New-York tribune., 1871-12-18
THE SUSPENDED L.iNhS.
A NEW IXAMINER TO BE APPOINTED.


crning The recent National bank ianrc-, aud Gallon
dcls fraudulent operations has nthac'l to the Com
incc hi desire to act III accordance with the wishes oi
the banking community this city in tie matter # tf
made by Calender csigiaii"n or ">inssa ana
M s dss ss%a e ai t.. 9&nS IL" & s OF r '
petition has been rd ns"nS, thr yy vcd, ndK INK
menstic ATTORNEY for the nc"nrr- Ihr aeged "a, ars G
Of bankruptcy are the appointment Of rrrrlNr h' ne
state Courts and the refusal to pay ccliitd 'hrck y
them.
REASONs WHY TIE OFFICE OF BfNK rXANI>TN
SHOULD RE ABOLISHED.
TO the Editor OF The Trib"nC
SIR: 1t appears by the published report Of
tlc Irucct dnrs of the N"wYoIk Ctaurr Innsc ;h;,t
the banks Of The city. when they requested the removal
Of Mr. Calender from the Office of Bank ENamnrr. all"
asked that another person r appointed I" I'LL that place
Now Il pertinent question o ask ii II will not be
better 10 have tie ,ncc Of Bank LXamin,r abolished
There authority m tie National Currency aci for
such an oncc and the powers which have been assumed
hy MI Calender and Mr. Huhird in this matter OF
bank examinations are not only dangerous to tl buei-
ness community, Int have authority In law. Section
a Of the National Currency act reads as follows:
nd hrhr tlnrt That The Controller Of the CTrnCy, with
' 'acn ''g'''.i,n =. .ha be- an. n".,y ci idp .h'
% aElT ,s a, ,,i 81 .,tr .r"1 an a~c or ~c person Shall
or oGr ~ any ',."''t"n "h"'e ndar. B. 'l
h ny Of tn c. , AMI aqra- ,i
fIi aud rproi h condition The Ss'a"n to ~ Con
irolef the ldi bot ~ SUBJECT I" any "ir '"A
Juve shan authorized by this act except such es are vested
II ,yrs courts law cbanccG And app" MED
10 ,h rtctier ior is service AZ ihr rate g"
BY hm my.en nr6 etamna,1a aai ,. Ter & r'tt & -
sbaI De aid ty a,sociatIon hy Inn Examined
A similar provision existed in the General Banking
Law OF the state Of NewYork and in the fcw instances
where examinations deemed necessary, the State
authority selected make the examination some well
known and responsible person usually resident OF the
ulace where the bank situated aud the results or
these Investigations whether favorable or nniayorabr
were made public, and the community where the bahR
was ahIsed afforded opportunity OF eNeT-
csinp their own Judgment to the safety or their de-
posts and the eXpedency OF continuing their dealings
with the bank.
n Mr. Hulburd had exercised the power OF making
examinations in that way, the Ocean Bank would now
lie solvent institution and it's stockholders saved from
ocean Bank four five years ago, he discovered some
thing I'm their assets doubtful nature, and ne used
that fact not these bad assets ana put the
hank ON n solid foundation but to rob the sOcKnOutrs
for his own benefit by forcing the bank to take from him
and his associates large amount OF nD,aipie uhco-
vrrtibc securities the ultimate vaue VI winch II very
doubtful. ~ - a., -, . .oo,
tyrs OF the Clearing House had been appointed to eX.
| amin, the Bank four years ag" the bank wOnd
have been saved Now. Instead Of appointing another
Of New York, let dispense with the Once does not
exit in law, but is pure assumption oi authority by
Huburd and Calender PSTverrn TO she S own aa or
badly managed banks instead Of endeavoring to reform
their management and Improve their condition, Try 70
make friend OF the examiner, ana t1ns get i1ueu %
IL the best check the bad management OF banks ana
offers far better guarantees for the good conduct OF the
bnsiDess Of its members and the other banks clearing
through them than can be afforded by an examiner who
wh" Re may be- like Calender an expert accountant
NAV be also like him, totally devoid Of integrity K
Neu York, Dec. IS, 1871.