The Evening Star THURSDAY, JULY 29, 1875.

Evening Star, Issue 3878, 29 July 1875, Page 2

The Evening Star THURSDAY, JULY 29, 1875.

On Tuesday last a most extraordinaryleader appeared in the columns of the 'Daily Times' reflecting upon the management of a banking institution in Dunedin. We do not say that banks,any more than individuals, should be exempted from comment when the public interest justifies it; but nothing can excuse a covert attack such as that made in the article in question. If the public interest required it, the name of the institution and the nature of the evil should have been boldly stated; it should not have been left for every citizen to say to his neighbor, "What bank does the 'Daily Times' refer to?" Every bank manager in the City has a perfect right to resent insinuations so insidious and mysterious, as calculated to lead to unpleasant surmises on the part of the shareholders and directors; for where anonymous attacks are made, the charge is quite as easily fastened upon the innocsnt as upon the guilty. Current rumor in the City may tend to point correctly to the person intended to be aspersed, but a newspaper article travels to places where our local feuds are not known, but where shareholders and directors live. We, therefore, do not care io give currency to the reports which we hear concerning the transactions which have led to the extraordinary method of private revenge to which the 'Daily Times' has lent itself. So manifest is it that the article is derogutory to the Press, that the conclusion is inevitable, that undue and extraordinary pressure must have been brought to bear upon the editor to secure its insertion. It carries upon the face of it the impress of having been written by ©r under the direction of some one who has been refused accommodation by the manager of oue of the banks. No doubt such refusals are very annoying and sometimes excessively inconvenient; but they happen every day in the course of the manager's duties, and are really private matters that had better be kept snug. Even Governments and Corporations are liable to be called to account, and requested to reduce their overdrafts. It must be remembered that bank managers are expected to act upon sound financial principles, and it by no means follows that their estimate of prudent advances coincides with that of their customers. I When, therefore, one who has been re- ' fused accommodation chooses to call j public attention to the circumstance, he really says: " Mr So-and-So, manager of the Bank, does not think so well of my business position or qualifications as to trust me any further;" and the chances are the public will very likely express sympathy with the complainant, but agree with the bank manager. We do not know a more delicate matter for a newspaper to discuss than bank management. Very seldom does it happen that the writers know much about the subject they are treating of; and never can they touch it without leading to some unexpected results. In this case the rational inference from the scurrilous article in the ' Daily Times' is, that the manager of the bank has, in the interest of the shareholders, exercised a degree of caution that should entitle him to their confidence; for from the method adopted, of gratifying private revenge through the columns of a public journal, it is evident that the " customer " is one who will not stick at a trifle to gain his end. It is undeniable that unwise refusals of accommodation have produced seriouß results to the business community.

Dunedin suffered severely a few years ago from a panic among bank directors, gwho, shortsightedly, withdrew assistance to commerce when help alone was needed to sustain the public credit. The banks themselves were the most serious losers by the step. No man in business can be dragged down without iujnry to others. The greatest circumspection, therefore, should be exercised bofore taking so risky a step as to say to a customer, " I will help you no further." But it is of far more public consequence that the credit of a bank should be maintained. If there is a misunderstanding between the manager and a customer, let them settle it between themselves: it is a mere private matter, and the public will fully agree with us that nothing can be more reprehensible on the part of a public journal than to make its columns the medium of attack upon the status of a banking institution for the gratification of private revenge.