The Sun.
London, England, 1856-12-17 00:00:00

good security, without risk, but always LelaiNt fa+
serve within call, equal to one-third of our liabilities,
So far from applying to the Bank for assistance, we
have always money lying there, and on the very day
that I first heard of the report alluded to I called the
attention of the hon. proprietor who mentioned it to me
to the bank-book, showing that we had at that time
£120,000 in the Bank of England—(hear, hear)---and
at this moment we have £lOB.OOO there.
A DlREerort—And 1.:110,000 at Gurney's.
The CHAIRMAN—Yes ; in this way we have our re-
serve in cash, in money in the funds, and on deposit at
Overend's, Alexander's, and Saunders's. A consider.
able portion of our money being also employed is dis-
countkg good bills for our customers, and in making
advances on unexceptionable securities.
A SHAREHOLDER inquired whether bills er securities
upon which advances had been made by the Lank had
ever been parted with ?
The CHAIRMAM-I,Tever.
Mr. BROWN thought nothing could be more satisfac-
tory than the explanations which had been given, but
it would be an additional source of satisfaction to him
if the two directors who joined the board in August last,
and had, as a matter of course„gone narrowly through
the books and accounts, would confirm what the chair-
man bad said.
Mr. E. S. CAYLEY, M.P., one of the newly-elected
directors, said be was perfectly prepared to respond to
the challenge, though he thought Mr. Price's (the other
new director's) testimony would be more conclusive, as
he, being a thorough man of business, had instituted a
regular and most searching audit into the whole of the
company's affairs. Mr. Cayley spoke of his former cos-
nexion with the boar], which had been severed by ill
health, the pleasure he felt in being again connected
with it, his confidence in Mr. Cutbill, the manager,
which had been a main inducement with him to return
—his satisfaction at the perfectly sound and healthy
state in which he found it, and his conviction that the
rumours which had been promulgated against it owed
their origin entirely to the malice of two or three cus-
tomers who had been refused accommodation upon the
ground that the securities they offered were not approved.
It was generally considered that a bank should never
have leas cash in hand, or within arm's length, than was
sufficient to meet one-fourth of its liabilities. When be
entered the direction, in August, ho found that instead
of a reserve of one-fourth they had a reserve of one-third
(hear)—and though the drain cons( quent upon the ru-
mours adverted to continued three mouths (he was happy
to say it had now stopped), instead of their means being
exhausted they had precisely the same amount of cash iu
their till that they had at the beginning. (Cheers.) As
showing the confidence the directors had in the s'ability
of the concern he might mention that their chairman, to
show his own confidence in the bank, had since these
rumours were afloat, increased his deposit by 30,0001.
in the height of the panic. [This announcement was
loudly cheered, whilst the chairman, who is said to hold
nearly 1,200 shares, was deeply affected.] Some of they
shareholders had roost nobly supportel them in their dif-
ficulties, and others had increased the number of their
shares. (Hear, hear) When one gentleman came to
him (Mr. C.), and asked, " Is it true that your bank is
going to stop ?" heanswered, "You had better go to the
Bank of Erg'and or to Gurney's, and ask them." The
gentleman did go to Gurney's, and their reply was, "The
Commercial Bank of London is about one of the stiffest
concerns in the City." ("Rear, hear." and a laugh.) lie
was glad they had been exposed to this trial, for, having
come so triumphantly out of it, he believed it would
quadruple or quintuple their business, and he should not
be surprised it they found within the next four years their
profits double what they were now. (Cheers.)
Mr. R. PRICE, the other director alluded to, said he
was happy to inform them that he and his friend might
be said to have audited the accounts of the bank up to
the 30th of September last, when all their securities
were found to be not only of a convertible character, but
of the most satisfactory description for a banking esta-
blishment. As far as the present time went they were
in a better position than they were that time last year,
and it only required their friends to continue their sup-
port and to bring a few additional customers to the
bank, to make it one of the most prosperous establish-
ments in the city.
The CHAIRMAN, in reply to a proprietor, said that the
bank had lent 15,000/. to carry on the business of Mr.
Mare, after he was a bankrupt. Of this sum 10,0001.
had been repaid, and the remaining 5,0001. the assignees
were bound to pay, and they would pay it almost imme-
diately. (hear.)
The PROPRIETOR in question expressed his satisfaction
at the manner in which the question had been answered.
Mr. JAMES CLAY was sure thet all the gentlemen
present would agree with him that the replies given to
the questions put to the chairman were of the most satis-
factory kind. They were marked by a degree of frank-
ness that was not usually met at meetings of this de-
scription, and, indeed, a frankness that was not to be
expected under ordinary circumstances. He could not
but deprecate the malevolent and malicious rumours that
had
.been circulated to the prejudice not only of the
bank, but of the directors ; and he hoped that some
ans might be arrived at to bring the calumniators to
the bar of public justice. After some further observa-
tions, Mr. Cley moved "That this meeting expresses
its entire satisfaction with the statement of the affairs of
the bank made by the chairman, and its approbation of
the course—unusually frank and unreserved—which,
under unusual circumstances, be has adopted ; and that
this meeting further wishes, in an especial manner, to
record its thanks to the chairman, directors, and mana-
ger, and its unabated increased cinfidence in their
sagacity and rectitude."
Mr. G. RENNIE, late Governor of the Falkland
Islands, had great pleasure in seconding the motion,
which was put to the meeting and agreed to.
Mr. Deputy PEACOCK suggested that, the proceedings
of the day should be advertised in the daily journals, in
order that the public might be made aware of what had
taken place that day. (dear, hear.)
The CHAIRILIN, in returning thanks for the compli-
ment paid to him and his brother directors in the reso-
lution that had been passed, said that all they asked the
proprietors to believe was that they (the directors) were
honest, industrious, and that they did the work they
were called upon to perform. (Hear, hear.) While
they had directors who were honest and who did their
work, danger to their establishment was impossible.
(hear, hear.) As it was, they were able to pay every
shareholder 14s. in the pound. (hear, hear.)
Mr. CATLEY, after passing a warm eulogium upon
Mr. Cutbill, the manager of the bank, moved a vote of
thanks to that gentleman and the other officers of the
bank.
The resolution having been seconded, it was put to
the meeting and adopted.
Thanks were then voted to the chairman, and the
meeting separated.