1919-02-22 — Page 10

THE HONGKONG TELEGRAPH

*

EXTRA.

HONGKONG," SATURDAY, FEBRUARY 22, 1919.

THE BANK MEETING.

DEMAND FOR SILVER LIKELY TO CONTINUE.

OUTSPOKEN REFERENCE TO CHINA'S FINANCIAL POSITION.

extension to our office here is published, is a warning against under consideration, besides any speculation based on cheap which, rebuilding and/or atten-money in the near future. sions will be necessary at other places in the near future, necOS- sitating the expenditure of con-

BANK AMALGAMATIONS.

remarkable series of an The rem

to ba

sid

siderable samis A bonus of algamations arranged between the 20 per cont. од

salaries leading English Joint Stock Banks have naturally excited a for The year has again ben voted to the staff and I am usual in such cases, there is maneir good deal of controversy. Ar SILTO this action of your Directors will receive the hearty

both support it deserves. As regarla Bides, and since any further the balanes sheet, I do not think amalgamation is subject there are many clunges in the governmental sauction, it woult figures of sufficient interess the question at all were it not be unnecessary for me to refer to justify my taking up your time

就

The ordinary yearly meeting sitne of his death continued to the shareholders of the long-rewer valuable assistance in ng and Shanghai Banking London as a member of the rporation was held in the City | London Consulting Committee of

in making comparisons. The that, as you are aware, all of , to-day, at noon.

the Bank, where his great ex total assets and liabilities in round these amalgamations have not The Hon. Mr. P. H. Holyoakperience and sound judgment figures amount to 132 millions been confined to the English reaided and there were present: were freely placed at the dispost against $419 millions the pre- they have involved the transfer Joint Stock Banka: income cases The Hou. Mr. D. anale, of the Management. By his death vious year, and with the ex-

fears. W. L. Pattenden, C.S. the Rank loses a very able caption of cash and bullion into the Joint Stock Bank of the abbay, A II. Compton, S. HI.counsellor and, like his pre-hand and in transit on the one control of British banks trading odwell, J. A. Plummer (Direcdecessor, the late Sir side and bills payable on the abroad. Without going into ra N. J. Subb Chief Thomas Jackson, his name other, the totals andder the the pros and cons of this. Janager), and the Hon. Mr. will wcupy a very prominent different healings show increased new development of banking,

o Fook, the

Rev. Father place in the history of the Bank,gares. We have discontinued

I should like to gay cobert, Sir Ellis Kadourie, Kt, whose welfare and best interests the separate item for our holdings that your Directors are firmly of Lesars J. H. Taggart, H. M.. he had ever at heart. He.shuu- of the Indian Government Loan opinion that the Hongkong and femazee, E. M. Raymond, H.B.L. | ned publicity and public and all our investments now

Shanghai Bank should maintain Powbiggin, A.-W. Smith, C. W. thuks, but those who knew appear under one heading. perfect freedom and in no way erwick, P. Barton, 4.0. Laug, him best will remember many Although our holdings of British barter its liberty of action or Cheung Shui, R. H. Kotewall, instances of unustentatious kini-War Loans have been increased, merge ita identity in that of a do Kwong, C.D. Wilkinson, ness and generosity. He had the the dollar equivalent, owing to the partner. We believe that all V. E. Roberts, J. H. N. Mody, affection of many sad the respect higher rate of exchange, is not the advantages claimed for anıal- 4.C. Sandford, F. H. Thomas, of all.

mach larger than that of last year, gamations can be secured, with- V. M. Humphreys, M. K. Lo,

The amount of Bills rediscounted out any sacrifice of our indepen- H. Skelton, B. Basto, D. J.

viz. £5,475,000," is much deuce. by friendly alliances or ewis, R. P. Thursfield, D. K.

smaller than for sometime past;

working arrangements ices, D. Macdonald, P. Sany,

this was due to monetary condi- banks operating in other spheres .F. Hough, W. Ross Thompson,

tions at Home making it more

than ours, and to this policy it is A. Shelton Hooper, M. W,

our intention to adhere. suitable to carry, in pre- Lo. " Sheppard, 1cluding $23,233.15 brought ference to rediscounting, กา

THE SILVER MARKET. Wing, R. A. Dastur, Arthur forward from 1917. shows a net W. Smith, D. S. Paowalla, M. R. profit of $9,820,420.02. The in- de Journal, K. G. Gazdar, J. Eterin dividend, paid in August Office of the Bank was opened at but the fuctuations have been less Joseph, J. de C. Basto, lasi, of £235,000 at exchange Vhdivostock, and your Directors violent than in the two previous Chan Sui Ki, A. Beattie, Chan.14 absorbed $1,577.579.62 consider that, in time, it will years. The highest and lowest Sha Ming, Tang Chi Ngong, after deducting that amount, and prove a valuable addition to our quotations were 49.1/20 ani! Chun Tong, P. M. N. da Silva, $50,000 remuneration to Direc-list of agencies. It has already 42.1/2d respectively as compared JD. Danby, A. E. Griffin, G. W. tors, there remains a balance of been of considerable assistance with 550 and 55.11/16d in 1917, Barton, Lee Coon, Fung Kong $8,212,811.30 to be dealt with, in financing the various Govern-During the first three months the Un, Ho Leung, Lo Cheung which, as you have seen from the [ments' requirements there. Ip, Lo Man In, P. K. Kwok, G. C. Moxon, A. Denison. P. V. Botelho, A. E. Paine, A.

Sire, O. I. Ellis, Sydney Michael, E. J. Chaplusu, C. d.

THE BANK'S FINANTES. As usual, I propose to take the report and statement of accounts, which have been in your hands for some days, as read. The result of the year's working, in-

accounts your Directors recom- mend all be appropriated as follows:--

A fiani lividend of £2.5.0 plus a bonus of £1.10.0 per shore da Rosa, S. M. Churn, G. H.(subject to deduction of income Potts, IL Swaine, H. W. Wright x payable at the rate son, J. K. Tweed, H. A. 3/4.1/4. Mackintyre and G. Towns.

The Chief Manager read the notice convening the meeting.

Transfer to Silver

Reserve Fand... $ Write of Bank Pre- mises Accouut...

THE CHAIRMAN'S SPEECH: | And carry forward

1,500,000 750,000

with

larger proportion of bills than The priceofailver has ruled high In October a Branch daring the past twelve months,

usaal.

THE HONEY MARKET.

price did not go above 46d, and varied between that and 42.1/2d., The outstauling feature of the but in April a bill, known intes Pittman Act." was in- has been the low level at which troduced in the year in the London money market as the

Senate at providing for

money rates have been artificial-Washington,

to

ly maintained for the purposes the melting into bullion of war. For the first time in of 250 million, subsequen-

increased banking history a discrimination fly

350 has been made between foreign million, of the silver dollars in and domestic money. In order to the Treasury originally coined prevent their withdrawal it was from the 429 million ounces of agreed with the Bank of England silver purchased under the to the current year 3,279,611.43 to allow 44 per cent, on foreign "Bland Act of 1878 and the The Chairman said:- It is proposed to increase the balances held in the country, "Sherman Act of 1890. The Gentlemen,-1 count myself final dividend by 2/- to £2.5. and this rate has been maintain Treasury is under obligation to fortunate in the privilege of and make the bonus 10/- highered throughout the year.

purchase at the price of a dollar addressing you in the year of at $1.10, bringing the total the Bank of England on the 2nd equivalent to that of the silver As regards domestic money, an ounce an amount of silver victory. On the 11th November, distribution to shareholders ap 1918, Armistice was sigued to £5.18/- per share, or £70,000 January, 1918, reduced the rate dollars sold under the Pittman on terms which ensure the against £656,000 for the previous of interest on banks' balances Act", but there is no stipulation acceptance of peace, and prevent, year. Although the sterling from 4 per ceat, to 3.1/2 per cent as to time, In anticipation

the sa far sa human provisiou can, amount distributed is consideraban on the 14th February the of

passing of this the recurrence of hostilities ly larger this time, the dollar rate was further reduced to 3 per Bill, the London quotation rose The object for which Great equivalent, owing to the higher cent. To eliminate competition rather rapidly from 45.1/2d on the Britain and her Allies entered level of exchange, is less than a with Treasury Bills, which were 10th April to 49.1/4d on the war has been attained. year ago. I trust, gentlemen, the being offered at the reduced rate 24th and eventually, on the pa great foar has been lifted from proposed division of profits of 3.1/2 per cent, it was arranged ing of the Bill, the New York the earth, and if we cannot grasp will meet with your approval offer more than 3 per cent. for ounce. From then onwards the that banks generally should nct quotation advanced to a dollar an the full import and significance Yoar Directors are of opinion,

the

of the change, it would indeed and feel certain it will be endurs deposits of any kind, long or market has been characterised by be strange if men's minds ed by all shareholders, that it is short. The peculiar circumstan-long spells of unchanged quots. weće not stirred and their wise to follow & conservative ces of the Eastern banke, with tion; from the 13th May till the hearts quickened by the recollec-policy in these days. Speaking their large holdings of long term 2nd July 48.7/8d was the goots tion of the great price at which for myself, whilst I am far from deposits, was recognised by the tion; from the 2nd July till the 21st this freedom has been purchased. taking a pessimistic view of the concession that current deposits August, 48.13/18d; from the 21st Of those who joined HM Forces trade dutlook, it must be admitted might be renewed at existing August till the 12th November from the staff of this "Bank, that the future is very uncertain rates for periods of not less than 49.1/2d; from the 12th November- thirty-six have made the supreme and may contain many unforeseen one year. The result of these till the 6th December 48.3/40: sacrifice, while many others, I difficulties which make it advis arrangements has been a saving from the 6th December till 11th fear, may have been too seriously able to strengthen our position as to the Government of about 17 February 48.7/16d.; and from the wounded or undermined in health, much as possible, consequently per cent, on their borrowings 11th February the price was to permit of their undertaking the addition of $1,500,000 from the market as compared 17.718d nutil the 20th February, work abroad. To the relatives the

when it declined to the pre- with the previous year. Fund and friends of those we mourn will, without doubt, commend

Reverses and successes on the sent quolation of 47 3/4d; the take this opportunity of tender-itself to you. Full provision has field of battle have had very little last six quotations being the ing our deepest sympathy. Be been made for all known contin- effect upon the rates for money maximum price sanction fore proceeding with the busincas gencies, but we are still without of Government control, the Lon-perinds. The decline in

and discount. Under influence the British Treasury during these of this meeting, 1 have also to any information whatever as to don market has become a great since 12th November refer with great regret to the the state of affairs in our latë

Silver Reserve

The

MOES

Cipvernme

by

prica

was dus

the

the

lose we have sustained by the Hamburg Office; no doubt the automatic money machine in to lower insurance and freight In August, death of Mr. J. R. M. Smith, our situation there will be disclosed which the personal equation of rates on the Atlantic. In late Chief Manager, which during the current year.

the individual banker or fin, owing to the extreme necessity occurred at home in August last. $7.4 lace to be written off Bank remains to be seen how far and should secure

aucier counts for very little. If that India and the British Mint Mr. Smith joined the Eastern Premises Account is alighlty

how soon it may be possible, once US. Staff from London in 1832, and in excess of the amount spent these irksome restrictions are maximum after occupying many important during the year, but future out- posts in the Bank, was appointed lays for Bank premises will be removed, to restore the old free and at the same time, pro Chief Manager in 1902. He con considerable and the account fore the war and made London the licen

conditions which prevailed be the export of sicer zo ducted the affairs of the Bank will require appropriations for financial centre of the world. mil with marked ability and sucosas some time to come. Plans are The interim report until his retirement at the end of being prepared for rebuilding Committee on Currency and

of the tallin 1910, and from then until the car Shanghai premises and a Foreign Exchanges, recently

f:

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THE HONGKONG