". For a set of directors to eat up a company’s capital, while cheering on its shareholders by high dividends, and inveigling depositors and fresh shareholders by fraudulent accounts, no high degree of refinement is necessary. Nothing is wanted but common law.
The case of the ?.....? Bank has caused a sensation, not so much on account of the capital as on account of the number of small people involved, both among the shareholders and depositors.
The division of labor in this concern appears to have been very simple, indeed. There were two sets of directors, the one content to pocket their salary of $x a year for knowing nothing of the affairs of the Bank and keeping then, consciences clear, the other intent upon the real direction of the Bank, only to be its first customers or rather plunderers. The latter class being dependent for accommodation upon the manager at once begin with letting the manager accommodate himself’. Beside the manager they must take into the secret the auditor and solicitor of the Company, who consequently receive bribes in the shape of advances. In addition to advances made to themselves and relatives in their own names, the directors and manager proceed to set tip a number of men of straw, in whose names they pocket further
advances.The whole paid-up capital were swallowed directly and indirectly by the directors."
The founder of the Company, Mr. McG " the celebrated statistical writer"
saddled the Company with xxx another director and Member of Parliament, Mt.. Humphrey B
used the bank to pay his electioneering expenses, incurred at one time a liability to it of y
and appears to be still in its debt to the tune of z Mr. C ,the manager, had advances to the amount of w "
