COMMERCIAL MORALITY.

New Zealand Herald, Volume XXIII, Issue 7658, 8 June 1886, Page 3

COMMERCIAL MORALITY.

TO THK EDITOR. Sir,—-Lord Becconsfield once described the critics as those who had failed, a satirical truth that was universally accepted as not unworthy of the great phrase-maker. It is remarkable how a fluent writer can descant on things he knows nothing about but there is quite too much evidence of the panny-a-liner in "Pollex'a" late contribution to show that he has an exceedingly scant knowledge of business. There Is nothing more sickening than pretension to practical knowledge by impractical writers, and " Pollex's " censure and condemnation of the victims in the bankruptcy case referred to will only go down with either fools and "old women of both sexes." Ido not deny that in the overstock of drapery goods, and in the enormous fall in values that has of late years occurred in this description of manufactures, there is a greater tendency to take risks than there used to be, bat that goods are "forced upon" retailers of small means is to state what is simply ridiculous. Only madmen attempt to cut their own throats, and I do not see any such evidence of insanity on the part of the Auckland wholesale merchants. Coming to facts : It wastbe bankrupts who solicited goods,andtho assertion that there was any encouragement todoillegitimateand unsafe trade is positively false. The parties, when starting business in Karangahape Road, commenced with a stated capital of £450, and purchased from one wholesale firm for two-thirds cash about £800 worth, payi-.g altogether £500 in cash. Being apparently full of business energy and understanding the trade, a start of £300 credit on a purchase of £800 was not an unusual thing, and deserves no Press writer's rebuke about commercial morality. Some time later on the firm bought from other houses, giving their references to fellow wholesale merchants, and upon tKa faith of this reference some amount of credit was given, not as " Pollex" says, " to take the wind out of rivals' sails," but as a purely business calculation, which might or might not be justified by results. If fortunately the former, there would be so much quittance of overstock. All the nonsense of "holding.up to public infamy," &c, &c, " the tempters" who lured these poor fellows on to their destruction, and consequently to their own (the merchants') •olid money loss, is simply rhodomontade from a heated brain, inebriated by the exuberance of its own verbosity ; and I advise " Pollex " for the future to avoid the quicksands of commerce and keep to those matters on which he is a pleasant and instructive writer. If the bankrupts appreciated the name of "honest traders," caring for the interests of those who proved willing to trust them with the means of making a living at "honest trade," it is questionable if there would have been any necessity for the services of the Official Assignee.—l am, * ;c, » Trader,