ARTICLE V.

Speculation Schemes and Bubbles of Former Times, and those of the Present Day-Defalcations in France and England-Financial Immorality Prevalent-Financial Prosperity of France-Association a Feature of Modern Enterprise-Banking on a grand Scale the aim of Modern Financiers-Banking and Bankers in England-Nathan Meyer Rothschild-the Bank of England-Mr. Gilbert and the Joint-Stock Banks-International Bank of Paris and its Gigantic Projects-Production of the Precious Metals-Free Trade in EnglandStatistics of Wool Trade-Cotton Trade--Danish Sound DuesWar Policy of England-China-Silk-Guano Trade-Progress everywhere-Late Failures-Credit and Business inflated.

PARIS, FRANCE, April 1, 1857.

MY DEAR SIR :-The "Tulip Mania" of Holland, the "Mississippi Land Scheme" of France, and the "South Sea Bubble" of England, are landmarks in the history of the Stock Exchange. The journals of those days have recorded the madness of the times. The Arabian Nights' Entertainments are not more romantic, for there is a certain wildness in reckless. speculation.

Fraud in high places was the word of the hour;

money in trust vanished with the air; and mercantile morality was hardly known among the pullers of the wires.

Think of paying thousands of pounds for a tulip root, millions for paper land, and tens of millions for ventures in the South Sea! And when this last bubble swallowed up all its rivals, and burst; when, like Alexander, it had nothing more to conquer, the explosion spread misery throughout the Kingdom! The thousand per cent. dividend was a myth, and the rich man was poorer than the pauper! A century and a half have passed since then; England has rolled up a National Debt that would sweep away 40 per cent. of the entire National domain, and individual and public wealth, to liquidate it; but America, in the meantime, has lived and flourished through three wars, and many "rumors wars," and placed her fifteenth President in the White House.

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Great as is the lapse of years since the Old World was speculation-mad, some of the elements of the present day are not so unlike. Bubble Companies may have a sounder bottom, but little less morality. Schemes as desperate, on a smaller scale, find daily birth; neat circulars, glowing advertisements, "splendid results," meet you everywhere. Speculation marks our

day as well as theirs. Forgery, breach of trust, fraud among the leaders, seem to be as prevalent now as then, though not on so grand a plan. Each day the London editors chronicle some new instance of crime. The press of France is voiceless, hence French bubbles are seldom seen floating upon the waters. The water runs too deep-the plans are not worked out. 'Tis true that Charpentier and Grelet took a few hundred thousand dollars out of the

Northern Railway, but what of that? And Cousin, Legendre, and Duchesne de Vere managed to cheat the shareholders of the "Docks Napoleon" out of $1,400,000-a refined swindle-but, with this exception, the bubbles are not quite ripe. In England, however, we get them every mail. The shameful frauds of the Tipperary and the Royal British Banks, are not yet cold, when crash on crash increases the malady that keeps the money market so sleepless. No wonder shareholders tremble and grow pale under such terrible responsibilities. A dozen bubbles have exploded since I wrote you in February--each worse than its neighbor. The public was disquieted to find that the Directors of the Paris and London Bank had squandered $70,000 in preliminaries before the Bank had opened its doors; still more so, to see the Australian Agricultural Company run through all its capital of

$1,900,000, with nothing to show for it; but what is now their surprise, to see the London and Eastern Joint-Stock Bank in such a mess-only three years old-with a capital of $1,250,000, loaning one Director, Col. Waugh, on his rotten securities, $1,200,000, within $50,000 of its whole stock in trade! How many other leading financiers have taken in the Banks as junior partners? The community is indignant, and well it might be. More misery for shareholders and depositors; more spoils for the lawyers; more distrust; less confidence; a general inquiry of-What next? The North of Europe Steam Company is also in the papers $2,500,000 was a respectable capital, but lately one man has relieved them of a handsome sum, and it seems that their last was a bogus dividend! Bogus directors-bogus auditors-no wonder the bubbles burst so rapidly! Redpath coolly takes $1,200,000 out of the Northern Central, (an English Schuylerism,) and gives a portion to his church--the rest to charities! Noblemen shake hands with the $1,500 clerk who could give such dinners, and was so good. son was more modest. His frauds had not matured. The Crystal Palace-poor bubble--did not need this last stab to sink it. While these pleasant transactions were taking place in England, Huntington was gaining popularity on forged notes in Wall-street.

Rob