§ MR. HOWELLI beg to ask the Chancellor of the Exchequer whether the Trustees and Managers of the Sudbury Savings Bank had become aware of serious defalcations by the actuary on Tuesday, the 24th October; whether he is aware that a meeting of the Trustees and Managers was only held on Tuesday, the 7th of November, and decided to apply for a warrant for the apprehension of the absconding actuary; and whether he can inform the House as to the reasons why no such warrant was placed in the hands of the police until 9th November, two days afterwards, at noon? At the same time I will ask the right hon. Gentleman whether the accounts of the Sudbury Savings Bank were inspected by an Inspector under the Savings Banks Committee, and by whom, and on what date or dates, the inspection took place; 355 and whether the defalcations were discovered by any such inspection; if not, how and by whom the defalcations were discovered?
SIR W.HARCOURTI am informed that the Inspector who visited the Sudbury Savings Bank on behalf of the Inspection Committee was Mr. Jackson, chartered accountant, of the firm of Pixley and Co. On his arrival to inspect the bank's books on the 24th October he was shown the letter of the actuary confessing his defalcations. A special meeting of the Inspection Committee was held on October 25. The Inspection Committee telegraphed to the Trustees urging them to take legal advice with a view to the arrest of the actuary. I am further informed that at a meeting of the Trustees on October 26 the Trustees appointed Messrs. Pixley to examine the books and report to the Trustees. It is stated by the solicitor to the Trustees that some days necessarily elapsed before the passbooks were received from the Inspectors, and the examination of the bank books (which on the face of them were apparently in proper order) was completed. This prevented the accountants from making their Report until November 7, on which day the Trustees resolved to obtain a warrant, which appears not to have been issued till the 9th. I think the delay in this case is a matter which requires more satisfactory explanation, and I will take care that further inquiry is made into the subject.
§ MR. BARTLEY (Islington, N.)Arising out of the question, may I ask whether this was the first visit the Inspection Committee had paid to this bank, although that committee had been in existence two years? Are we to understand that these frauds had been going on for years, and that this was the first visit to the bank?
§ SIR W. HARCOURTI believe that that is the case. It necessarily takes some time to go the rounds of the banks.