AUSTRALIAN BANKS.

Waikato Times, Volume XL, Issue 3259, 18 May 1893, Page 2

AUSTRALIAN BANKS.

[UY KLKCTRIC TSLKGRAI'H.—COPYKIGIIT. | Sydney, May IG. The result of the conference yesterday between Ministers and bankers is a proclamation by the Government declaring notes issued by the Bank of Now South Wales, the Bank of Australasia, the City of Sydney Bank, and the Union Bank legal tender for six months.

The Govormuent had three hundred thousand pounds with the Commercial Banking Company. The scheme for the reconstruction of the Commercial Banking Company of Sydney provides for selling the property and assets of the old bank to a new institution for eighty thousand shares at £25 each, forty»eight thousand paid up to £l2 10s, and the remainder to be subscribed over a period of three years, Creditors with current accounts are to nccopt 10 per cent, of the principal now owing within a month of the registration of the new bank, a per cent, within the next six months, and then 5 per cent, every quarter, interest to be paid at the. rate of per cent. . The directors will bo empowered topay drafts in full, and creditors n,J exchange deposironoipts for debont mcs ' l w ) in S 111 tercst at '1 per cent. j. The general opinion city is favourable to the action 0 10 m ®' l ll ment in making notes f ll ° f ° l »; banks already mentioned teiulei

for six mouths. A , r Mfj.hovrxe' ■"• The City of Melbourn? Ea | lk ,lIS suspended payment, ow 111 0 ® 1C withdrawn! of Scotch dep'j 81 , 01 ' 5, scheme of reconstruction is 0l r ll ;y JJ'°" pared. The deposits were £' ! ' ldU . l,uu , incltding £2,750,000 of Scot 1 ;' 1, The Premier says it is unF cl )' UIC Victorian Government will ma ce ,10CG s a legal tender. fle hopes tliefi"' disasters will bear fruit by has' emn S Federation.

Brisiiane, May 16.

The Permanent Building Society holds deposits to the extent of £201,000, mostly on fixi'd terms. _ A scheme of reconstruction is being prepared. The Federal Building, Land, and Investment Society suspended. The paid-up capital is £85,000. The deposits amount to £43,800. Tn view of the excitement over the financiul crisis. Parliament will probably be called together on the 25th instant. LoxriOX, Hay 15, Tim Queensland National Bank is applying to the Court for voluntary liquidation. The Exchange is excited by the suspension, for which it was not prepared, and surprise is expressed that the Whitsunday term was allowed to approach so near before the intentions of the bank were intimated. ; : Mav 16, .

The Standard states that it is impossible for the Bank of England to assist the Queensland Government. The Times asserts that a piospernus future awaits the banks still standing if common sense re-asserts itself; but that the way in which creditors are yielding to an unreasoning fear destroys the interests they seek to protect. It adds that it is incumbent on the banks to hold larger cash reserves. Intense surprise was caused here at the suspension of the Commercial Banking Company of Sydney. The liability hero is £SOO,OOO, which the assets fully cover.. The Cork depositors are applying to tho Court for the protection of the assets.

The Standard says that city financiers arc genuine iu their regret at the temporary stoppage of the Commercial Banking Company of Sydney, and declares that the London office was conducted most admirably. Sir J, P. Gnrrick does not expect much trouble by the suspension of the Queensland National Bank respecting his Government's drafts. The Edinburgh deposits amouut to £BOO,OOO, and those in Glasgow to £500,000, In the North Queensland Bank the Scotch deposits amounted to £90,090.