart by falsi* rep resentation the natural law by which his share in the rise of prices is denied him would lie the basest robbery, and the iperpretraters deserve piniHslrmeiilt like common thieves and criminals. It may lit* of interest here to briefly consider the cost of raising cotton. A'he United States Department of Agri culture has recently issued a bulletin (Div. of Statistics Bulletin Id. p 99) giving in tabular form the average item ized cost of the production of cotton. Data are given to show tlie relation of the use of fertilizers to the cos*- of pro duction. Circulars were sent out to planters in all the large cotton counties in the different cotton States. Without going into detail, I maylsiunmnrize ihe results by saying that some 3,5(H) replies, pepresnting over 700 counties, were con sidered in reaching the results. “From the data obtained in the estimates it was found that the average cost of producing an acre of upland and sea island cotton in 1890, was .$15.42 and $21.95 respec tively. The lowest cost of producing 100 pounds of common lint on uplan 1 plantations was found to he $5.51 in Oklahoma, and the highest $0.29 in Ai k®nsas. The average cost on all upland plantations being $0.03 per 100 pounds.” I do not know at what cost for labor and supplies these estimates were based, for I have only a summary to quote from and not the data in detail, but certain ly the figures are not derived from any "calamity howling” source. I wish to call your attention to the fact that we are indebted in large mea sure to the factories in our midst for the recent advanced prices, and not to the Liverpool market. But after their immediate demand is supplied, the prices must be governed by the for eign demand. One cent a pound means an enormous amount in profit or less to the farmers of the State. Reckoning the State’s yield in round numbers at 50,000 bales of 500 pounds, one cent means $2,500,000, equal to all State, county aud school taxes for the year. I shall not anticipate the action of PRICE FIVE CENTS this meeting by suggesting or promising any plan: That must be left to the wisdom of yourselves. But one point I desire to emphasize—the common inr terest of farmers, merchants, bankers and railroads, in good prices not only of cotton, but of all farm products. All of these classes are necessary to one another and not one can prosinw without the success of tin* others, the farmer perhaps least of all. It is no time for arraying class against class or exciting unjust antagonisms. I have taken the liberty of asking some of our leading bankers and railroad rep resentatives to be present and take part in our proceedings and I feel very sure tiiat you will give them a cordial hear ing. I now declare this meeting ready for business. Col. John S. Cunningham was made chairman, and A’. B. Parker anil J. I>, Allen secretary. Col. Cunningham made a brief and fitting address, which was well received. Capt. J. J. AAiomax, president of the Commercial and Farmers Bank, who hail "been invited to speak, was introduced and said: COVENATON OF COTTON GROW ERS OF NORTH CAROLINA. A'he few brief remarks that I propose making, is upon the re! rion of the farmer to the merchant and the limits. For the past quarter of a century L have been closely .dentdied with ihe farmer, the merchant and the banker. My personal business relations have been however, greater with the farmer than with any other class, hence my exper ience, in the absence of any talent, en ables me to speak knowingly of some of his traits. He is, as a class, honest him self and thinks most other people are the same, ut not without some suspicion, A'’here are those knowing the honesty of the farmer, will manage to deceive him, but 1 am proud to say, they are largely in the minority. They constitute, how ever, a sufficient number as to properly cause the farmer to exercise some dip CAPT. J. J. A'HOMAS. gree of suspicion. My object, is not so much to speak of the character of the farmer, for that needs no defence at my hands or the liamls of any one else, but of his business relations to the merchant aud tile banker. Just after the close of the war between the States, business generally was seriously disorganized, all commodities were abnormally high and no fixed rate of value, price or profit on anything sold or bought, hence this condition of affairs not unexpected or unusual, emerging from war times.had to gradually adjust itself to peaceful ways and business methods. The natural con dition of things of this day ami time, has brought the farmer, the merchant, and the banker into a closer and more intimate relation with each other. They are getting, so to speak, to lie better acquainted with one another, and as this state of affairs develops anil grows, so does the peace of society, lilt* social ity of the people and the general pros perity of the country, A'he prejudice that formerly existed on the part of the farmer as against the merchant and the hanks is fast if not entirely disap pearing. He now finds the merchant among his liest friends ami the more dealings lie may have with the banks and its officials, who are always ready to extend credit and aid to those who deserve or merit it, tin* more he is convinced, that we are of one country, of one family anil of one destiny, lienee the triple alliance of tin- bunker, the merchant and the farmer, is the one thing desired and needful and from all appearances and indications the trend of things is in that direction. Any demands by the farmers or merchants, tlie banks- you will find ever ready to respond to and arrange upon a deposit of suffircient cotton in some chartered or bonded warehouse, furnishing a re- ceipt .for same or by other acceptable personal security or collateral. Since the first of September, tin* West and the South have been withdrawing their deposits from (lie banks in New York to that extent, (lint it has caused alarm and some parties North went so far as to predict a panic in New York by the transfer of their money—it was the s[>ec ulators and that class of professional operators, who thrive under such condi tions, that would welcome a panic, but the New York banks were as usual, prepared to meet all demands upon them, tin* funds were needed to aid the handling and moving the grain crop of the West and the cotton crop of the South. This drain upon the banka in New York, reduced tlie surplus reserve, over tlie legal requirements, lower than it has been for ten or twenty years nnd in the case of some of the banks, the surplus reserve was entirely wiped out and that required by law hardly maintained. During this period of transi tion of funds, money was loaned in New York from 5 to 40 per cent, per annum and that on call, nnd as yet the rate of interest in New York is very unsettled. A'he government in or der partially to relieve the money situation. have anticipated ami been paying out some four and one-lialf (Continued on Page Two.)