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London, England, 1858-07-22 00:00:00

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LONDON, 27(17718DAY, JULY 12.

SPORTING INTELLIGENCE.

A SPECIAL EDITION of the " EXPRESS,"
containing the results of the day's Races, is pub-
lished every evening during the Sporting Season, ►t
six o'clock.

Tee Report from the Select Committee on the
Bank Acts is an able and interesting document,
though tho results at which it arrives are principally
of a negative character. It will be in the recollec-
tion of our readers that this Committee wee appointed,
in the short session preceding last Christmas, to
inquire into the causes of the then recent Commer-
cial Distress, and into the operation of the Bank
Charter Act of 1844, as influencing for good or evil
the phenomena of that great monetary crisis. The
most interesting and elaborate portion of the Com-
mittee's Report is that which relates to the causes of
the great commercial convulsion which in the
autumn of 18.57 spread desolation and ruin through
England, the North of Europe, and the United
States.

Wisely determined to ground their inquiry on a
sufficiently comprehensive basis, the Committee exa-
mine the phenomena of the remarkable decennial
period which intervened between the great mercan-
tile convulsion of 1847 and the great mercantile con-
vulsion of 1867. They diaoover, in the coarse of
this interval, three circumstances having a most
material hearing on the question submitted to them.
These are-1. An unprecedented extension of our
foreign trade; 3. An importation of precious metals
on a stale unknown in history since the first dis-
cover:yet America; 3. A most remarkable develop-
ment of the economy afforded by the practice of
banking for the use and distribution of capital.
The facts illustrating each of these positions are,
especially when brought into justaposition, of great
interest and importance. First, as relates to
the increase of oar foreign trade. Our exports,
which before 1848 had never exceeded 60,110,11 W.
—the amount which they reached in 1845
stood for 1837 at no lees a rum than 122,153,0001.
Secondly, as regards the estimated increase of
bullion. In the seven years from 1831 to
1837, it appears that the total quantity of gold
added to the European stock was 107,300,0004 ; the
total quantity of silver withdrawn 26,800,0001. ;
leaving a hawse* of increase to the enor-
mous extent of 80,700,0001. in seven years. The
increased prosperity and purchasing power of
the English community, osesequent on free trade,
and augmented likewise by the stimulus which this
new wealth has given to the employment of industry,
have necessitated a corresponding increase in the
circulating medium. It is calculated, and apparently
on good grounds, that the quantity of gold coin
now in circulation in this country is not less
than 30,000,0001. ; the total note circulation (un-
represented by bullion) being in round numbers
31,600,0001. Thirdly, the rapid increase of bank-
ing accommodation, and of the system of bill-
discounting, has at least kept pace with this
enormous development of imports, and this vast ad-
dition to the quantity of coin permanently
taken into circulation. The Joint-Stock Banks
of London alone have increased their deposits
from 8,830,7741., in 1817, to 43,10C,7241. in 18.37,
and a corresponding increment is shown in other
quarters. This extraordinary increase has been
mainly derived from sources not heretofore available
—the practice of opening accounts and depositing
money with bankers having extended to numerous
classes who never before resorted to this employment
for their capital. In fact these Banks act—and, under
proper regulations,act most beneficially—in drawing
up like a vast sponge the innumerable rivulets of
small capitals into great aggregates, capable of sub-
serving the gigantic operations of modern com-
merce. The aggregate of these deposits of course
finds its way to London—the great centre
of commercial activity—where it is prin-
cipally employed in two ways : by the London
Bankers, in discounting bills for their customers;
and by the Bat-Brokers, who obtain it from the
banker', and hold it at call, on the security of bills
already discounted. " Such is the magnitude of
"thew transactions," observe the Committee in their
Report, " that Mx.Nlarn, the present Governor of the
" Bank, stated in evidence, 'We know that one
" ' broker had 6 millions, and we were led to believe
"' that another had between 8 and 10 millions.
"'There was one with 4, another with 31, and a
" third above B.'

Such were the enormous facilities afforded by the
Joint Stock Banking and Bill-broking 'yetis, tor
the purposes of snaking large advances of capital.
The mercantile community, animated by a spirit of
reckless speculation, availed themselves of them
enormous resources to the uttermost, and the rank
emu e huge fabric of borrowed capital, resting for
its sole foundation on • state of confidence which
a few adverse circumstances might change into dis-
trust, and a prolongation of distrust convert into a
panic. In the history of the world there never has
been such !whim profligacy in advancing sesmey,
each audacious avidity in borrowing it. " Great
" abuse of credit and consequent overtradiag* are
the decorous terms under which the Committee veil
lust ever be regarded
disgrace ea the
this country. The
comment, but with
- that renders
the Western
Bank of Livemeel,
Thum District Bank
side of the great
. sufficiently before
readers there will be

taro %WWI f"..0 tca awl wr Lie a.
a series of transactions that must eve
as reflecting the deepest diagi
•comercial character of this et
Committee state without C 04102411
• quiet eompletenem of exposure
comment superfluous—the cases of
Bank of Scotland, the Borough Bank
and the Northumberland and Durham
of Newcastle. This—the banking side
ais•ey-swindle, his already been sued
the Public ; but to many of our 'soden