The Express.
London, England, 1858-07-22 00:00:00

THE EXPRESS, THURSDAY EVENING, JULY 22, 1858.

some novelty in the exposure of the system of " open
" credits " as adopted by i considenaiii:as o&,
mercantile houses, and thus detailed in the rt
the Committee : lit' •
"Besides the failures which arm, from the sus-
-1" pension of American ranittances, usgestt class of

" failum is disclosed. The nature of these transac-
" Lions was the system of open credits which were
" granted; that is, by granting to persons abroad
" liberty to draw upon the house in England to such
" extent ea bad been agreed upon between them;
" thou drafts were then negotiated upon the
" foreign exchanges, and found their way to Eng-
" land, with the understanding that they were to be
" provided for at maturity. They were prinei-
o pally provided for, not by staple commodities, but
by other bills that were sent to take them up. There
" was no real bassi to the transaction, but the whole
" affair was a means of raising a temporary cots-
" mend of capital for the convenience of the indivi-
duals concerned, merely a bare commission hanging
a upon it ; a banker's commission was all that the
" hoarse in England got upon those transactions,
" with the exception of receiving the consignments
" probably of goods from certain parties, which
" brought them a merchant's commission upon them;
" but they formed a very mall amount in compari-
" son with the amount of credits which were
" granted. One house at the time of its suspension
" was under obligations to the world to the extent of
" about 900,0001., its capital at the last time of
" taking stock was under 10,0001. Its hairiness was
" chiefly the granting of open credits, i. e., the hones
permitted liesllf to be drawn upon by foreign
a houses without any remittance previously or con-
" tetnporaneously made, but with an engagement that
a it should be made before the acceptance arrived at
a maturity."

The results of such a system as this, on the occur-
rence of any check to mercantile confidence, were not
difficult to foresee. The check came in due course.
The American failures (the result of the same
system carried even to a more vicious excess) gave the
signal, and the house of cards came tumbling
down by the ran. We need not follow step by step
the familiar details of the panic. Alarm became
general; bankers limited their discounts almost wholly
to their own customers, and began to add to their

reserves both in their own tills and at the Bank. The
Bill brokers who had been carryingon their enormous
transactions without any cash reserve, fell back upon
the Bank of England. In one day—the day on
which the Treasury letter was issued—a celebrated
Arm asked and received 700,0001. from the Bank.
On that day the bullion in the Bank was reduced to
8,624,0001., and the Reserve to 681,0001. Govern-
ment interference had become absolutely necessary,
but Government interference did not, ss in 1847, at
once allay the demand for discount. The power of
issuing in excess of the legal limit was exercised to
the extent of 2,000,0001.
Upon these facts the Committee come to the con-
clusion, as they are undoubtedly well warranted in
doing, that the commercial crisis in this country was
mainly owing to an excessive speculation and abuse
ofcredit, to a system of open credits, accommodation

bill., and re-discounts, and that, in its origin, it was
not traceable in any way to the operation of the Bank
Charter Act. Whether, when the commercial crisis
had set in, its gravity was increased by the strin-
gency of that Act, is a point on which the Committee
do not pronounce • categorical opinion. It is
necessarily to be inferred, however, from the
whole tenor of their Report, that ou this point their
opinion is in favour of the operation of the existing
law. Th y consider that nothing would be gained
by extending the 14,000,0001. limit to 16,000,0001.,
or any larger amount, on the ground that, while it
would add nothing permanently to the amount of
notes out with the public, it would rather diminish
than increase the power of giving Guist/ore in times
of pressure, by tending to diminish the amount of
bullion that might then be available for advances in
the coffers of the Bank. This point we regard as tally
made out. As to the question whether it would be
better to leave the ultimate power of relaxation to be
exercised, as it has been in 1847 and 1837, by the ex-
traordinary interposition of Government, or to define
beforehand the conditions under which such power
shall be resorted to, the Committee offer no recom•
mendation either way, but reserve the point for the
decision of the Legislature. They also reserve in
the same way the question of private issues, and of
the small note circulation in Scotland and Ireland.
Upon the main question they report that if new pro-
visions shall at any future time be made by Parlia-
ment " the great object of securing the maintenance,
" at the time of the severest pressure, of an ade-
" quote supply of bullion should be guarded with
" the utmost caution ;" and they consider that " no
mischief will result from at least a temporary con-
" tinuance of the present state of things, under which
"the Bank of England holds the powers given by
" the Act of 1844, subject to a notice of twelve
" month', which may at any time be given by the
" House of Commons through the SPEAKER." From
conclusions so temperate and guarded few, except
the zealots on either side, will be found to dissent.
Meanwhile, those interested in this very important
discussion will look with some impatience for the
publication of the evidence on which the Report
is founded.

MA. 0. C. OLTS, M.P.—The hon. member for
pad W conttioseet• • visit on Beturday bat,
sodaaliii4 eldressed them. In referring to tbe present
rs
et the t„ Mr. Glyn charged them with
seeribeing pefeeFp So place and honesty to PZ
ellaidog ass they wan to • very great exteatZitYai;
when he reopestod, bet oboes prmetples ha did sot obeiler
exedeeive to the Mode, or honour of this country, vb., Mr.
Jetts WOW

J.P.hfresoron.—ln anticipation of the
eitineelet at Mr. Manias from the representation of daild-
ford, to MI the mon lucrative Oka of councillor at the IN
ladle& board, Mr. J. P. Marroogh, the late member kr
Bridpert, has addreseed the electors, and claims their ant
tsp., as "• tried radio OSA and • consistent liberal."
The gin-berm isarnia observes that "Mr. Marrone% los
so earthly chance of mein adding M.P. to hie =on."

REPRLSENTAITON 0, 14;1(Ditt8TER AND Roca-
DALII.—EVIr ISM the exciting contest for ldancbester at
the shake he 167, when Misers. Gibson aad
Hermit weft Imiebsd, there hr his. s good dud of speettle-
Yea se to the giehebberadehe ea a tattoo eiewdes. The
stseswadds egeeady vereated Mot Mr Jelin Peter
Todd es soseest et 111-bedtb, bet the ',-
doodles hoes* wpm te be fidbovabg. sue the West
he. et the mow is that he lea senseher gel
eat oder Iddratilegde, eldist gourd Warns esteggyetrt
=Mwelly a war WM of seem. • / bee ob-
eo as
owing ad Mr. Theme Peirbeker, the late
easiness st the Aall Tresenris =die Ornessitits, would
be solletted es 1111 the treeney. This le met by • seeeneet,
en geed swberity, Net Mr. Times leaky, hew* Pre-
sident ellbe Mersdreseer Chewier of Osessedes, tell be a
weildele se Or wet dodos. We baste It lobe the het
Oct Mt. &dm ewe doe ege esweeled le sere hewed It
Mr. Oahe boated lo de so. Mr. Cobden y
eodwueeei Is haw as I viutls tem ltoehwa a sad
Is pereable ohm Mr. • Morn Oar Martreaskr will
be eogelassed la by all shoo et like& in thee atty.
Ma. B. A. OLovil MEVERLET.—Mr. Glover,
en M.P. kw Beverley, sabered Hs town late on Tuesday
eight amidst verbal dsweelndkes of excitement. The
home wore taken from the meek In which he was sested,
W the vehicht was drawn through the struts by the crowd.
Mr. Glow selressed the ceowd No. the coach, dwelliag
wash (ter this Moseilents• Bewelistos) upon his wrongs,
psessenaisse, sod sawners. He slienM remain in
th the
w aslg
Is tmhelibosrbeed Mil the 2nd of Ann.*,
as the Asir at an Oillibllowe' dIZa,
sod bemedd thee ewe great !easy usitsrs cooneeted
with thil borough. It we his Intention at the next election
owe IMArI to Air Wessell ma a candidate, although hie
ghettos wpme bed ben offend to be paid at three other
Platen 111. political career bad began in Beverley, and It
should sod there. All Wee stassouines were niceived with
greet ebeerieg.

ebt froun.
-1+
0814.41/fl. JULY 21.
.11. Duchess of attended Tyl.
Ltioiy Fanny
Howard and Oellonel Sir.O. Caspar, arrived at Osborne on •
,Vleit to her Mejeaty.
The Quo, aocompenk4 Princess Alice, Princes
Helena, and Prince Leopold, deers out in the afternoon.
The Prince Consort crossed over to Gosport in the royal
yacht Fairy.
Her Msjesty's dinner party included the Duchess of Kent,
the Prince of Leiningen, Lady Fanny Howard, Sir George
Cooper, rod Captain Crispin, R.N.

• metre of the Council of the of Cornwall was held
yesterday at theDschy-offies, Buckingham-Gate, St. James's-
Nalt. There were pressor the Cheacellor, the Right Hoc.
Thomas Parbertea Leigh ; the Keeper of the Privy Seel,
Mr. Whitman; the Attorney-General Mr. Alesander; the
Duke of Rewords; mad the fremteri, Mr. I. 8.. Gardiner.
A deputation frees the Themes Cesearreasy had as inter-
view with the Charterer et the ffisehegeerinWida , at hie
octal reidence la Dowedariarest. The oon-
sistad of Mr. J. Thorp, Mr. Akirrea , Mr. J.
Torrey, Mr. Theme Dekia, Madrid • in, Captain
Pigott, sad Mr. Edward Timed, atheaded by Captidn
Barrel, isereerry, red Mr. 8. Lao* weasel%
A &pat/aids hooktispoishof dpi-without-Affigate
sad the Product Oa. Redress, on the /abject of the Me-
tropolitan Local Menagemisat Act Amendment Bill, had as
interview with Lord John Manners yesterday at the o (toe of
works, Whitehall-palace. The deputation consisted of Mr.
Corr (secretary of the St. Katharine Dock Compaq), Mr.
White (vestryrsa of St. Botolph-without-Aidger), sad Mr.
Duke (vestryman of St. Botolph-without-Aktgate), Mr.
Glyees (vestry clerk of St. Botolph-without-Aldpte), and
Mr. T. Solith.
A deputation from the Cotton Supply Asocittion of
Manohootor, wadding of Mr. Beery AAworth, Mr. Wm.
Waoklyn, and Mr. Joseph Simpson, had en interview with
the Chancellor of the Exchequer at his offidel residence in
i Downing-street yesterday. The daputivion was accompanied
by Mr. John Cbeetham, M.P., Mr. T. M. Gibson, M.P.,
Mr. Robert Phillips, M.P., and Captain Gray, M.P.
A deputation of Middlesex jaalaie, COnsiating of Mr.
Charles Herbert Cottrell, aad Mr. Pownall, ohairmsa of the
Quarter Serious, with Mr. Charles Wright, clerk, trans-
acted business as the Hoes-ofiloe yesterday.
Mr. Thwarts, ehalretea of the Metropolitan Board of
Works, had an interview with the Chancellor of the Ex-
ohequer.
Despatches were received yesterday at the Colonial-office
from the Gwrernor of Heligorad.

.THE CAPE OF GOOD HOPE. •
We have received advice. from Cape Town to
June 6.
On the 6th of June his Exaellency thi Governor,
in the presence of the Legislative Council and House
of Assembly, assembled in the state-room at '
Government Howe, assented in her Majesty's name
to certain bills, and prorogued parliament until the
16th of July. The speech delivered by Sir George
Grey on this occasion may ba said to contain also
the latest Cape news of general interest. His excel-
lency said :
I thank you for having afforded the government the MUM
of continuing to encourage the einem of European immi-
gration which appears to be setting steadily in to this
aloe)—and which will increase so largely the produce, the
wealth, and the security of the country. The large and
liberal provision which you have made for the continuation
and maintenance of our great lines of Internal commtumicia-
ties will afford ample means of providing employment for
ell immigrants who can arrive here, and add greatly to the
futon prosper:ty of the °obey and to the value of all axed
pr'oPerty
I have also to thank you for having matured a reassure
whke provides for theimprovement of the important harbour
of Poet Elizabeth, upon which our oommercial prosperity so
largely depends. Although the booms government has not'
LB justified in lending its aid In doming out the proposed
hmelsmar of refuge in Table Bay, ft has been to me a source
of great pleasure that our own revenues have boa found
sufficient to enable the local government to carry out a large
part of the contemplated plan. I still indulge the hope that
the efforts you have thee made to carry on this great under-
taking may ultimately lead Oreaf Britain to assist in the
completion of a work se nearly connected with the facility
and security of the commerce of the world, sad with the in-
terests of the widely extended British empire.
The assistance you have afforded the government in
adding so largely to the Border Police Force, will enable
am effectually to provide for the defence of the frontier,
and the maintenance of the public peace in those districts
into which Kaffir& have been largely introduced, while this
Freeloading on your part, and the settee of security arising
from it, will render still more satisfactory to the colonials the
meneare the government was compelled to adopt, of intro-
ducing so large an amount of Kafar labour into the country,
and which has happily, in so many respects, proved advan-
tageous to its isterests.
I thank you for the interest you have manifested In the
lamentable events which have recently taken place in the
country beyond the Orange River. In complbstoe with
your request and an application which had been made to me
by the government of tke Orange Free State, I tendered my
mediation to that government and to the Baimtn nation,
expressing to each of them my earnest hope that I might
sucesed in succeeefully adjusting the unfortunate differences
which prevailed between them. The former of these countries
, hes notified to me its grateful acceptance of my offer, subject,
, however, to the confirmation of the Volksraad, which was
, to meet in a few days. Sufficient time has not yet elapsed
for the reply of the Basuto chief to reach me. Should his
reply be of a favourable nature, I will then exert myself to
the utmost to give effect to your wishes by carrying to a
woos eful issue the mediation yea have advised, if as oppor-
tunity is afforded me of so doing ; but new complications
appear to be taking place in the country beyond the Orange
River, which may prelude me from acting In the manner
you have desired. •
-
I am happy In being able to inform you that British
Haffraria is in a perfectly tranquil state, and that sanguine
expectations may now be reasonably indulged that the
great natural resources of that fertile country may be un-
interruptedly developed, in which case it will very shortly
attain to a Ugh degree of prosperity, and will contribute
greatly to the wealth and commerce of this colony.

I Marshal Canrobert on assuming the command of the
Camp al Chilons on Thursday last :
Soldiers I—res Emperor, in easerobling you at this
map, vishal that we should continue the useful works
' which ha 41pm-intended last year. We will endeavour to
fulfil hla litcations. We will each in our sphere develops
the military instruction and education and the troops
of each arm, after having labarlotiaiy earthed: that
spacial science jelled fo lbws, sea being well pene-
trated with the part which they will have to perform during
a period of war, will learn in there vast plains how, being
assembled, they can mutually supprrt each other, and
concur by their combinations to their general action in
marching, skirmishing, and fighting pitched battles.
Soldiers, your commander, whom most of you have known
for many years, and who finds In your officers sad in many
of you old and glorious companions in arms, Is the more
happy and proud to command you, as be has the fullest
eonfidence in your obedience, your warlike virtues, and in
your devotedness to the Emperor, the living imago of our
great country. CANROBERT.

The Three per Cents. closed to-day at 68fr. 36c.
for the end of the month, and the Four-and-a-Half
per Cents. at 99k. 800. ; Orleans Railway Shares,
1,260 fr.; (heat Northern, 908 fr. 76e.; Strasburg,
630 fr.; Paris to Lyons and the Mediterranean,
733 fr. 750.; Western of France, 691 fr. 26c.; Bor-
deaux and Cette, 602 fr. 50c. Lyon. and Geneva,
575 k.; Bank of Credit Mobilier, 613 fr. 760.; Aus-
trian Railways, 628 fr. 76c.; Roman Railways,
487 fr. 60c.; Allegan Railways, 601 fr. 25e.
Cocas Acriissnutys.-Pura, July 21.-Cash
Prbsa-
Four-and-a-Half per Cents. (not telinhorsable for 10 years),
936'. 760. 70o.; Three per Cents., Mfr. 3.5 c. 30c. 35c. 300. ;
Bank of Francs, 3,100 fr. 3,000 fr., ; Cniiit Fonder, 600 fr. ; ditto
Oblfgatione of 600 fr., Foar per Gate., 442 fr. 50c. ; ditto
Three per Cants., 400 k. ; ditto, Tenths, Four per Cents.,
91fr. 260. 906.; ditto, Tenths, Three per Cents., Site. 25e. ;
Promissory OtHgetions of 1,000 fr., Three per Cents. (2006.
paid), 950 fr. • Cridit Mobilise, 616 fr. 616 fr. 250. 617 fr. 60c. ;
Dmoonnt Bank, 700 fr. ; Piedmontme Five pee Cants.,
Mr. 750.; Ananias Five par Cants., 921 r. ; Belgian Four-
and•a-Half per Canto., 991; Roman, 90j. Exchange on
Loudon et sight, paper, 25fr. 9c.; matey, 25fr. 61c.; three
month., paper, 24fr. 900. ; money, 24fr. erne.