At the death of his wife Sir Alexander Midharst closed his London banking account and transferred all his business to the Daneford Bank, where he had had an account when he came into the property, and where his predecessor in the title had also kept his account.
Now in money matters Sir Alexander may have been a good sergeant, or even on occasions a trustworthy captain; but he was no general, and he knew it. He accordingly resolved to consult with Mr. Grey, father of Wat. He explained the whole scheme to the banker, and the purpose for which the money was being saved, and said that in the first place he wanted to invest the money safely, and in the second of course he wanted some interest for it.
The banker suggested that for the present the money should be invested in the Three per Cent. Consols, which could be realised readily should any more desirable form of investment offer itself, and where it would be as safe as in land.
After some consideration Sir Alexander agreed to follow the banker's advice, on the condition that Mr. Grey would buy the stock, keep the account of it, with the heirloom jewels and plate of Island Castle, but that in this case Mr. Grey was to retain the key of the chest containing the valuables and transact all the business connected with the Consols, such as receiving dividends, crediting the amount, and buying in more Consols with the interest of the Consols themselves, and any money Sir Alexander should lodge to the Midharst (Consols) account.
"I shall save the money," said the baronet, "and you will take care of it."
And so it was arranged. Sir Alexander gave the banker power-of-attorney with regard to these Consols and all the money lodged to their account for the future; all communications from the Bank of England, of solicitors, or anyone else, were to be addressed to Sir Alexander Midharst, Daneford Bank, Daneford. These letters were to be opened and attended to by Mr. Grey, who was to make a reasonable charge for the trouble.
Things went on thus until the elder Mr. Grey's death, when the son succeeded to the banking business and a considerable private fortune in 1856.
Young Mr. Grey, as soon as he came into the business, at once waited upon Sir Alexander Midharst, and said he would advise that some new plan should be adopted with regard to the baronet's business and accounts.
The baronet, who knew young Grey very well, and liked him exceedingly, told him that his father had managed the business excellently, and that the son ought to be able to do as well.
Young Grey said the responsibility was very great, the sum being now more than two hundred thousand pounds over which Grey had complete power.