Colonial Despatches
The colonial despatches of Vancouver Island and British Columbia 1846-1871
Public Offices document
Trevelyan, Sir Charles Edward to Merivale, Herman 23 November 1858, CO 60:2, no. 12050, 303.
Abstract
Public Offices document.
Minutes (3), Other documents (1).
Trevelyan submits a petition requesting the charter for a “Bank of British Columbia and Vancouver’s Island” and a draft charter. He asks if Lytton approves or offers any objection to the charter.
The minutes refer to William Strachey who had experience establishing banks in other colonies. Strachey offers two amendments.
Trevelyan to Merivale (Permanent Under-Secretary)
Treasury Chambers
23 November 1858
Sir,
I am commanded by the Lords Commissioners of Her Majesty's Treasury
to transmit to you herewith a Letter from the Committee of the Privy
Council for Trade dated the 16th
inst,
1
with its enclosures consisting of a Petition which has been addressed to
Her Majesty in Council for the grant of a Charter to the Bank of British
Columbiaand
and Vancouvers' Island and a draft Charter accompanying the
Petition and I am to request you will move Secretary Sir E. Bulwer Lytton
to inform My Lords whether he sees any objection to the Grant of
the proposed Charter or has any observations to offer on the subject.
and Vancouvers' Island and a draft Charter accompanying the
Petition and I am to request you will move Secretary Sir E. Bulwer Lytton
to inform My Lords whether he sees any objection to the Grant of
the proposed Charter or has any observations to offer on the subject.
I am directed to state that the names of the Petitioners appear to
My Lords to afford a guarantee of the bona fides of the undertaking, and
that as the Draft Charter is framed on the same principle as those of
other Colonial BankCharters
Charters granted by Her Majesty. Their Lordships
would be disposed to recommend the Grant of the Charter as prayed for,
subject to such amendments of the Draft as may appear on strict revision
thereof to be advisable. Their Lordships are disposed to think that in
the present condition of the Colonies of British Columbia and Vancouvers'
Island the usual reference to the local authorities previous to the Grant
of Bank Charter may properly be dispensed with, as it is not likely that
the proposed Institutionwould
would interfere prejudicially with any existing
establishments and it seems to be desirable that these rising Colonies
should obtain the advantage, with as little delay as possible, of Sound
Banking Institutions based on British Capital.
Charters granted by Her Majesty. Their Lordships
would be disposed to recommend the Grant of the Charter as prayed for,
subject to such amendments of the Draft as may appear on strict revision
thereof to be advisable. Their Lordships are disposed to think that in
the present condition of the Colonies of British Columbia and Vancouvers'
Island the usual reference to the local authorities previous to the Grant
of Bank Charter may properly be dispensed with, as it is not likely that
the proposed Institutionwould
would interfere prejudicially with any existing
establishments and it seems to be desirable that these rising Colonies
should obtain the advantage, with as little delay as possible, of Sound
Banking Institutions based on British Capital.
Minutes by CO staff
Mr Elliot
The establishment of a Bank in B. Columbia & VanCouver's Island is, I know, in entire accordance with the views of Sir E. Lytton, who, some time ago, granted an interview to some Deputation on this subject.
The establishment of a Bank in B. Columbia & VanCouver's Island is, I know, in entire accordance with the views of Sir E. Lytton, who, some time ago, granted an interview to some Deputation on this subject.
I have perused this proposed draft, & can perceive nothing
objectionable or susceptible of amendment in it; but as Mr Strachey
has had to [deal] with
the establishment of Banks in other of our
Colonies I should advise a reference to him of this Charter with a
request that he wd examine it.
the establishment of Banks in other of our
Colonies I should advise a reference to him of this Charter with a
request that he wd examine it.
ABd
22 Nov
Mr Strachey
Perhaps you will be good enough to look into this draft at once.
Perhaps you will be good enough to look into this draft at once.
C
Nov 23
Mr Merivale
The provisions of this Charter seem to me open to a good deal of question in many points, but as it is not advisable to enter into a controversy with the Treasury, if it can be avoided, I would suggest calling their attention to the following 2 points only:
The provisions of this Charter seem to me open to a good deal of question in many points, but as it is not advisable to enter into a controversy with the Treasury, if it can be avoided, I would suggest calling their attention to the following 2 points only:
1. The Crown (page 9 of dft) has power to revoke the
Charter—if so & so is represented by
'any 2 of the Commissrs of the Treasury'.
It seems to me that this
representation ought only to be made with the
concurrence of the Secy of State for this departt.
representation ought only to be made with the
concurrence of the Secy of State for this departt.
2. The draft appears to me very defective in not making special
provision for the payment of notes—over & above other debts of the Bank.
The public can avoid becoming creditors of the Bank in other respects,
but practically, if their notes are once in general circulation, it will
be impossible for any individual to refuse them. The Act of Parliament,
cap 91, of last
session
2
(which I annex) recognized the principle of special security for note
issues, by excepting them from 'limited liability.' Might we not suggest
this provision to the Treasury, in the absence
of any better? I annex a dft for considn.
WS
Dec 20
Other documents included in the file
Footnotes
- = Tra-Tre, 16 Nov 58, Bank of B.C. The letter has been removed from this file. FIND Tra-Tre, 16 Nov 58, BBC
- = Banking statute. An Act to Enable Joint Stock Banking Companies to be Formed on the Principle of Limited Liability, 2 August 1858, 21 and 22 Victoria, c. 91.