NATIONAL BANK OF INDIA, LIMITED. THE fifth ordinary general meeting of the proprietors of this bank was held at the London offices, 80, King William Street, on the 28th September, for the purpose of receiving the directors' report, and to declare a dividend. Mr. W. S. Fitzwilliam occupied the chair. The chief manager (Mr. R. O. Sawers) read the advertisement calling the meeting, and the following report of the directors for the half-year ended 30th June last : "The directors have now to submit to their co-proprietors the annexed balance-sheet and profit and loss account of the bank for the half-year ended 30th June last. The net profit for the half-year, after providing for all charges, rebates, interests due to the public, and making provision for losses sustained, amounts to £19,651. 9s. 6d., to which has to be added £3,045. 11s. 2d. brought forward from last half-year, making a total of £22,697. Os. 8d. It is proposed to pay on this occasion an ad interim dividend at the rate of 6 per cent. per annum, which will absorb £13,920, and to carry forward to next account the balance, amounting to £8,777. Os. 8d. After mature deliberation the directors have resolved upon establishing a branch in China. This step they consider necessary to the fuller development of the bank's exchange operations." Dr. Balance-sheet as at 30th June, 1869. LIABILITIES. Capital, consisting of 37,086 shares of £25 cach, having £12. 10s. paid up, £463,575; 17 shares of Rs. 500 each, having Rs. 250 paid up, £425 ... Reserve fund invested in government securities Amount due on current and fixed deposit accounts Bills payable ... ... ... ... £464,000 00 41,000 0 0 1,100,228 7 2 1,184,281 16 3 ditto House property, furniture and stamps (To liabilities on bills receivable re-discounted £215,378. 10s. 7d.) ASSETS. Cr. Cash in hand and at bankers and bullion £349,056. 2s. 6d., government securities, £536,446. 17s. 10d. Profit and Loss Account for the half-year ending 30th June, 1869. 31st December, 1868. By balance... accounts £19,961 1 2 19,651 96 £39,612 10 8 The Chairman said-Gentlemen, as the balance-sheet has been in your hands for some days, I take it that it will be your pleasure to follow the usual course, and consider it as read. ("Yes.") Well, you have heard the report read, and as this is merely an interim meeting, called to enable us to submit a statement of accounts to the shareholders, I have only to move "That the report now presented be received and adopted, and that an interim dividend for the six months ended 30th June last, at the rate of 6 per cent. per annum, free of income tax, be paid to the shareholders registered on the books of the company at this date, and that the same be made payable on and after Friday, the 1st of October next." In proposing this resolution for an interim dividend I have nothing to add. I will simply say that the bank is still holding a very good position in India, and I hope it will continue to do so. Its credit is as good as ever, and everything is perfectly satisfactory. Perhaps some proprietor will be so good as to second the resolution I have proposed. Mr. Paton: I will second it with much pleasure. The Chairman: If any gentleman has any question to put I shall be very pleased to answer him, and to give him any further information in my power. A Proprietor: I would ask a question with reference to the payment of interest upon current accounts in India. Is that continued? The Chairman: Yes. The Proprietor: Though it has been discontinued by some other Indian banks? The chief manager (Mr. R. O. Sawers): We have not discontinued it. No further question being asked, the resolution was at once put to the meeting, and carried unanimously. The Chairman: That, gentlemen, concludes our business. I have nothing to add further, and I thank you for your attendance. (Hear, hear.) A Proprietor: I propose a vote of thanks to the Chairman and directors generally for their continued attention to the interests of the bank. (Hear, hear.) The resolution was seconded and carried nem. con. The Chairman: I have to thank you, gentlemen, on behalf of myself and colleagues. I hope we shall continue to progress, and that at future meetings the same good feeling and harmony may prevail that has this day. (Hear, hear.) The proceedings, which lasted but a few minutes, then terminated. BANK OF BRITISH COLUMBIA. THE general meeting of the proprietors of the Bank of British Columbia (incorporated by royal charter) was held on the 12th October at the London Tavern. Mr. T. W. L. Mackean, chairman of the bank, presided. The notice convening the meeting having been read by Mr. H. E. Kansom, the general manager, the following report was taken as read :— "The directors, in presenting to the shareholders the half-yearly statement of accounts for the six months ended 30th June last, have to report that after paying all charges and deducting rebate of interest on bills not due, the balance at credit of profit and loss account at that date was £11,930. 1s. 2d. The directors recommend that a dividend be declared at the rate of 4 per cent. per annum, which would absorb £5,960; that £5,000 be appropriated to the reduction of the "Balance of bad debt account," being £500 more than was applied to that purpose last halfyear; and that the sum of £970. 1s. 2d. be carried forward. The directors have the satisfaction of stating that during the past half-year the sum of £992. 178. 1d. has been recovered and placed to the credit of "Balance of bad debt account," and that this account, after the appropriation of the £5,000, as now recommended, will be reduced to £959. 4s. 5d." Capital paid up Liabilities and Assets, 30th June, 1869. LIABILITIES. ... Deposits, notes in circulation, bills payable, and other liabilities ASSETS. £298,000 0 0 236,198 8 10 ... 11,930 1 2 £546,128 10 0 ... ... Bills discounted, bills receivable, government and other securi- 413,441 2 9 Profit and Loss Account, 30th June, 1869. Dividend paid 12th May, 1869 expenses at head office and branches Directors' fees... Balance of profit 30th June, 1869 Balance of profit and loss account, brought from 30th December, ... The Chairman, in moving the adoption of the report, said-Gentlemen, I have very little to add to what is contained in the report now submitted to you. This, as you are aware, is merely our half-yearly meeting, and I have very little to say. I wish, however, to say one or two words in ex planation of the increase in the item of charges. You will remember that at a previous meeting a pledge was given that the charges would be reduced, and they were reduced for the time being; but it is now necessary to explain that there are several incidental expenses that have accidentally arisen, and over which the board have had no control. Particularly may there be mentioned the legal expenses connected with several of the debts owing in the colony. These have increased the item of law charges very considerably, inasmuch as they have extended over two years and a-half, which is, of course, an exceptional circumstance, coming, as they do, all at once. Of course, as the bank gets older, the manager and other officials expect to be better paid, and this is another reason why it is impossible to expect any material immediate reductions. I trust, however, the desired effect will be produced by increased profits that will make the expenses sit more lightly. There is an apparent reduction in bills payable and bills receivable. That arose from the accident that at the time the balance was struck, they happened to be below the average of the previous half-year, and probably in the same way the item next half-year will be proportionately large. One thing is certain-the circumstance arises from no falling off of business. (Hear, hear.) The taxes upon the business in San Francisco and Portland are a heavy charge to bear. The bank has £2,000 a year to pay for government taxes; and this I cannot help thinking is very short-sighted policy on the part of the state governments, who thus impose a tax upon the very thing that is developing the prosperity of the country. I can assure you that the board will adopt every means in their power to obtain a considerable reduction on this head in the future. We cannot, of course, make any distinct promise about this; but our attention has been called to the matter, and it will not be lost sight of. The branch at Cariboo is progressing as prosperously as usual. The government have opened an assay office there, which will, to a certain extent, prevent the gold from fluctuating as it would otherwise do, and will prescrve for it an intrinsic value which may be good for the bank. This improvement has only just commenced, and may, therefore, be looked upon so far only as an improvement. One important thing has occurred at Cariboo, which cannot be without its effect upon the future of the bank-viz., the introduction of a quartz crushing machine. Once in full operation there is no estimating what prosperity may be brought to the colony. I have much pleasure in saying that in Victoria everything is going on well, with a steady, good banking business. We should, of course, be pleased if it were more, and we could employ a larger capital if the country was more developed. The coal industry in the island is still in a good condition, and from the very favourable dividends the coal company is paying it is to be hoped capitalists will be induced to turn their attention to the still undeveloped coal mines there. Portland is a good agricultural district, and requires only population to make it flourishing. In San Francisco things continue to progress most satisfactorily. The business is being rapidly developed under the auspices of the able manager, Mr. Tillinghest, and the steamers to China are now not only an accomplished fact, but there is a likelihood of a weekly communication between San Francisco and China. The immense influx of the Chinese population which will result will be a great benefit to the territory itself, as well as to the adjoining districts. In fact, the residents are looking to the Chinese as labourers for the Southern plantations-a work for which their steadiness and skill render them peculiarly adapted. The Pacific Railway is also an accomplished fact, and by it the journey from San Francisco to London will be performed in fifteen days; at the present time, twenty days are occupied by the journey. From the various accounts received there is not the least doubt but that this line will bring a large accession of wealth to the State of California. By means of this new communication, Mr. Tillinghest visited this country in August last, and the directors, who had never seen him before, were exceedingly pleased with him, and with the straightforward honesty of purpose he showed in all his conversations. He is a perfect gentleman, and of great service to the bank. I may also state for your information that one of the shareholders of the bank, who happens to be in San Francisco, has written a letter, from which I will quote the following passages:— "I was most favourably impressed with what I saw and heard of your bank at San Francisco and its very popular manager; and I am strongly of opinion that if the whole of your paid-up capital were employed at this agency alone, you would find an ample return for it. The Bank of California is the most popular bank in San Francisco, and does an enormous business; but from what I gathered when there, your bank stands next in public favour. The only complaint I heard was that your agent was too much fettered by restrictive instructions from home. The opening of the railway across the great continent of America must tend vastly to the development of banking business in San Francisco, and there is no reason why you should not enjoy a good share of it. I may add that I have this day instructed my broker to buy some more shares in the undertaking at present prices. You have a very vigilant inspector, whom I met out there, and, as matters now stand, I am hopeful of a more encouraging future for the bank." This, I think, as an unbiassed opinion, must be exceedingly gratifying to the shareholders. (Hear, hear.) In conclusion, I have very much pleasure in congratulating the proprietors upon getting nearly to the end of the bad debt account, and I hope that the amounts that have been applied to it will hereafter be applied to a reserve fund, and to increasing the dividends, although it cannot be reasonably expected that this increase will be very much at present. (Hear, hear.) I do not think I have any further remarks to offer, but I shall be pleased to answer any questions that may suggest themselves to any proprietor. I will now move the adoption of the report and accounts. Mr. Robert Gillespie, deputy-chairman, in seconding the resolution, said it must be a source of great congratulation to all that the concern was now getting in smooth waters. He could only express a hope that, with the continued care and judicious management which had characterised the conduct of the bank's affairs during the last few years, a largely increased measure of success would crown their efforts. (Hear, hear.) The report was adopted without discussion, as was also the dividend, and the same made payable on and after the 20th October. Mr. Simpson proposed a vote of thanks to the chairman and directors As a shareholder he joined in the congratulations that had been expressed at the bank having turned the corner. This desirable state of affairs was due to the integrity and honour of the gentlemen at the head of the concern. The bank had safely and honourably come out of a difficult position. Everything in the accounts just passed was most judicious and satisfactory. Personally he might wish the whole amount of the bad debt account to be swept away, but it would be seen that the balance carried forward was equal to the amount remaining of that account. Mr. Harding seconded the motion, which was carried unanimously. The Chairman, in acknowledging the compliment, said he had to thank the meeting, on behalf of his colleagues and himself, for the kind manner |
