New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1854-12-01

sS nav, afsred The consequences fan 1poH thOse Whose
for ,e.s 70 Board Of D.eton their tesrs
"a, .mss: eay short In snail sns sad rhsn AZ eseh ql'f
lew hnor.ds Nv their ori-r charged poi; s,d s
While be 1ued in he rvie 81 ne Bl5s-oaa
s,s them tAsH acsen ,ia lrcs or add ssf 'hs
with which. in rIo9d ,esomplsceoey, they siorn
their owB bros becae o. iso nsfro ecHse rom loss u
ssiy seycD'y thousssd sosi Ought We not r''h~r .
conclude that Providence has takn much better Of them
than they Themselves seemed cap-be of
To the public !. natural inquiry why IL = thLt o. tho
Barb cecstors the vork o. the 6 t=ler Tothlse fam
for the inst eler Is committed the entr- custody Of
the ish Ct the Bark. Ans regard fsr hs integrity,
,Soad REQUIRE Of The D ecio. and n. superior oe-r rs
hoihns boxing toward COVERING up or 'hOZi
cb,o,s on RE or other bsn. IN which rs, been
Esd credit ven shoud be allowed % 40 i1;o b. d-ay
him 70" unauthorized loans" ststemen, made daily loos
segiweetiy ~ the custom Of some b.nk .hold hog his
my know for himself whether the ledger bsne Of
that eompsed in the hssd AID 10
certified cheeks should be used and this p0~sr Of csrnE
furnishes to teller temptation u s his freed. Or h,neat
be required be charged the account OF the Pit
VIII Is certified But as 1t that check esftaed
by teller will depost in smother bank, Uhe her has been
charged is proper the bank from IL is'led
and be returned through the Clearing Hons to me
bank which Il drawn where has been done, the ht
teller abstract from the slo and repse It's am n1 Ia
bank notes the proceeds Of another 1sd
be allowed to INFO the hspos Of the int teller t eH
smiDed By smother cert counted and proved set sdae
renee to such rules you'd II absolutely reTa' at lea.
lessen the liability Of def,c.tions by TELLER.
But there another evil under the IL his grown INTO an
sIom that scarcely any bank falls that has not bsen raned BY
It's Directors believe the two recent iaer IN oli
his tset our have enacted law yet full force,
containing provision that bank shall loan TO it, Directors
wdom OF ths revision in its will not stop to in
qbre into srce Il to say that there are = be banks IN
the uispniua Relieve that their Directors will not De
Of one dollar them That the public may have
opportunity to Judge whether chs ptosson Of s* VIC
lated not quarterly reports under the oath Of the President
and Cssher required 70 be msds TO the Superintendent
Ks.nns 10 me fact u. stated there no NOR. sa
contained in the report Yet Is .aFu.r i.e' that
t.ndepf N s tue nfor ne than that they expectS
themselves acquainted with and conform 10 the Laws
one reports loaned Directors in their individual
capacity sone another tae amount loaned to Directors 9n
their sone smother the amount OF notes Of d.
he'd BY the bank whether losnet to them or IN ot YER
parties and smother Sheh we believe 70 be 10 sre' &c
the whole amount loaned by Directors, including s well
the loaned firms OF which directors memges
that loaned their individual capacity The abstract
Of pTts thus made presents some sngia. results tor the
the aeiye members OF active business fm. wsdins large
capitals and OF necessity Tequns large discounts on their
capitals only hundreds Of thousands Discrepancies Of this
character would seem to 'oEss that smsthos was srons
til Bank breaks and then forsooth IL for the hr.t
pnscors II not it, best have been By far it, large.
Il true ha the requirement Of e IePor under zoe ssasI
tsion ambiguity Of statute be determined by
the oesros OF another TO aid and leaves no douSt
borrowed BY DIectors-snd what constitutes. loan Dec-
tor determined by Chancellor Wslg0rtr alike 10
accordance with law and common sense 70 Paige,
a6l
Of firm with Which b. eon5ce,ei In iaJlest
IL loan or discount to r.etof s1f ~'hn
the intent ADD meaning Of the Legislature although The
Of the Director this firm does not the discounted
be does guaranty the payment Of hs Ioansnd
the Bark cannot by mailing the loan discount nonns TO
another peItOn. evsde the provision Of the statute"
Again, 10 go:
nesec BY the officers Of the corporation inform them
selves Of the loaned to Directors cannot ynfy VIC
ls Of positive law Of The State, asaa tae' duty 70
knou and 20 eoEjoJ ~ to- .
established by Bank Directors and other
officers Yet with them all let IL be remembered hat there
no tnsranty well tired capacity and int nifty Let
psoty be kept from behind Bank codner
be allowed to eroes the threshod OF the Dfec'ou
room ard then may hope for efficiency and good
msn has been well and truly sad that clean hands
heart essen to banking aud merchantise
- a. 10 the kinkdom of He.vsn" z.
writing the above, have the circular OF
the Mechanics Bank Simplicity herself could have de-
the In book tbe certfn within stamped
circle that these frauds WIS. hinder tae
quantity Of checks 20 BE- certified IN the evening
Of home and used by confederate the next day Depend
hands Of the First Teller till counted and proved sperste
s o check upon dishonesty. .
"E." does not we think, understand the plan OF
the Mechanics Bank. That contemplates the
stamping OF the check by clerk, the certfeation by
the teller, and the return OF the exchanges 10 another
clerk. There must be combination Of three rogues
to carry fraud with this plan in force. Ed Tri6