The Feilding Star. THURSDAY. MAY 18. 1893. Banking in Australasia

Feilding Star, Volume XIV, Issue 141, 18 May 1893, Page 2

The Feilding Star. THURSDAY. MAY 18. 1893. Banking in Australasia

Wiien the banks in Australasia began increasing tho ratt'B given for money placed with them on fixed deposit, wo ventured to differ with them, and expressed the opiuion that tho act was suicidal. Eecout events have proved the correctness of our judgment. It is highly probable that at that time it was absolutely compulsory on many of the weaker institutions to bid for more money, m order to tide over tbeir difficulties, and by so doing they compelled other banks to adopt tbo samo course. Money which, in ordinary course, would have been infested in mortgages on broad acres, or in other equally legitimate securities, was diverted from its proper chaunel and placed at short dates with the banks. The investors were satisfied that their money was perfectly safe, and tho banks were supplied anew with the sinews of war. Unfortunately this belief was not based on a 6ound foundation. The withdrawal of capital from general circulation and investment led up to that very catastrophe which it was intended to avert. Money could only be dealt with by the banks, because a large majority of those who had before been private investors had delegated their powers to the banks, although, apparently, only indirectly, yot in such a fashion that when a time came when they wished to withdraw it from the banks, at the due dates of their tixed deposits, they they were unable to do co, for the simple reason that the banks had 80 tied up the money that they could not recall it without delay and possible loss. Now it is reasonable to draw tho conclusion that, if the banks had not interfered with private capitalists, by bidding for their capital, the latter would have placed their own money for themselves at a better rate of interest, because for longer terms. That, refers more particularly to investors residing in the colonies. English capitalists wore also attracted by the inflation of the money market, and poured their thousands and tens of thousands of pouuds into the London.branches of the colonial banks at the higher rates of interest, and thus intensified the mischief, because their mouey, also lent to the banks at short dates, had to be invested in tho colonies at longer dates at higher rates of interest, in order to pay the lenders' incroment, and to cover working expenses. With the reaction which followed tho " boom" thus caused, borrowers wore unable to meet their engagements to tho banks, and tho banks, unable to stand iho strain, smashed. Had tho banks, when they discovered they had overtraded in proportion to 'Jieir share capital, recognised the position and boldly invited tho public to invest in new Bharos, we are certain that such would have been so acceptable that the ruin which has enveloped so many of them would have been averted eutiroly. It is undeniable that tho banks in the first instance departed from tho lines of legitimate banking, and afterwards the eousequences of their own actious in disturbing tho money market by wrong headed competition with those who were practically their best customers, rcbouuded crushingly upon themselves. They have had their lesson, but at a bitter cost, not ouly to their own unfortuuute f shareholders, but to those greater unfortunates who entrusted their money s to the banks with a blind confidence ■ worthy of better treatment. As we pointed out in our last issue, the Gov- - ernmont and tho representatives of the : strongest banks have taken the only step possiblo to avert further calamis ties, and we trust that at the end of i of the six months much of the money - now in danger will have beon saved ' altogether. flex Zealand had a somewhat similar experience, but on a uiuch smaller stale, where much bus been saved from tho wreck, and Australia may bo equally fortunate. Ouo result must follow: Small banks will no louger bo established to further the iuterests of tho few ut tho expouso of 1 tho mauy, while the syst»in of iiiuht 5 at:d valuation of securities will be vastly unproved for tho protection ol the public.

Local and General News « There was a heavy earthquake this morning about four o'clock. A strong Itifle Club has been formed at Ashurat, and they have secured a safe 700 yards range. Mr O. Pleasants 1 new dwelling house situated on his property on the Spur road is rapidly approaching completion. | The Nihilists have murdered a student in Prussia for refnsmg to fulfil a pledge to kill the Czar and Czarewitch. Mr W. T. Ward, of Ashurst, will leave | for England shortly. He will be absent from the colony for'about six months. Wo have to thank tho Socrotary of tho Otaki Maori Racing Club for a complimentary tii ket for iho meeting to be held on May 2Mb.. Th© Commissioner of Crown Lands gives notice that a sale of Crown Lands will be held in Levin on June 12th. For other particulars we refer our readers to the advertisement. The Post says it is hoped to have the Electoral Bill made law in time for the general election, in which case there is just a possibility of Womanhood Suffrage being given effect to. Mossrs Cloave and Co of Auckland have forwarded us a copy of a pamphlet called " Book-keeping by Double Entry " which illustrate a system complete, simple, and concise, upphcablo to any business. By advertisement Mr W. W. Corpe invites the settlers of the Stanway and Halcombe districts to meet him at the Stauway Road Schoolhouse on Monday, the 22nd inst, at 7 o'clock in the evening. The oldest Freemason in Scotland has just died. This was Mr William Pollock "Paisley, who joined Lodge 842, " The Drumtolloch Blues," in 1814, and was thus i\ Freemason for 79 years. He was the father of a family of 21 children and was 98 years of age. We learn that a leading settler of Uangittkei has taken twenty shares in the Longburn Freezing Company. As the settler referred to was formerly a strong opponent of the company, this fact should have an effect on those interested in { keeping tho works going. I In connection with the recent highway robbery at Elsternwick, the Melbourne police have arrested three men, and be lieve they have unearthed an organised gang connected with many safe robberies in New South Wales, South Australia and Victoria. A large residence owned by Miss Kelly, and occupied by Mr Young, the recently appointed curate of All Saint's Church, at Palmerston, was destroyed by tire last Tuesday. There is no insurance on the furniture and valuable library, very little of which was saved. P«y an advertisement, which appears today, tho secretary of tho Pohangina Koad Board, Mr E. Goodbehere, requests the ratepayers in wards Xos. 1 and 2, of the Pohangina Road District, to restrain their cattle and horses from grazing upon tho roads in tho wards mentioned. John Watts, the jockey retained by tho late Mr Abiugton at ii very Urge fee, luis not had long to wait for an engagement to supply the one so tragically concluded. Before the Lincoln meeting had terminated lie had accepted Sir John Blundell • Maple's offer for jCGOOO for the first call on his services for three years. Mr John Bensemaun, of Waituna We«t, has shown ho vv to beautify the many unsightly gravel pits which offend the cyo at every road side, and at the same time preserve and purify the water forstoek. On one large pit near his house may now be seen in the full bloom of Us beauty a splendid waterlily. Wo com» mend the useful and arttstic notion to our subscribers. Tbo Standard says : "We havo for years denounced tho foolishness of allowing privalo banks to obtain the use of several millions of money in this colony alone by tho issue of pnutod pieces of non-mterest bearing paper," and therefore advocates the formation of a State bank. We may romind our contemporary that tho bank note circulation in Now Zealand has not yet reached one|million. The change of Government is not likely to affect tho starting of tho State Farm at Wayerley, and it is understood that the farm will bo handed over to the Minister for Education on behalf of the Industrial Bureau as soon as tho lease expires — noxt month. Steps (says tho Post) will then bo taken to have tho necessary buildings erected, and alterations effected to fit it for tho new purpose to which tho (B ate is to bo applied. Robson, the jockoy, has returned to Molbourtio, and •' Diamond" says in tho Sporting Standard : — Robsnn is quite enthusiastic in praiso of racing in Maoriland, He did a fair amount of riding during his stay, steering five ■winners, while ho thinks ho must havo ridden a dozon soconds. ltacing now is well con ducted, the courses admirably appointed, and the cattlo first class. Ue consider* the four-year-old filly Morganser tho greatest crack in Now Zealand. Tho races m which ho saw her victorious were won in splendid company, and tho pace sho displayed would place her on an equality with tho host horses in Australia, The religious opinions of our great men will be of interest : Lord Salisbury is a High Churchman of the old school. Low Churchmen comprise Lord Cross, Lord Harrowby, Lord George Hamilton, and Mr Stanhope. Lord Cranbrook is a High Churchman, Sir Michael HicksBeach is a Low Churchman ; but, on the other hand, Mr Gladstone is a High Churchman. Earl Selborne is a High Churchman, as is Earl Granville ; but Sir Win. Harcourt is a Low Churchman, and so are Earl Spencer, Mr Childers, the Duke of Devonshire, and the Earl of Northbrook. The Marquis of Ripou is a Roman Catholic convert; Mr Chamberlain is a Unitarian. Mr John Morley belongs to no denomination, but the Church of England claims Mr Balfour. The Dunedin Globe says that recently an unusual, and, to the uninitiated, a seeniing'y impossible operation was p< rformed on a patient in the Dunedin Hos pilal, by Dr Gordon MacdonalJ, viz , extirpation of tlio larriyx and windpipe, for a cancerous jjrowth of tho former. The man, who was over forty years of age, is making splendid recovery from the exceedingly severe ordeal he passed through. He has, of course, for cyer lost his nat» ural voice, but in the course of a few weeks an artificial metallic larnyx will be iuserled, and by this method speech will be restored, In this artificial larnyx a reed will do duty for the vocal chords, and 'he patient will be able to go up and down tho scale at will. This is the first time in Dunedin, and as far a3 we know in ISrw Zealand, 'hat this operation has i been at tempted. 1 An American journal says that a raw mellosv apple is digested in an hour and a i half, while boiled cabbage requires five ■ hours. Tho most healthy dessert that can be placed on a table is baked apple. ; If eaten frequently at breakfast with \ coarse bread and butter, without meat or Hesh of any kind, it has an admirable effect upon the general system, often reL moving constipation, correcting acidities, i and cooling off febrile conditions more j effectually than tho most approved medicines. If families could bo induced to i substitute them for pies, cakes, and sweet- : meals, with which their children are frequently stuffed, thero would be a ! diminution in tho total sum of doctors' 1 bills in a single year sutth-ient to Jay in a - stock of this delicious fruit for the whole > season's use. All fresh, ripe fruit and f melons are healthy, especially in hot weather.

We have to acknowledge receipt of a jatch of parliamentary papers. There is some talk of forming a Bowling 31ub in Feilding. ' Fillip circus will be in Palmorston on Thursday and Friday the 25th and 26th instants. The whaling season has now com- ' menced in Tory Channel and the Sounds. It promises to be a good one. ! Tho energetic proprietor of the Post Office store, ut Peraberton, is enlarging his premises. ; A notice in connection with the church | services nt Makino on Sunday next by the Rev. G. Clements, will appear in our next issue. Captain Edwin telegraphs: — Weather forecast for 24 hours from 9 a.m. to day — Telegrams to expect a very cold niijht liave been sent to all North Island places. Population continues to increase in the Pakihikura Block. The latest additions are Mr and Mrs A. H. Atkinson, who have been recently mnrried. Tho Wednesday closing in Wellington is in danger of falling through. Small dealers will not koep to tho letter and spirit of the agreement. There will be a vrelUnrrnngpd prom enade concert in the Colyton Public Hall to-morrow evening, in aid of tho local school. The Premier addressed a crowded meeting at Napier last night. A vote of confidence in the Government was passed and a motion of condolence to Mrs Ballance in her affliction was carried. A srcial in connection with the Feilding " Mutual " will be held in the Primitive Methodist Church this evening. A good programme hns been arranged and all are invited to attend. There is no charge for admission. Captain Jackson Barry, the well known pioneer, will lecture in the Assembly Rooms, Feilding, on Monday the 22nd and in Birmingham on Wednesday the "24th instants. We hope the veteran will have bumper houses on both occasions. Mr W. G. Pearce gives notice that a meeting of farruerß interested in the erection of a creamery or factory, will be held at Colyton Public Hall, on Saturday | next, at 1.60 p.m. Mr Sawers will be present. A correspondent wants to know how many of the itinerant hawkers who infest this part of the colony have licenses. We would suggest to him that when ho is "troubled with one of these" to demand to see the latter's hawker's license, for by that means alone can he get any very accurate information. We certainly agree with our correspondent that the names of licensees should be advertised, if only as a guarantee otbvmt fidvs. Wo have to go abroad to boat nows. The following is an extract from an English paper: — "New Zealand and tha greater poition of Australia will bo ongulfed by the sea before tho oud of 19 25 Such, at least, is tho prediction of Sir Svdnoy Bell." Accepting tins as rcliablo tho sooner tho Now Zealand Government lays off lown and suburban sections on Mount Cook, tho bettor ; while the timber in tho Pohangina Forest Koscrvo should bo utilized for the construction of an ark on tho old lines. There is no useputtiug off important matters hko these. There will bo a mooting of the Council of tho Now Zealand lustituto of Journalists in Wellington this afternoon, to deal with tho following matters : - (I) To decide on tho form of a certificate to hn issued to mombers; {'1) to consider tho question of selecting a design fora medallion for members to wear on their watch chains ; and (3) to dtfal with a resolution pas-sod by tho Auckland branch, urging that steps bo tnkon to obtain from Pallia tneiit next sessi >n a charter for the Institute, snnilat to tho chart<r grauted to the English Instituto of Journalists. — Post. The officers and brethren of the Feild» ing Masonic Lodge, paid a fraternal visit to the Palmerston Kilwinniuj; Lodge last night, to assist at Hie installation of Bro. Dawick as W.M. Tlie following are the nntnes:— Bro. H. L. Sherwill, W.M., Bros. Thomson, Hay bittie, Kirton. and Bas'.ings, P Ms. ; Bro. Worsfold. S.W.; Bro. T. W. K. Foster. Sec; Bro. Gregory, Tyler; Bros |G. 11. Say well, U. Tozer, McLaren, and 11. F. Haybiltle. After the cere, mony, the brethren were entertained most hospitably. Many good songs were sung and speeches made. The Foilding brethren left early, as the weather was threatening. The undermentioned now books have I been added to the library: — 'The His* tory of Pendennis,' Thackeray ; 'Janet,' Mrs Olipliant ; 'When we were Boys.' O'Brien; 'Night and Morning,' Lord Lytton ; ' White Wings,' Black ; ' Mar. que.ss of Lossie,' McDonald ; ' I'ountcss Irene,' Poverty ; ' Fair Barbarian,' Burnett ; ' Sun Kise,' Black ; Miss Went worth's Idea,' W. E. Norris; * Sea and Land,' Arnold ; ' New Grub Striel,' Gissing ; ' A New-Eogland Man,' E. WiN kiss ; ' Children of the King,' M. Crawford ; ' History of David Greive, 1 H. Ward ; ' Lessou of the Master, 1 11. James ; ' Head of the Firm.' Mrs Kiddol ; ' Flight of the Shadow,' C McDonald ; 'Jersey,' Elliott; In the Valley, 1 H. Frederic. Public interest continues to increase in regard to the Hawera cattle stealing cases. Young was admitted to bail, and McLean was remanded at Hawera on tho 17th, Mr Fitzherbert, of Palmerston, being retained for the defence of both prisoners. There are a great number of rumours afloat, and the case promises to turn out a | most; sensational one. Young has turned Queen's evidence, and his coufession is said to implicate a number of people. A farmer named Gibson, living near Hawera, is now in custody as being connected with the gang. A well known Hawera gentle- ! man asserts that thero will probably be J names misoii up in tho affnir, which the public would not dream of connecting with a case of this kind.