Birmingham age-herald., 1894-12-29
Prevails in St. Johns Over the
 Bank Officials Arrests.
AN EXCITING EPISODE
Was the Meeting of the Legia- Iature-A Veritab.e Famine
 Reported as Existing.

ST. JOHNS, N. F., Dec. 2S.-There is a strong feeling in certain quarters that the arrest of the directors and manager of the Commercial bank is largely due to personal animosity, and the surroundings lend color to this. Sir William Whiteway and Ex- Speaker Emerson of the assembly are pros- ecuting counsel on behalf of the crown, i, and the men arrested are all, without ex- ception, personal opponents, and were in- strumental in institutipg the election trials, by which Whiteway, Emerson and fifteen of their party were unseated and disqualified for gaining their seats by bribery. All five arrested men were ad- mitted to bail, two securities for SIS, ,020 each being furnished for each accused. :. The securities were obtained without diffi- cnlty, th ough the bon ds were the largest ever given here.
 The Union bank shareholders are agi- tating for a meeting now and threaten some proceedings against their directors, so intensely interesting events are antici. pated in he criminal court next term.
 Scarcely less sensational was the session of the legislature last night when the joint select committee presented it's report on the banks. Several thousand men crowded the galleries in addition to those unable to gain admission. The re- port was signed by all six of the com mittee. It professed to be merely an interim report, and stated briefly that the Union bank was safe; it's stability was affected by overdrawn accounts but it was solvent, and all it's depostors, note holders and creditors would be paid in full. They urged its speedy extradition from il s difficulties either by liquidation or resump- tlon of business, ana recommended the prevention of legal proceedings on the part Of note holders for payments of claims in specie
 The Commercial bank, they reported, was hopelessly insolvent, even if the re- serve liability of shareholders was fully exacted. It's books were falsified, it's clerks had defaulted, sufficient care was not exercised with overdrafts nor limits on exchanges, and exceptional unsecured ad- rity.
 On the basis of this report the goveru- ment introduced resolutions guaranteeing Union notes at IS cents on the dollar, re- deemable in two years, provisions being made by registration of the original hold CTS. This proposal was greeted by hisses, while suggestion by the opposition that they be guaranteed at face value the colony bearing he loss, brought forth thunderous applause. The masses expected to be in- sured against all loss individually. No decision was arrived at. An expert in hiking is coming from Montreal. The English banks interested sent a repre- sentative yesterday. The Ulunda also brought dooJO lu 5pecls, WHICH, however, IS for private firms and but little improves the congestion of circulation. It Is a veritable gold famine which will take months to relieve, aud the number desti- tuts is increasing daily.
 The nnex pended balance of the fire re- lief committee is being devoted to the re-
 lief of the destitute, but will be utterly in- adequate. There is an ever increasing sentiment for the English government to offer Il loan to cover the losses, condi- T self government. The reports from clergy men in our ports of tue condition of the
 inhabitants reveal dreadful suffering and urge imin ediate steps to prevent, not alone misery, but death rom starvation.
 There is as much difference between a cheap chromo and painting by one of the old masters as between the inferior bakin g poWders and Dr. Price,s