THE BANK FAILURE.

Star (Christchurch), Issue 4613, 8 April 1893, Page 3

THE BANK FAILURE.

i • I The Commercial Bank of Australia, [Special to Fbssb Association.l LONDON, Apbil~6; The London Board of the Commercial Bank suggests that depositors in the Bank should hold meetings in London, Edinburgh and Glasgow. The managers of the Union Bank of Australia, the Bank of New South Wales, the Bank of Victoria, the Bank of New Zealand, and the Bank of Adelaide favour the reconstruction of the Bank, and the Exchange also I approves. j April' 7. ! The Financial Times, referring to the proposed reconstruction of the \; Commercial Bank, considers the i scheme very satisfactory, provided i the shares are credited with only i>2 j paid up, the remaining <£3 being ! available only in the event of liquidation. : The Times says that after careful enquiry it is satisfied that the Australiau banks are sound, and ib is unlikely that the boom injured any of them badly, except the Commercial. The Daily CJironicle states that the uneasy feeling which was j, prevalent at first is disappearing. : The Da% News believes that the i right course is being taken by the | Bank in issuing a circular explaining ! the position and assembling the London depositors. Scotch depositors demand that provision should be made for a reserve capital Though the city is still unsettled by the suspension of the Commercial Bank, the acceptance of the reconstruction scheme by the Melbourne meeting has been received with great favour. Mr G. Niven, the London Manager, is awaiting orders to call a meeting to approve of the scheme. ' Coupons upon the debentures of the Metropolitan Gas Company, the

Melbourne Fire Brigades, and the Metropolitan Board of Works of Melbourne have not been paid by the Commercial Bank. The Time* says that, after careful enquiry, it cannot believe the unfavourable rumours which are in circulation regarding the Australian Banks. It states that one chartered institution has been freely referred to, but it has good authority for asserting that the position of this Bank is sound, and that fears of its collapses are needless. The Times also understands that none of the Australian Banks, with the exception of the Commercial Bank, were badly hit by the land boom. The shareholders and depositors of the Commercial Bank will meet at London on Tuesday and at Edinburgh on Wednesday to discuss the \ reconstruction scheme. MELBOURNE, Apbil 8. There are signs of a general revival of j confidence in the Commercial Bank affairs.