Colonial Despatches
The colonial despatches of Vancouver Island and British Columbia 1846-1871
Public Offices document
Mackean, Thomas William Lockwood to Rogers, Frederic 24 March 1868, CO 60:34, no. 2914, 217.
Abstract
Public Offices document.
Minutes (3), Enclosures (untranscribed) (4), Other documents (1).
Mackean encloses
correspondence between the Colonial Secretary of British Columbia, and the Manager of [the Bank of British Columbia] at Victoria, respecting the overdrawn account of the Colonial Government with the Bank.Mackean notes that the interest rate the Bank of British Columbia proposes is the usual rate charged on overdrawn accounts. Minutes by Cox and Rogers discuss the Bank of British Columbia’s interest rate and the colonial government’s reaction to the rate. Robinson’s minute relates how the proposed rate of interest to be charged was deferred until December 1867. Included documents describe the correspondence between the government of British Columbia and the Bank of British Columbia regarding the colonial government’s overdrawn account.
MacKean to Rogers (Permanent Under-Secretary)
Referring to the interview I had the honor of having with you on
Thursday last, I now beg to enclose for the information of his
Grace, the Secretary of State for the Colonies, copy of a
correspondence between the Colonial Secretary of British
Columbia, and the Manager of this Bank at Victoria, respecting
the overdrawn account of the Colonial Government with the Bank.
This correspondence sufficiently explains
itself, and the only
remark I would make is, that the rate of interest proposed to be
charged the Colonial Government, is the usual rate of interest
in the Colony on overdrawn accounts.
itself, and the only
remark I would make is, that the rate of interest proposed to be
charged the Colonial Government, is the usual rate of interest
in the Colony on overdrawn accounts.
Minutes by CO staff
Sir F. Rogers
18 per Cent the Bank are charging the Colony—tho' the Bank hold out a hope is held out [sic] of making it 12. As you are aware
the general question of the Financial state of the Colony
is under consideration.
18 per Cent the Bank are charging the Colony—tho' the Bank hold out a hope is held out [sic] of making it 12. As you are aware
the general question of the Financial state of the Colony
is under consideration.
CC
25/3
Mr MacKean called on me to shew me these papers—expressed
regret that the Govt shd have adopted [word or words cut off
microfilm] hostile tone (as if everyone was not hostile to 18%
interest) and asked whether they had better send us the correspondence.
I rather encouraged him to do so simply because the papers shew
the Duke of Buckm what is going on. Ackne with thanks.
Documents enclosed with the main document (not transcribed)
William C. Ward, Manager, Bank of British Columbia, to Colonial
Secretary, 8 April 1867, warning that the colony must reduce its
debt to the Bank or face increased interest charges.
Minutes by CO staff
Note—Upon the earnest representation of the Colonial
Government the increased rate of interest proposed to be charged
in the above letter, was deferred until 31st Dec/67.
[WR]
Documents enclosed with the main document (not transcribed)
*
Ward to Colonial Secretary, 2 January 1868, advising that
interest charges of one and a half per cent per month were being
charged on the overdrawn account as of the previous day.
W.A.G. Young, Colonial Secretary, to Ward, 17 January 1868,
expressing regret at the bank's actions and attitudes and
threatening to sever relations.
