Returning South in the fall of 1895, business necessitated my remaining for some time in St. John's, where as previously the Governor, Sir Terence O'Brien, very kindly entertained me. It proved to be a most exciting time. There were only two banks in the Colony, called respectively the Union and the Commercial. These issued all the notes used in the country and except for the savings bank had all the deposits of the fishermen and people. Suddenly one day I was told, though with extreme secrecy, that the two banks were unsound and would not again open after Monday morning. This was early on Saturday. Business went on as usual, but among the leaders of the country consternation was beginning to spread. The banks closed at their usual hour--three o 'clock on Saturday, and so far as I knew no one profited by the secret knowledge, though later accusations were made against some people. The serious nature of the impending disaster never really dawned on me, not being either personally concerned in either bank or having any experience of finance. When the collection came around at the cathedral on Sunday my friend whispered to me, "That silver will be valuable to-morrow." It so happened that on Sunday I was dining with the Prime Minister, who had befriended all our efforts, and his tremendously serious view of the position of the Colony sent me to bed full of alarms for my new friends. We were to have sailed for England next day and I went down after breakfast to buy my ticket. The agent sold it, but remarked, "I am not sure if Newfoundland money is good any longer. It is a speculation selling you this ticket." Before we sailed the vessel was held up by the Government, as only a few of the ships were taking notes at face value. Those of the Commercial Bank were only fetching twenty cents. Besides the banks quite a number of commercial firms also closed. The directors of the banks were all local merchants, and many were heavily indebted to them for supplies given out to their "planters," as they call the fishermen whom they supply with goods in advance to catch fish for them. It was a sorry mix-up, and business was very difficult to carry on because we had no medium of exchange. Even the Governor to pay his gardener had to give I.O.U. orders on shops--there simply being no currency available. Matters have long since adjusted themselves, though neither bank ever reopened. Larger banks of good standing came in from Canada, and no one can find anything of which to complain in the financial affairs of the "oldest Colony," even in these days of war.