Fayette County herald. [volume] (Washington [Washington Court House], Fayette County, O. [Ohio]) 1860-1???, 1878-04-18
safe RankfnE.
New York Independent,

great depression in this class Of oao,,,;.s,.
large majority of our bantine, ooraoNa
tlons-particularly in the CITY of NJ,
fork-are believed to be sound ora A.
serving of confidence. Most of tbo7,
have good surplus-enough it ia sum-
posed, to secure them against any ordino.
ry loss. Some few estimate this surnlrs
to be from % to 100 per cent. over and
ABOVE all actual aud contingent liabilities.
Why, then, does bank stock sell At sunl,
low figures? The answer is easily oiven
First, enormous expenses. Second tar
ation-almostt to confscation. Third loan.
ing money oarelessly or on doubtful se-
curities, in order to get interest on idle
capital, resulting in frequent losses. We
shall at this time discuss the matter of
expenses only. It is welI-known fact
that very few of these institutions have
reduced the salaries of their officers in the
| least. They remain just the same as when
gold was quoted at 200 and over and eve
rything else sold at war prices. These
high salaries have made bank officers in
many cases very extravagant, careless In
fixing the salaries of those under them,
and thoughtless in regard to the unpre-
1
clothing, and all other necessaries of life.
Bank officers are just now classed as the
''solid men" of the times, 'leaders is so
cial life,' and examples in their expen-
ditures, etc., for others to initiate. They
are most of them honorable men, mean
well enough, and cling devotedly TO theiF
positions. A good many of them, how
ever, put on airs, talk large, and forget
entirely that they are the servants OF the
| stockholders, and not their masters. They
seem to think that they have the right to
do about as they please. We know where
of we affirm, and do not hesitate to say
that it is time for the stockholders Of our
banks to look carefully after their own
interests. They have right to nov and
should know good many thin they are
at present ignorant of. Nov, Suppose the
stockholders of every bank in New York
should appoint special committee to OBJ
tain the following facts, viz;
| l. What salary, direct on contingent,is
| paid to each officer, director, or clerk.
2. What rent is paid9
3. What are the taxes?
4. What have been the losses each year
for five years?
3. What is the net surplus, good and
sound?
6. What amount is loaned on stocks and
what amount on business paper2
Z. What is the present real value Of all
real estate owned?
8. What rents in cash are received year
Iy on real estate not occupied?
9. What are the habits of the officers of
the bank in the following important par
ticu1ars:
1. Do they speculate in stocks or buy
stocks on margins?
| ?. How many horses do they keep, and
do they attend and bet at races?
! 3. Are they sober, temperate men?
4. Do they live economically, or extrav-
| agantly? Do they habitually eat cham
payne dinners, at home, hotel, or club?
5. Do they gamble?
6. Are they men of pure character?
Z. Are they careful, reliable, sagacious,
and honorable men in every particular?
Life insurance companies ask a good
many plain questions before they will put
| to risk few hundred dollars; and they
| do we'll, and should be more rather than
less rigid. But should not the stockhold-
ers of our banks ask some questions, too,
| about the security of their money? But,
| says one (who needs watching probobly),
| is it any stockholders business to inquire
into the private affairs or life of the Off
GERS of bank, if they perform their du-
| ty satisfactorily? We say; Yes, most de-
cidedly. II the president of bank spends
| more money annually than hiS-alary, the
stockholders have right to inquire, in a
| proper way, where it comes from. If he
lives extravagantly, drinks, or CANDLES,
keeps half dozen horses or more, spec
uIates in wall Street, or is otherwise un-
worthy or disqualified to fill such place
| of trust, the stockholders had better know
it. and they cannot be too soon about it.
If stockholders will exercise direct and
| faithful supervision of all the affairs of
bank, that bank will most likely succeed
and make good dividends. A bank pres
| ident, cashier, teller, or other officer who
would object to or debate the propriety Of
such care and supervision on the part of
stockholders ought to have his walking
ticket Immediately. We believe that, if
the facts were all presented, it would be
shown that not single bank has failed
1
poorly Investigated, poorly Differed, and
scandalously neglected by its directors
and stockholders. We know of banks
that are model institutions in all these i'm
portant matters. They are In the hands
of business men, sober men, economical
men. honest men, who are good and faith
full servants of those who have placed
them in power, and they don't object to
personal Investigations (the more the bet
teri nor official examinations every week,
ifdeemed necessary. 1t is time that stock
holders had something to do with their
own affairs. Let them look after them,
or stop whining or complaining of losses,
defaleations, and small or no dividends
We think we know of at least one big
corporation in New York which is thor
oughly examined once month. and ev-
cry other one ought to be.
Clips From the New OrleansPIeayuRs
Russians understand the tenor of Lord
Saulsbury's speech. There is nothing
base in it.
A too careful farmer will allow his GU
cumbers to become thoroughly ripe before
he eats them.
word to the wise is sufficient and all
talk is wasted on foolish people.
1t does not require great brain to be
successful politician; but man must get
around lively among the boys,