The Liverpool Standard and General Commercial Advertiser.
Liverpool, Merseyside, England, 1842-11-08 00:00:00

know the instructions given to the

had been accruin

balance sheet; because if the bad del
since before June, 1836, then their fair share of blame s

be appropriated to the directors, and not exclusively to the
Committee of Management which more recently had been
engaged in the management of the bank ; but, upon the
other hand, if that report were correct, the managing direc-
tors, since that period, must be charged with having been
the parties wilfully to waste and squander the money of the
shareholders.—(Hear, hear.) In the report for 1837, it did
not appear that the directors had examined themselves into
the existing liabilities of the bank; and iu those for 1838
and 1839, no allusion was made to the subject. The. share-
holders having had their attention called to the subject of
the liabilities in the report of 1837, and taken no steps, were,

to a certain extent, to blame. There was in the report for
1840 a statement, which, if the facts could be provd, would
exonerate the directors previous to 1837, and throw the blame
at once upon the Managing Committee since 1837. This
statement was to the effect, that the entire amount of t'
bad debts before 1837—and those since had been dedu
from the reserved surplus fund—which. left that fun,
£36,642 9s. 10d., which was " an ample guarantee agaii.
existing risks and liabilities." The first duty of the meetink
was to enquire whether this statement was correct, and by
whom it had been prepares

d. Was it true or was it false?

The CHAIRMAN, in answer, had no hesitation in saying,
that all the reports submitted to the directors previous to
the annual meetings, were prepared by the managing direc-
tors ; and of course, the one referred to was prepared by
them. (Hear.)
Mr. CURTIS.—But of course those
under instructions given by the general
Mr. CHAPPELL.—No, no. (Hear.)

reports were made

Mr. CURTIS would then ask what the duties of t
tors were ? He called for the resolution of the gene
to be read appointing the managing committee,
instructions given to them.
The CHAIRMAN said the books should be sent f
duties of the directors were laid down in the deed
ment.; and they vested in the committee of mai
certain powers, which were therespecified.

Mr. CiIJILTIS. said he should likewise
structions given to the auditors.
The CHAIRMAN said there were no particular instruction
to the auditors. As soon as the directors knew that one
fourth of the capital was lust theyto?lc.!neasures for callini

ish to

the present meeting
Mr. CURTIS said
that fact, when only ot
whole of it was lost. it v
shareholders that the cause of The nnsma
affairs of this company snould be investigate(
he believed, had not, when they were appointed, made them
selves acquainted with their duties; and he asked the Chair
man whether, when he was appointed, he had tal----
trouble to read the deed of settlement ?
The CHAIRMAN replied that he had endeavoure
conscientiously to understand "
Mr. CURTIS

—Then has it not occurred to you that the
balance sheets, containing no estimate of probable loss upon

current accounts, were not i
settlement?

The CHAIRMAN said, he did not know that that particular
clause had occurred to him ; and it was not surprising that
it had escaped his attention, when it had escaped the atten-
tion of the other directors.

Mr. J. C. DYER said, that at the last annual meeting, in
answer to the same question from Mr. Sanders, he had him-
self replied that it was a matter which had all along been
overlooked. (Hear, hear.) The omission did not then seem
a matter of blame, as was evinced by the fact that 0-
d received the thanks of the F. arei 'tiers at
(Oh, oh.) He laid no str, s upon t

directors ha,

nareholders at t

thought that Mr

tis should con

Mr. Wit
self to the present delinquencies
Mr. CURTIS said, in conclusion, he considered the sliay
holders were to a certain extent to blame for what had ha
pened. (Cries of " No, no.")
Mr. GREIG contended that the blame rested not with th
shareholders, but with certain designing directors, who had

misled them. The books would shew who had proposed and
seconded the expulsion of Mr. Wood ; and who had proposed
and seconded the resolution, which was synonymous to ex-
pelling Mr. 011ivant. As soon as he had heard the written
defence of Mr. Roberts, which had been prepared by a so-
licitor of Manchester, he should be prepared to bring charges,
not only against that person. but against others, now present,
which charges he would substantiate. (Load calls for Mr.
Roberts.)
__., , . • n

Mr. CHAPPELL explained that a declaration
exacted from all the officers of
so, 'which he signed.
management did not am
leagues likely to be profitable, and he propose(
Mr. Luwi

kfter he came into tl.

r to him a

t what period?
Mr. CHAPPELL—From 1836 to 1837. A (
place upon it, but no charge was made because