The Sun.
London, England, 1865-05-01 00:00:00

BUSINESS OF THE COMPANY.

As Commission Merchants, the Company will receive,
on the usual terms, consignments of goods for sale in
English and Foreign markets, from merchants and others
in the Ottoman Empire, as well as from merchants, ma-
nufacturers, and others in this country and abroad, for
sale in Turkish markets, and will execute orders for their
correspondents both in Western Europe and the Ottoman
Empire.
An important branch of the Company's business will
consist in making Cash Advances to the native cultivators.
The rate of interest usually paid for such loans is very
high, ranging from 1i to 4 per cent. per month (from 18 to
48 per cent. per annum), the security consisting of stand-
ing crops, articles of value easily convertible, and, when
required, responsible personal guarantee. On this subject
much valuable information has been obtained from the
English Consuls in Turkey, in reply to a recent circular
despatch from his Excellency Sir Henry Bulwer,
Ambassador at Constantinople. One of the inquiries directed
by his Excellency was, "Do farmers borrow money com-
monly in anticipation of their crops ? How are the ad-
-vaacas secured, andare losses ten -from
der ?" The following ere extracts from the °ma.*

plies :
ADRIANOPLE.—Mr. Vich-Consul Blunt :—" Farmers
quite frequently borrow money upon their crops. The or-
dinary rate of interest is 2 per cent. a-month (24 per cent.
per annum), and even higher than that. Often the money
is secured by other responsible persons becoming security,
and by pledges of personal property. Losses are seldom
incurred by the lenders."
AR'l'A.—Mr. Acting-Consul Caravias :—" The common
rate of interest is 2 per cent. a-month. Such loans or ad-
vances are always secured on the crop, and losses are
rarely incurred by the lenders."
CAVALIA.—Mr. Vice-Consul Baling :—"From 15 to
30 per cent. are the rates of interest charged by merchants;
the crop being pledged for the advanees, and tbe security
valid, losses are seldom incurred. Money-lenders charge
the peasantry 5 to 7 per cent. per month, and realise in this
way enormous gains."
CONSTANTINOPLE.—Mr. Consul-General Camber-
bach :—" A farmer who requires money to carry on his
pursuits, sells his produce before he realises it at a certain
price, which is always much below what he could obtain
for it, in the market; and thereby roses on an average from
20 to 30 per cent., the usurer taking care, by giving him-
self a very large margin, to secure himself against even-
tualities.'
CYPRUS.—Mr. Vice-Consul White :—" The custom of
borrowing money in anticipation of the crops is common.
The rate of interest varies from 12 to 20 per cent. ; few
losses are incurred."
DARDANELLES,—Mr. Acting-Consul Raby :—" Far-
mers commonly borrow money in anticipation, and on
security of their crops, 15 and even 25 per cent. interest
being charged for a few months. The lender very seldom
incurs any losses."
DIARBEKHR—Mr. Consul Taylor:—Capitalists ad-
vance money on the crops,•charging 2 to 3 per cent. inte-
rest per month ; losses are rare."
GALLIPOLI—Mr. Acting Vice-Consul Whitaker :
" As a rule the farmers in this province all borrow money
on their crops •, even those who are wealthy, and have gold
hoarded up, will borrow to defray the expenses of cultiva-
tion, rather than encroach upon their treasure. The rate
of interest is generally 20 per cent, and the farmers are
very well pleased to borrow at this rate. Losses must be
very rare, as I have never either experienced or heard of
others suffering any."
JANINA.—Mr. Vice-Consul Stuart :—" Interest is 2j,
3, and 4 per per cent. a month. The advances are always
secured upon the crops, and losses are but rarely incurred
by the lenders."
SALONICA.—Mr. Consul Wilkinson :—" Farmers bor-
row money in anticipation of their crops. The rate of in-
terest usually charged is seldom less than 20 per cent." .
SAYADA.—Mr. Consul Zarb :—" Money is lent to the
cultivators at the rate of 5 per cent. per month; the ad-
vances are always secured on the crops, and losses by the

lenders are very rare."
SMYRNA.—Mr. Consul Blunt :—" The native cultiva-
tors always require advances in anticipation of their crops,
at a nominal rate of interest, say 11 to 2 per cent. per
mouth, but it is actually more. The title deeds of the farm
are transferred to the Turkish Court under the title of
Istilall, or mortgage."
TRIPOLI.—Mr. Consul-General Herman :—" Almost
the totality of them (the merchants) derive their chief
sources of profit from lending money on pledges, on which
they levy a rate of interest of 4 to 6 per cent. per month (48
to 72 per cent. per annum), and sometimes more."
VOLO.—Mr. Vice-Consul Suter:—"Loans to the growers
are secured by pledging the produce, and are not often at-
tended with loss. The rates of interest are never less than
12, and often more than 20 per cent. per annum."
As Financial Agents the Company will give its assist-
ance to the Ottoman Government in the promotion of re-
productive public works, conducing to the improvement of
internal transit and the development of external trade, and
act generally as Financial Agents in, and in connection
with, the Ottoman Empire.
The Company is prevented by the terms of the Memo-
randum of Association from trading for its own account.