WHY BANKS FAIL.

DISHONEST DINECTORS.

THE

factory reply, instantly came to tho conclusion that there was a run on the bank: Tho now spread like wildfiro, and immedi

WHEN SPECULATION ANDatoly everybody within walking.

PECULATION BRING

DISASTER.

and driving distance of the bank, who hulin account, rushed to get his or her money. The result was thit tho bank, unable to realiso its securities at onco and pay out gold, had to stop payment.

HONGKONG

APRIL 6

TOTI

TELEGRAPH THURSDAY

Entertainmen ́s

Entertainment

THE

BIJOU SCENIC THEATRE.

.(FLOWER STREET.):

The Latest Pictures.

The Best Artists: A PROGRAMME TO SUIT ALL TASTES. THIS WEEK.

"Why do banks fail?" reporter recently put the question to a London bank mangor, who spont a fow moments in thought never recovered from the blow, bofore replying, and even then ho

There is a story told of a cor- was not quite sure. English tain muk manager, whose cus "The banks, ho id, are, nowadays, tomore wero clamouring for their run on such conservative lines duposits. Ho had not enough that only a long European war cash on the premises, but what would mash them. Of course, had he had hented, so that there are some banks-vory fow when the first person to be served in number which deal in doubt touched his pilo of sovereigns, ful securities, paying high rates ho immediately drow away from

of interest; but the average joint

stock bank handles only the

1

i

787]

SPORTS IN THE INDIAN ARMY, Postmistress" and "When the Shoe Pinches"

By the Inimitable

MAX LINDER. EVERYBODY'S GOING NIGHTLY...

Los ce oad Maunger: R. H. STEPHENSON."

them as from a hot-poker. When CAPSTAN MIXTURE

the others saw his repudiation of

soundest and most marketable of the gold, they came to the con securition.

clusion that was antinfiol enough to rodepósit his cash, and most of the crowd wont homo, without troubling the cashier or discovering the trick,

I wa take the history of past bank failures, it will be found that, in almost every case, the Buildon stoppage of payment was duo to dishonesty or recklessness on the part of the directors and responsible employees. In the

RELYING ON THE "OLD WOMAN:"

101 bank

moot its

early days of banking those in. If everybody who had a bank- stitutions sprang into being at the ug account went to his bank, rate of a score a week, and about and demanded his money, it is an equal number failed. But that safe to say that was when all banks were private would be able to concerns. Thus, in Fobranry, liabilities, though, of course, somo 1826, Parlinmont ordered an ac-would be able to come nearer to count to bo taken of the bank doing so than others. However failures during the previous four gilt-odgod securities are, they will months only, and it was ascor- take time to realiso: and, of course, tained that in this brief period in time of panic thoy will take fifty-nine banks had closed their longers But the whole system of doors, as the result of the wildest, banking rests on the improbibility madest speculation on the part of this occurring, of their 114 partuors,

MEDIUM

CAPSTAN

&

Jn 1/4 ib.

Air Tight

FULL

MIXTURE

Tips

MISTOL & LONDO

If there was a sudden vun on at Speculation and peenlation. well-established bunk, and it hid One is almost as Ind as the other, not sufficient currency in its cel- To-day-banka-de-not-speculato-les-to-meat-the-demand-it-could they invost. The bank that specus if it were solvent, invoke, and pro- THE

Intas is lost.

bably obtain, the assistance of the Bank of England, which would' give it the run of its enormous reserve of gold.

Evan in the twentieth century, there is a goueral idən that banks morely mind themoney depositod; but ilroy do more than that. Thoy. A bank must always bo propa-. use it, lending it hero to a merred to meet any demand made by chant who wislios to develop his its customers," business, or conclude a big sale at

It does not, of course, koop only 981] once there investing itin securities gold ont promises, but it sees of unquestionable integrity. It it every sovereign deposited is stands to reason that the bank represented by goud securities. which takes a risk in londing to The heavy falls in Consols would the morelant, who may not have crippled many banks had able to repay, or buying stock they not wisely spread their that may possibly be worthless in investments over many other nwook, is-daily risking its Tinan kinds of stock-colonial, corpora- cial stability. The bank that tion, and such like. It is a offers high rates of interest to splendid tribute to the soundness depositors should be avoided, for

of English banking that who no properly conducted and really Casols dropped from the late safe bank can afford to pay higher nineties to the early eighties, and, ratos than the markot allows.

Akhmuck snillions of pourds losses to evory bank of repute, not therefore, ontailed tremendous pro placed on deposit”—that is

a singlo ono, was to. Hay the dopasitor must give

Horiously notico before he can draw his

injured. money-many more millions are paid into current accounts, and every penny must be ready at a moment's notice,

The ronson was, that the men responsible for minding the money of the country wore wise enough not-to-put-all-their eggs into one- WHEN, DIRECTORSGAMBLE. tion, and they distributod; and, basket. Security lay-in distribu- The greatest bank failure of re-although the drop in Consola cent years was that of Dumbell's, meant a depreciation.in securities in the Isle of Man. This was amounting to hundreds of thon- caused by hazardous spoculationsands of pounds, the increase in on the part of the directors, whose other stocks compensated. And prosecution is remembered to this thus the dopositor is protected. day, Dunboll's was a bank with Whon banks tako to playing with a great reputation, and all tho the money which is not thoirs, best people in the Isle of Man had they pave the way to repetition of accounts with it, but the directors, those miserable scenes which wanted too much interest on the follow that most terrible of all monoy their customers had en-commercial notices:-"The direc- trusted them with, and they pass tors regret that they have been ed from investments to spocula compelled to suspond paymont, tion, and from the latter-to-gam bling-and even a great bank cannot control the markets-the. shares follafter they were bought, and rose when they were sold, and, of course Dumbell's got into dif ficulties.

Something similar describes the. City of Glasgow Bank, which clos- ed itsdoor in 1878. Rashspecula- tion with their customers monoy resulted in groat losses, and, al- though in the carly part of 1878 a dividend of 12 por cont, was declared, the bank stopped pay- ment before the end of the your.

AUCTIONS.

G. ARR.

PUBLIC AUCTION.

HE Undersigned havo so:pired

instructions from Commander BacK WITH, Harbour' Master, to sell by PUBLIO AUCTION, (unlus disposed of privately).

SATURDAY,

on

The dividend was, of course; a the 8th April, 1911, at 11 A., Át the

blind, and those responsible were Bent to guol.

Marvellous stories could bo told of cortain English banka- now flourishing of times when

The Steam Launch

Police Basin. Tim-Tan-Tsui,

"MARLOW,"

Built by The Hongkong and Whampoa

Dosk Company, Limited.","

·

The Langh is moored in the Police

"

they were very nearly stop-Basin at Trimetsa-isti

ping payment. Even the Bank,

Full Particulis And Inspecting

of England 1148 Jind its. Orders may be had from the Ano-

crisis. Perhaps the most extra- tioneers.

ordinary reason for a bank Tons- unus),

failing was a woman's sprained

ankle! Many years ago nu old

$

HUGHES & HOUGH,.

Government Auctioncars.

lady slipped, and sprained her Hongkong, 1st April, 1911,

Ankle outside the offices of a bank.

A couple of podestrianaran to her

[1025

assistance, and were carrying her THE BRITISH FOREIGN IMPORT & EXPORT COM ank to rost, whion & PANY, Central Buildings, Liverpool, collected. Latecomers England,, is prepared to receive Con quired what the mat, sigments of Local Produen en bast

rowd.

W. D. & H. O. WILLS.

TRADE

MARK

HAND!

BERNESE ALPS MILK CO STALDON EMMENTIEL, SWITZERLAND,

No.

رو

SCOTCH WHISKY. 10 BOTTLED AT DUNDEE, SCOTLAND,

Agents F. BLACKHEAD & CO., HONGKONG & CHINA;

CLARK & CO.

Scientific

Opticians

YORK BUILDINGS,

CHATER ROAD,

Ground Floor.

TSIN. TING, LATEST METHODS

THE

Empire Cinematograph

Theatre,

Shipping-Steamers.

JAVA-CHINA-JAPAN LIJN.

Sleaner

Regular Fortnightly Service between JAVA, CHINA and JAPAN.

Dgn Væox Road Omarnay, opposite Tjikini ................................

Contral Market.

A BIG NOVELTY. The Black Face and Character Comodian

ERANK FOSTER... Grand Success of the Colebrated Soprano

Miss IRMA DE LEPOMME.

MAGNIFIQENT FILMS.

Matinces: SATURDAYS and SUNDAYS, at 4 p.m. Hongkong, and April, 1911.-

VICTORIA SKATING

From

Expected on or about Will leave for On se about",

JAVA ................ 1st hall April. Titaroem...SHANGHA7.2ad ball Apr...JAVA.........2nd ball April- Tipanas.JAVA 2nd hall Apr...JAPAN......2nd half April Tibodas .... JAPAN ...........2nd half Apr...JAVA............... 2nd half April. Tjilatjap.... .JAVA....................2nd half Apr.,,JAVA......2nd half April Timahi .........JAVA...... 1st half May...JAVA......... 1st half May Twong.JAVA.................... 1st half May...SHANGHAI, Ist half May The stormers are all fitted throughout with Electrio Light, and have accommodation for a limited number of calon passengers, and will take cargo- to all Ports in Netherlands-India on through B/f..

For particulars of Froight and Fassage, apply to the

JAVA-CHINA-JAPAN LIJN, York Buildings,

Telephone No. 375. Regular Steamship Service |

to New York, via PORT and SUEZ CANAL (With Liberty to Call at Malabar Chast).

PROPOSED SAILINGS FROM HOXORONG. tas2 FOR BOSTON AND NEW

YORK. 8.8. "GHAZEE"...About 7th April. FOR NEW YORK..

HS," SAINT PATRICK” – LACH

RINK.

5 Fessions Daily.

THE BEST. FLOOR.

The Company has decided to rednes the. Prices from 1st April, 1911, to the end of the Season. Mongkong, 31ta Mor., 1911..

E800

About

April,

May.

S.S."MONTROSE"... About 2nd

For Freight and further Information, apply to

DODWELL & CO., LTD.,

Agents, Hongkong, 4th April, 1911, FOR SINGAPORE, PENANG AND CALCUTTA,

-1966

STEAM LAUNDRY CO. (Taking cargo on Through Bills of

·YAUMATI.

Establishod 1899.

THE

E only successful Stean. Laune dry in the Far East. The only Laundry in the Colony under European Supervision.

Filtered Water. Regular Delivery, Flannels and Gadorvent washad by skillod Jajmnuse,

Monthly rates quoted. Dry cleaning a speciality Depot No. 4, Beaconsfield Arcade, Tel. K82.

R. WOOD,

Manngar.

Hongkong, 1st Mar., 1911.

PHONE 482.

[991

HONGKONG MOTOR

GARAGE.

TRY OUR

40 IL.P. Oleihont Car 6 Boats

21-H.P. Ramblar Car 4 Sents $7...........As bour

12 I.P. B Car & Bente

We Repair CYCLES, TYPEWRITERS, MOTORS,

REASONABLE PRICES.

DRAGON CYCLE DEPOT, 63. Dos Vœux Road Central. [46

PO SING: JEWELLER & SILVERSMITH No. 1, PorrisGer Stabat.

Dr. M. CHAUN, DENTAL SURGEON, OF DENTISTRY. | 33, Queix'q Road Cextual, Brumo AT No. 14, D'AGUILAR

1ST FLOOR, ROOMS. 2 and 3. C STREET

From the University

REASONABLE FEES..

Consultation Froe

'longco. 19th Jan", (310.

of Pennsylvania, U.S;a: Telephone 16. [Hongkong, 27th January, 1910.

ANTONESE SILVER WORK of every description done bara, Moderate Pries.

Imas and New Year Presenting [reat variety and at special rates suit

able to alj tastes and purous,

REPAIRERS,

SHIPBUILDERS, SALVORS AND

BOILERMAKERS, FORGEMASTERS, BRASS AND IRON FOUNDERS, CONSTRUC- TIONAL, ELECTRICAL AND MECHANICAL ENGINEERS.

Modern Appliances for quick construction and repair of Ships, Enginee, Boilers, Iailway Rolling Stock, Bridges, and all Classes of Engineering, Tron and Wood Work. Electrical Drives, Hydraulic & Pneumatic Tools,

installed throughout the Works,

TAIKOO DOCKYARD,

GRAVING

DOOK

787, by 88ft. by 54ft. 6 in. Pumps empty Dook in

50-ton Hydraulio TESTING MACHINE for Chains, Wire Ropes, Rivets

and Metal Specimens.

TAIKOO DOCKYARD & ENGINEERING CO.

2 8-4 hours,

THREE PATENT SLIPWAYS taking vessels ap to 8,000 tons

displacement, providing conditions for' painting ships with most efficient/result

HONGKONG

OF HONGKONG, LIMITED.

100-Tox ELECTRIC.CRANE oN QUAY- ELECTRIC OVERHEAD ORANES THROU@AGUT THE SHOPS RANGING UP TO 100 TONE.

Estimates glres for Docking, Repair to Hull and Machinery, Coustractional Work enyhe

MANAGERS AND AGENTS:

BUTTERFIELD & SWIRE

"elegraphia, Address

TAIKOODOCK

HONGKONG, CHINA & JAPAN

Lading to Rangoon, Medras,

and Mauritius.)

Stownship

*CATHERINE APCAR," ·

J

To Let.

TO LET:

TOP FLOOR, of 28, NATHAN ROAD, Kowloon (The Dairy Farm Co.'s premises) for 8 months, from 15th April, 1911-

For particulars, apply 10—

THE DAIRY FARM Co., Ltd. Hongkong, 31st Mar, 1911.

TO LET.

[1007

FLATS in Nathan Road, Kowloon.

FOUR-ROOMED HOUSES only painted and colour-weshed throughout. Cheap Ront." SHOPS, alhou Road, Kowloon. NEW and COMMODIOUS Immediate possession. Cheap Rental.

Apply to

HUMPHREYS ESTATE & FINANCE Co., Ld.“ Hongkong 16th Mar., 1911.

[908

TO LET.

ODOWN No. BA, DUDDELL

J STREXT. Apply to---

THE HONGKONG LAND.

INVESTMENT & AGENCY

COMPANY LIMITED.

[01

Captain L. O. Tómassend, will be des- patched for the above ports ou SATUR- Hongkong Ist April, 1911, DAY, the 8th inst., at Noon..

For Freight or Passage, apply to

DAVID SASSOON & Co., Ltd.,

Agents. Hongkonz. 4th' April, 1011, 1031

ORICHTAL

STEAM

COMPY

The Peninsular & Oriental Steam Navigation

Company..

STEAM FOR STRAITS,. OBY- LON, AUSTRALIA, INDIA, ADEN, EGYPT, MEDITER- -RANEAN PORTS, PLYMOUTH AND LONDON.

TO LET.

No. 10, MACDONNELL ROAD.

OFFICES in King's - BUILDINGS

4th Floor.

AN OFFICE on 1st Finon, 16, DES VAUX ROAD CENTRAL. GODOWNS, 181 to 155, Praya

EAST. SEMI-EUROPEAN FLATS

East corner of Observation Place. The Trams stop at the door..

Also NEW EUROPEAN FLATS adjoining the new Seaman's Instituto, Praya East

Apply to-

THE HONGKONG LAND INVESTMENT & AGENCY 00., LIMITED. Hongkong, let April, 1911.

[150

Tuneudh BILLS OF LADING THAORD PEAK TRAMWAYS 00..

No Basura, CONTINENTAL

AND AMERICAN PORTE.

THE Steamship

."DELHI,"

LIMITED.

TIME TABLE,

11

WHEE DAYS.

7.00 s.m.

7,80a.m. 10:10.00 .m. Every 10 min

P

15 min.

15 mia.

: 10 min.

#

15 min.

EE

.10 min.

*

16 min.

Н

15 min.

p.m.

Captain H. S. Bradshaw, carrying His Majesty's Mails, will bo dospatched from 10.00 am to 11.00 am.. this for Bombay, &o,, on SATUR-1.80 a.m. to 12.45 p.m. DAY, the 16th April, 1011, at Noon, 12.45 p.m. to 1.15 taking passengers and Cargo in con-

1.10 p.m. to 1.45 p.m. nection with the Company's 6.8.

1.45 p.m. to 2.15 p.m. “Mongolis," 10,000 tons, froín Colum

2.10 p.m. to 8.00 p.m. bo, passengers' accommodation in which 8.30 p.m. to 5.00 p.m. yessel is scoured belare departure from 5.00 p.m. to 8.00 p.m... Hongkong.

10 min.

NIGHT CARS. Silk and Valuables, all cargo for 5.45p.m. and 9 p.m., 9.45. to 11.15 p.m. Franco and Tea for London (under

every balf hour.. arrangement) will be transipped at

・ SUNDAYS: * Colombo into the mail steamer proceed 8.00 a.m. to 9.00 am. Every 15 min. ing direct to Marseilles and London; 9.00 am to 9.80 a.m. other cargo for London, &c., will be 9.30 s.m. to 10.80 a.m. conveyed via Bombay by the...11.48 a.m, to 12.00 noon 10.80 a.m. to 11.00a.m. "Arabia," dau iu London on the 26th May, 1911.

Parcels will be received, at tils Office until 4 r.x. the day before sailing. The contents and value of all packages are requisil.

For farther particulars, apply to

H. A. HEWETT, Superintendent. Hongkong, 1st April, 1911. "SHIRE" LINE OF STEAMERS, LIMITED.

THE

FOR MARSEILLES, "LONDON & ANTWERP... Steamship #CARNARVONSHIRE," Captain W. Gregory, will be`des- patched as above about 21th Inst

For Freight or Passage, apply to JARDINE, MATHENON & Co., Ln. Agents. Hongkong, 5th April, 1911. [1086

HUNG ON t. CO, SHOW ROOMAAND STORE at the Premises formerly occupied by

A Cuss & Co...

17a, Queen's Road, Uzsthal GENERAL UPHOLSTERERS

AND FURNITURE +5, Importers and DHALHES, ROCKERY, Cutlery "Electro and Silver Plated, Glas and Trom of all descriptions, always on

hire et moderata ratas:

80 min 15 min.

69

40.

#

10 min.

18 min 12.00 noon to 1.00 p.m. 10 min. 1.00 p.m. to 5.00 p.m... 10 min 5.00 pm to 6.00 p.m., 10 min 6.00 p.m. to 7.00 p.m.15 min. 7.00 p.m. to 8.00 pm, 10 min. NIGHT CARS as on Week Days. SATURDAYS.:

Extra car at 3.15 p.m., 11.80 p.m.

and 11.40 p.m. SPECIAL CARS by Arrange. ment at the Company's Omes. Alexandra Buildings, Des Voeux Road Central. JOHN D. HUMPHREYS & 80N,

General Manager, Hongkong, let April, 1909,

MAN-CHEONG,

10, WELLINGTON Sternt Unntaal, HosaKoro, SWATOW DRAWING WORK. Gontlemen and Ladies' TAILORS & OUTFITTERS. Embroidery, Pongee Silk, Glass Cloth Canton Silk and Lacos, &c., do Hongkong, 23rd January, 1911. 886 GREEN ISLAND CEMENT COMPANY, LIMITED,

PORTLAND CEMENT,"

In Casks of 875 lbe. net. In Bags of 250

SHEWAN

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