SECRETS OF THE BANK OF ENGLAND

Manawatu Times, Volume LIV, Issue 6902, 7 May 1929, Page 3

SECRETS OF THE BANK OF ENGLAND

HOW A RUN WAS MET. Subterfuges resorted to by the Bank of England to meet the run following the collapse of the South Sea Company were mentioned by Mr W. Marston Acres in a recent lecture before the London Society.

Mr Acres, who was for 30 years an official of the bank,, said that one device adopted in order to gain time was to pay demands for cash in shillings and sixpences. The counting was a long process. Another device was for the cashiers to pay largo sums to certain friendly individuals, who went out at ono door with bags of money and returned shortly afterward by another entrance to pay it all in again. The practice of keeping a military guard at the Bank dated from the time of the Gordon riots in 1750. At first the City Corporation raised strong objection to what they deemed an interference with their control of the city. The citizens generally complained bitterly of the arrogant behaviour of the soldiers, who marchew two abreast along the Strand, Fleet street, and Cheapside, jostling and pushing people out of their wav.

Various theories have been put forward, -said Mr Acres, to account, for the Bank's nickname, “The Old Lady of Threadneedle street". He thought it originated from a cartoon bearing the title, which was drawn by James GiJlray in 1791, and depicted William Pitt endeavouring to obtain possession of the Bank’s gold. Gillray probably got his inspiration from a speech made by Richard Brinsley .Sheridan in the House of Commons in March, 1791, when Sheridan referred to the Bank as “an elderly lady in the City of great credit and long standing, who had unfortunately got into bad company."