The Sun. — 1855-12-22 (London, England)

FRESH MAN.  O Ning to the proposed suspension of a dividend, there was a 'lament's attendance at the meeting of the Lon. don Chartered Bank of Australia held yesterday, great anxiety being evinced-to ascertain the cause of the large losses incurred. Dr. Duncan Dunbar, the chairman, presided, and the first business was the reading of the report. When the fact was intimated that the total of bad and doubtful debts for the half-year is 35,4501., which will absorb not only the profits, stated at 16,250/ , and the contingent and reserve funds, but also leave a balance of 7,7431. at the debit of profit and loss to be provided from the operations of the current half-year, there was great disappointment, and impatience was dies played for explanations.. The chairman, in moving the adoption of the report, entered into the unfortunate results of the management in the colony, Of the total of 35,4001. regarded as irrecoverably lost, the largest item is 23,0001, and in connection with this the particulars are as follows :—When the bank was first established in Victoria much difficulty was expe• rienced in obtaining remittances, and, bills not being always available, customers could not be accommoe dated. Fearing a lose of connexion, arrangements were made cith a firm for the purchase of gold at the diggings, which was drawn against as occasion ree quired, In the course of time the arrival of the escorts became delayed, and, instead of waiting for the receipt of the gold dust, a lvanoes were made to an amount far beyoad the limit originelly named. Subsequently Messrs. Jamieson and :vloor e, the house in question, became in. volved in other liabilities, and one of their agents at the gold fields having committed suicide, the account was brought to a stand. Security was then taken for the amount ; but, according to the law, it was not held long enough previously to bankruptcy, and their manager was compelled to forego the mortgages for the benefit of ti e general creditors. Another loss of 2,2001. has arisen fr,nn a forgery in Sydney, and the remaining 10,0001. his be, n occasioned by the ordinary operations of dig. counting', &c. This latter amount, considering the pressure experienced in Australia, is not regarded as excessive upon the employment of a capital of 550,0001. Under these circumstances, it was stated, the directors relieve it to be the most prudent course to suspend the dividend temporarily instead of adopting any ether expedient. With respect to the future it is antioi pated that satisfactory results will be attained, bu further advicee are awaited with anxiety. An impression was mentioned to have gained ground that the bank will require additional capital to carry out further operations, but, so far from this being the case, it is proposed, with the sanction of the shareholders, to apply to the Treasury to extend the period for the payment of cane upon the new shares. After the statement of the chairman, which was favourably received, a long discus. pion ensued as to the parties who were chiefly responsible for the mismanagement, and it appeared to be the opinion of the great majority that the conduct of the local board and Mr. Falconer deserved reprehension. The recall of the latter, who was engaged from his extensive colonial experience, and the appointmeut of a successor will, it is hoped, place the business of the establishment on a sounder footing, and enable the directors to resume dividends at an earlier period. It was pointed out that the sujden revulsions in Australian commerce have before placed similar institutions in peril, but that, with few ex ceptions, they have eventually recovered their position Attempts having been unsucce *Sully made to pass con demnatory amendments, the report was almost unanimously carried, ani thaproceedinge were concluded with v tee of thanks to the London directors for their straight, forward explanations.