The Sun.
London, England, 1857-11-28 00:00:00

On Thursday afternoon a public meeting of the
citizens, called by the Lord Provost in terms of a
requisition signed by upwards of 200 firms, was
held "to exprese their apprehension of the appal-
ling consequences of the final stoppage of the West-
ern and City of Glasgow Banks, and their opinion
of the expediency of maintaining these banks, as
well as to consider the propriety of memorialising
her Majesty's Government on the subject.
The meeting was called, in the first instance, for
the Merchants'-hall, but at 2 o'clock, the hour spe-
cified, this place,_ spacious though it is, was densely
crowded, and hundreds were unable to gain admit-
tance. In these circumstances an adjournment to
the City-hall, which is capable of accommodating
3,000 persons, was resolved upon. The hall was ac-
cordingly filled immediately on its opening, there
being present members or representatives from every
important business establishment in the city. In
fact, it was the largest representation of the com-
mercial, manufacturing, and- mercantile classes
which ever assembled in the City-hall of Glasgow.
The Lord Provost took the chair, and on the
platform beside his lordship we observed Mr. W.
Buchanan and Mr. It. Dalglish, the two city mem-
bers ; Bailies Clouston, M'Culloch, and Ceuper ;
Mr. J. Smith, of Jordan-hill ; Mr. A. Morrison
(Dean of the Faculty of Procurat srs), Sheriff Steele
Mr. R. Hutcheson, Mr. D. Hutcheson, Mr. G. R.
Tennant, Mr. A. Stevenson, the great body of city
councillors, dic.
The LORD PROVOST, who was received with ap-
plause, said—l will very brieflystate that I was in-
duced to call the present meeting at the requisition
of 240 firms, largely connected with the trade and
commerce of this city, to afford the inhabitants an
opportunity of expressing their sentiments in rsgard
to the unfortunate position of the Western and City
of Glasgow Banks—a subject of most painful and
deep interest with the citizens of Glasgow and inha-
bitatits of the West of Scotland. To this movement'
I gave my concurrence, feeling that the sym-
pathy and support of an influential meeting of
citizens as this might tend much t strengthen and
encourage the shareholders and depositors to carry
out successfully the resolutions they have adopted
at the meeting lately held by then ; and though
neither a shareholder myself, nor having any busi-
ness connection with either of these banks, I deeply
lament that such a calamity as their suspension
should have fallen on such a very numerous and
highly respectable por ion of the community as
transacted business with them. Many may think
that the past proofs of confidence shown by the
public in receiving their notes, and in the deposi-
tors so generally acceding to the proposals made
not to withdraw their deposits for periods extend-
ing to two years, with other tokens of the public
desire to continue these banks, would render this
meeting unnecessary; but those who are desirous
to have them continued for their note circulation,
and to maintain their position as baukers under the
existing acts of Parliament, thought that an expres-
sion of public sympathy with their present prostrate
position, arising from a money panic, might have
the effect of eliciting the forbearance, the sympathy,
and co-operation of the other Scotch banks ; and,
failing this most natural expectation, that a move-
ment might be made to procure the countenance, if
not the aid, of Government in the present circum-
stances in which they are unfortunately placed.
Any one having even a limited knowledge of the
transactions of these banks cannot fail to be satis-
fied that if there be an immediate winding up under
trustees, that the loss would be very much aggra-
vated to the shareholders ; and the object of this
meeting now is to mitigate that loss if possible,
more especially to the shareholders whose entire
means may be invested in the shares, and to avert
the numerous bankruptcies that may arise from an
immediate winding. up. There is no doubt but that
the management of the Western Bank, which. has
brought it to its present unfortunate position, is
much to be condemned and deplored, and a total
change in this respect will be neces,ary to restore it
to public confidence; but on this point I need not
dwell, as it will naturally be a chief element in any
future arrangements that may be made to resusci-
tate the banks. The resolutions that will be submitted
to you by the gentlemen who will address the
meeting I trust will be acceptable, and I am not
without the hope the if they are carried may tend
to put the two banks in a position that will pro-
mote the desirable end they have in view, of pre-
venting the ruin of many a shareholder, and saving
many respectable mercantile firms from severe
distress. _ _ _

Sheriff STEELE moved the first resolution as fol-
lows, and on doing so commented on the unwork-
able character of the Bank Charter Act :
" That the English Banking Aet of 1844, by prohibiting
any new bank of issue, established practically a monopoly
of the business of banking in Scotland in favour of the
then and now existing banks—and the business of Scot-
land, whether commercial or agricultural which has in-
creased prodigiously since 145, would receive a violent
check were either the amount of capital now applied to
banking, or the paper issuerby which that business is
almost exclusively carried an,
materially diminished or
even concentrated in the hinds of a smaller number of
powerful corporations than at present."
" That the final stoppage and judicial winding up of the
affairs of the Western and City Banks, two of our most ex-
tensive local banks, would farther be a public calamity, as
entailing serious inconvenience and loss on upwards of
50,0, 0 depositors, and ruinitg a great number of manufac •
turing and commercial houses throughout Scotland, who
have been doing their business in these banks and their
branches, and who, althoughperfectly solvent if afforded
p
the usual banking facilities, could not, if suddenly forced
into liquidation, realise mesas sufficient to meet their en-
gagements."

Dean of Faculty MomilsoN said—lt affords me I
great pleasure and satisfaction to second the reso-
lution moved by the learned Sheriff, who has gone
into the subject so fully and eloquently that he s
y.
not left me a word to
say. I think I shall there-
fore best consult my own
comfort and your conve-
nience by simply seconding the adoption of the
resolution.
The resolutions were then put from the chair and
carried by acclamation.
Mr, SMITH,
of
jordan-hill, said —A resolution
has very unexpectedly
been put into my hands,
which I shall read before offering any observations
upon it. The resolution is as follows :
" That the ultimate security of the creditors of thosetwo
banks cannot be doubted and the first thing requisite to
enable these establishments to resume business, and so
avert the evils already described, is the restoration of pub-
lic confidence— a result to be attained. chiefly by the for-
bearance of the creditots and liberal susportdo& thet
other great banking cone
Scot-
land, to whom the public are to look for aid in -
crisis like the present, in exchange for the peculiar' pitilvia-
leges conferred upon them."
The observations of the preceding speakers pre-
clude the necessity for my trespassing on your time.
The simple enumeration made by the Lord Provost
of the trust estates and females involved in the
bank suspension reminds us that we are not only
endeavouring to restore commercial credit, but
pleading the cause of the widow and orphax. But
I will not dwell upon this painful topic. Nor need
I say much of the solvency Gf these banks, for every
one acquainted with the wealth and prosperity of
the shareholders knows that the solvency is not for
a moment to be suspected. I look upon it that the
suspension of these banks would be a great public
calamity, the results of which make one shudder to
think upon. It gave me great pleasure to be pre-
sent at the last meeting of this kind, differing so far
from the present meeting that itmightbe called the
demonstration of the nobility and country gentle-
men of Scotland, and I may be allowed to say that
nothing crave me greater pleasure than when I heard
of my noble friend, that true-hearted Scotchman
(Lord Eglinton), who, without waiting for any
combination, announced that he, for one, was
ready to receive Western Bank notes. No-
thing could have been better calculated to
allay the panic among the rural population.
The requisition which has called us together.
alludes to an application to Government. As that
proposal belongs to a subsequent resolution, I feel
precluded from entering upon it, but it may be
allowed to an old man, old enough to remember
1793, to mention some of the things which took
place then, for a little experience is not a bad thing
in the management either of private or public
affairs. Though I myself had no share in these pro-
ceedings, my father, who was then at the head of
one of the great West India houses, often told me
that to marvellous was the effect of a simple resto-
ration of public confidence, that when it became
known that Government was ready to advance Ex-
chequer-bills, the issue of these was not called for,
and it turned out actually an advantageous thing
for the Government itself. As an old man, and
having some excuse for garrulity, you will allow
me to tell you another anecdote. One of the
greatest, if not the greatest house in Glasgow at
that time was obliged to suspend payment, but such
was the effect of the measures of relief that the next
balance was the most profitable they ever struck.
At my years, I might be allowed to look forward
hopefully to better times, and I might say with
truth—

" The sunset of life gives me mystical lore,
And coming events cast their shadows before."
Balk) CLOUSTON said, in taking part in the
proceedings of this day, I come forward here per-