Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1819-11-12
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BANK OF THE IJNI.yEn S.>N.tCS


PHILADELPHIA, November 6.-At am adj
Iourneu meeting of the Stockholders of the
sank of the United States, held al Washing
Ton Hail, on Friday the 9th inst. Mr.. Draw
TON from the general committee of the Stock
holders of the Bank of The q. States, appoiut-
ed on The LIST instant, delivered in the following
report
The COMMITTEE e appointed an the frs, of hi.
month, by the Stockholders of the Bank of
the United states, convened in Philadelphia,
respectfully report:
nat after iaOOrilus examination of do
cnmon's, a patient attention 10 oral testimony
Connected with them, and careful perusal OF
written statements submitted 10 the committee
by the President of the Bank OF the United
States, aud some OF tue Directors OF one of its
.btauches, which were calculated, where ne
ctssdiy, by verbal explanations, il appears.
that the losses ascertained tn have accrued
anu witch may be expected 10 accrue at the
Brauchi in Baltimore, amount to about 700 coo
collars, estimating the stock of the Bank
pledged IN Baltimore to the parent Bank, fer
the security OF loans upon 1t, at loo dollars
share. IN forming heir Judgment of the losses
at Baltimore. little more was necessary for the
committee than TO cOllate the facts anu To di-
gsst the evidence that was before them. After
having done so, the conclusion above stated
almost necessarily followed
The consideration of the other losses which
have been sustained by the institution was
involved IN greater difficulty, norcan the COM
mittee decide upon them with the same degree
OF certainty as upon those which occurred at
Baltimore. From many of the western branch
es no returns of losses have been received by
the parent bank since June last. Subsequently,
10 that period. therefore no information re-
Spectlns The losses IN those branches can be
obtaiued through official channels; but when
me committee reflect that many of the debts
due to the institution were contracted when
lands and produce, which have since depre-
c'ateJ- were at enormous prices, and when
speculation was very preVaient--and when
they combine these facts with the commercial
aud monied situation Of the country, aud give
the weight which is due TO respectable COM
municaiious made by gentlemen examined
before Them, they are convinced, that the
certained and probable losses in the parent
bank, in the western. and in all the other
branches, will fail little, if at all short of
100000 dollars. These two sums make tOge-
Their 1900. 400 dollars, from which, deductinp
100000 heliars the balance of profit and loss
OF the hank TO The first of July, 1919, the re-
maindeT will be 100000, which ought, there
tore, to be regarded as constituting a elednc-
toH, pro fdat0, from the capital in July last,
when it was expected that a dividend would
have been made among the stockholders. The
proht OF The bank since that period, added TO
what upon fair and moderate calculation
will be received by Judy next, will then be
more than sufficient TO TepIacs its losses Un-
der these circumstances, the committee wonid
not think themselves justified i'm holding out
10 the stockholders the prospect of a dividend
hefnre the first of January, 1921. without
some extraordinary calamity, the condition of
the Institution must then be such as to render
its stock valuable aud productive,
As the enormous loss at Baltimore has GREAT
ed Great SETTLEMENTS aud apprehensions in
the public mind, the committee deem il pro-
per TO state the causes which contributed
Mrgeiy towards swelling its amount. These
causes are
Isl The practice fpermitting certain ndi-
Viduais to Oyer-dFaw.
I'd Discounts granted by officers of that
Blancti without the knowledge Of the Board of
UreCtors
Sd Granting discounts upon stock for
amounts above its par salue, wIthOat antho-
Jiiy
The committee beg leave to express their
opinion, that the Interests of the institution
wUuld no materially promoted by alterations
being made iu the charter, 40 that every share
should be entitled to one vote In elections for
directors, that no votes should be receiy-
able at any meeting Of the stockholders upon
stock pledged to the bank as a security for
mo les loaned an6 b. striking out of the I'd
aud 18Th fumdamenta tai articles OF the IIib sec
ton nf the charter the words. and no direC-
tor shall hald his Office more than three yeats
ont OF four IN succession, by which the same
directors might be re-elgible for a longer ne
TiOd Of time than is allowed by the existing
law, although the same proportion Of them
would he obliged to vacate their seats. The
committee likewise recommend. that the pre-
sGdent aud directors of the institution should
be requested to apply to Congress to enact
law subjectIug to criminals punishment any
cashier subordinate officer guilty Of frau
duent conduct towards the bank or any
of its branches, at the same time not inter
feriUg with the civil remedies against snch
dVhnqueDts.
The committee crave leave further TO sub
nit that IN their Judgment, no cashier or sub
ordinate officer Of the bauk or IFS branches
ought to he permitted TO speculate upon or 10
Jrafic in the stock and as q great many per-
some have placed thelr all IN the Bark of the
United States, the committee suggest that
The directors, npou tie a. LEGATION Of such in.
dividuils, sh Ould grant TO them loans upon
their shares, to such an amount and mon such
conditions az thc directors may think proper
and after mature dellberatiOn the committee
strongly recommend az eNpedient, that tlie
Number a. Ofiis Is Of discount aud dcposit esta-
hliyhed in The seyrral sections Of the Union
sh0nid b. gradually diminished whenever IL
shall be deemed beneficial 10 tho t.t.Diutjnn
and the committee aye ofrvjHiOn Hiatftwould
be impOrtan 90 tie community lhat p larger
uumbrr ~ five and Ten dollar bills should bpin
Ciycu'aii1n wore esq cia as by late iule Of
tile board Of Directors, votes Of tie smaller
denomination are o. DO every where receiva.
tile tom ehatevsr Offices Hicy my be issued
and As tie multfarilus JUGc5 Oftbe President
and Cashier render II almost iirpo Sc Die for
them 60 execute such bulls IN sufficient quan-
titles 10 meet tIe public eXigeBcies, IL would
therefore be desirable That the assiitsnt cash-
Ter, together with some confidential person
appOutrd by the Board should be authorized
by Law 10 sign such nOte7.
The coH.nittee,in common with the rest Of