DOI Seite / Zitierlink:
https://doi.org/10.11588/diglit.27741#0085
incapable of keeping her helm firm and
steady during the surging tide. It was in
1863 that the Directors, feeling the pulse
of the monetary market and noticing the
larger legitimate trade which had steadily
sprang up, resolved to double the capital,
say, from 32 lakh rupees to 104 lakh
rupees. The Bank Charter was amended.
But there was inserted therein a clause
which proved fatal to its stability and
ultimate solvency. Advances on personal
security were prohibited under the ori-
ginal charter of 1840. That prohibition
was removed in the amended charter. Not
only that but the Bank was empowered
to advance on other than Government
Securities. The words introduced were
" other public companies in India." There
is a long and painful history by it to
which it is needless to refer in these pages,
but those curious to be acquainted with
it might peruse it in the admirable and
exhaustive report of the Bank of Bombay
Commission. In my own brochure on
57
steady during the surging tide. It was in
1863 that the Directors, feeling the pulse
of the monetary market and noticing the
larger legitimate trade which had steadily
sprang up, resolved to double the capital,
say, from 32 lakh rupees to 104 lakh
rupees. The Bank Charter was amended.
But there was inserted therein a clause
which proved fatal to its stability and
ultimate solvency. Advances on personal
security were prohibited under the ori-
ginal charter of 1840. That prohibition
was removed in the amended charter. Not
only that but the Bank was empowered
to advance on other than Government
Securities. The words introduced were
" other public companies in India." There
is a long and painful history by it to
which it is needless to refer in these pages,
but those curious to be acquainted with
it might peruse it in the admirable and
exhaustive report of the Bank of Bombay
Commission. In my own brochure on
57