Smyrna times., 1877-11-21

N4Shhy bIOuodllu IitIl ana Illp urklsl
forces two hundred and forty thousand.
A STRICT ACCOUNTABILITY the pas
few months the whole country has stood
aghast at the rapid succession of failures o
savings banks and insurance companies
In Chicago alone fifteen of the former and
about forty of the latter have collapsed
within two years, and Chicago is only a
sample OF the other large cities of the north.
These corporations have gone down 10y the
score almost, during every month within
the present year, and thousands of men.
women and even children have lost their
earnings, whether little or much, hy the
suspensions of the savings banks. These
institutions, comparatively unknown to the
people in this locality, have been a great
feature in the manufacturing cities and
towns OF the North for many wears. And
where properly managed they have been Il
great convenience. By their establishment
thousands of working people have been in.
duced to save portion each week out of
their salaries and thus become frugal in.
stead Of wasteful. But their porularitv
caused them to outgrow the demand, and
now the failures are following, as the result
OF that outErOwth. So with the insurance
companies. We have had more of them
than the country needed. They, like the
banks, sprang into exi>tance in rapid sue
cesslon, one after another, instituted in
many cases by set of spectators. without
proper safeguards to their customers opd
W thout due consideration for the LEGAL 20.
sponsibilities of the respective States in
Will n they We're located. Their rofficers voted
themselves big salaries and erected for
themselves costly buildings. which the busi.
ness OF the institution could not naintain.
and hence failure has followed. as a natural
consequence. And in most cases the fail
ures have came upon the confidinr stock.
holders with the most crushing surnrise
The Company would make a glitterinu 70.
port at their annual meetings and the
stockholders would accept that report as
correct only to be startled finally to learn
that figures were made to lie and TO TINS
leave them many hundreds or thousands
Of dollars poorer.
Ihese failures, occurring so frequently
and producing such financial calamitv. has
aroused the country and reaction !.
surely taking place. They will in future be
required to make more honest exhibit and
allow more rigid scrutiny at the hands Of
the law. The officers and directors. when
they make report must make such a one
as VIII wash" A case in New York last
week indicates this. An insurance companv
IN that city failed in a short time after il.
President, Mr.. Case, had sworn to the
correctness Of the annual report. showing
the company to he in prosperous condi.
tor. Now Mr.. Case is a convict. He was
arrested and tried for perjury in thus
making false statement, and has been
sentenced to five years in the penitentiarv.
Five others in that city are urder arrest
Tor the same oilense. Heretofore these
men have been let off on the plea of good
intentions; that they meant no wrong.
But tins Is no protection to the lullic.
This man Case. an aged citizen of good re.
pul"' put IA t'.l- plea. His counsel claimed
that when he swore to the correctness or
the cohi"ht condition he Hough it
was sound court ruled that he
had no right to swear to thing if he did
not kn0o it was correct; that it was his ,lutv
to revise the report that whether his
oath was made carelessly or criminallv tLe
result was all the same; the public was de
ceiVed and injured by it, and induced to
invest money in Fraudulent concern. Tn. |
Judge on the bench, in his charge. said |
that the time had passed for men to com. |
mt wrongs with the hope that right wonld |
follow them, and then claim exemption |
from punishment because they hoped "two
wrongs would make a right"-a conse. |
quence that never follows. The law must
punish trangression, whether it arise
from carelessness or criminal intent.
1t is said that in Holland this pIan wa.
adopted many years ago. All men in Iusi.
ness OF financial trust, where they are the
keepers of other peoples money, are held
to the strietest scrutiny under the law.
No fayors are shown and no APOLOGIES are
accepted. As a result it is said that there
has not been a single bank failure in that
country for forty years. The same is more
or less true of all the old countries. Aee
has taught them that il will not do to let