HEAVY BILL TRANSACTIONS.

Globe, Volume I, Issue 41, 17 July 1874, Page 4

HEAVY BILL TRANSACTIONS.

[“Daily News.”] Probably the heaviest bill transactions that the world ever saw are now straining the resources of the ancient and respectaablo Bank of Hamburg. They are heavy in every sense of the word, for not only arc they of vast amount, but they are required to be paid in silver, at the rate of about a waggon load to a bill ; and it is not so much tho difficulty of procuring the silver as of coining it fast_ enough, that has taxed the energies of the commercial capital of Germany. Fortunately a crisis, which at one time seemed almost inevitable, has been averted by the zeal and co-operation of the private bankers, as the State was not permitted to interfere, and the first of these monster bills has been paid. The circumstances are these :—A large part of the latest instalment of war indemnity paid by France to Germany consists of bills of exchange, and of these were drafts on Hamburg to the tune of 48 million marks banco—a coin of about cighteeupcncc value. On the Pith September the first bill for about 25 millions became due, and consequently nearly two millions of money had to be provided in eighteen penny pieces. Such a thing had never been heard of before ; but the bills had-been duly accepted, and being at short dates, had to bo provided for by the acceptors, Messrs Jj. Behrens and Sons, without loss of time, by some. ur.usuM operation, as all the money in the bank was inadequate for the purpose. This sum varies from week to "vyeck ac-

cording to the quantity of bullion in the cellars of the bank, anyone being at liberty to deposit there his bars of silver, for which his account is credited in marks banco at a fixed rate of about fifty-nine marks banco per medical pound of fine silver. In ordinary times this balance has ranged from sixteen to twenty millions of marks value, and in order to facilitate the ever-increasing financial operations, a concession has been granted to the bank to create banco money, no longer exclusively by silver liars, but by the deposit of gold in bars, called Bdelliumgen. In this manner the stock at the bank at the cud of August bad risen to thirty-two millions of marks value; but of this more than five millions were Belchnungen, and consequently not available, for the monster bill was drawn and made payable, not in gold, nor even in silver thalers, but in marks banco ; and nothing but marks banco would do. The Hamburgers proved equal to the emergency. By great exertion, working night and day, 20,000,000 marks were forthcoming ; the day before the bill became due they were delivered to the bank in seven thousand bags of 2000 marks each ; and on the 12th the bills were paid in the usual manner by a simple cheque on the bank to transfer the amount to the credit of the holder ! No wonder that with transactions of such colossal magnitude a great sensation was created in the Hamburg Exchange a few days ago by the exhibition of one of these monster bills by the Provincial Discount Company, to whom it had been sent to get it accepted. This extraordinary document was drawn on Messrs L. Behrens and Sons, and in one sum for 2-1,650,000 marks banco, the bill stamps amounting to more than 6000 thalers (about £000) which goes into the Imperial Treasury, and which France has to pay.