Statement of condition of the Hongkong and Shanghai Banking Corporation, at Manila, P. I., a branch of the Hongkong and Shanghai Banking Corporation, whose home office is at Hongkong-Continued.

I certify that I have examined the above statements, comparing the same with the books of the bank, and verifying the cash and securities on hand; that the books and records seem to be correct, the general condition good, and the method of doing business in accordance with the law and charter, except as noted.

Treasurer of the Philippine Archipelago.

CONTRACT OF LOAN WITH PLEDGE.

[SEAL.]

Mr.

[Translation.]

as agent of the Hongkong and Shanghai Banking Corporation, party of one part, and Messrs. parties of the other part, have agreed to the following: 1. We, Messrs. acknowledged to having received this date, from the agent for which we confess our indebtedness,

of the above bank, the sum of $renouncing the exception of the money not counted. 2. We, the same Messrs. deliver as a pledge to the bank — piculs of bearing the marks designated at the bottom of this contract, which we have and civil and material possession

-).

stored in our warehouses, situated in of which we give to said bank, solemnly promising to keep said goods apart from other effects and to insure them against fire in the name and as property of the bank, at whose disposal they will be kept until exported by us (Messrs. 3. Upon terminating the loading on vessel of said -, we, Messrs. -, oblige ourselves to deliver to the bank the bills of exchange for said merchandise on months- and at an exchange of per peso; and the amount of these bills of exchange will be applied to the paying of the amount advanced, together with interest on same at per cent per annum, to count from this date to the date of the sailing of the mail ship carrying the delivered documents.

4. We, Messrs. also oblige ourselves to pay to the bank the total of the amount insured, together with interest on same, and all other expenses occasioned in the manner above indicated, within the term of months, counting from this date.

5. If, after having passed the said — months, the bank still be not reimbursed for its outlay and interests, it will proceed to sell at auction the pledged goods without the necessity of the acquiescence of the said debtors, keeping out of the sale the amount of outlay and interests and returning whatever amount be left to the debtors.

If the proceeds of the sale be not sufficient, the bank will take executive action against the debtors for the amount lacking.

The bank accepts all the obligations contracted in its favor by this contract, the fulfillment of which will be exacted.

I will pay

this date, to the order of the agent of the Hongkong and Shanghai Banking Corporation, in this same place, the amount of pesos, in current money, without discount. Value received for the same in goods for commercial operations. MANILA,

189

Report of examination of the Chartered Bank of India, Australia and China, Cebu, P. I., July 3, 1901.

Mr. FRANK A. BRANAGAN,

MANILA, P. I., August 5, 1901.

Treasurer of the Philippine Islands, Manila, P. I.

SIR: Pursuant to your letter of June 22, 1901, appointing myself and Mr. Jacobs deputies for the examination of the Branch Bank of the Chartered Bank of India, Australia and China in the city of Cebu, I have the honor to submit herewith a report of said examination:

Report of the conditions of the Cebu Branch of the Chartered Bank of India, Australia and China, located in Cebu, on the island of Cebu, at the close of business July 1, 1901.

[Examination commenced at 9 a. m. July 3, 1901, and ended at 12.30 p. m. July 3, 1901.]

In the examination of this bank all the cash except the Spanish and Filipino dollars and half dollars was counted. The silver coin, being put up in sacks of 1,000 pesos each, was estimated in the following manner: One sack of each denomination was counted; the number of sacks of 1,000 pesos each was counted, and every fifth sack was weighed against the sack counted. All securities were examined and all collateral against loans, discounts, and overdrafts. The balances were taken off the individual ledgers and verification made of the outstanding certificates of deposit and certified and cashier's checks. Profit and loss and expense accounts were examined, and as nearly as possible the examination was conducted in the manner prescribed for national bank examiners in the United States.

A detailed statement showing the assets and liabilities is inclosed herewith with explanations of the different items therein. This bank uses practically the same loan bond and promissory note which is used. by the Hongkong and Shanghai Bank in Manila, an exhibit of which is inclosed with the report of the said bank.

Very respectfully,

C. H. SLEEPER,

Collector of Internal Revenue of the Philippine Islands

and Acting Deputy Treasurer.

Report of the condition of the Cebu Branch of the Chartered Bank of India, Australia and China in Cebu, on the island of Cebu-Continued.

The balance to profit and loss account is credited to the Manila office every six months, and the agent was preparing to make such entries on examination date. The books of the bank are fairly well kept, the agent taking general supervision over all, and is the only white man in the bank. The English system of bookkeeping is used. There are no bad debts or loans, and the unsecured overdrafts are by the most reliable business firms. Interest on the fixed deposits is credited every three months, and is included in the deposits and amounts to $1,265.57, to the credit of sundry depositors. The bank appears to be conducted in a conservative and businesslike manner, and could no doubt increase its deposits if it accepted all the deposits presented.

I certify that the above statement is correct as shown by the books of said bank.

C. H. SLEEPER,

Collector Internal Revenue and Acting Deputy Treasurer. MANILA, P. I., July 28, 1901.

APPENDIX T.

REPORT OF THE TREASURER OF THE PHILIPPINE ARCHIPELAGO TO THE CIVIL GOVERNOR ON SPECIAL EXAMINATIONS BY DEPUTIES OF THE INSULAR TREASURER OF THE BRANCH OF THE HONGKONG AND SHANGHAI BANKING CORPORATION AT ILOILO AND OF THE CHARTERED BANK OF INDIA, AUSTRALIA AND CHINA, AT MANILA.

OFFICE, TREASURER OF THE PHILIPPINE ARCHIPELAGO,

Manila, September 14, 1901.

SIR: I have the honor to transmit herewith reports of a special examination made by deputies of the insular treasurer of the branch of the Hongkong and Shanghai Banking Corporation at Iloilo, P. 1., and of the Chartered Bank of India, Australia and China at Manila, P. I.

Very respectfully,

FRANK A. BRANAGAN, Treasurer of the Philippine Archipelago.

The CIVIL GOVERNOR,

Manila, P. I.

REPORT OF THE CONDITION OF THE ILOILO BRANCH OF THE HONGKONG AND SHANGHAI BANKING CORPORATION AT THE CLOSE OF BUSINESS JULY 10, 1901.

MANILA, P. I., September 5, 1901.

SIR: Pursuant to your instructions under date of June 22, 1901, appointing myself and Mr. Jacobs deputies for the examination of the banks in Iloilo, I have the honor to submit the following report of the condition of the Iloilo branch of the Hongkong and Shanghai Banking Corporation at the close of business July 10, 1901:

In making the examination of this bank all the cash on hand was counted, all the securities held were checked, and all promissory notes, bonds, and drafts were examined, and the outstanding certificates of deposit, cashier's checks, and certified checks reported were verified. This branch of the Hongkong and Shanghai Bank reports to the Manila branch monthly, from which it derives its capital, which shows on the books of this institution as a credit to the Manila branch of the Hongkong and Shanghai Banking Corporation. All foreign business is done through the Manila branch, and the profit and loss account is semi-annually charged off to the Manila branch.

The bank does a much larger business than appears from this statement during the fall and winter of each year, in the handling of sugar drafts, and I am informed that their deposits increase very materially in the fall of each year.

PC 1901-PT 2- -29

449

The books of the bank were found correct in all particulars, and the agent in charge, Mr. C. H. Balfour, conducts the institution on a very conservative basis.

Respectfully submitted.

C. H. SLEEPER,

Acting Collector of Internal Revenue.
LAWRENCE M. JACOBS,

The TREASURER OF THE PHILIPPINE ISLANDS,

Assistant Statistician.

Manila, P. I.

Slatement of condition of Iloilo branch of Hongkong and Shanghai Banking Corporation at close of business July 10, 1901.

[Examination commenced 8.50 a. m. July 11, 1901; ended 5.30 p. m. July 11, 1901. Officer of bank, C. H. Balfour, agent holding general power of attorney.]