A. Yes.
Q. Who really conducts the business of the bank?
A. The managers, who are appointed by the directors; that is to say, myself and all those belonging to me.
Q. Are most of your acceptances secured?
A. Every one.
Q. How are they secured, generally speaking?
A. They are secured in the great majority of cases by bills of exchange, by first-class securities with plenty of margin, even by cash in hand to a moderate extent, and to a very small extent by bills of lading for produce shipped. That is a very small item.
Q. Can you state the reason for accepting bills instead of furnishing the cash?
A. We accept those bills because it happens to be the custom of the particular banks to draw a long bill. The customer himself who buys cotton in Bombay, or wherever it may be, acts according to the custom there to draw a bill to a certain usance. Now, for instance, with regard to an inland bill, we would not give credit of that sort to a man in London, but wherever there is a regular course of business abroad to draw at long usance we comply with it.