The herald., 1897-04-10
OFFICE OF THE HERALD.

Los Angeles, April Q, 1897.
The failure of the Globe Savings bank
in Chicago brings to light the fact that
the trustees of the university OF Him
ois allowed $4,000 of the funds in their
charge to pass out of their control In con-
sideration of one-half of one per cent
interest. In addition. $500. 900 worth of
school bonds are missing. President
Spalding's explanation is looked for
ward to with much interest and still
greater anxiety is felt concerning the
whereabouts of the missing funds.
The convention of the California
Bankers association will be held in the
Concordia club rooms. Arrangements
are being made for the proper reception
and entertainment of the visitors. who
Will number about a hundred. The meet
ings being held during Fiesta week, will
give the financiers an opportunity to
combine business and pleasure.
The Mexican minister at Washington
predicts that Mexico will, now that gold
has so greatly appreciated become one
of the largest producers of the yellow
metal in the world. Mining for gold Is
taking on. large proportions in Mexico.
Hitherto the mining of gold has been
but an incident of the extraction of sill
yer. For many years, when the amount
of gold found in the silver was small.
1t was not separated, for which reason
old Mexican dollars have in China n
greater value than newly-coined ones.
The total coinage of gold In Mexico from
1857 down to June 30 OF last year was
$125. 5.375. .6S5, and of silver SO. .400, ,95s, ,410.
The produce exports from San Fran
cisco by sea for the month of March were
$z,444, 500. as compared with $2,340.3 300 in
March. 1896. and $2,S97. 700 in March. 1885,
The figures for the quarter from January
1st to March 31st. 1897. are s9050,S0O
same quarter of 1896. $9.049. 900 and same
quarter OF 1895, s6,5Ss,7oo.
Tobacco culture should receive at
tention from capitalists. Owing to the
condition of affairs in Cuba. the de-
mand for domestic tobacco will con-
tinue for some time longer. One tobacco
growing company in Florida is reported
to have sold its cron Of leaf at 81 no
pound fiat, transaction involving $685.,
900.
Upon the subject of bank stockholders
liability an interesting decision was rem
dered by the United States circuit court
of appeals at Boston in the case of Haw-
kins, receiver, VS.. the First National
bank OF Concord. The defendant bank
was held liable as a stockholder of the
bank, of which plaintiff was receiver.
to an assessment amounting to $4,000.
made by the comptroller of the cur
i III II .
the purchase of the stock by its directors
in May. 1894. as an investment. was an
ultra wires contract, and that the lia-
bility to assessment imposed upon stock
holders in national banks was cont
tractual liability and therefore could net
be enforced against the bank, because
the contract it made was void. The court
of appeals held that there was nothing
on the face of the transaction which re-
suited in the purchase of the stock by
the defendant bank to indicate to the
other parties concerned, or to the comp
trolIer OF the currency. that the tran
saction was illegal; that the liability
of a national bank stockholder to Assess
ment. in the event of the banks insol-
vency, is a statute one. and not con-
tractual, and that the defendant is es-
topped to set up its own illegality to es-
cape responsibility.
The premises Of the First National
bank showed up finely today on the re-
rroval of the partition which was kept
UP while the work of enlargement was
going on. The alterations are made In
excellent taste and will add greatly to
the comfort and convenience Of the pa
irons of the bank.