THE COMMERCIAL BANK OF AUSTRALIA.

New Zealand Times, Volume LIV, Issue 9882, 13 April 1893, Page 2

THE COMMERCIAL BANK OF AUSTRALIA.

Bv Klkctbio Tki.jeouaph.—Copyright. (press association.) London, April 11. Mr J. Malcolm, of Messrs MoEwan and Co., presiding at the meeting ot the shareholders of the Commercial Bank, referred to the strength of the bank’s profitable business, especially in the country branches. The fact of Mr Service joining the new concern was a great element of strength, as ho was far too shrewd a man to lend his name to a doubtful institution. Mr Malcolm add that, as a large shareholder, he welcomed the reconstruction scheme, which presented manifest advantages. Ho implored the meeting to concur in the proposal, and give the key-note to the meetings of depositors in London and Edinburgh. The stoppage was the result of malignant attacks which no joint stock bank would have withstood so long as the Commercial had. Two hundred shareholders were present, and there was no dissentient remark, though Mr Malcolm spoke for 20 minutes. At the meeting of depositors, where 500 were present, Mr Malcolm made a similar speech. About LV50.000 was represented. Mr Malcolm implored the depositors to avoid liquidation and discourage the wreckers of the colony. Both meetings unanimously adopted the reconstruction scheme.

The Scotsman considers the proposals the best that could be adopted, and the Times thinks a wise course has been taken. The Edinburgh agents of the Commercial Bank are daily receiving the assent ot depositors to' the reconstruction scheme. (Received April 12, 7.25 p.m.) Sydney, April 12. The Northumberland Permanent Building Society, Newcastle, has suspended payment. The society’s difficulties are due to the suspension of the Commercial Bank ot Australia. The deposits amount to Llll,OOO. The overdraft with the Commercial Bank amounts to L 14.000. The society’s advances total L 235.000. It is anticipated that if the depositors renew the deposits as they fall due, the society will re-open its doors. (Received April 13, 110 a.m.) Melbourne, April 12. The English, Scottish and Australian Chartered Bank has suspended payment owing to heavy withdrawals since the suspension of the Commercial Bank of Australia. Since the first of the month two million! have been withdrawn from the Australian branches ot the institution. A circular issued by the management states that the bank is perfectly sound, and will be immediately reconstructed. No request was made for assistance, and the suspension was decided on from a desire to protect all the creditors. No further details are available.