It is well known that the crisis did not come suddenly, for never had there been so much warning and time given in which to prepare for an impending catastrophe. For months and months dark and heavy clouds were hanging over financial circles, threatening to burst at any moment. Depositors were in a fever of excitement, they held their deposit receipts in their hands ready to withdraw at the first alarm, their excitement stood on the balance, ready to burst forth or to be smoothed down into confidence by a judicious action of some responsible parties had it been forthcoming, but, alas, the Commercial Bank of Australia was allowed to suspend payment and the panic burst forth in every direction and no amount of work could cool the excited crowds.
The Commercial Bank, with its numerous branches, had been doing an extensive business, and was a prominent member of the Associated Banks, which was formed with the idea of assisting each other. When the Directors of the Bank saw how matters stood they approached the association in a half-hearted way and received a half-hearted answer, and the result was disaster.
Now, supposing that one of the Governors had been a keen, shrewd man of business, and a man who could look far ahead of him, and supposing that he could have forgotten that he was a mere figure-head, he would have stepped forward and said, "The Commercial Bank shall not close its doors." With such an affirmation, had he approached the Government of the Colony and, through them hastily summoned the leaders of the other Colonies, there is no doubt but that an arrangement would have been arrived at, by which the crisis could have at least been suspended for a sufficient time to either allow the bank to unload some of its more pressing liabilities or to realise on its assets, and thereby, sufficient time would have been gained for some arrangements to be entered into with the British depositors and investors, who no doubt would only have been too agreeable to assist.
Worse crises than the Australian have been avoided, to wit, Baring Brothers, but certainly this is only an individual opinion.
In conclusion, the Young Australian, trusting that he has not overstepped the boundary in the expressions of his opinions, and that no personalities will be taken, heartily wishes the Young Australians every success. It will be from Colonies such as Queensland and South Australia that steps will be first expected to be taken, for Queensland has already shown her cards and that clever South Australian Premier is going a step farther, and when South Australia has her Lieutenant-Governor in power she will show the other Colonies the immense advantages to be derived therefrom, and they will very soon follow in her footsteps, for men of his calibre are not to be had so readily in Great Britain.
END OF APPENDIX.
Transcriber's Note
Page 009 'badge was [to to] held.' changed to 'badge was to be held.'
Page 317 'back to [the the] "Grosvenor.' changed to 'back to the "Grosvenor."'