 Unbeknownst to Wall Street , a new crisis was being averted in the background . On Sunday , Morgan 's associate , George Perkins , was informed that the City of New York required at least $ 20 million by November 1 or it would go bankrupt . The city tried to raise money through a standard bond issue , but failed to gather enough financing . On Monday and again on Tuesday , New York Mayor George McClellan approached Morgan for assistance . In an effort to avoid the disastrous signal that a New York City bankruptcy would send , Morgan contracted to purchase $ 30 million worth of city bonds . 
