The Sun.
London, England, 1858-02-13 00:00:00

HERZEGOVINA.

A letter from Vienna of the 7th iu the Constitu-
tionnel says :—" The last accounts received from
the Herzegovina represent the state of affairs in
that province as k_Aing rather better than it was at
the commencement of last month. Strong bodies
of Turkish troops baying been concentrated at
Mostar, the Pacha had been able to clear the roads
and the country districts of the numerous armed
bands which had been with impunity committingall
kinds of acts of spoliation on the authorities and
the inhabitants who were of a different creed from
themselves. The arms and ammunition which had
been promised to the insurgents could not reach
them from the Danubian provinces, in consequence
of the cordon of surveillance which the Pacha had
established along tha frontiers."

A telegraphic despatch of the 10th states that
the last bulletin published re 4pecting the health of
the King of Denmark is not satisfActory. His
Majesty had passed a bad night, and been tor-
mented by a violent cough.

The Carlsruhe Gazette states that the person ar-
rested some days ngo at Kehl, and who was sup-
posed to Le connected with the attempt of the 14th
January, is a legitimist agent of 'auspicious antece-
dents.

The Conspiracy Dill of Lord Palmerston seems likely
to meet with determined resistance in Westminster. A
public meeting is called for Monday evening next, at the
Freemasons' Tavern, to which have been invited several
influential gentlemen and all the members who voted
against this attempt to legislate under foreign dictation.
We hear of numerous meetings about to be held in
various parts of the country to petition against the bill.

TRIAL OF THE ROYAL BRITISH BANK

DIRECTORS—(This Day).

COURT OF QUEEN'S BENCH—CITY.
(Before Lord Campbell and a Special Jury,)

The long-expected trial of the Royal British Bank
Directors, for conspiracy and fraud to cheat the de,iosi-
tors and others of the bank, commenced this morning
at the Queen's Bench, Guildhall. The public excitement
was not so great as might have been expected. The ex-
terior of the hall presented its usual appearance, and the
admirable arrangements for keeping order and free in-
gress and egress to the Court were not called in requisi-
tion. The interior of the hall commenced filling in a
slow and regular manner, and at the commencement of
the proceedings was not above three-parts filled.
The body of the hall has undergone considerable
alteration to facilitate the trial and give increased
accommodation to all concerned. The benches allotted to
the bar have been put further back so as to admit
of tables being placed in the open space in front of the
judge for the attorneys in the case, andf the numerous
voluminous documents and books required.
Additional accommodation of an excellent character
was also provided for the press in front of the bench
under the Associate. The city authorities are deserving
of the highest praise for the facilities they have rendered
the representatives of the press for the discharge of their
arduous duties.

The defendants are charged with conspiracy and fraud.
There are three indictments. The first embraces the
names of H. Brown, Esdaile, M'Cleod, Alderman Ken-
nedy, 0 wen, Stapleton, and H. J. Cameron. The second
the names of Stapelton, Esdaile, F. Vailliant, 11. D.
M'Cleod, Kennedy, and Cameron. The third the names
of Esdaile, Browne, L. M. Vailliant, M'Cleod, Ken-
nedy, Owen, and Cameron. The indictments contain
several counts varying the indictment.
A t 10 o'clock Lord Campbell took his scat accompanied
with his Royal Highness the Prince of Wales, who took
his seat on the immediate right of his lordship.
Lord Campbell, before the special jury was called,
expressed his earnest hope that whilst the trials were
proceeding no comments would be made on them during
their progress. It was not fair to the jury, who were
secluded from the public during the trial, and it was
very important their minds should not be prejudiced
one way or the other against the defendants. It would
be indecorous in the court to make such comment, and
as he looked upoe the pressia an enlargement of the public
tribunal, it was equally so for them to do so. After the
trial was over, all her Majesty's subjects might freely
comment on what had been said and done in this Court.
The jury, which consisted of the following gentlemen,
were then called and sworn :
John Lowe, Foreman.
William Dimsdale
Jonathan Chapman.
Thomas Paget.
Henry William Ripley.
William Nesbitt.
Augustus Toulmin.
Beaumont Hankey.
Henry Augustus Bevan.
James Benjamin Harman.
William Medland.
George Hamilton Penney.
Mr. H. Browne etated the nature of the information
against the defendants.
Sir F. Thesigor then rose to state the case to the jury,
and in doing so expressed his satisfaction at the delay
that had taken place in the trials, which had enabled
the public mind to cool down to a state proper
for a deliberate inquiry. This was now no longer
a singular case from what had since transpired,
and they were now prepared to approach this
inquiry with that calmness and attention which
the importance and gravity of the case required, and
with that impartiality which happily was the charac-
teristic of the administration of criminal justice in our
courts of justice. The facts ho should lay before theta
in reference to this case would be both various and volu-
minous, but they would tend to the point, that of a charge
of conspiracy to deceive the public. The bank commenced
operations on 17th Nov., 1849, continued till 3d Sept.,
1856, when an application was made for winding up in
bankruptcy, which was now going on. It was proposed to
start the bank with a capital of 500,0001., with liberty
to increase it to one million; and there was a remarkable
passage in the prospectus, and afterwards embodied iu
the charter, that the concerns of the bank should be

wound up when it had lost one-fourth of its paid up
capital. It was, however, found that a sufficient
amount for starting the bank could not be raised,
and the amount of capital was reduced to 250,0001., end
afterwards 100,0001., but in neither case could they
raise sufficient money on which to get the registratioo.
The bank, however, became registered on false represen-
tation, and when the charter was granted, the title of

Royal British Bank was unhappily conceded, which, no
doubt, had rendered the bank more attractive and im-
posing to the public. Mr. Cameroa was to be appointed
manager with a salary of 1,250/. for the first year, 1,500/.
for the second, and 2,000/. for the third, till the succeed.
ing seventh year. He was also to have an allowance for
house rent, and a commission of the profits of the bank,
In the course of the appeals to the public, the directors
repeatedly issued prospectuses to the public, addressed
particularly to the middle and humbler classes, in which
they accounted for the delay in opening the bank from
being unable to get the premises completed, reminding
the public that "though these steps were slow they were
sure," that " certainly was to be preferred to speed,"
and that " the oak was but an acorn." The pro-
moters a ere unable to raise the 50,0001. necessary
to register the bank, and although they paid
to the banker a promissory note from Cameron
for 4,3001. for shares, &0., never purchased, there were
7,402/. deficient when they made the representation that
the money was paid up. The registration was com-
pleted, a charter was obtained, and the bank was opened
with great solemnity. The terms of the charter were so
stringent that one would hardly have considered men
would have deviated from the straight path of duty, and
from protecting the interests of the shareholders.
Be thought he should be able to prove that the
transactions of the directors had been of a most
imprudent and improper character—not, how-
ever, of a speculative but charges of impru-
dence and improper mismanagement, which had brought
the bank into a state of helpless embarrassment, and
insolvency of many of the shareholders, by various
fraudulent and dishonest acts and representations of the
directors—by deluding the customers and the public
into a belief that the bank was in a sound, stable, and
flourishing condition, when, in fact, it was not so, to the
ruin of many of the contributors. He should endeavour
to lay the case before them under three points : first, to
the conditioa of the capital, and the state and
condition the bank was brought into by the
mismanagement and misconduct Of the defendants ;
secondly, if they were aware of its condition at the
time the representations were made ; and thirdly,
whether with that knowledge they made false and frau-
dulent representations, and performed fraudulent act
for the purpose of concealing the true state of things,
and in that manner had brought themselves within the
range of a charge of conspiracy. The honourable
and ° learned gentleman then proceeded to, state
the advances that had been made to the direc-
tion. Mr. Macgregor's advances, who is now dead,
were all lost. Gwynne's advances amounted to
137,0001, all of which had been lost except 700/., the
advance to Mr. Mullene, the solicitor, who had died
insolvent, amounted to 10,C00/., which was all lost.
Cockram's advance amounted to 10,3001., out of which
only 3,0001. had been recovered. The advance to
Cameron amounted to 36,000/., 33,0001. of which had
been lost to the bank, of that amount promissory notes
to the extent of 10,6001. had been given by him for
shares in the bank to prevent them being forced on the
market, and the credit of the bank depreciated. In Feb.,
1855, Mr. Cameron was taken ill and had to leave the
bank for some time, and in his absence Mr. Esdaile took
the management. Cameron's am tints were then trans-
ferred to " the green ledger" under seven different heads
amounting to 27,000/., for which he had not given the
slightest security, but before leaving the bank he was
pressed to give security, and he handed over to the bank
a mortgage on his estate called Dingwall, in Scotland,
worth 6,0001., but which was at the time mortgaged to
the Bank of Scotland for 3,0001 ,audit was from that estate
3000/. had been recovered. He also assigned two debts,
both of which had been decreed, and eleven life policies,
three of which had lapsed, three bad been sold, three
had been assigned over to his son-in-law, and too bad
been pledged for the WI amount before he handed them
over. The next case was that of Humphrey Brown,
which was of a remarkable character. Brown became
a director in February, 1853, qualifying himself by
giving promissory metes for the amount t.f the
required shares, which now remain due. He
at the same time opened a cash account by
depositing 18/. lle. Od.—(laughter)—on the same day
borrowing of the bank, 2,0001., which within three
months was increased to 9,000/., and for which he gave
p
no security, though he had promised to do so. Having,
however, to renew two hills deposited with the tank, he
gave a bill of sale on a vessel called Helen Lindsay, and
afterwarsi,, oa a further advance of 5,000/., he deposited
a bill of sale on the Magdalena. In tie February
following he mortgaged to Mr. Walton, then governor
of the bank, two vessels, the Hero, and another.
10,000/. was advanced by Walton on bills of Bruun,
which were discounted by the bank ; and it appeared
that Brown bought all his vessels out of advances fr ,m
the bank, and which he afterwards propdsel as ,ceurity
for other advances. 15,000/. was afterwards advanced
to him. He gave the security of five ships, know as
" the Gloster ships," to tee bank in this way : two of
them to Mr. Walton for his advances through discounts
of the bank, amounting to 44,000/., and for which
he had made himself liable ; and the other three
ships were assigned to the bank, two of which ships it
was afterwards discovered had been previously mort-
gaged to the Gloucester Bank for 10,000/. advanced to
Brown, and he afterwards sold them. The advances
made to Brown amounted in the whole to 75,000/., on
which there had been a loss of 40,000/. There was also
a regular transaction in reference to the Islington Cattle
Market to the extent of 8,600/., the only solvent person
in the concern being a Mr. Harrison, who left the
country and went to Boulogne, and befog aex4tue
to proceed against him, they indorsed the notes ov,r
to Friend's attorney at Boulogne, and the result was
that he was enabled to recover the amount from
Harrison, and the agent became liable to the Com-
pany to the extent of about 11,0001., both of which
stuns had been lost to the Bank. There were trans-
actions also with Mr. Oliver, of Liverpool, and when
that person was paying only 2s. 6d, in the pound,
his debt was included on the balance sheet
amongst the assets of the bank. In a transactien
with a person named Tart, out of 39,000/. ad•
vanced, 23,0001. were lost. But the matter
which pressed most heavily on the bank was the trans-