had a bad day's run, and could not answer for the
result till their books were written up.

I passed back again into the room where the before-named gentlemen
were discussing some paper which lay before them, and was going to
pass out, when Captain Folsom, who was an officer of the army, a
class-mate and intimate friend of mine, handed me the paper the
contents of which they were discussing. It was very short, and in
Henry Haight's handwriting, pretty much in these terms: "We, the
undersigned property-holders of San Francisco, having personally
examined the books, papers, etc., of Page, Bacon & Co., do hereby
certify that the house is solvent and able to pay all its debts,"
etc. Height had drawn up and asked them to sign this paper, with
the intention to publish it in the next morning's papers, for
effect. While I was talking with Captain Folsom, Height came into
the room to listen. I admitted that the effect of such a
publication would surely be good, and would probably stave off
immediate demand till their assets could be in part converted or
realized; but I naturally inquired of Folsom, "Have you personally
examined the accounts, as herein recited, and the assets, enough to
warrant your signature to this paper?" for, "thereby you in effect
become indorsers." Folsom said they had not, when Height turned
on me rudely and said, "Do you think the affairs of such a house as
Page, Bacon & Co. can be critically examined in an hour?" I
answered: "These gentlemen can do what they please, but they have
twelve hours before the bank will open on the morrow, and if the
ledger is written up" (as I believed it was or could be by
midnight), "they can (by counting the coin, bullion on hand, and
notes or stocks of immediate realization) approximate near enough
for them to indorse for the remainder." But Height pooh-poohed me,
and I left. Folsom followed me out, told me he could not afford to
imperil all he had, and asked my advice. I explained to him that
my partner Nisbet had been educated and trained in that very house
of Page, Bacon & Co.; that we kept our books exactly as they did;
that every day the ledger was written up, so that from it one could
see exactly how much actual money was due the depositors and
certificates; and then by counting the money in the vault,
estimating the bullion on hand, which, though not actual money,
could easily be converted into coin, and supplementing these
amounts by "bills receivable,"