New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1855-08-14
THE BANKERS OF CANADA.

From Our Own Correspondent
TORONTO, Friday, Aug. 3, 1855.
We Canadians are some twenty-five hundred
thousand strong; our commercial intercourse
with your thirty-One States, and also, partly,
with the rest Of the world through them, is val
liable and extensive, and every year becoming
more so; l shall, therefore, devote this and
another letter to an account Of our Banks and
Currency, about which but little Is said by
American commercial editors.
The Bank of Montreal is our Oldest monied
corporation ! think it was opened in 1915.
On last June 30, its liabilities had reached
sc, 143, O64; its capital exclusive Its means or
assets were SlI, 786, 572. 1t has some Is to 25
branches and agencies spread through Canada,
each or most of which issues notes payable at
its counter, as if each branch were a distinct
institution; and if offered in payment of debts
due to the bank, at any of its offices, except the
one that issued them, think there is usually or
occasionally percentage exacted, as brokers do
with uncurrent paper. Ii is the same with the
other banks that have agencies, and on motion
being made in Assembly last session 10 stop this
shaving process, it passed in the negative. In the
head Office and all the branches on the above day
there were of specie $75s ,204 they held of the
bills of other banks, sos 034 balances were due
them from other banks, 1851 ,572; and the bank
held government securities (prObably what are
called bonds, issued by one or more municipal cor
porations, under queer sort OF provincial deelara-
ton, " We are and we are not endorsers OF your
paper" statute) $4,000
OF bank. notes circulating as money, there were
anoat $3,573 1885, on which the Montreal and other
chartered Banks pay a small tax to the Govern
ment Last year the Montreal paid SIS, 46l Of
tax while the interest moneys received on its aver
age paper circulation would come to S2l5,OOO. 1t
had cash deposited in it's vaults liable TO be called
for any day, 81 500 546, and also Of cash deposits
$780, 4l, on which it was paying three or four
per cent Of interest Beside lending its credit in
the shape of the above three and half millions of
bank.notes, it had lent of the above cash deposits
81 300 ass, receiving Elk per cent OF interest
which is our legal rate and, as think, far more
lust TO society than your per cent, continued
/ regret to perceive it, while all New England and
Pennsylvania pay and receive in ordinary dealings
the same rate as we do. Balances due By the
Bank to other Banks, 1927 ,l79 complete the de-
tails of its liabilities Its line of discount and the
debts due to il not stated above are given In at
SO 49O, 445 and how far they are worth their face
YOU NAV readily know just as much as or the
public here The above statement IS taken from
return upon oath made llih ult., and published IN
THE Canada Gazette and its weak point is not
showing the real value of the debts. | suppose
We are expected to understand that they are all
very good, and they may be so; but when see
some twenty sets of directors OF managers widely
scattered over Canada, not few OF whom are
doubtless glad to get rid of many possible of
the promises" of their slOu-cOdoh business Gus
TONERS upon the Bank, minus their indorsstion, L
am likely to infer that such losses, nobody being to
blame. diminish greatly the years gains Of such
institutions.
Neither 10 Banks railways nor insurance Offices
ale commissioners of investigation sent, but in a
Savings Bank act Of May last, sort of financial
commissonershp is created
The CITY Bank, Montreal. far more modern In
stitution, returned It's liabilities last June az
81 767 .943, of which S737 .456 was cash deposits
nnon less than half of which sum il was paying
three OF four per cent. Of interest. Its gold snd
bullion we're Sl72,5O0 and it Possessed S1I,oOO
in publc securities, including which lts assets
were q, s33, 141.
A third bank in Montreal is a branch OF cor
narration whose headquarters is in London, with
british charter there, and certain powers are CON
coded 10 Its branches in the Colonies. II comes
forth 3lst MAY last with d statement OF some OF
IT'S affairs but only to the close OF lc0i, announc-
inc net profits equal TO S49O 600 Ii has branches
q, AGENCIES here and in Quebec, Montreal Brant-
ford. Bytown Dundas, Hamilton Kingston. Lon
don ~. c. Sault Ste. Marie, SherDrooke ana
Three Rivers and on the 18th OF September last
had S4,7s6 l37 of it's aggregate capital employed
at the above places, and % 4223o7 OF It's notes In
circulation as money. Last October It's cashier
At Montreal said that 80 200 600 only OF It's capt.
tai was employed in Canada, and that his branch
Montreal had the use of capital OF II ,2OO'UO0
A monthly or weekly summary Of the capital
circulation, specie, deposits loans and discounts,
and the amounts due to and from the banks, would
enable business men and politicians 10 understand
more accurately the condition Of each bank, and Of
the banks as whole Government could readily
supply this summary through some idle clerk, but
il Is too lazy to give the order; and II suc1
knowledge is obtained il becomes the property o.
the few You may readily Judge of the 6ook-keeP
ing of banks when tell you that the Receiver
General or Treasurer of Canada had not taken
trial balance OF his ledger in six Year, from lol'
10 the end of 1854
When the extended charters of the Bank OF Up
per Canada and that Of - Montreal were place
on the statute book monthly statements We're TO b
returned. have seen none from the Bank OF VI
per Canada for many months. Perhaps il has M
accepted the charter il prayed fo1
U1der statute Of l34s hank stock may ;