The Waikato Times AND THAMES VALLEY GAZETTE. SATURDAY, DEC. 9, 1893.

Waikato Times, Volume XLI, Issue 3347, 9 December 1893, Page 8

The Waikato Times AND THAMES VALLEY GAZETTE.

SATURDAY, DEC. 9, 1893.

Equal and exact justice to all men, , ~;, ; Of whatsoever state or' persuasion, religious or political. ,: io ,'" i, y !|,lil ,; !i ""! ;

• ''!.' —-Hf^rr—r- 1 ;: i!' The. disasters which of late, have overtaken financial .institutions.:in the Australasian colonies will iti/all probability have the ;effect of changing .their monetary systems; In the past, banks have competed for posits until the; amounts they held were out of all-proportion: to their capital i and ; reservei' To employ this money profitably they have tad to invest it" in. modes' which were not i immediately,; realisable. (The money at deposit is at call within a year at the niost, but it would be that \ The necessity whichthe .public ;are. under; of employ-! ing: bankers ; prevents : this state of things from 'becoming 1 threatening to. tjipse, r institutions, which, enjoy, ikconfideh'clß; p|, their;; clients/' cause nearly every deposit that is withdrawn practically:that another deposit is made. But when confidence in an institutionisshaken 1 the incpmpatibility j jbetween the terms on, which the money has been obtained and that upon which it is employed- becomes fully obvious. It appears plain, either that the, money 'should only be; lent for such terms,.as correspond to those for I which it was borrowed, or secondly thatitlshould; be borrowed wnich'correspond to those for'whichit is proposed t'6 ( lend' it, or third and 3 best, that <\ the {banks* should lend a much larger proportion df ? their rely-much less/ upon; the money .of depositors, Perhaps the worst feature of the present; system; is; 'the OextentOtfr which, it wealthy men to, ignore jtneir,', responsiWliiies.,;which i 'the possession of: wialthUught !to ; entail. Instead of seeking outior; themselves profitable, channels for inyestment r; m s supplying needs.or developing the resources of i jthe ! country, and thus providing, for; ithoir own prosperity 1 and that of the 1 Icountrwatthe same time, they? lodge lit in soniß*bank at interest and take jnci niore j thought about the matter.; JBankers cannot give the same attention investmehts that indiividualicapitalists'would^db I ;and 'are moreover compelled to charge jtheirV increased interest im Order to cover risk, to pay the depositor the interest, and ihe shareholder his'dividends/ 'ln both these 1 ways and many others the progress jof the .'country/ is;, hampered! by/de'puting' fe ( corporations the responsibilities, which belong to individuals.,,,