Salt Lake Tribune | 1913-12-18 | Page 2 | Mexican Bankers Try to Avoid Panic

MEXICAN BANKERS TRY TO AVOID PANIC MEXICO CITY, Dec. 17. A presidential presiden-tial decree making the state bank notes legal tender throughout tho republic, a guarantee fund to be subscribed by the state banks and deposited in the National Na-tional bank, and tlnallv. s government guarantee of bank notes. Is the programme pro-gramme decided upon by a committee of five bankers, representing the National bank, the Bank of London and Mexico, and two or three other concerns, which met this afternoon with the ucting head of the finance department. No difficulty is anticipated In having1 President Hucrta, issue tho decree, the bankers deeming this the only means of maintaining In circulation a sufficient amount of tho medium of exchange. Delay in Paying. The management of the Central bank exhausted the reserve deposit funds of only three more stato banks today by adroit delay In paying and by refusal to accept more than L'O per cent of tho bills offered for redemption. Long before tho regular hour o opening a double line of holders of notes strotched a block froin the door3 and when the bank closed this afternoon tbosc half way In tho line at tho beginning had not reached the paying pay-ing teller's window. Although tho Central bank's difficulties difficul-ties do not concern directly any other bank, yet an inevitable reflection was manifested today, particularly in the case of the Bank of London and Mexico, where there was a heavy withdrawal of deposits. Rebels Near Capital. The rebels who have penetrated the federal district and who yesterday clashed with federal troops at Mllpa Alta and San Lorenzo arc said to be accompanied and directed by Emlllano Zapata. Felipe Neri and Genevevo de la O, other southern south-ern robol leaders, arc reported near by and In dally communication with Zapata. General Zapata ls alleged to have taken possession of Nepanpa ranch, a few miles from Mllpa Alta. At one time this property prop-erty was a favorlto resting placo of General Gen-eral Porfltio Diaz. According to government reports received re-ceived at the capital today a further rout was administered to tho rebels at Sap. Loronzo yesterday. After the engagement engage-ment the followers of Zapata took refuge In tho rough country at the base of Mount Ajusco, twenty miles south of 1 Mexico City.