, 1865-05-27
FINANCIAL. AND COMMERCIAL,
: MONETARY.

u.
Certain differences between one Of the Cana-
dian banks and sumo Of our Weetern dealers h.ve
lately 1ofce undes our notice; the points involved
IN WHICH ase Of considerable commercial import
ance. II seens that certain contracts for tho fa'
tu1o delivery Of exchange on New York, to qnite
aAf2o amount have been made with number
OF Cur Metefn merchants, hy PARTIES dotng hual-
nses "a MohtFcal, which contracts, unoa the psfs
". ". ms ss.ets ns7e been otcislly guaranteed o5
VIC aeens aae4ts or managers of,vsyious oanks
1o"s ~. @ u1sneas IN that city, the buyers On 1as
eioe p1aItog1a The hands Of sad banks ca.h mar
e,1s 70 eoanserhaltu>e auch guarantees.
t1o tseeut decline In gold has cau:ea q
fefaons ioas to the eellers Of this exch1ugelin
hon0eei' ard ions party being unable e
Mees n1a eoatlaets, tho bank gua1snteeanE
Me same, has taken thu strange ana
unprecedented u Step Of sep1diating the aettoa Q!
~ panaees IL tho matter, alleging, in point ol
Ian. that 1t Is not legally ho1den for his acts N
uansaeuons ot this nature, Notwithstanding the
manager acted In the most perfect good tasth aud,
as be supposed, under due authority froun the
6aIE and notwithstanding, too, that such tans-
aeudns hare been customary upon the part or
many Of the Banks Of Canzda.
NOW It seems to rs that the position OF this
Bsnk, admitting 1t to be legally tenablc (which
We arc far from admitting, Ginning, as Wa do,
TINT financial principal in all cases, is ztspona-
hle for the financial acts Of duly commissioned.
aaancts! ssent. Al against On innocent partly u
contrary 10 ali Known rules Of mercantile honor
and calculated to destroy that confidence which 10
the basis Of all business intercourse; and VIC think
It would DO far wiser and more {udictous policy
upon The part OF the bank in question, to vic"
this snatser from the stand point Of high CONNER.
Ga! honor alone, treating 1t rather as faf's1 o1
equity than as question OF law.
We think that further reflection upon this SUB
Jet should convince Dur Canaaian friends Aat
the engagements Of the authorized agents OF
bank should, as a mst.es involving public cona-
deuee, and tho position Of our monetary and COM
me1cial t1an.aetions, nerer Dc called II QaesfloH'
It Hil readily be secu II the financial aees Of duly
accredited bank managers are To bn repndiated In
cases Of loes, merely upon the score Of rreguar1-
II, By our monfed iuspsuttonE. the community
has no safety in trsnsac.fug business with sucE
agentf, without first ascertsninR the authority uu-
der which their aeta are performed.
But We cannot but think, npoa more nn4tute re-
hecion, that the Bank referred to will rnconsld-r
It's po.1tlou upon this subject fnp1ir1ng as It Will,
npe1alsted in, confidence In the whole banking
interests Of; Canads, aud We shall wstch With
much interest the eteps taken in thfe rn1ttet, a.
Involving mest important COMMERCIAL pEiaclpea,
applying. "a they do, to our hrso business Fela-
tons w,,h The Provinces.
The exposition Of the afKsits Of the Western
Marine and Fire In.ursuce Goa Bank, as pub.
l.hed In the TRIBUNE OF this morning, has been
tho theme OF considerable discussion to day In
financial circles. As most Of our readers prota.
h]y reCol1ect, this Institution closed Its doora in
October last, ard It VAS generally considered
"had f1llure "-in kaet about the worst OF the
E... F.4tu 1,rk ~znA AMtf
time. Since then the affairs Of tha bank have un
te1gone thorough investigation By conmittee
Of the creditors, the public are agreeahly aur
prised at tho result, which Is as follows:
Liabilities. $2s5,E ~ y
............-.-..-.-.,..- 2G1,l1l.tb
Deficit. ..,...........,.......... $a3,6a3 %
1t must be borne in mind, h0wevcr, that the a.
fairs OF the Bank wero In very different state 1t
the time Of the failure than tho above exhibit
would Indicate. The former cashier Of the insti-
tuttou had ''proststuted for psFaousl proats and
uscs upwards Of $900, oc0 Of It's funds, and one OF
the tellers had oyerdrawn his account $4,000.
Amer long and tedious t1lst before nzbftratoss
Judgment Eas fuuud against the cashier for the
sum OF $t98,65 and hi. was compromised By
the Couauit.ec accepting In ca.h aud good eecu-
rifles, sl50O0o. 1t is due entirely 10 the energy
snd ucreeyesancn Of the Committee that this sum
was recovered, and the bank placed 10 such a
good position 1t Ia not strange that the report of
The Committee was accepted, and thst tho pro-
nos,l to the creditors 10 accept 50 q cent Of theis
money In c,ah and the bal.nce in fal paid stock
IN ,ha "Tfeasury Bank, should meet With favpr
But with rtgard 10 the defalc1slon alIuded to
,hoye. .otuc explanation Is due tho public by the
DIRECTORS of the Weetern Hsf:as md Fire In.u,.
,,r- COMPANY, We are at q loss to know baw
,ny one otlcer OF bank could abstract $aU,ooo
RON, It, finds without the other officers betnp
.ware Of The fact uaiess the Inter were grossly
NEGLIGENT lp the Performance OF their dRtlel and
crnss neRljpeace In common Law Is IN oGenae.
Hc,c we're fouf Or ase DIfectors whoIc
a,,,v II rss 10 meet daiIy to overlook
.n.1 tnepect the Affairs Of the bank, and
-. NV allowed t@o hundred thousaud doi.
Is+s u he .spsoetftnsed" for the "pe.sopa profts
~ uses,' Of brother Director! It Is fortunate
sor The creditors Of the bank that The Com uIttee
reroyerea $50, 900 Of the money; but tbs .e.1e-.
t,on on the general management ia not improved
tbtrcby. and 1t would be welt for every iudy1dn.1
h.nk, stotkhoIder and director to tska Harpfnv
,ni .cc ,hat he 10 not also nesleeung his ofv nnd
th,rtby aiding some nyartcionI bank oG|cer in
estpn,ing the public.
To-day business Was 1ea1 active. nsfulv in
eon.esuenca Of check In the upward tendency
In rold. The Produce markets opened buoysns
and somewhat higher han yesterday, but the ad-
ysnce ln prices VA. not sustained, md they closed
dull and veak, With the exception OF Provisions
and uiRhwines, which were fFnuer,
The Money market to-day waa vrry dull. anl
unu.utlly easJ-the demand for currency being
1ess thar the tuppfr. This ante of aN,tra Il doe
mainly to The general duf1ness in trade and 10 the
fa1ltng-o9 In the speculative demand for produce
10 day. There IL no change, hewcEer, IN tho rate
OF dttcount, which il Atili 10 per cent per aupu.
The street brokers are doing very light busfn:es
1t 1o11l per cent per month.
TIE tupply Of Ea.tern Exchange 10 day was hat.
ter, In copsequeneo Of IN ineresfed demaud for
produce BY shippers; hut the demand is still ac.
tsve and rates are frm at par buyius and 1,toat,
prcm- Tho bankers sold to each other at e3nT5
prem. per thousand.
Gold was weaker In New York to-day-optuire
at1ss, and closing at 4 p. N. at 1861. The follow
ine quotations. were telegraIhed t. Iames Boyd,