The Camden journal. [volume] (Camden, S.C.) 1836-1851, 1841-04-28

SOUTH CAROLINA, ..WEDN.
were authorized by the Board ato make
loans on the security Of the stock Of, tn $
Bank. or other approved security, and, if
necessary, alta lower rate than six, but
not less than FIVE per cent. per annum."-
This delegation of power to the Exchang
Committee, was never expressly and for
mally renewed under the new charter,
unless it be considered as included, under
a general resolution of the new Board,
adopting "The Bylaws, Rules and Re-
gulations' of the former Bank. By the
statement of the condition of the Bank
upon the 2nd Of March, 1885. the whole
amount of loans upon Bank stock, and
other than personal security, was $4, 1877
9s6 IS cents, while that BY that Of. March
8, 1886, these loans had increased to the
sum of 500, ,446,367 SO. Under such
circumstances, the active means Of the
Bank were comparatively small, to pay
the immediate demand of the State for
the Bonus, to settle with the government
Of the United States for its stock, and to
meet its circulation of S2O,114,227 Sc
which. contrary to the anticipation, eX-
pressed at the period of its re-charter,
soon began to be rapidly presented for re-
demption. The Bank was Of necessity
driven into the market as borrowers, and
very soon the first step was taken to OBJ
tain loans abroad, by sending the Cashier
to Europe for that purpose. Two loans
were accordingly negotiated by him; one
in England, Of Gl,0OO.OOO sterling; and
another in France, of l2,5O0, 900 francs,
on favorable terms.
In order to provide for the payment of
these loans, and to negotiate others, and
in general to superintend the interests of
the Institution abroad, it was determined
by the Board to have General Agent re-
siding in London, and on the twenty Sc
cond of September, Mr.. Samuel Jaudon,
then Cashier, was elected 10 that post,
and his agency, there commenced accord
ingly, November 8, 1887.
At the same time, the Bank entered the
Foreign and Domestic Markets as bor-
rowers, upon their Post Notes and Bonds
payable in Europe: the whole amount OBJ
tained in this way at different periods up
to July 1910, being more than twenty
three millions. ., Z --...,u,i.
From these causes, as well as from the
general arrangement of affairs, the sus-
pension of specie payments, and the dis
credit consequently thrown upon Ameri-
can securities, and more particularly from
the course of the Banks dealing IN Fo-
reign Exchange, by drawing Bills to d
large amount without having previously
provided the funds for their payment, and
thus subjecting their agent;in London, to
the necessity Of obtaining money in haste
in order to maintain the credit of the
Bank: it was no longer found possible to
command funds there upon the same ia.
vorable terms as before. And according.
ly, upon Mr.. Jaudon's subsequent nego'
tiations for loans to the amount altogether
of S12,212,697 46, there is chargeable to
Losses, the SUN of 81, l,l49,907 O4, being
for Discount, Commissions to Foreign
Bankers, and other charges; not includ-
ing Mr.. Jaudon's own Commissions, AMI
the expenses Of the Agency in London
amounting up to January l, ls4l, to the
sum of 69,344 pounds II shillings6 6 pence
sterling, which at nine per cent. exchange
is equal to $335,937 80. -. -
1t may be proper to explain in passing
how this large sum for the expenses q
the Agency at London arises. When Mr.
Jaudon was elected to the place of foreign
agent, he was the principal cashier, at a
salary of $1,000 per annum. The Bank
paid the loss on the sale Of his furniture.
sofa dollars, and the passage OF himself
and family to London, further, sum OF
lOI5 dollars. He was to devote himself
exclusively to the business of the Bank, to
negotiate an uncovered credit in England
to provide for the then existing debt in
Europe, to receive its funds, to pay its bills
and dividends, to fectsales of stocks, and
generally to protect the interests of the
Bank, and "the country at large" For
these services he was to receive the COM
mission Heretofore charged, and allowed
to Barring, Brothers & Company, equal to
about 2s,OOO dollars per annum. In adj
dition towhlch, the expenses OF the agency
>I,, 6