Patrick Macfadyen
Patrick Macfadyen | |
|---|---|
| Born | Template:Birth date Campbeltown, Scotland |
| Died | October 20, 1906 (aged 65) London, England |
| Occupation(s) | Entrepreneur, banker, political figure |
| Years active | 1874–1906 |
Patrick Macfadyen (16 May 1841 – 20 October 1906) was a Scottish entrepreneur, banker, and political figure who took his own life in London after the downfall of Arbuthnot & Co.
Early life
Macfadyen was born in Campbeltown, Scotland, to parents Archibald Mcfadyen and Margaret McKinlay. Upon completing his education, he established his own enterprise.
Career
Based in Madras, Macfadyen attained significant business achievements. Between 1874 and 1876, he was a member of the Madras Legislative Council and held the position of President of the Madras Chamber of Commerce in 1875. The following year, he became part of the executive committee for the Madras School of Arts.
His commercial ventures extended to the West Indian sugar industry and operations in Java, as well as investments in American railroads. Utilizing his connections in Madras, he founded P. Macfayden & Co., the London branch of Arbuthnot Bank, which gained recognition for innovating pooling methods in international insolvency cases.
Business failure
In 1906, both P. Macfayden & Co. and Arbuthnot & Co collapsed. P. Macfayden & Co.'s liabilities amounted to £1,044,952 (with £412,034 unsecured), while assets were only £25,530. Arbuthnot & Co. reported debts totaling £1,783,333 against assets worth £474,000. Their yearly turnover was estimated at between £2 million and £3 million.
Death
On 20 October 1906, at age 65, Macfadyen ended his life by entering a railway tunnel near Old Street station in Islington just as a train was approaching. Prior to this date, the bank had been obligated to transfer £50,000. It is believed he received a telegram from Madras stating: "Cannot remit any funds. Money still going out. We must stop payment on Monday." Following the bank's failure, Sir George Arbuthnot, an active partner at Arbuthnot & Co., was detained.
Macfadyen was present at the office until approximately 11 a.m. on the day he died. Initially described as appearing "worried" but not suicidal, witnesses later testified at the inquest that he seemed "entirely unbalanced" as he moved toward the train. Railway staff did not observe him leaving the platform.
That morning, Ernest Wallace, manager of the firm, encountered Macfadyen who appeared deeply troubled and had left a letter stating: "Enclosed from Arbuthnot and Co. is the last straw... must put down the catastrophe our endeavour to keep Arbuthnot and Co. going." He also left a note addressed to a woman believed to be his wife residing in Australia.
Several colleagues, including Sir Lewis McIver, provided testimony regarding Macfadyen’s distressed state. The judge concluded that his death was suicide while suffering from an unsound mind.
The media extensively covered Macfadyen's suicide and subsequent creditor claims; his body was found mutilated. Bankruptcy proceedings disclosed business debts of £400,000 alongside personal liabilities amounting to £30,000. Within three months, creditors filed 291 claims totaling £282,340.