BANK FAILURE.

Waikato Times, Volume XXXVIII, Issue 3106, 11 June 1892, Page 2

BANK FAILURE.

(by electkic telegraph.—copyright). LoSTiox, June S. TiLK New Oriental Hank Corporation suspended payment at six o'clock tonight. The immediate cause of the suspension is that the institution has three-quarters of a million locked up in landed property in Melbourne, and half-a million in land in Mauritius Application has been made to the Bank of England for assistance, but the decision of the directors has been adjourned until to-morrow.

Aii official circular has boon issued stating that the suspension of the Bank was owing to the depreciation of silver, increasing distrust in Great Britain of investments in silver cimency countries, the withdrawal of capital, and, )astly,th« unprecedented condition of trade .with China, Japan, and Australia, and the hurricane in Mauritius. Steps are being taken to protect tho assets. Ft is unofficially stated that the Bank of England has refused assistance because tho securities are of a character not easily liquidated. Tho liabilities of the Xew Oriental Bank amount to seven millions and a* quarter, exclusive of paid \i\. capital. The directors hope to be able to pay the debts in full, and resuscitate the affairs of the bank it' depositors accept 5 per cent, prefcronco shares. Tho withdrawal of a million deposits from Scotland and the eastern blanches of the London Oriental Bank took place within the last year. June 9. The Eastern Banks have vainly joined in asking the Bank of England to assist tlie Oriental Bank. Oriental Bank shares were offered at £:i, but there were no buyers. Sydxky, June 9. The local branch of the Xew Oriental Bank suspended payment this afternoon. The last returns show that the Sydney deposits amount to £219,000, the total liabilities being £217,000. Tin; returns from the Victorian branch show the deuosits to be £.37 000, and tho total liabilities £6U)00, and the assets £-177,000. Melhouuxh, Juno 10, Tho closing of the Oriental Bank has ciused but little excitement in this city, the bank having only a small circle of customers hero.