THE UNION GENERALE.

Otago Witness, Issue 1584, 1 April 1882, Page 19

THE UNION GENERALE.

1 , , (Home News.) , , ■ « j The great excitement qf the past fortnight in Paris has been the, suspension of the JTnion , G^n4fftjoi followed by a more a.cute development flf the financial crisis and by the exportation, of. gold from this country to France, which has sent the bank rate of interest up to 6 per cent. M. Bontoux, the Director of the Union Ge'ne'rale — who, together with M. Fedher, the manager of the Society, has sinae ' been arrested— attempted to stop the pun \upon it ,by securing the help of the great banters of Vienna. which b.ajs been fat some time a chief centre qf his financial operation's, On His recent return from, the Austrian capital he announced that" 17,000,000 francs shortly be forthcoming; the promise was not fulfilled, and hence the crash. M, Bontoux had founded more than one great bank in Vienna, and had aoquired there unprecedented commercial and politioal info* qnoe, He had, undertaken the construction of a, railway from Pesth to Semlin, of several 80- ' hemian and Galipian railways, and of certain Servian lines which were to establish a conneotion between the railways of Hungary and Turkey. The total of Austrian' capital involved in • the scheme of M. Bontoux was estimated # at not leas' than £24,000,000 sterling: it is now doubtful whether these projects can be executed, and the leading members of the Catholic party in Austria as well as in France have suffered severely. The Servian Finance Minister has gone to 1 Paris to endeavour to negotiate for the continuance of the Servian railway works. The'Comte de Chambord is said to have lost several millions of francs as the result of his confidence in M. Bontoux. Many of the best known Legitimists and denizens of the Faubourg St. Germain have sustained losses scarcely less severe. Thousands of the French bourgeoisie and peasantry, who, j acting on the advice of their priests, nad in- ' vested in the Union Ge'ne'rale, are ruined, or have narrowly escaped being ruined,There is apparently more than enough to justify the legal praQeeding&gnmmenced against the union Generate ; its strong-boxes on examination have proved to be empty, its reserve capital is only represented by 50,000 shares, whose value has sunk to zero. At the very moment when M. Bontoux stated that his profits amounted to 57,000,000 of francs, there existed, it is alleged, a deficit of 96,000,000. In November last 10,000 new shares were issued at a premium of 350 francs. The; %2!\ francs paid' foj' original shares 'were fetching 25,00 francs., and'eyeii a month ago' oOCj-franc shares, tyef e "tyd'rth more tftaft ' 3000 f rahes. ' '

Aiickland has had a visit from Sir William, M 'Arthur; M. ! P., late Lord, Mayor of Lpndon, ; and Sii 1 William 0,011m.5., >vho has been 1 L.or 4 Provost qf G.lasgqw for the past tljwe years, Both these gentlemen are connected' with busluess firms in Auckland,