Bank of British Columbia Sues Journalists and a Bank Analyst

By Clarke, David | American Banker, February 27, 1986 | Go to article overview

Bank of British Columbia Sues Journalists and a Bank Analyst


Clarke, David, American Banker


TORONTO -- The Bank of British Columbia has sued several journalists and a bank analyst after revelations this week that it had requested, and was denied, government deposits to bolster its strength during the banking crisis that hit Canada last fall.

The Vancouver bank was said to have problems following the collapses in September and October of two western Canadian banks, the first banking failures in Canada in over 60 years. It has consistently denied the report of problems and specifically denied that it might merge with another institution.

On Wednesday, Dale Parker, president of Canadian operations for the bank, refused all comment on the matter. Earlier he told the Canadian News Service the bank was "financially strong" and "not negotiating with anyone."

The Canadian Broadcasting Corp. and the Toronto Globe & Mail reported this week that the bank last November asked the national government and governments of four western provinces for $570 million of deposits. (All figures are in U.S. dollars.)

The bank went to court, claiming the stories "have the capability of being extremely damaging." The bank brought its suit in British Columbia against Der Hoi-Yin, a national news reporter for the CBC, and the Toronto newspaper. It also filed a complaint against Roy Palmer, a bank analyst for Alfred Bunting & Co., a Toronto securities firm. It said the stories "may have the most serious consequences for the bank."

Deposits Dropped in Crisis

The latest Canadian banking figures do not reveal a particular problem for the Bank of British Columbia. But they do show that the bank, like other smaller banks, suffered a loss of deposits during the crisis of confidence that hit the industry after the closing of Canadian Commercial Bank, Edmonton, and Northland Bank, Calgary. In fact, the Vancouver bank has improved its health considerably from the difficulties it was experiencing several years ago. And the credit has generally gone to its chairman since 1984, Edgar F. Kaiser Jr., a member of the wealthy Kaiser family and the former owner of Denver Broncos, the professional football team.

An audit last fall gave the bank a clean bill of health. Its proportion of nonperforming loans seemingly gave little cause for anxiety. The nonperformers reached a 1985 peak in the second quarter at $63.8 million and then began declining. But despite the figures, and a healthy capital-to-asset ratio of 7%, many major Canadian banks last fall became shy about leaving their money with the Bank of British Columbia.

Latest figures from the Canada Gazette, a government publication, show that the bank's deposits dropped by $130 million between Aug. …

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Bank of British Columbia Sues Journalists and a Bank Analyst
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.