, 1865-06-13

upon the course OF one OF the CAM
dian banks IN repud1atne the action OF Il, man.
agcr In matter 0! a guarantee of contract for
the sale OF New York Exchange, by one of Its
customers. The Ni1ness sppeats to b. better
posted In the desltls Of this Transaction thsn ne
we're. It'll 1t please eiTe the public the naue OF
this bank which has assumed this unprecedented
position, md which 1t seeks to defend. We do
not care to 1eeort toEpectai pleading In the dis
eussion Of matter IN which equity and
commercial good faith ire. ~ We think,
alone involved. We do not. care to know Whist
were the motives OF the Manager OF the Bank, in
pledRine the good faith Of the Bank We merely
know this, thst the Bunk employed this Mausser
to conduct its financial a6ai1s at Montreal; that
he did conduct all OF the financial Affairs Of the
Dank at that point, in good faith, and, as he sup
posed, under due authority; thst the case in qpes-
ton Is financial transaction between the Bank
and the public, end, that II The Manager exceeded
his authority, # Il a matter between him and the
Bank, and not between the Bank and an innocent
Larty ttat IN innocent repository OF the Banks
confidence should never sufeE through the de1i-
lection Of Its SCENTS. What II the Manager
did guarantee theee contracts, because Of
The value Of the Beller's account, or
In other worde, se an accommodation TO valua-
bic custome1-:o much the worse for the bank
The princlpa, Is holden for the acts OF she ageut
and # the bank agent thought to do this ss bank
accommodation to one Of lts valuable customers,
should the bank 60 back on an innocent party,
and repudtate lts agents acts because Of Its DEEM
Ing his action unwise2 We Won d like 10 have the
witness give us an answer upon this point
The case In question ia virtually the same as
that OF bank certifying upon their houor
or credit its customer's checks, to be
paid at tome future time, the drawers OF the
cheeks having no funds to their credit at
the time ths Bank obigates isself to pay. This Is
done BY como bants to the extent Of hundreds Of
Thousands OF dollars daily. In point Of law this
custom may, possibly, be Illegal; but does any
one suppose for IN Instant that one Of our banks
would be eountensneed or sustained In business
circles one hour, which would go back upon IN
innocent public and repudtate the gu arantec Of
the cashier Or m.nager in case the drawer OF the
cheeks should fall to make good bis account, or
swin6le the bank out Of the whole aum gu1;an-
teed by the bauks And yet, II this custom b
tlloga1 upon the part of ,bankers, there would be
just At much reaaon for the reputation OF ,he,r
guarantee in auch case, upon tbs ground Of illa-
sality, az for this Canadian bank to ASSUME the
pe.Llton which It has. Il
The following il the article from tue Tikaess:
Can bank agent bind the bank he represents
by guarantee Of a " tine bargaintn This ques-
tion, is, we see, agitated By the Chicago TR1suxE
via rsiesEpse i ;is IL io Wa,"r i0at recently oc
l.roe amonnt Of exchan.e On Sew TorE % ernm .
broker in Montreal, fot future delivery, and for
eatd delivery obta,1ed The guarantee Of the bank
%n "oaGR u ~ IL ssa c,s keR h5 b or
depoeii!ne. It u said, in the bank The cus.omsfy
margin; II the prontuua on gold rosa before tho
expfaaon o. ts r., uhe H. eGataet, ine os9kss
whatever lie Qain, lie bank wss ia eet IN ns.t NJ
il, whilst 1t would have 10 sksnl the loea Il the
broker conld Lot: Sqth an extraordinary under
~ @ s t - .ns @ uaa assn. way elaoe, 10
fra. that The hrnter's acrnont ~. = eona n,a
fecond, that he broker WIS expected t5 meet H.,
liability without aid from tha bank, ant tair1l, be-
eanse another paak 9la slGiaf tangs With md FOR
nold nn,binn Ion,5 nrnhabiV hava ha.z, H. ha "
81 Ills ranaaction; but ias anount Of loss o.,
It Is 60 serious that 1t appears from
the 1rouas the party msking the
oneston has heen 1ske IN In,Fa nrd HuA ~. ~
nntee. This the bsuk declines to ID. m the
prouud that It, agent lad no authority 10 guar.
ap'ee my hody'd transactions nor to make time
Geoonas's s. ns =, ne Ea o.ns oasu1e o. ma ono. y
h, the charter NJ the hsnt md rnnd nnr N
,egatizel even by the President and directors,
who, 1t reed not be added, knew nothIrg or the
Mansacuon u IeeenIty- we merely ttate what
wishne tn farcst,1i ihe der,.nn ,T ons ~
aut stion which may cone before thems 0@
In st. Louis New York exchange IL steady at
1.10 dfe, buyipr and nsr ceiling.
- Money is still very plenty in Boston. and tl5s-
counts are xaey at 7611s per cent, accord,uc 10
GUILTY. Of paper.
In Cincinnati New YORK erebsnoe Ia eaav .,
nar huytro md II mem. se,,Toc. Tbera ga, :,