The Banking Enquiry.

Feilding Star, Volume XVIII, Issue 62, 10 September 1896, Page 2

The Banking Enquiry.

(Per Press Association) Wellington, Sept. 9. On tbe motion of the Premier it was | decided not to take any motions with- i out the unanimous consent of the committee, except those summoning wit. nesses. Mr Hutchison's motion that the committee should ask leave to sit during the sitting of the House was negatived by 6 votes to 2. Mr Watson handed in a statement showing the writings off in connection with the Bank's premises, but the chairman refused to supply the Press with the information it contained, Mr T. G. MacCarthy, a director of the Bank of New Zealand, was examined by Mr Seddon. He stated he had enquired into tbe Australian accounts, and found some of the properties much over valued. The Bank was unable to carry on if the State had not for a second time come to its assistance in 1895, as the Estate Company was absorbing a large amount of the Bank's capital. He thought the Bank's position was satisfactory, though there might be farther losses. The directors could not get to the botton of everything at once. If the colony continued prosperous the Bank would be able to meet its liabilities in connection with the assistance rendered it by the State. This Day. The examination of Mr McCarthy by Mr Seddon was resumed. Witness stated some blame was attachable to Mr Watson in connection with the advance of £2000, as he bad recommended the advance after the directors decided against it. Information was given to the Government in 1895 as to the position of the Bank of New Zealand. It did not go far enough, and someone was to blame for this. He believed the information came from the London Board, for whom Mr Murray simply acted as agent. Witness was of opinion that Messrs Watson and McKeuzie should not be left together in charge of the Bank of New Zealand, as they had been seriously mistaken respecting tbe Colonial Bank's business. He considered there should be two managers for the bank — one with London experience and the other with colonial.