The Express.
London, England, 1858-02-03 00:00:00

AUSTRALIA.

The date from Melbourne is December 15. There
is not much political or general news, but the com-
mercial intelligence is important and unfavourable.
The following statement from the Melbourne Price
Current will explain the situation of affairs :
In our lam circular dated the 16th November, we gave a
detail of the causes whose operation had produced the extraor-
dinary stagnation almost amounting to a crisis then existing.
We expressed some surprise that so few failures bad occurred.
Up to that time only one or two of moment had been an-
nounced. Scarcely, however, had the mail for England
laft, when a series of stoppages took place, to such an
extent u for a time almost completely to destroy
confidence and suspend tattle. We havo before us a
list of Insolvencies of fifteen demo, whoa, liabilities,
ringing from 13,0001. to 90,0e01., present en aggregate of
470,0001. The oriel" has Leen sharp, but fortunately it has
been short. The principal failures have extended over a
period of about six weeks, and we are happy to Nay that, so.
cording to the opinion of both bankers end merchants, the
severity of the crisis is over, and it la believed that few or no
further failure" will take place for the present in Melbourne.
In the other seaports, and in the interior townships, the mer-
cantile communities have remained comparative) y sound and
stable. It is possible that many houses in the interior may
be seriously affected by the disastrous occurrences in Mel-
bourne, and that some may have to give way, but at present
there has been no such result. On examining the list of
houses that have suspended payment the restricted
effect of their insolvencies is accounted for. Several
are houses that have been strufgling since 1861
with the engagements of the previous crime, and most of the
failures are those of houses which four or flu months ago
speculated for a rise. Suircely any of these homes hays been
directly connected with the goldfields. Within the lest few
days thus have been no fresh failures, or even rumours, sad
aessed. Ing of confidence arose, which for a time ;tepidly in-
m _ _

Jost ss oonfidenoe was arising as above mentioned, it re-
ceived a rode shock by tho unprecedented occurrence of • run
upon a bank—the Union Bank of Australia. This continued
for several days during the past week, but at the worst it
was in • very mild form and not more than 60,0001. fa gold
were drawn. The panic, it is believed, arose from some ex-
pression' used in a report of a meeting of shareholders In
London, in which it was mentioned that some of the direr
tors had received considerable advances. Not only were
reports spread unfavourable to the credit of some of the
load directors, but the stability of the bank itself
was impugned. The folly of the run was clearly recognised
from the first by all men in hominess, and latterly even by
the mast Ignorant. To make assurance doubly sure, how.
ever, • meeting of the Chamber of Commerce was called, It
which a considerable proportion of our chief mercantile
Arms attended, and they passed a resolution expreseing the
highest confidence in the stability of the Union Bank of
Australia. This has been abundantly effectual, and the run
has altogether ceased. We have personally ascertained that
the stories of enormous advances to directors and
which have been circulated here, are absolutely untrue,
it is equally untrue that there is any cause of doubt in refer-
ence to the stability of the bank. In another column we
publish a statement of the meets and liabilities of the various
banks here. If our readers will take the trouble to strike
• balance between the assets and liabilities of the
Union Bank, within the colony, they will find that
the value at credit of that bank, representing the amount of
capital employed in the colony, is 763,4201., being • larger
amount than that of any other bank. This institution also
stands alone in being =chartered, and the liability of each
shareholder is unlimited. The security to the public in
dealing with the Union Bank is therefore muchmreater than
that of any other institution trading in the colo. &vv. In M-
I dition to all this, it is only justice to those who havenmanged
and directed the bank to state, that during the last crisis its
losses by bad debts were comparatively trilling. Notwith-
standing these patent facts, the unthinking multitude did
" rush " the bank. From this unfortunate oomrrence anions
evils must flow, the • pal of which will be the necessity
for the bank its accommodation; and the incon-
venience to its rentemare will be felt by the oommercial com-
munity generally ; a portion of the burden will be thrown
on the otherbanhi, which will again limit their accommoda-
tion ; and thus the low prices new wiling will become 01111
lower by this aboard run, causing • continued want of con-
fidence, less credit, and less money for the use of trade.
We believe that about the beginning of the year all the
banks of Melbourne will allow interest to their depositors,
and that simultaneously with this movement it is not unlikely
that an advance of 1 per cent. on the rates of discount will
take place. Though there may be an advance in the rates of
discount, however, in the event of the preesure on the money
market bring relieved the former rates may be re-esta-
blished.

—lt way be easily Imagined that la moat airmastancse
trade has beau earal7ol4.
The first session of the Victoria Parliament was
terminated by prorogation, and after a few days'
recess a new session opened for the purpose chiefly
of voting supplies for the ensuing year. The financial
statement of the Treasurer exhibits the revenues in a
satisfactory state, aad a considerable reduction in the
expenditure. The estimated revenue and expendi-
ture are respectively very nearly three millions ster-
ling. The sales of land continue on • very large
scale. The total revenue for 1867 is estimated at
3,189,8981., and the expenditure under 3,000,0001.
The balance of surplus revenue at the end of the year
in the bands of government will amount to nearly
400,0001. The estimated proceeds of sales of pubhc
land in the year is 750,0001.
Government have called for tenders for the execu-
tion of upwards of 200 miles of railway. They
intend to borrow money in the London market, if
bet not to force the debentures there;
and thrl,essnrer anticipates that at the end of next
year he will be able to pay off the whole of the rail-
way loan of 841,0001., being the amount he proposes
to borrow for the works of the current year.
An act has been passed to oblige the Chinese in
Victoria to take out a license, renewable every two
months, to reside in the colony. The license fees
will oat 81. par annum. The penalty for not pay-
ing this tax is that than who have no license are
not entitled to ens in any court of law.
The followikare the aggregate gold returns from
the various di cgs :—Week ending September 6,
82,643 or. ; pt. 12, 49,828 oz. ; Sept. 19,
80,281 oz. ; Sept. 28, 84,138 es. ; Get. 3, 65,989 oa. ;
Oct. 10, 66,099 oz. ; Ost. 17, 60,010 as. ; Oct. 24,
49,240 oz. ; Oct. 31, ASV on. ; Nov. 7, 47,344 oz. •
iNov. 14, 60,988 a. ; Ns% 21, 60,018 es. Not. 28,
60,843 GC.