CITY OF MELBOURNE BANK.

New Zealand Times, Volume LVII, Issue 2583, 8 August 1895, Page 2

CITY OF MELBOURNE BANK.

By Telegraph.—Press Association. —Copyright London, August 6.

The depositors in the City of Melbourne Bank have absolutely declined to accede to the amendments suggested by the shareholders in the scheme as to the reduction of the rates of interest. :;

The meeting was adjourned, and instructions have been given to the Official Receiver to apply for the winding-up of the -Bank in Melbourne.

THE BANK CLOSES ITS DOORS. . Received August 7, 7.30 p.m. Melbourne, August 7. The City of Melbourne Bank has closed its doors. The petitions lodged in the Court will bo heard next week. . ; , Received August 7, 10 p.m. Melbourne, August 7. In consequence of the refusal of the London arid Glasgow depositors to accept the amended scheme, a hastily-summoned meeting of the directors of the City of Melbourne, Bank was held this morning, with the result that two petitions were presented to the Supreme Court for voluntary winding-up. The orders were granted, and made returnable on August 20th," The directors then issued instructions to close the head and all the branch offices, and notice of suspension was posted at II o’clock

The proceedings were kept very quiet, and few were aware of the intention to suspend.

, There was very .little excitement. . A Email rush of depositors took place afterwards, but they were too late. ' The suspension had little effect on other banks, and there was no unusual drain upon them. .The last report issued by the Bank for the half-year ended March 31st showed a* debit balance of .£13,366. London, August 6. Mr Lovatt, chairman of the Scotch Committee of the City of Melbourne Bank, states that he is fully determined that the control, of tho Bank should rest on this side. The winding-up in Melbourne is necessary to protect depositors’ interests,. and such a course ought to bring the shareholders to their senses.

Received Augusts, OAS a,m. Melbourne, August 7. No notice of the suspension , was posted at the hank. The directors simply closed the’doors. „

The ; Court has appointed Mr Andrew, McCrindle provisional liquidator. '■ ~ ’ The directors were taken, somewhat bysurprise at the action of the British depositors, who, they thought, would have accepted the amended, scheme; and they closed in order to forestall their proposed winding-up.