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414924
GENERAL INDEX
TO THE
NINTH VOLUME (OR FOURTH VOLUME— NEW SERIES)
or THE
Batikers’Jflagajine anil StatistttallUgishr,
JULY, 1854, TO JUNE, 1855, BOT£ INCLUSIVE.
“T ”P7 * Pr,,,nl «“ *» “PP'W by U>« publisher ; priw, m number^ *J, or mb.Untl.ll,
*7“ ’ * i t ,?***“ °Dmb"* 'rl11 h* *"PWW for the completion of .ubmribor.’ yoKuum. Bound rolume. will .iclunsed for the number.. All order, to be .ddrcued by mail, to J. Smith llommu, 161 Pe»,| .treet, New. York
Alabama, finances and debt of, 817.
interest and usury laws of, 644.
banks and bankers in, ID, 651, 1006.
Alexander J. II., remarks on interna- tional coinage. Alphabetical list of cashiers in the United
States, 133.
Altered bank-notes, remarks, 356, 685. American colonieS| circulation and early mints in, *i 81.
Anthracite coal trade of Penn., 473. Annual report of the N. Y. Bank Depart- ment, 712.
— on counterfeiting, 705.
of the U. S. Mint, 900, 917.
of the U. S. Treasury, 793.
Annuities, origin of British government,
568.
1“ long, dead weight, and life, 669.
April, 1864, financial events ofj 502,
680.
Architecture of banking-houses in New-
York, 582.
Arkansas, interest and usury laws, 645.
repudiation of State bonds in, 488.
Assay office in New- York, 288, 507,
in Sau Francisco, 220. [917,
law to establish, 291.
Assay Office, official notice of opening ofj * . . . 379.
Association of banks for suppression of counterfeiting, 705.
officers of; 711.
August, 1864, financial events 605, 682. Astor, John Jacob, notice of, 787. Australia, banks and banking in, 65.
coinage and mines of, 225.
proposed railroads in, 735.
remarks on the geography o$ 484.
results of shipments to, 73.
Austria, coinage of six years, 63.
finances and funds, 601, 673, 809.
Bakes, H. F ., notes on banking in U. S., 1. Baltimore, banks and bankers in, 19,
. , „ 133, 656, 1002.
“ — " board of trade on usury laws, 488. Bank, architecture in Now-York, 582.
capital of towns and cities, 660.
checks, fraudulent alteration o t,
. 169, 170.
department of N. Y., 712, 915.
deposits, how affected by death of
, depositor, 272.
dividends in Boston, 395, 861.
dividends in New-York, 157, 741.
Original from
UNIVERSITY OF CHICAGO
iy
General Index.
Digitized by
Bank dividends in Phila., 236, 974.
failures, iu 1864-*5, 400, 506,
frauds, suggestions to prevent, 732,
896.
history, sketches of, 697, 871, 921.
V items, 74, 155, 234, 316, 400, 490,
/ 673, 657, 740, 819, 913, 989.
note-engraving, remarks on, 356,
— improvements in, 368. [635.
note paper, manufacture of 384,
658, 693.
notes, fraudulent circulation, 856,
888.
notes, forged, when cannot be re- covered, 170.
notes, genuine, with forged sig- natures, 171.
notes, insolvency, 273.
Mr. Benton’s proposal to tax, 816.
note, redemption by Suffolk Bank,
864.
notes, photography applied to, 738,
812.
notes, stolen, the law, 402, 806, 888.
notes, under ten dollars prohibited,
339, 487.
of Albany, history of the, 697.
of Charleston, annual report of 214.
of exchange, remarks on, 113.
of Mutual Redemption in Boston,
969.
Bank of England, banking department
bullion department of 48. [of 41.
charter, examination of, 695.
checks receivable for customs.
dividends of 1697-1854, 613.
election of directors, 231.
history and statistics of 610, 670.
non-liability of; for stolen notes,
806, 888.
note system, change in, 346, 382,
forgery of; 694. [686.
issue department of, 40.
operations of the, 1845—54, 39, 258,
346, 382, 670.
quarterly averages of circulation,
deposits, and bullion, 1840-1853,
612.
rate of discount, 232, 311, 980, 992.
Bank of France, advance in rate of dis- count, 502.
statistics of, 143, 809, 885, 979.
Bank of Frankfort, 0. M., 309.
officers, deaths of 160, 240, 320,
408, 496, 576, 744, 832, 920.
provision for retired, 153.
supposed losses by, 660.
of the Commonwealth, ( engraving ,)
592.
Bank of the Republic, {engraving,) 593.
tax on, decisions, 87.
Banks, failures of 35, 493, 508, 716.
frauds and forgeries on, 155, 176,
313, 406, 490, 573, 657-660, 820.
in London, annual reports of 310.
in the U. S., 646, 792, 1000.
Treasuiy report on, 793.
cashiers of 133.
liability of for stolen notes, 806,
savings, 25, 58, 864. [888.
Bankers, death of noted, 233.
• failures of 154, 160, 231, 504, 505,
507, 608, 661, 742.
frauds on, 177, 507, 732, 896.
— in Europe, Asia, etc., 17.
private in U. S., 19!
Banking and banking statistics of Maine, 75, 401, 646, 863, 967, 993. New-Hampshire, 646, 969, 994. Vermont, 74, 674, 648, 737, 998. Massachusetts, 1, 35, 77, 89, 160, 234, 395, 401, 405, 649, 862, 864, 969, 995.
Rhode -Island, 153, 649, 821, 871.
973, 9971
Connecticut, 51, 58, 156, 337, 650,
997.
New-York State, 235, 646, 712, 868* 961, 1000.
City, 160, 393, 496, 501, 653,
664, 1002.
New-Jersey, 133, 652, 722, 724, 798, 970, 1004.
Pennsylvania, 133. 487, 651, 720, 724, Delaware, 649. [814, 821, 974, 1003.
Maryland, 646, 656, 1003.
District of Columbia, 651, 1002. Virginia, 217, 236, 650, 1005. North-Carolina, 650, 822, 1004. South-Carol ina, 214, 651, 1005. Georgia, 338, 648, 1009.
Alabama, 651, 1006.
Illinois, 11, 102, 111, 449, 462, 466,
* 651, 1008.
Indiana, 8, 96, 154, 304, 652, 1008. Kentucky, 15, 651, 795, 974, 1006. Louisiana, 381, 648, 1004.
Michigan, 651, 1006.
Missouri, 133, 652, 720, 822, 1007. Mississippi, 651, 1007.
Ohio, 3, 339, 648, 1007.
Tennessee, 650, 1006.
Texas, 946, 1001.
Wisconsin, 286, 317, 575, 646, 799, Australia, 65. [1008.
Canada, 652.
France, 143.
Great Britain, 310.
A
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Original from
UNIVERSITY OF CHICAGO
General Index .
Banking laws of Connecticut, 337.
m> of Illinois, 102.
of Indiana, 96, 937.
of Georgia, 338.
of Maine, 968.
of New-Hainpshire, 969.
of Ohio, 339.
of Wisconsin, 833.
Banking history, (sketches of)
Bank of Albany, 697.
Bank of Chenango, 868.
Mechanics’ Bank, N. Y., 701.
Ontario Bank, N. Y., 921.
Pawtucket Bank, Mass., 704. Providence Bank, 871.
Baring Brothers, loan to Russia, 605. Bills of exchange and promissoiy notes, accommodation, 163, 169. as collaterals for advances, 165. altered, 171.
at sight, the law 0$ 529, 980.
damages on, 172, 529.
drawn on consigned goods, insolvency,
discount of; by a broker, 167. [167.
failure of notice, 163, 345.
failure of consideration, 163, 164, 166,
174, 175.
forged acceptance, 166, 986. forged and paid, when cannot be re- covered, 168.
forged indorsement, 174.
fraudulent, 162, 166, 167, 168, 910.
forged, paid supra-protest, recovery, 171.
liability of brokers in negotiation, 188.
lost, fraud, 169.
proof of acceptance, 166.
paid by mistake, entitled to recovery,
protest, usage, 175, 271, 813. [167.
stolen, 162, 163, 168, 172.
— when recoverable, 169. on the origin of; 781. the American law o( 170, 529. the English law ofj 163, 253, 293, 398,
736.
Body corporate, eulogy on a, 921.
Bonds and mortgages as a basis of circu- lation, 713.
Boston, bank shares, quotations of, 149, 229, 307, 396, 483, 572, 730, 829.
bank statistics, 240, 405, 655, 664,
862, 994.
board of trade on the usury laws,
811.
bank dividends ofj 895, 861.
early banking customs in, 737.
export of specie from, each month
1854, 663.
Bowery Savings Bank, New-York, (en- graving,) 697.
Brazil, production of gold and sn .
quotation of public funds of, 673.*
British Numismatic Society, proceedings
of the, 926.
Broadway Bank, New-York, ( engraved
view,) 587.
Brokers, liability in negotiating fraudu- lent bills, 188. Brown, W.f (of Liverpool,) remarks on decimal coinage, 189. Brougham, (Lord,) remarks on currency and bills of exchange, 264- Bulls and bears of the stock market.
What are they? 618. Burglar-proof iron safe, manufacture, 23$.
Calcutta, coinage of; 64.
California, coinage of, 220, 379? 563.
gold product ofj 563, 928.
financial revulsion in, 826, 9&J..
public debt and finances of, 206,
257, 760.
payment of State interest, by Dun- can, Sherman & Co., 206. Campbell, (Lord,) remarks on bills of ex- change as a currency, 265. Canada, banks of, 652.
commercial prospects of; 370, 489.
Capital and labor, (Ed. Review,) 279.
and savings, (Ed. Review,) 281.
jealousy of, 279.
waste of, 283.
bank of cities, towns, and States,
Cashysrs, alphabetical list of; 133. [646.
Certificates of deposit, fraudulent, 173. Certified checks, the law of; 489. Chabral, M., on gold and silver, 667. Chemical Bank, fraud on, 313.
Chevalier, (Michel,) remarks on gold and
silver, 477.
Chicago A Rock-Island Railroad, remarks
on, 126.
Chili, production of gold and silver in, China, specie currency of, 378. [478.
the opium trade of, 787.
Cincinnati, public debt of, 70.
Cities, banks and bank capital ofj 646.
public debt ofj 70, 257.
City stocks, quotations of, 149, 229, 307, 397, 573, 731, 829, 909, 990. Cleveland & Toledo R.R., remarks, 121. Coal, miners and shippers of, 474.
— trade of United States, 1820-60, 467, 473, 818.
prices of for fifteen years, 472.
Cochituate Bank, failure of, 35, 403, 857. Coinage, from sunken treasure, 375.
standard of the, in Europe, 299.
suggestions for improvement in, 900.
Digitized by
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Original from
UNIVERSITY OF CHICAGO
General Index.
Digitized by
*au coinage of United States, 63, 146, 220, 374, 376, 562, 668, 900, 916, 927.
Annual report on, 900, 927.
of Austria, 63.
of Bombay, 64.
of Calcutta, 64.
of Canton, 225.
of France. 63, 476, 604.
of Great Britain, 63, 299, 475.
of Madras, 64.
of Prussia, 63.
— of Spain, 63.
of the world, 63.
Coins, ancient, discovered, 926.
counterfeit, extraordinary, 147,
historical survey of changes in, 772.
foreign, value of, 376, 901.
old, sale of, 147.
relative value of, 297.
Commercial distress, on the causes of,
367.
Community of property, (Ed. Rev .,) 279. Connecticut, banks and banking in, 19,
finances of, 490. [51, 650, 997.
interest and usury laws of, 534.
new banking law of, 337.
Consols, fluctuations of, 495, 561, 617,
history of, 567, 783. [673.
Cornwall and Devon, mineral wealth of,
733.
County bonds, quotations ofj 66, 148, 227, 807, 397, 573, 731, 829,
validity of, 813. [90,9, 990.
Cotton, imports, exports, values of, 1850- ’54, 678, 917.
statistics of, 62, 509, 577.
stocks of, on hand, 581.
trade of the U. S., 62, 579.
Counterfeit bank-plates, suggestions to prevent, 732.
bank bills, singular case of, 740.
— photography applied to, 738, 812.
coins, remarks on, 565.
Counterfeiting, on the prevention of) 356,
685, 705.
Damages on bills of exchange in each State, 629-558. December, financial events 0$ 508, 679,
684.
Decimal coinage, in France, 191.
in Great Britain, 151, 297.
in Russia, 191.
remarks, by W. Brown, 189, 297.
Delaware, interest and usury laws of
list of banks in, 649, 1001. [538.
Diamonds, discovery of, in Virginia, 44. Directors, loans to. What are they? 801.
District of Columbia, banks in, 651, 1002. Drygoods, importation of, at New- York,
300.
' East India Co. bonds, origin of 570.
| stocks, origin of, 570.
Economist, (London,) extracts from, 59, 63, 143, 230, 8S5. Edinburgh Review on Jealousy of Capital, 279; Poverty r.i. Wealth, 280; Capital and Savings, 281 ; Annual savings of the laboring classes, 281 ; Utility of savings banks, 282; Community of property, 282 ; Redress for the evils of property, 283; Waste of capital, 283; the working classes, 284 ; The future, 285 ; The future of the U. S., 485. Ellis «fc Morton vs. Ohio Life A. Trust Co., case of. 177
Eulogy on a body corporate, 921.
Europe, coinage of 63.
early rates of interest in, 251.
finances of, 150, 335, 448, 601, 729.
exports of cotton to, 678,
money market of, 500, 559, 669, 981 .
— private bankers in, 17.
gold and silver in, 479, 667.
recent failures in, 251.
standard of the coinage in, 299.
European governments. Finances of Austria, 601; France, 150, 602, 726; Great Britain; Russia, 232, 262, 605; Spain, 150, 448; Portugal, 735; Tur- key, 335, 6o6, 981. Exchange on London, rates of 149, 229,
306,
Exchequer bonds in London, new, 309,
311.
Failures of banks, 35, 400, 403.
of private bankers, 154, 160, 231
504, 505, 507, 661, 742. February, 1855, financial events in. 502, Finances of cities, 70, 257, 305. [G79.
Cincinnati, 70; Sacramento, 257 ; Phil- adelphia, 305.
Financial effect of tlio war, 312.
review" of the year 1854, 500, 669.
Finances of States. Arkansas, 488 ; Cali- fornia, 206.
of European States. Austria, 601 ;
France, 150; Portugal, 735; Russia, 232, 262; Spain, 150, 448; Turkey,
335.
Florida, interest and usury laws of, 546. Foreign bills of Exchange, tax on, 293,
39S, 486.
coins, value of} 376, 901.
loans in Great Britain, fluctuations
of, 685, 733.
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UNIVERSITY OF CHICA J
General Index.
vii
Foreign miscellaneous items, 150, 230, 309, 396, 484* 809, 979. Forms of notice of protest, 34.
France, bank of 143, 809, 885.
bill-brokers in, 202.
billetts de banquo, 200.
coinage of, G3, 604.
debt and credit in, 197.
early bankers in, 251.
failures in, 231.
exports of cotton to, 1860-*54, 579.
imprisonment for debt in, 203.
— new loan of! 1855, 726.
proposed reduction of tariff in, 312.
revenue and expenditure ofj 1840-
’50, 603.
standard of gold and silver in, 47 6.
statistics of suicide in, 805.
the vintage of, 810.
Frauds on bankers, 161, 169, 170, 177,
732, 896.
on N. T. <fc New-Haven B.R, Co.,
385, 414.
on railroad companies, suggestions
for the prevention of, 81, 315, 343. Free banking in Connecticut, 748.
in Mississippi, 441.
in New-Jersey, 723, 749, 970.
in Tennessee, 750.
in Vermont, 748.
^ law of Illinois, 449, 462, 750.
law of Indiana, 66, 751, 825.
law of Wisconsin, 753, 833, 985.
remarks on, 745.
Gardiner claim, for Mexican indemnity,
813.
Georgia, new banking law of 338.
banks and bankers in, 19, 133, 648,
1009.
interest and usury Iawb ofj 543.
Germany, standard of gold and silver in,
476.
Gibson, financial services of, 921.
Gold and silver coins, relative value o£
297.
consumption of, in the arts, 667.
in France, 63, 476, 604.
coinage of! 63, 374, 900, 927.
— the relative values of, (miehelsm,)
475.
the relative cost of production, 481.
Gold, process of conversion into coin, 361.
remarks on, by M. Chambral, 667.
robbery of, on shipboard, 815.
shipments of; to Europe, 319, 405,
564.
Gouge, W. M., report on Sub-Treasury,
625.
Grain trade of Great Britain, 1854, 674. Great Britain, coinage of; 63, 299, 475. decimal coinage in, 151, 189. decline of speculation in, 309. early bankers in, 251. a
early rates of interest in, 251. exports of cotton to, 579. financial retrospect of 1854, 669. fluctuations in consols o£ 495, 561,
617, 673.
foreign bills of exchange in, 293, 485. gold and silver consumed in, 666. gold exports of, 376, 378. grain trade of, 1854, 674. imports, consumption and prices of wheat, sugar, tea, coffee, tobacco, wine, malt, spirits, 1801-50, 514, 516, 735.
imports and consumption of cotton, silks, and woollens, 518. iron trade of; 256, 270, 471, 494. imperial parliaments of; 519. law of bills of exchange in, 162, 253. manufactures ofj 69, 675, 980. ministers of the crown 0$ 1801-50,
620.
marriages, births, deaths in, 1801-50,
513.
national debt of; 1860-54, 525, 784. manufacturing districts of; 675. new stamp duties of, 295, 398. new loans of, 604, 950. production of silver in, 565. public funds of, described, 667. railroads in, 310, 673. reciprocity treaty with, 370. repeal of the usury laws in, 152. 334, shipping trade of, 1854, 677. [807.
standard of the coinage in, 800-1789,
299, 475.
stock and money market of; 69, 69, textile manufactures of, 518. [232.
treaties of, with foreign powers, 1801-54, 622.
vital statistics of; 513.
Hamburgh, standard of gold and silver
in, 476.
Hemp, advanced prices of, 72.
Historical survey of the origin and changes in money, coins, values, etc., by J. Eadio, 772. Holland, standard of gold and silver in,
476, 784.
Illinois, banks and bankers in, 11, 19, 133, 651, 1008.
— bank commissioners’ report, 102.
— — free banking law of, 449, 462.
Digitized by
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Original from
UNIVERSITY OF CHICAGO
Vlll
General Index 4
Illinois, interest and usury laws of) 547. : India, rate of interest in, 324 b.c., 250. Indiana, banks and banking in, 8, 19, 96, 133, 154, 304, 343, 652, 659, 825, 1008.
Interest and usury law of) 548.
— remarks on free banking in, 96.
report on public debt of, 98, 758,
Insolvent banks, losses by, 746. [765.
Interest and usury laws, law of damages on bills in each State of the Union, 529-558.
fluctuations in, fifty years, 613.
on the prevailing rate of, 671.
Iowa, bankers in, 19.
finances of, 754.
interest and usury laws of) 549.
Iron, importations of) into the United States, 471, 494.
proposed reduction of duty on, 743.
supply of, 315, 471.
trade of, important, 256, 270.
trade of Great Britain, 256, 270,
471, 494.
value of) in bank architecture, 584.
Jacob W., estimate of gold and silver in the world, 667. January, 1854, financial events of, 501,
679.
Johnson, A. B., eulogy on a body cor- porate, 921.
remarks on New-York banking
system, 961.
Joint stock banks in London, 310.
admitted to clearing-house, 486.
increasing business of, 671.
July, 1854, financial events of, 503, 682. June, 1854, financial events of) 503, 681.
Kentucky, banks and banking in, 15, 19, 133, 651, 961, 1006.
interest and usury laws of) 550.
reduced circulation of) 664.
Labor advanced rates for wages, 676. Legal miscellany.
accommodation bills of exchange, 163. agency, liability of banks, 272, 344. bank-notes, redemption, 277. bank-notes, insolvency, 273. bank-notes, stolen, 162, 806, 888. bank checks, fraudulent alteration,
169, 170.
bank checks, forged, 176. bank checks, lost — want of caution, bank bills, forged, 170, 174. [168.
bank bills, genuine, signatures forged.
170.
Legal Miscellany, bank deposits, set off) 275, 346.
Bank tax in Maryland, 489.
Bills of exchange, altered, 171.
as collaterals, 165.
— defective notice, 345, 347.
forged and paid— non-recovery,
damages on, 172, 629. [171.
forged indorsement, 174.
lost, 168, 169.
— forged acceptance, 166.
failure of consideration, 164, 166,
fraudulent, 161. [174, 176.
stolen, 1G2, 163, 168, 172.
proof of acceptance, 166.
signature of firm, 166.
paid by mistake, 161.
Certificate of deposit — fraud, 173. Checks on bankers — fraud,
Certified checks — recovery, 489. Checks in blank, 162.
Circulation of small bills, 487.
— of foreign bank bills, 346. Consigned goods — insolvency, 167. County subscriptions — validity, 813. Competency of stockholders’ evidence,
345.
Liability of banks for stolen bills, 162,
800, 808.
Mortgage — insolvency, 346.
Notice of protest — defective, 345, 347. Notice of protest — usage, 175, 344, Ohio bank-tax law, 489. [345.
Promissory notes — agency, 348. Statute of limitations, 274. Sub-Treasury deposit at Columbus, Time contracts for stock, 985. [487.
Trust funds, 348.
Legal opinions, by C. P. Kirkland, W. W. Boardman, W. Curtis Noyes, Judge Bronson, Charles O’Conor, and Daniel Lord, on the N. Y. & New- Haven Railroad frauds, 385, 414. Liability of banks for stolen notes, 806,
888.
for fraudulent checks paid, 176,
— for forged bills, 170. [177.
Life insurance, accumulative policies of)
annual returns of, 970. [621.
cases in, 898, 978.
inquiry into, 91.
principles of) 619.
London and Westminster Bank, 670, 725. clearing-house, change in, 486.
— Economist, 59, 63, 230.
— custom-house, change in payment
to, 484.
fire companies, taxes paid by, 68.
— joint-stock banks, 310, 671, 726.
Digitized by Google
Original from
UNIVERSITY OF CHICAGO
General Index .
London, money market of; 59, 68, 232,
685.
new stock exchange of; 380, 614.
negotiation of foreign hinds in, 671,
685.
rate of exchange on, 79, 158, 238,
318, 404, 493, 576, 660, 742, 830, 917, 990.
— ■ Society of Arts, on bank-note paper,
685.
ITmes, extracts from, 312, 726.
Lost and stolen bills, the law of; 402, 806, 888, 162, 163, 168, 169, 172. Louisiana, banks and bankers in, 19,
648, 1004.
interest and usury laws of; 551,
912.
— public debt and finances of; 759.
Maine, banks and banking in, 646, 863,
993.
interest and usury laws of; 529.
March, 1854. financial events of, 502, 680. Maryland, banks and banking in, 20, 133, 646, 656, 1003. coal trade of, 470.
— interest and usury laws of; 539, 890.
repeal of the usury laws in, 488.
Massachusetts, banks and banking in, 1,
89, 133, 649, 743, 995.
— bank commissioners* report, 848.
interest and usury laws of, 532.
new banks established in, 849.
— country banks of, 862.
May, 1854, financial events in, 502, 680.
Mechanics ’ Bank, New- York, history of;
701.
Medals, (national,) of the United States,
933.
proj4t of a new law for, 936.
McCulloch, J. R., remarks on coinage,
30°.
Mercantile Bank, New-York, (engraving
of;) 586.
Merchants1 Exchange, New-York, (en- graving of,) 600. Metropolitan Bank, New-York, sketch
of, 594.
Mexico, production of gold and silver in,
478.
— — treaty with the United States, 503. Michelsen, Dr., historical survey of the relative values of gold and silver, and their influence upon prices, 475. Michigan, banks and banking in, 19, 133, 651, 660, 1006.
interest and usury laws of; 552.
public debt and finances of; 768.
* Southern Railroad, remarks on, 724.
Mineral resources of Cornwall and De- \ von, 733.
of Southern States, 72.
Mint, United States, 63, 146. 158, 220, 227, 374, 900, 927.
account of medals in, 933. L
annual report of; 900, 927.
coining department, described, 363.
deposits of gold and silver in, 374,
377, 936.
operations of branches of, 220, 930.
premium paid by, on silver, 158.
— Professor Wilson’s report on, 359. — — proj4t of a new law for, 936.
robbery of, 227.
Canton, 225.
Prance, 63, 476, 604.
Great Britain, 63, 299, 475.
Miscellaneous items, 70, 153, 232, 313, 486, 737, 811, 910, 1000.
foreign, 150, 230, 309, 396, 484,
733, 809, 983. Mississippi, banks and banking in, 20, 133, 651, 1007.
interest and usury laws of, 553.
Missouri, banks and banking in, 19, 133, 652, 721, 1007.
finances and debt of, 739, 919.
interest and usury laws of, 554,
816, 822.
Money, depreciation of continental, 782.
historical survey of changes in, 772.
market, notes on, 79, 158, 238, 318,
404, 493, 676, 660, 742, 830, 917,
of Great Britain, 59, 68, 232. [992.
of Europe, 639, 312, 500, 669.
how affected by railroad frauds,
343, 504.
Mutual Life Insurance Company, of New- York, plan of; 619.
Nassau Bank, N. Y., described, 588. New-Granada, gold and silver in, 478,
566.
New-Hampshire, banks and banking in,
646, 994.
interest and usury laws of; 631.
new banking laws of; 205.
New-Jersey, banks and banking in, 19, 133, 652, 658, 722, 1004.
interest and usury laws of, 636, 986.
operation of free banking in, 749.
New Ixmns of the years 1854-1855. Baltimore k 0. R.R. loan, 602,
British government loans, 504, 950. French government loan, 726. New-York k Erie R.R. loan, 502, 607. New-York k Harlem R.R. loan, 503, 920.
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New Loans of the years 1854-1855. New-York State six per cent loans, 319, 503, 505, 812. North-Carolina State loans, 502, 508, Panama R.R. loan, 501. [919.
Now- York & Erie Railroad loan, 502.
and Ilarlem R.R. loan, 503.
and New-Haven R.R. frauds, 385,
414, 504, 987.
bank department, report of, 712,
915.
bank statistics of, 237, 510, 573,
646, 719, 868, 1002.
bank charters expiring, 573, 719,
868.
banking system, 349, 510, 712, 801,
990.
banks closing business, 308, 714,
820.
bank capital in towns and cities,
646, 999.
clearing-house, statistics of, 413,
496-501.
Custom-House, (engraving,) 599.
Chamber of Commerce, report, 244,
326.
export of gold, 319, 564, 739.
free banks, legal powers of, 355.
free banking system, remarks on,
961.
fluctuations in cotton market of, 580.
industrial exhibition, report on, 359.
importations of dry goods, 301.
interest and usury laws of, 635,
244, 326, 873.
Life Insurance & Trust Co., 322.
life insurance companies, 619, 980,
State loan, bids for, 319, 503, 505,
812.
State Senate report on usury law,
873.
savings banks, 25, 863, 868.
trust companies of, 321.
New-York City, banks and brokers in, 23, 133, 1002.
bank dividends of, 157, 741.
bank statistics of; 160, 393, 496,
501, 653, 664, 743, 800. — — bank architecture of, 682.
bank shares in, 823, 916.
assay office in, 288.
savings banks in, 25, 864
stock market of, 66, 148, 159, 229,
307, 397, 573, 731, 829, 909, 99L. North- American Trust & Banking Co.,
349.
North-Carolina, banks and banking in, 650, 822, 1004.
interest and usury laws o£ 541.
North-Carolina, public loans and finances, 602, 508, 762, 817.
new railroads in, 817.
Notes on the money market, 79, 158, 238, 318, 404* 493, 576, 660, 742, S30, 917, 991. Notice of protest, the law' of, 163, 175, 271, 813, 345, 347.
form of, 34.
November, financial events of, 60S, 678,
083.
October, 1854, financial events of, 507,
683.
Ohio, banks and banking in, 3, 19, 133, 339, 648, 1007. bank tax law of, 489.
— and Mississippi R.R. Co., 118, 447. finances of, 316, 660.
interest and usury laws of 555.
Life & Trust Co. vs. Ellis k Morton,
177.
Life k Trust Co., case of the, 87.
new bank law of, 339.
hypothecated bonds of, 6C0.
small note law of, 341.
Ontario Bank, N. Y., history of, 921.
Panama Railroad Co., loam of, 501^ -Peabody k Co., Goo., house of, 734. Pennsylvania, banks and banking in, 19, ' 133, 651, 655, 720, 724, 821, 912, — — coal mines of; 818. [990, 1003.
finances and debt of, 720, 755.
interest and usury law's of, 637, 808.
historical society of, 931.
usury lawr decisions, 808.
Perfumery, annual expenditure in, 132. Perkins, B., (engraver,) notice of, 382. Peru, production of gold and silver in,
478.
^Persia, gold, silver, and coinage of, 475. ^Philadelphia, banks and bankers, 19, 133, 655, 974, 1003. H^ftotography applied to bank-notes, 738, Pittsburgh, city debt of, 815. [812.
Portugal, finances of, 735.
standard of gold and silver in, 476.
Poverty, redress for the evils of, (Ed.
Review,) 283.
— versus w'ealth, (Ed. Review,) 280, Prices, fluctuations in, 786, 790.
Prussia, coinage of, 63.
standard of gold and silver, 476.
Public debt of cities, 70, 130, 815.
— funds of Great Britain, origin of. annuities, 667, 669 ; consols, 567 ; East-India stock, 570; exchequer bonds, 671; new’ five per cents, 668 ; unfunded debt, ^7 05.
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Railboad, Boston k Worcester, 83.
bonds, quotations of; 149, 229, 307,
320, 396, 407, 482, 511, 663.
• companies, frauds on, 81, 315, 343,
385, 414.
iron, proposed repeal of duty on, 70.
- — shares, are they good investments?
12 L
county bonds, validity of; 843.
Railroads in Great Britain, 673.
— in South Australia, 735.
in the west, 118, 447, 606, 815. Reciprocity treaty with British Provinces, Repudiation in Arkansas, 488. [370.
Retired bank officers, provision for, 163. Rhode-Island, banks and banking in, 19, 133, 649, 973, 997.
interest and usury laws ofj 533.
legal decisions and statutes ofJ 533.
Rome, popes of; eager to suppress usury,
251.
rate of interest in early times, 250.
Rothscliild and Ricardo, notices of; 789.
proposal for new English loan, 953,
958.
Russia, financial and commercial statis- tics of, 232, 262, 605, 810. production of gold and silver, 476.
— quotations of public funds of; 673.
standard of gold and silver, 476.
trade of; affected by war, 232, 312.
Sacramento, public debt of, 257. Savings banks, compared with life insur- ance companies, 621.
— of Boston, 25. 158, 966.
— of Connecticut, 58.
— ofNew-York, 25, 866.
of Scotland, 152.
— - of the laboring classes, 279.
— — their utility, (Ed, Review,) 282. Schuyler, R, frauds bv, 385, 414, 504. Scotland, early rate of interest in, 252. September, financial events, 506, 683. Shoe k Leather Bank, N. Y., described, Shipping of the world, 980. [595.
Sight bills, the law of; 271, 529.
Silver, counterfeit coins of, 566.
premium paid on, 158.
production in U. S., ten years, 936.
— production in England, 665.
Small note law of Ohio, remarks on. 340. South- America, production of gold, 478. Southern States, mineral resources, 72. South-Carolina, banks and banking in,
651, 1005.
— interest and usury laws of; 542. South-Sea stock and annuities, origin, 667. Spain, coinage of; 63.
Spain, finances of; 150, 448, 780.
standard of gold and silver, 476.
Spanish dollars, value of, 374.
Stamp duties on bills of ex., 293, 736. State finances, 99, 316, 488.
loans, quotations of, (see stocks, )
St Lawrence River, new bridge of, 771 St. Louis, public debt of, 488.
Stimulants in Great Britain, 50 years, 5 16. Stock Exchange, London, 614.
Stock Exchange, technical terms oC 618. Stocks, fluctuations in, 66, 86, 148, 159, 228, 239, 306, 320, 396, 407, 511, „ 730, 802, 908, 976.
in Great Britain, 69.
Stockholders, (bank) liabilities of; 737. Stolen bank-bills, are banks liable ? 806, .
888.
Suffolk Bank, redemption by, 864. Sub-Treasury, expenses of the, 313, 811.
operations of the, 625.
Suicide, statistics of, 805.
Sunken treasure recovered, 374.
Taxation of Bank Capital, 87, 489.
of foreign bills in England, 293, 485.
in Great Britain, 50 years, 526.
Tennessee, banks in, 19, 133, 650, 1006.
interest and usury laws ofj 556.
Texas, bankers in, 19, 646, 1001.
interest and usury laws of; 557.
public debt of, 763, 911.
Tobacco, arrivals, exports, stocks of, 917.
— duty on, in G. Britain, fifty years,
517.
Tontines, Irish, proposed in 3855, 485. Trade marks, decision respecting, 71. Treasury United States, annual report on banks, 793.
— redemption of U. S. debt, 127, 313.
reports of; 128, 497, 793. *
Trust companies of New- York, 321. Turkey, revenue and expenditure, 335, public loans of; 673. [606, 609.
United States, Assay Office, 220, 288,
379, 291.
bank capital of; 646, 792, 993.
coal trade o£ 467.
coinage 0$ 63, 146, 220, 376, 380,
900, 916, 927.
cotton trade of; 62, 609, 677, 917.
bankers in, 19.
■ cashiers in, 133.
— finances of the, 497.
— foreign trade of the, 301.
— gold product of, 479, 936.
— imports, exports of, 601, 512.
iron trade of; 469, 471.
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Banking Decision*.
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United States mint, report of; 374, 900,
927.
new bounty land law of; 818.
— new postage law of, 816.
— national medals o? 933.
on tho future of; (Ed. Bev.,) 485.
— — public debt ofj 126, 313, 803, 738.
public lands of, 490.
— — tariff, proposal to reduce, 498. tonnage, debt, revenue, expendi- ture, population of; 1789-1854, 494, 512.
Sub-Treasury operations, 813, 625.
Trust Co. of N. Y., 323.
Usury laws, Amer. Quar. Bev. on, 249.
chronological sketch of; 250.
Boston board of trade on, 811.
in Maryland, 488, 890.
in each State, 529-550.
J. R. McCulloch on, 243l
Professor McYickar on, 248.
N. Y. Chamber of Commerce on,
244, 826.
of the old times, 93, 250.
on the repeal of; 152, 241, 442, 807,
882.
State Senate report on, 873.
Venice, rate of interest A.D. 1171, 251. Vermont, banks of; 133, 648, 998.
Vermont, interest and usury laws of; 531. Virginia, banks of, 19, 133, 640, 1005.
discovery of diamonds in, 44.
— — interest and usury laws of; 640.
public debt of; 7 69.
Vital statistics of Great Britain, 60 years,
513.
Wall Street, New- York, (views of) 598,
699, 600.
War, effects of, on trade, 232, 412. Western railroads, remarks on, 118, 447.
drain of capital for, 506.
— quotations of stocks ofj 662. Wilson, (James,) remarks on life-insur- ance, 91.
(Professor,) report on the U. S.
Mint, 359.
Wisconsin, banks in, 19, 646, 799, 1008.
— interest and usury laws of, 558.
— — free banking law of, 833, 985.
— public debt and finances of, 766. Working classes, instruction of the, (Ed.
Bev .,) 284.
World, shipping of the whole, 982.
coinage of the, 63.
Year 1854, financial events of, 500, 681. — — stock fluctuations of, 511.
Zinc, exhibition of; 231.
BANKING DECISIONS
CONTAINED IN THE CURRENT VOLUME.
Adams vs. Otterback, 175.
*Arbouin vs. Anderson, 163.
♦Backhouse vs. Harrison, 169.
♦Bank of England, Spielmann vs., 806,
888.
Bank of Commerce vs. Union Bank N.Y.,
171.
Bank of St Albans vs. Farmers k Mer- chants', 170.
Bank of St. Mary’s, St John, Powers k
Co. vs., 273.
Bank pf Rochester, Talbot vsv 173.
Bank of Utica, Cahoon vs., 346.
Bank of U. S., Levy vs., 170.
vs. Bank State of Georgia, 170.
♦Bass vs. Clive, 166.
♦Beckwith vs. Corrall, 163.
♦Bramah vs. Roberts, 166.
Butchers k Drovers’ Bank vs. Farmers k Mechanics’, 489. ♦Bruce vs. Bruce, 167.
Canal Bank vs. Bank of Albany, 174. City Bank Columbus, U. S. vs., 487.
N. O. vs. Girard Bank, 172.
Cochituate Bank, State vs., 35, 403. Commercial Bank, Pa., State vs., 814. Cone vs. Baldwin, 174.
Cook vs. Litchfield, 347.
♦ vs. Masterman, 168.
♦Crook vs. Jadis, 169.
♦ Those with a * are English cases.
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Cruger vs. Jones, 848.
Dewitt vs. Walton, 348.
♦Down vs. Hailing, 168.
Little vs. Draper, 987.
Easton vs. Ellis k Morton, 272.
Ellis k Morton vs. Ohio L. k T. Co., 177.
♦Foster vs. Pearson, 166.
Franklin Bank, 0., vs. Treasurer, 489.
♦Gill vs. Cubitt, 168.
Gloucester Bank vs. Salem Bank, 187. ♦Goodman vs. Harvey, 164.
♦Gurney vs. Womeraley, 188.
♦Hall vs. Fuller, 169.
Herf vs. Shultz, 173.
♦Jenys vs. Fowler, 166.
♦Jones vs. Ryde, 167.
Kobbz vs. E. W. Clark k Co., 345.
Lacxt vs. Cones k Co., 276.
♦Lawson vs. Weston, 169.
♦Lickbarrow vs. Mason, 167.
Marsh vs. Small, 172.
Merchants' Bank, N. Y., vs. Spaulding,
Goddard vs., 171. [346.
Montgomery County Bank vs. Albany City Bank, 344.
vs. Marsh, 345.
Morrison [vs. BaOey[& Burgess, 271.
North-Aherican Trust k B. Co., Tracy
vs., 349.
North River Bank, N.Y., Weisser vs., 176.
Powell vs. Jones, 173.
♦Price vs. Neal, 166.
Rockwood vs. Brown, 274.
♦Slater vs. West, 163.
♦Smith vs. Mercer, 166.
♦ vs. Chester, 167.
♦Snow vs. Peacock, 182.
Touslet vs. Van Duser, 277.
Union Bane, N. Y, Beckwith vs., 346. ♦Uther vs. Rich,* 164.
Wheeler vs. Gould, 176.
♦Wilkinson vs. Lutwidge, 166.
♦ vs. Johnson, 166.
♦Young vs. Grote, 162.
Law Decisions in the Courts of Massachusetts, 170, 174, 175, 187, 274. New-York, 171, 178, 174, 176, 277, 344, 349, 489. Ohio, 173, 177, 271, 272, 276, 486, 489. Alabama, 273.
Maryland, 489.
Pennsylvania, 170.
Vermont, 170.
Louisiana, 172.
Supreme Court U. S., 170, 175.
Great Britain, 162.
LIS'! OF ENGRAVINGS
IN THE PRESENT VOLUME OP THE BANKERS’ MAGAZINE, July, 1854 — June, 1855.
1 Bake of tee Befubuo, Nkw-Yoee, 60S. IL Bake or tea Commokwkalu, “ 692.
HL Bow cat Satxkoo Bake, “ 597.
IT. Broadway Bake, m 687.
T. Custom House, Wall Stm New- Yoke, 699. VL Mxeoaktilk Bake, tt 586.
TIL Matbofoutak Bake, “ 694.
TIIL IX. Wall Stbsey, Nkw-Yoee, 698, 600.
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BANKERS’ MAGAZINE,
AND
Statistical Kcgister.
Vou IV. Nkw Series. JULY, 1854. No. I.
BANKING IN THE UNITED STATES.
BY H. F. BAKER, OF CINCINNATI.
In a former No. of this Magazine we made copious extracts from a pamphlet by Mr. II. F. Baker, of Cincinnati, in reforcnco to the progress of Banking in the several States. Mr. B. has recently issued the second part of his essay or history of this subject from which wo propose to make liberal extracts. Those who wish to pursue the inquiry still further, and to loam the viows generally of Mr. Baker on this subject, can readily obtain the two pamphlets from the bookseller.
Banking in Massachusetts, Ohio, Indiana, Illinois, and Kentucky.
L Massachusetts.
The early banks established in Massachusetts and New-York were founded upon the sound principles of the mother country, and for nearly fifty years no innovations were introduced to impair the public confidence in their security ; although some modifications in their arrangement were adopted, corresponding with the progressive liberality of the age, and the expansive spirit which foreign commerce naturally engenders and promotes. These banks were few in number, limited in the amounts of their capitals, and managed by wealthy and discreet stockholders, who were contented with the legal rate of interest for the use of their money. Their capitals were not borrowed; but were the contributions of the
1
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Banking in the United States.
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surplus funds of themselves and of their associates, and which were _4oaned on paper, known to represent the value of solid property, or staple
\V merchandise, required for consumption or export. Every transaction ; W iV itsJis^Lict'limit as well as character, and the entire capitals <>f these * oabks wereVonVerted into cash five or six times annually. By this system tlio Uncounted paper of the banks passed through a constant mutation, and was consequently subject to frequent scrutiny and realiza- tion. As the wealth of the country increased, the banks were extended in numbers, localities, and capitals; sometimes commensurate with, but more frequently in advance of, the exigencies of the community.
While the banks of the Eastern States were of slow growth, and were founded on the surplus means which commerce and the mechanic arts had accumulated, and aided by the frugality and thrift of the people, in the Western States it appears to have been the unfortunate and ill- judged policy to establish banks on paper security, without exacting the indispensable requisition of bona-jide cash capital paid up in coin. The consequence was, that after a brief existence, most of them failed ; and the dreary catalogue of these defunct institutions furnishes the most complete illustration of the folly of establishing banks without a specie capital. The great principle, that bank-note paper must be convertible into specie, or it is nearly worthless, was wholly lost sight of; and although the corporators were possessed of broad lands, fields of corn and grain, cattle, swine and live stock of every description, yet all these were insufficient for banking purposes so long as gold and silver were want- ing. Their live stock, and crops of corn and grain, were marketable articles ; but they were remote from the points where they could be converted into money, since the modern facilities of railroads were then only in the dim perspective of the hope of the most sanguine. In the earlier period of the history of the Western States, individuals had no claims to a financial credit which a business man in the Eastern cities would regard as available. Possessed of fertile lands, which a distant period would render valuable, under judicious cultivation, yet without avenues to these remote treasures, they were not available as funds within six or twelve months to the parties east of the Alleghanies, with whom they wished to make contracts. True as this was in relation to individuals, in just the same degree, was it true in regard to States. Nothing was permanently established ; the population had neither become fixed in locality nor intention ; it had established no permanent credit by even a few years of punctual payments of their obligations, nor had the States any settled policy of legislation by which their future course could be determined. Their only income was derived from taxa- tion upon the lands which were within their limits, and the collection of even this scanty revenue was deferred from year to year, so that no certain reliance could be placed upon its immediate receipt And yet upon such uncertain foundation, some of these new States issued bonds for furnishing bank capital, and borrowed money on disadvantageous terms to furnish facilities for speculations in wild lands.
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Ohio ,
3
II. Ohio.
The history of banking in this prosperous State furnishes an apt illus* tration of our preceding remark, that in the new States there wa3 no settled policy of legislation by which their future course could be deter- mined. Shortly after the adoption of the Constitution of Ohio, and its admission as a sovereign State into the Union, a bank was chartered under the name of the Miami Exporting Company, the Bill for which was passed in April, 1803. Banking operations were a secondary object with the company, “ its main purpose being to facilitate trade, then suffering under great depression,” and five years elapsed before the first regular oank was established by the charter of the Bank of Marietta in 1808. During the same session, the proposition of founding a State Bank was considered and reported upon, and the final result was the establishment of the Bank of Chillicothe. From that period charters were granted to similar institutions, until the year 1816, when the great banking law was passed, incorporating twelve new banks, extending the charters of the old ones, and making the State a partner in the profits and capital of the institutions thus created and renewed ; without any advance, on its part, of any funds for this purpose. The new law required, that each bank was to set apart one share in twenty-five for the State, without payment therefor, and each bank whose charter was renewed was to create for the State stock in the same proportion. Each bank, new and old, was required annually to set apart, out of its profits, a sum, which, at the expiration of the charter, would amount to one twenty-fifth of the whole stock, which was to belong to the State : and the dividends coming to the State were to be invested, and reinvested, until another twenty-fifth of the stock was State property : this last pro- vision was subject to change by future legislators. The interest of the State was continued in her banks until 1825, when the law was amended, to commute her stock into a tax of two per cent upon all dividends made up to that time, and four per cent upon all made thereafter.
The system of taxing banks commenced in Ohio, in the legislature of 1815, by a levy of four per cent upon their dividends, but the law was virtually nullified the next year, by exempting all banks from its opera- tion which accepted the conditions of the act of 1816.
The establishment of the second Bank of the United States in 1816, and the location of one of its branches in Cincinnati, in January, 1817. and another at Chillicothe, in October, occasioned the well-known con- troversy between the State of Ohio and the Bank of the United States, in regard to the arbitrary right of taxation ; and, although the State was signally defeated in her attempt to collect an unjust and illegal tax, yet after an interval of thirty years she is again waging another war of extermination against banks of her own creation, and which are the sinews of the prosperity of her own citizens. The imposition of her modern tax is more insidious in its form of expression, but none the less oppressive in its practical operation. With the branches of the United States Bank the State declared open war, and passed a law imposing a
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4 Banking in the United States. {July,
tax of fifty thousand dollars on each of the two branches at Cincinnati and Chillicothe, if they continued to transact business after the 15th September, 1819, and authorized the State Auditor to issue his warrant to collect the tax. As the narrative of this controversy may be new ta some of those who are now agitating a similar question in the legislative halls at Columbus, we briefly sketch it
The law imposing this tax of 8100,000 was passed with great delibera- tion, and by a full vote. But the branches of the United States Bank did not suspend their operations, and the auditor prepared to collect the money. To prevent this, the bank filed a Bill in Chancery in the United States Circuit Court, asking for an injunction upon the Auditor of State to restrain his proceeding in the matter of collection. The auditor, by legal advice, refused to appear on the day named in the writ, and of course the court allowed the injunction, but required bonds of the bank to the extent of $100,000, which were given. As the day for collection approached, the bank sent an agent to Columbus, who served upon the auditor a copy of the petition for injunction, and a subpoena to appear before the court at a subsequent date ; but he had no copy of the writ of injunction which had been allowed. This petition and subpoena the auditor inclosed to the Secretary of State, who was then at Chillicothe, together with the warrant for levying the tax, requesting the secretary to take legal advice ; and if the papers did not amount to an injunction, to have the warrant executed ; but if they did, to return it. The counsel advised that the papers did not amount to an injunction, and therefore the State writ was given to the sheriff, with instructions to enter the banking-house and demand payment of the tax, and upon refusal thereof, to enter the vault and levy the amount required. The officer was directed to use no violence, but if he was opposed by force, to go at once before a proper magistrate, and depose to the fact. Accordingly the officer, taking with him competent assistants, went to the banking-house, and first securing access to the vaults, demanded the tax ; payment was of course refused, and notice given of the injunction which had been granted : but the officer, disregarding this notice, entered the vault of the bank, and seized in gold and silver and bank-notes, ninety-eight thou- sand dollars, which he paid over to the Treasurer of State. The officers concerned in this transaction were very properly arrested and imprisoned by the United States Circuit Court, for a contempt of the injunction granted by them, and the money taken was restored to the bank. The decision of the Circuit Court finally came before the Supreme Court at Washington in 1824, and was there affirmed; whereupon the State of Ohio submitted. During the pendency of this suit, however, the State Legislature passed four resolutions ; in consequence of which, the bank was for a time deprived of the aid of the State laws fn the collection of its debts and the usual protection of its legal rights. An effort was also made to effect a change in the Federal Constitution with reference to taking this particular case out of the jurisdiction of the United States tribunals, but fortunately the State of Ohio failed to accomplish its object in this instance.
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Ohio.
5
After 1825, no change was made in the banking laws of the State, until 1831, when the bank tax was increased from four to five per cent Subsequently two important acts were passed by the legislature ; one in 1839, appointing bank commissioners to examine the various institu- tions, and report upon their condition. This inquisition was resisted by some of the banks, and much controversy ensued, both in and out of the General Assembly. The other measure was the adoption, in 1845, of a new system of banking, establishing a State Bank, with branches, on the safety-fund system, (the State, however, owning no part thereof,) and an independent bank system, requiring State stocks to be deposited with the State Treasurer for the full amount of bank issues.
In March, 1851, the General Assembly passed an act authorizing free banking, limiting the amounts to a minimum of $25,000, and a maxi- mum of $500,000, and requiring the amount of notes issued to be secured for the full sum, by the deposit of the stock of the United States, or the State of Ohio, as in Ncw-York and other free banking States; but in June, 1851, the new Constitution of Ohio was submitted to the people, and its adoption effectually crushed any further bank associations by the following article :
“No act of the General Assembly, authorizing associations with bank- ing powers, shall take effect until it shall be submitted to the people at the general election next succeeding the passage thereof, and be approved by a majority of all the electors voting at such election.”
In 1852, the General Assembly passed the celebrated tax law, and thus gave the finishing stroke to fifty years of the most vascillating measures on the subject, which can be found on the statute-books of any State in the Union. Commencing in 1815 to levy an equitable tax upon banking institutions, the legislative appetite grew more voracious with the taste of blood; and after the prey of the United States Bank was wrested from the fancied grasp of the General Assembly in 1824, they increased the bank tax in 1831, and finally satiated their relentless rapacity in 1852. Now, we suppose that there are three propositions which every business man will admit :
First, that bank capital is a great desideratum in a newly-settled country, whether town or State.
Secondly, that every encouragement should be given by legislative enactments for its introduction and protection ; and,
Thirdly, that the older States had ascertained by a long experience, to what extent this capital could be legitimately and safely taxed.
Admitting these premises, will any one contend that the State of Ohio has acted wisely in her late measures of legislation ? Has not the parti- san spirit of these measures been adverse to the introduction of foreign capital ? and while at one period the State fostered a banking capital of more than ten millions of dollars, is she not now striving to extinguish it altogether, by the most oppressive exactions, at a moment when her vital interests require banking facilities to the extent of at least twenty-five millions? We need but to cast a single glance at the statistical facts, which the railroad record so clearly presents to us in its columns, to per- ceive tiie real wants of Ohio. Here is a State possessing a territory and
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property valued at eight hundred millions of dollars, with the means of feeding double the number of her own population, and the capacity by increased cultivation, with improved meaus, to furnish ample support for five millions more.
Contrast the policy of Massachusetts and Ohio. The former imposes a tax of one per cent oil her banking capital, and the amount invested in it steadily advances with, the increasing prosperity of the State. But < >hio pursues an opposite course, and levies an exorbitant and unconstitu- tional tax, and cripples the trade of her own citizens, but enables the residents of other States to protit by her mischievous measures. Ohio takes a retrograde step in the financial movements of the present day, and allows the States of Kentucky, Indiana, Illinois, Virginia, and Tennessee, and finally the New-England States, to supply her with currency, who derive a large income therefrom.
How an enterprising, energetic and intelligent community, like the agriculturists, traders, and bankers of Ohio, can submit to such ini<juitou> laws as those imposed by the crude, misguided, and willful legislators, who have of late years composed the majority at Columbus, and represent the collective wisdom of the people, surpasses our comprehension. The people of the State have recently adopted a constitution which expressly stipulates that no one interest shall bear any higher rate of taxation than another, but that the burden shall fall equally on all descriptions of property in the State. If, then, a law has been passed which will allow’, even by a forced construction, the levy of a tax on any one interest, double or treble that upon any other property in this State, is not the Constitution plainly violated, and the fell purpose of the malicious origi* ginators of such a law disclosed, when they find it necessary to resort to ‘•crowbars,” to enforce it \ Even in the warfare against the United States bank, previously narrated, when the State assumed that her rights had been invaded, and levied a tax of *100,000 on the two branches of Cincinnati and Chillicothe, she directed her officer to use no violence in the collection of the tax; “but if lie was opposed by force, to go before a magistrate, and depose to the fact.” But under the present tax law, the officer is empowered to use “crowbars,” to break open any lock, vault, or chest, and to seize upon any amount which he can find, for the full satisfaction of his demand ; and this outrage is authorized to be perpe- trated upon the property of her own citizens, transacting business under her own laws, and in direct opposition to the Constitution of the United States, as well as that of the State of Ohio. Fortunately, however, for the people there is now, as there w*as in 1824, a restraining power in the Supreme Court of the United States, which can overrule the decisions of partisan judges, and sustain the rights of the oppressed.
The difficulties attending the present system of banking in Ohio arise fiorn various causes, but chiefly from the great want of bank capital. For so large, populous, and productive a State the amount is utterly insignificant, and considering the large sums necessary to convert the annual crops into money, we may well be surprised, not that it is done with difficulty but that it can be done at all. But what improvident legislation has discouraged, individual sagacity and cupidity have par
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tially supplied. Hence the large business of the commercial metropolis of Ohio is transacted by means of the facilities which private bankers afford whose rates of accommodation vary from ten to twenty per cent per annum while the incorporated banks are limited to six per cent. As a class the private banking establishments are conducted by men of high integrity and character ; but when a lucrative business can be legally ' transacted by individuals, which cannot be done in a corporate capacity, it is not a matter of surprise that the capital should flow into its most productive channel and partially escape the restrictions of fickle and arbitrary legislation.
In the next place there is no uniform system of banking in the State. There are in Ohio at the present period four distinct classes of banks, namely, the old banks incorporated prior to 1845, having a capital of about $1,550,000 ; the branches of the State Bank created in 1845, and having a capital of -$4,100,000 ; the Independent Banks under the same act, having a capital of $720,000; and the Free Banks authorized by the act of 1851, and having a capital of about $095,000; all under different rules and regulations and having no concert of action with each other nor unity of interests. They are all amenable, it is true, to the authorities at Columbus so far as to be required to furnish a quarterly report of their condition, and are subject to an annual examination ; but of what value are these? One of the first-named class with a capital of $200,000, and a circulation according to the August report of $377,682, against which it held $71,000 in specie, and $350,000 in the hands of its principal proprietor in New-York (now bankrupt) has recently failed. “This bank (the Bank of Massilloh) was chartered in 1835, with twenty years to run, simultaneously with the Wooster, Clinton, and Circleville banks. It belonged neither to the State banks, the independents, nor the free banks, but was a sort of freebooter, with license to sink or swim as it found most advantageous.” The Cleveland and Pittsburgh Railroad borrowed $200,000 of its notes of circulation, and the Chicago and Mis- sissippi Railroad $200,000 more, and these sums were probably scatt^jed broad-cast among the Western farmers and traders, who had a large proportion of it in their possession. How far the principal proprietor in New-York may be able to refund the $350,000 in his possession will determine the ultimate value of these notes of circulation. During the hist summer another class of these banks has disturbed the financial state of affairs by the stolen and counterfeited notes of five of their number, and consequently the hills of thirteen free banks, amounting to a million of dollars, were rejected by a suspecting community, and were conse- quently withdrawn from circulation, thereby encouraging the banks of Tennessee to make an effort to supply the vacuum. These Tennessee bills had for a long time been at a discount of one per cent, but an arrangement was temporarily made to raise them to a par value, and when a sufficient amount was intermixed with our eurrcncy the arrange- ment ceased, and the community were compelled to sustain the loss.
Every one cognizant of the currency of Cincinnati is familiar with the fact that a large proportion of it consists of the bank-note* of Kentucky, Indiana, Illinois, and Virginia, and that in the winter season large
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amounts of Eastern bills enter into the circulation. Other States supply our currency, and reap the profit. They contract and expand the circu- lation to suit their own interests, not ours. This is the natural result of Ohio legislation in relation to banks. * * *
By the quarterly returns of November last, the whole amount of the , circulation of the banks in Ohio was $11,000,000, of which the five banks in Cincinnati had only $353,000, and one third of even this paltry amount is now withdrawn by the closing of the Lafayette Bank. The other cities and towns in the State, Cleveland, Columbus, Sandusky, etc., require a large proportion of their issues for their own use, and there is left for the commercial metropolis a totally inadequate supply of currency to meet the engagements of a single day’s active business. Why then should the trading community submit to these useless restrictions in rela- tion to the currency which this law of 1848 imposes? Necessity, how- ever, fortunately compels them to treat it with perfect derision.
In Ncw-England, the bank-notes of six States, whose aggregate of cir- culation exceeds forty millions of dollars, are convertible into specie, at the Suffolk Bank in Boston, at par. This system w as established there in 1824, and has consequently been in operation there nearly thirty years, and the practical results are, that the currency of the New-England States commands the specie even in the City of New-York, at the trifling discount of one-quarter per cent.*
IIL Indiana.
This State was admitted into the Union in 1816, but notwithstanding its system of internal improvements, which was commenced in 1832, with the construction of the Wabash and Erie Canal, 375 miles in length in Indiana, there were few incorporated banks until 1834, when the “ State Bank of Indiana” was established, with a capital of $1, COO, 000, divided among ten branches.
The State Bank . — This charter allotted to each branch $100,000, and provided that all should be mutually liable for the debts of each other, but should divide their own profits. Each share was subject to a tax of 12^ cents per share, payable out of the dividends, for educational pur- poses, in lieu of all other taxes: but in case of an ad valorem system of taxation in the State, then the stock was liable, the same as other capital, not exceeding, however, one per cent altogether. No note under $5 was allowed to be issued, and the Legislature reserved the right to restrict it to $10 within ten years. The capital of any branch might be increased by and with the assent and concurrence of the Legislature and the Direct- ors of the State Bank. The directors of the parent bank were to have charge of the plates and bank paper of the branches, and were empowered to deliver to them an amount of such paper not exceeding twice the amount of the stock subscribed for. One half of the capital was sub- scribed for and owned by the State, for which they authorized bonds to be issued to the amount of $1,300,000, at five per cent, to realize the
* Now reduced to one tenth of one i>cr cent— [Ed. B. M.]
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funds to pay for their half of the stock ; the remaining half, was to be subscribed for and owned by individuals and corporations. The debts of each branch were limited to double the amount of capital paid in, exclusive of deposits. \
In January, 1830, an amendment was passed by the Legislature, and the discounts were allowed to be extended to twice and a half the amount of the capital paid in ; and the branches were allowed to increase their capitals to $250,000 each, but none of them have availed themselves of this privilege, and there are now but three which have over $200,000.
Notes under Five Dollars . — In February, 1841, the branches were authorized to issue notes of a less denomination than $5, not exceeding in the aggregate one million of dollars, on the payment of one per cent for the privilege; and of its circulation of $3,680,000, about one sixth part is in small notes, liberally scattered throughout the State of Ohio.
After the resumption of specie payments by the banks, in May, 1838, out of the 959 banks then in existence, 343 again wholly suspended in October, 1839, and 62 partially so, of which latter number were those of the State Bank of Indiana, and which did not again rfeume the payment of specie until October, 1841, when the branches held $1,127,518 to meet a circulation of $2,960,414 and deposits amounting to $317,890 onlv. Since that period, the bank has maihtained its credit inviolate, ana under able management, has successfully effected a regular reduction of its suspended debt, which had rapidly accumulated during the infla- tion of business in former years, without ruinous sacrifices to the debtors of the bank. In looking over its regular returns for the last ten years, its present high credit, and the names of the efficient officers who have charge of its branches, it is a matter of deep regret that so popular and valuable an institution is so soon Ip be closed by the expiration of its charter, and that the new constitution precludes its renewal on its present basis.
But although the experiment has resulted so favorably in Indiana, it wa* nevertheless a hazardous one to undertake ; and had it not been for the general suspension of the banks in 1837, and the continuance of the paper system, south and west of Philadelphia, until 1842, the result might have been widely different. In May, 1837, the capital of the bank was but $1,846,921, but its loans and discounts amounted to $4,208,956. Its specie was but $1,190,187 to meet $2,516,790 of circulation and $1,80$, 061 of deposits. If, therefore, it had been then pressed for the payment of its notes, the bank would have been compelled to suspend payment, or gone into liquidation. Of course it would have made many bankrupt, and reduced others from affluence to poverty. As it was, the efforts to avert the general calamity only protracted the struggle, and the catastrophe was the more fatal to individuals. If specie-payments had been persisted in by all the banks, prices would have fallen at once to their specie value, instead of struggling on from bad to worse, for three years, in the vain hope of relief, and finally sinking under the accumu- lated pressure. Then, the crisis would have been over at once, and trade, having reached its lowest point, would speedily have been reorganized on a new basis. With the elastic spirit of our countrymen, new fortunes
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would li^ve been amassed upon the ruins of those which had fallen, and the vain efforts to sustain a tottering fabric would have been more wisely directed to a new structure, upon a more enduring foundation. If we recur to the origin of this bank, we see at once that it was founded upon false principles, and that one half of its capital was fictitious, for such we must term the State bonds for $1,300,000, to provide for its $800,000 of stock, and upon which the bank was authorized to issue $1,600,000 of its notes.
Besides, the act itself was unconstitutional. In the first Article of the Constitution of the United States, there is an explicit prohibition of the authority of any single State to “ emit bills of credit,” and the great ex- pounder of that instrument, in his speech on the renewal of the charter of the United States Bank, in the Senate, on the 25th May, 1832, made use of these words : “ Congress can alone coin money ; Congress can alone fix the value of foreign coins. No State can coin money ; no State (nor even Congress itself) can make any thing a tender, but gold and silver. Aro Slate can emit bills of credit . But, notwithstanding this apparent purpose in the Constitution, tho truth is, that the currency of the country is now to a very great extent, practically and effectually, under the control of the several State governments : if it be not more correct to say, that it is under tho control of the banking institutions created by the States; for the States seem first to have taken possession of the power, aud then to have delegated it.” And again, on the 28th May, in the same place, he said : “ it is further to be observed, that the States cannot issue bills of credit; not that they cannot make them a legal tender, but that they can not issue them at all. Is not this a clear indication of the intent of the Constitution, to restrain the States, as well from establishing a paper circulation, as from interfering with the metallic circulation ? Banks have been grafted by States with no capital what- ever, their notes being put into circulation simply on the credit of the State, or the State law. What are the issues of such banks but bills of credit issued by the State? I confess, Mr. President, tho more I reflect on this subject, the more clearly does my mind approach the conclusion, that the creation of State banks, for the purpose, and with the power, of circulat- ing paper, is not consistent with the grants and prohibitions of the Con- stitution.”
General Banking Law of Indiana. — On the 1st November, 1851, tho new Constitution of Indiana went into operation, and on the 2Sth May succeeding, a General Banking Law was passed, in conformity thereto. This Constitution prohibits the incorporation of any monied institution, for the purpose of issuing bills of credit, or bills payable to order, or bearer, except under a general banking law, and details the privileges and restrictions which are to bo embodied in the law. Accordingly, “ the act to authorize and regulate the business of banking” provides, that whenever any person, or association, shall deposit in the hands of the Auditor, in trust, any of the stocks of the United States, or of any of the individual States, which pay interest semi-annually, and an amount which produces six per cent per annum, or Indiana 5 per cent stock, or double the amount of the 2 per cent stock, (the Indiana State stocks chargeable
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upon the Canal being excluded,) such person, or association, may receive from the Auditor an equal amount in bank-notes, to be used for banking purposes, of the usual denominations, of which one fourth part may be under five dollars. The parties then possess the usual free banking powers, limited to twenty years’ duration of existence; required to pay specie for their bills, on presentation; liable in their individual capacity for an equal amount of their stock, in payment of all debts incurred ; the capital to be at least $50,000, which may, however, be enlarged inde- finitely; but “no bank shall at any time, for the space of twenty days, have on hand, at their place of business, less than twelve and a half per cent in specie, of the bills or notes in circulation, as money.” No direct- ors are required for the management of these banks, nor are the stock- holders required to be citizens of the State.
It will be perceived that the general banking lAv may be regarded as an excellent financial measure on the part of the State to enhance the value of her 5 per cent stocks, since the legislature have made them, for banking purposes, nearly equivalent to the stocks of the United States, or those of the individual States which pay interest semi-annually; although the market value of the latter is from ten to fifteen per cent higher than those of Indiana ; and, consequently, Indiana bonds will be the only securities deposited with the Auditor, as the basis of the bank- ing capital, until the entire amount is exhausted for this purpose. And this period will not be a remote one, unless an immediate change is made in the banking laws of Ohio. * * *
IV. Illinois.
We pass now to the State of Illinois, where bank legislation has been more remarkable than in any other State in the Union, and where the modern system of free banking has been finally adopted as the last experiment. JThe first bank established in the Territory of Illinois was at Shawneetown, in 1813, the whole territory then containing but 1500 inhabitants: this bank was regularly incorporated in 1816, as the Bank of Illinois, with a capital of $300,000 for the term of twenty years, and one third of this amount was reserved for the subscription of the State, when it should be admitted into the Union. It commenced business in 1817, and, aided by the government deposits, it acquired an extensive credit, paying specie for its bills until August, 1821, after the Kentucky banks had suspended specie payments: but was at length compelled to stop, and remained dormant until February, 1835, when, by an act of the legislature, its charter was extended twenty years from 1st January, 1837. On the 4th March following, its capital stock was increased to $1,400,000, to Jbe subscribed for by the State, and State bonds to provide for the funds were issued, and the faith of the State pledged for their payment, with interest, in I860.
The constitution adopted in 1818, declared that no new bank, or monied institution, should be permitted in Illinois, except a State Bank, and its branches, and those then existing. On the 22d March, 1819, a bank was incorporated by the name of the State Bank of Illinois, for the
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term of twenty-five years, with a capital of $4,000,000, one half to be subscribed by individuals, and the other half by the State, whenever the legislature should deem it proper. This charter was repealed in 1821, as no effort was made to carry it into practical operation ; and another bank was chartered, in lieu of it, for ten years, with a capital of $500,000, to be owned by the State, and managed and superintended by the legis- lature. This act was an anomaly in legislation, and assumed the wild theory that paper money was a panacea for financial distress. The capital consisted of its bank plates only, and $300,000 were directed to be issued and loaned on notes for one year, with mortgages as securities, in sums not exceeding $1,000 to each individual. The notes issued by the bank bore interest at two per cent per annum, and the borrowers paid six per cent on their discounted notes, and these notes were to be renewed on the parent of ten per cent of the principal annually, until the expiration of the bank charter, when the balance was to be paid. These bank-notes were receivable in the payment of taxes, and for all debts due to the State, counties, or the bank. It had hardly commenced operations before its bills fell to 75 per cent, shortly after to 50 per cent, and at length to 25 cents on the dollar, when they ceased to circulate at all. “At one of the branches, of which there were four, two dollars in specie were received, which were preserved as curiosities,” and in the other three, none of any consequence was received. The country was thus flooded with irredeemable currency ; a destruction of public and private credit ensued ; disgraceful legislation, degradation of morals, and a succession of calamities followed. The authors of the mischief escaped unharmed, but the innocent and unsuspecting were plundered without mercy. The members of the legislature received their pay in the depre- ciated currency, at the market value, and on one occasion received $9 per day for their services, which the State was compelled to redeem at par, and a loan of $100,000, which was received in bank-notes at par, was paid out by the State at 50 cents on the dollar.
The State Bank of Illinois. — In February, 1835, a new State Bank was incorporated, with a capital of $1,500,000, with the liberty to in- crease it to $2,500,000, the State to become a partner and to hold $100,000 of the stock. In March, 1837, an addition of $2,000,000 was made to its stock, to be subscribed for by the State. Its charter was to continue until February, 18G0, and a tax was levied of half per cent per annum : it had fifty days allowed for the redemption of its bills, and as a consideration therefor, the bank was required to redeem the loan of $100,000 above referred to. To provide for the funds for this bank capital, commissioners were authorized to issue $2,000,000 in State bonds. The career of this bank was brief. Its loans were soon ascertained to have been made to irresponsible and insolvent parties, and the bank was shortly compelled to suspend payment, and finally, on the 24th January 1843, it went into liquidation, as will be seen. In 1841, an act was passed to preserve the charter of the Bank of Illinois at Shawneetown, which had been forfeited, provided it would pay $200,000 of the State debt; but in 1843 two other acts were passed, one “ to diminish the State debt, and put the State Bank into liquidation,” and the other “ to
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reduce the public debt $1,000,000, and to put the Bank of Illinois at Shawneetown into liquidation.”
Accordingly, without a judicial investigation of the affairs of the bank, commissioners were appointed to take possession of the bank- ing house and its contents, and every thing belonging to it, and in case the directors, stockholders, or officers interfered to protect their pro- perty, they were declared by this law felons , and liable to imprisonment in the penitentiary for a term not exceeding ten years. It was a fortu- nate thing for the honor and credit of the State that this law was sus- pended in its operation, and another act substituted, which went into quiet effect. This case has been recently followed by the acts of the State of Ohio, and both are violations of the fourth Article of the Consti- tution of the United States, which secures to all citizens the inviolability of persons, houses, papers and effects, against unreasonable searches and seizures, or the deprivation of property, but by the judgment of one’s own peers, or the law of the land. Of the $500,000 of circulation and certificates of deposit held by the community against the bank, when their assignment was made in 1845, about $410,000 have been redeemed and destroyed, leaving about $90,000 unpaid, and all the stock paid in by individuals is a dead loss to them ; while the State laid violent hands on its own bonds for their share of stock, and annulled their liability. It must be borne in mind that when the State become a partner in these two State banks, she issued bonds for her share of the stocks for $3,100,000, instead of paying cash therefor, and these bonds were offered for sale in New- York and London, and “ were the sport of brokers, bankers, and bankrupts.” Subsequently the legislature cancelled and burnt $3,060,000 of these bonds in the Capitol Square at Springfield, and a corresponding amount of stock was surrendered therefor, thus cheating the community of their just claims, as innocent bill-holders, and eluding their liability to the other stockholders, who had paid in cash their share of the stock. If these bonds had been the notes of stockholders, given for stock, and held as such by the bank until it become insolvent, and the bank had surrendered these notes for the same amount of stock, would not the bill- holders have cried out against such a flagrant injustice, and avenged it ? But the act was a legislative one, and men do that in an official capacity which \yould disgrace them as individuals. Public opinion, however, has long since stamped these proceedings with the opprobrium they so richly merited.
General Banking Law of 1851-2. — Alter the general crash in 1837,* the State was without banking associations until 1851, when a general banking law was passed, which authorized any person or persons, on depositing with the Auditor of State any of the stocks of the United States, or of any other individual States, on which the full interest of six per cent was annually paid, to receive an equal amount of bank notes, to be used for banking purposes, and on the stocks of Illinois eighty per cent of the market value of said stocks in New-York, in like manner in
* The Illinois banks resumed specie payments at the same time with other western banks, in 1&9, and maintained cash payments until 1841.— [Ed. B, ftf«3
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bank-notes, and such person or persons were duly authorized to loan and circulate as money the bank-notes thus issued by the Auditor.
Capital . — Restrictions were imposed, requiring that the aggregate amount of the capital stock should not be less than £.50,000, and that the applicants should name the style of the bank, the place where it was to be located, the amount of the capital, the number of shares, the names and places of residence of the stockholders, and the period when the asso- ciation should commence and terminate their business, and upon filing a certificate of these facts, the party became a body politic and corporate, by the name assumed, for the term fixed in the certificate.
Circulation. — The amount of bank-notes is limited to the amount of bonds deposited with the Auditor, but the denominations are optional, so that the whole amount of circulation may be claimed in one dollar notes, if the parties think proper; but the bills must be made payable in specie at the place of business, on demand, and on failure thereof for ten days, the bank is liable to 12.} per cent damages per annum, in lieu of inter- est, and forfeits its corporate powers and privileges. The stockholders are individually liable to the amount of their stock, for all the indebted- ness and liabilities of the bank, and full provision is made for the collec- tion of the same should occasion require. The act, it will be seen, con- fers a corporate banking privilege for an unlimited amount of capital, and vfor any length of time which the applicants may designate, even if it be perpetual .
It will thus be seen, that the three great States of Ohio, Indiana, and Illinois, have all adopted the M free banking system” in their constitu- tions, and that this is to be the future policy of these States. All future banks are to become the creditors of the States, by purchasing their bonds and by depositing these bonds with the government, they return to the parties bank-note paper, which they authorize them to issue as money. Neither individuals nor banks can lend that which they have not — and if they lend credit, in the shape of bank-notes, without the means to redeem them in gold and silver, they commit a fraud on the community, as they lend and put into circulation that which is not money, nor the representative of money. This system of converting State stocks into banking capital will surely prove a delusion whenever a great revulsion occurs, for it is a departure from the true principles of safe and sound banking, which are based on money, in gold and silver deposited, and kept partly in possession for immediate exigencies.
But there is another hazard in the free banking system of these States which deserves some consideration, and which arises from the extreme latitude which is granted in regard to the management of these banks. If, in the commerical metropolis of the Union, large institutions have been in peril from the indiscretion of bank directors, what may be reason- ably expected from the inexperienced managers of these small banks which are now supplying our Western States with currency? The free banking system invites the inexperienced, as well as others, to enter upon a business which requires skill, experience, and talents, to manage it ad- vantageously, but which many who are now embarking in it do not seem to possess. With a comparatively small sum to commence with,
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the operations of these currency makers may be widely extended ; but when difficult financiering becomes necessary, originating with imprudent discounting, or deferred payments, then there will be a great hazard of a catastrophe, in which even the bill-holders may be the sufferers.
About twenty-five years since, the foreign trade of our country passed through a remarkable change in its operations, by the substitution of letters of credit on European houses, for merchandise and coin for their outward cargoes. Instead of gathering together all the available means which a merchant possessed, or could command, on the strength of his own credit, and periling the whole in a single cargo, or in numerous adventures to widely distant countries, he had merely to satisfy the agent of some foreign banker that he possessed the means to meet any con- tingent loss which might attend the adventure, and his capital in the shape of a letter of credit was furnished to him, and the most hazardous enterprises were undertaken, merely on the strength of the previous suc- cess of others. Individuals who, during an illustrious lifetime, had limited their operations to shipments of fish and lumber to the West- Indies for sugar and molasses, suddenly became interested in numerous adventures to Calcutta for indigo, to Canton for silks and teai, to Cuba for sugar for the St. Petersburg market, to Rio Janeiro for coffee for Hamburgh or Trieste ; and without any experience of the trade, and some- times without even a knowledge of the proper seasons to purchase, of course the most disastrous losses occorred, year after year, until the final crash of the three great banking houses in London disclosed the fearful amount which inexperience had engulfed, by the use of these tempting allurements to foreign adventures. * * *
V. Kentucky.
The first banking institution in Kentucky was chartered in 1807, under the name of the Bank of Kentucky, with a capital of one million of dollars. Previously, however, to this the legislature, in 1801-2, chartered an Insurance Company in Lexington, whose notes, payable to bearer, were transferable by deliver}', and this feature made the institution a bank of circulation, and such it became; but the clause which granted this bank- ing power was not thoroughly understood by the members who voted for it. The political party which then controlled Kentucky held banks in horror, and never would have passed the bill had they understood its provisions. In 1804 it was proposed to repeal its banking powers, but it was negatived by the governor; meanwhile it had divided eight per cent semi-annual dividends, and was consequently denounced as a “ monied aristocracy.” Its chattered rights extended to January, 1818, but they were mutilated and finally superseded by the incorporation of the Bank of Kentucky in 1807, as before stated. This bank also having made liberal dividends, incurred a similar anathema, and in 1817 forty inde- pendent banks, with capitals amounting to ten millions of dollars, were chartered, which were by law permitted to redeem their notes with the paper of the Bank of Kentucky instead of specie. This bank had again resumed specie payments after the peace of 1815, and was io good credit.
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Banking in the United States.
[July,
In the summer of 1818, the State was inundated with the paper of these banks ; their directors were generally men destitute of experience or knowledge of financial affairs, and in some instances 44 devoid of common honesty ” Large loans were made and rashly expended ; speculation was rife, and most of the bubbles which were set alloat collapsed within one brief year. The pressure of debt became universal, and to relieve 44 the public outcry for relief,” the legislature of 1820-21 chartered the “Bank of the Commonwealth,” the People’s Bank, with a capital of three millions of dollars, to be printed on slips of paper purporting to pledge the public faith for its redemption ; in other words, its paper was made payable and receivable for the public debts and taxes ; and certain lands owned by the State south of Tennessee river were pledged for the redemption of these notes. If any creditor declined to receive it in pay- ment of his debt, the debtor was authorized 44 to replevy the debt for the space of two years.” But this was not all; by the terms of the charter of the Bank of Kentucky, the legislature had reserved the right to elect such a number of directors as would secure to them the control of the board. Accordingly an experienced conservative president and board of directors were superseded by pledged parties who had promised to receive the notes of the Bank of the Commonwealth in payment of debts due to the Bank of Kentucky, and thus the latter, whose notes were redeemed in specie and whose stock was at par, was struck down by a blow which depreciated its value fifty per cent and entailed upon it a permanent suspension of specie payments.
The paper of the new bank rapidly sunk to one half of its nominal value, and creditors had the choice of two evils, either the payment of one half of their debts or nothing whatever for two years, and then to do the best in their power, with the hazard of new delays and the possible bankruptcy of their securities.
The conflict of the two parties known as the 44 relief” and 44 anti*relief,” or the 44 old court” and 44 new court/’ was the fiercest which ever agitated the State; but after a continued struggle, which was characterized by great bitterness of feeling on both sides, the conservative party triumphed in 182G-27, after a contest of five years’ duration; the “old court” was restored, the replevin act repealed, and the paper of the Commonwealth Bank suppressed instead of being reissued, and finally destroyed by suc- cessive acts of the legislature ; its plates being supplied by the notes of the branches of the Bank of the United States at Lexington and Louisville.
After the fate of the United States Bank was sealed, the dominant party in Kentucky, in 1833, determined to establish State banks to supply its place, and in the sessions of 1833 and ’34, three banks were char* tered, namely, the Bank of Kentucky, with a capital of five millions, the Northern Bank of Kentucky, with three millions, and the Bank of Louis- ville, with five millions of dollars ; all of which are now in existence, but whose aggregate capitals are but little more than seven millions instead of thirteen as originally established, and of which the State owns $1 ,500,000. In May, 1837, all these banks suspended specie payments, and the legislature legalized their doings, and refused to exact the forfeit* ure of their charters to which they were liable.
Digitized by
Gck igle
Original from
UNIVERSITY OF CHICAGO
List of Foreign Bankers ,
17
LIST OF FOREIGN BANKERS.
MARCH, 1884.
|
Aixla CKapeBe, |
C. WlntgenaOeder. |
|
do. |
Oeder A Co. |
|
Aleppo, |
Wn. A Rt Black A Co. |
|
Alexandria, |
Briggs A Co |
|
Amsterdam, |
Hope A Co. |
|
do. |
FrAres Oppeaheim A Co |
|
do. |
Go 11 A Co. |
|
do. |
Vre. T. d'Aripe A Co |
|
do. |
J. Kontgswarter. |
|
Antwerp, |
Frdree Nottebohm. |
|
do. |
P. Terwangne. |
|
do. |
a J. M. Be Wolt |
|
Athene, |
P. Schotadi* |
|
do. |
John Green A Co |
|
Baden-Baden, |
Auguste KKwe. |
|
do. |
F. 8. Meyer. |
|
$Bagnide Lucca, |
Maquay A Pakenkam. |
|
Barcelona, |
Gerona, Brothers. |
|
JfatlGT |
Elringer A Co |
|
do. |
P&ssavant A Co. |
|
BataVia, |
Paine, Strieker A Co |
|
Beirout, |
Wm. ARk Black ACo |
|
Berlin, |
MJcUerFrtres. |
|
do. |
Breest A Gelpcke. |
|
do |
Mendelssohn A Co |
|
do |
Anhalt A Wagoner. |
|
do. |
Wolff A Co. |
|
Berne, |
Macuard A Co |
|
Bombay, |
Oriental Bank Corporal's. |
|
Bonti, |
Jonas Cahn. |
|
Bordeaux, |
Barton A Questier. |
|
do |
W. A D. Johnston. |
|
do. |
Nartrigues,Rigourdan A Co. |
|
Bomlogno-eur*mer, |
Aehille Adam. |
|
Bremen, |
St. Lhrman A Sons. |
|
do. |
J. Langs, Sons, Widow A Oo |
|
do. |
C. F. Plump A Co |
|
Breslaw, |
Etch born A Co |
|
do |
Buffer A Co. |
|
Bruges, |
Felix dn Jardtn. |
|
Brussel*, |
F. Brugmann A Go. |
|
do. |
Simon Salter. |
|
Brunswick, |
Brothers Ldbbeoke A Co. |
|
Cadis, |
John D. Shaw. |
|
Cairo, |
Briggs A Go. |
|
Calais, |
Ph. Derot A Co. |
|
Calcutta, |
Oriental Bank Corporal'll. |
|
Canton, |
. do. do. |
|
do. |
Wetmore A Co |
|
Carieruhs, |
Auguste Kloee. |
|
Cosset, |
L. Pfeifer. |
|
Coble**, |
Dcinhard A Jordan. |
|
Coburg, |
Schmidt A Co |
|
Cologne, |
Frederick Geisler. |
|
do. |
A.AL Camphansen. |
|
do • |
J. Herstatt |
|
do. |
Sal Oppenheim, Fr. A Co |
|
do. A. 8 chaff hausen, Bank Yerein. |
|
|
Colombo , Osghm , |
Oriental Bank Corporal's. |
|
Constantinople, |
Charles 8. Hanson A Co |
|
Copenhagen, |
Frolich A Co |
|
Corfu, |
J. Courage. |
|
1 Christiana, (Abrwoy, >J»eob Dybwmd. |
|
|
Damascus, |
G. H. Gibb A Co |
|
Dantsic, |
Gibsone A Co |
|
Dieppe |
Ormont Defeise A Co |
|
Dresden, |
H. W. Bassenge A Oo |
|
Dunkirk, |
Charles Cartier. |
|
Dusseldorf, |
Guillaume ClelL |
|
Smden, |
Y. AB. Brons. |
|
Florence, |
Em. Fenzi A Co |
|
do. |
Plowden A French. |
|
do. |
Maquay A Pakenhaou |
|
Franqfort, 0. M., |
Cogel, Koch A Co |
|
do. |
Gebhard A Hanck. |
|
do. |
M.A.de RothschiW A FUs. |
|
do |
L. Speyer EUisen. |
|
do. |
Brothers Bethmann. |
|
do. |
J. Goll A Sons, |
|
Geneva, |
Lombard, Odier A Oo |
|
Genoa, |
Gibbs A Co |
|
Ghent, |
The Bank of Flanders. |
|
Gibraltar, |
ArchboULJ ohnston A Powers. |
|
Gottenburg, |
A. Barclay A Oo |
|
Gottingen, |
H. F. Klettwlg. |
|
Bogus, |
Scheurteer A FUa. |
|
Hamburg, |
J. Berenberg, Gossler A Co |
|
do. |
PtMendelseohiiJUitholdy. |
|
do. |
L. Kftnigswarter. |
|
do. |
Solomon Heine. |
|
do. |
Lntteroth A Co |
|
Honooer, |
L. A A. H. Cohen. |
|
do. |
Ad. Meyer A Co |
|
Havana, |
Drake, Brothers A Oo |
|
Havre, |
Dubois A Oo |
|
do. |
J. B. Greene A Co |
|
do. |
D’AUens A Oo |
|
Heidelberg, |
Fibres Zlmmera. |
|
do. |
O A. Fries. |
Digitized by
Gck igle
Original from
UNIVERSITY OF CHICAGO
Digitized by
18 List of Foreign Bankers.
|
Kong Kong , |
' Oriental Bank Oorporafn. |
|
Jerusalem, |
W. T. Young. |
|
Kandy , Ceylon, Oitontal Bank Corporafn. |
|
|
Leghorn , |
William McBean A Co. |
|
do. |
Maqoay, Pakcnham it Co. |
|
LHptie, |
Becker St Co. |
|
do. |
Frege Sc Co. |
|
do. |
M. KaskeL |
|
do. |
Bieland St Co. |
|
LUqo, |
M. J. Yercoor St Co. |
|
do. |
Nagelm ackers St Cerlbntalne |
|
Lisbon, |
J. E. Martin. |
|
do. |
H. G. Seholtx. |
|
Liverpool, Eng., Galon A Co. |
|
|
Lyons, |
Yeuve Guerin St Ffls. |
|
Madeira, |
John Bland y St Son. |
|
do. |
Murdoch, Shortvfdg* St 0 d |
|
Madras, |
Bank of Madraa, |
|
do. |
Blnny St Co. |
|
do. |
Oriental Bank Oorporafn. |
|
Madrid, |
Henry O'Shea St Co. |
|
Maknb, |
Oweuius St Co, |
|
Malta, |
James Bell St Co. |
|
do. |
B. Duckworth St Co. |
|
Manila, |
Peek, Hubbell St Cov |
|
Marseilles, |
Ffflsch St Co., 8. |
|
do. |
Salary, Son St Co. |
|
Mayeneo, |
Frederick Korn. |
|
Messina, |
CaiUer St Go. |
|
Milan, |
Thomas St Co |
|
do. |
Carli diTommaso St Go. |
|
Mosoow, |
J. L. Borckhardt |
|
do. |
A. Mare St Go. |
|
Mulhose, |
Ferdinand Koechlin St Go. |
|
Munich, |
A. E. d’Eichthal. |
|
Mantee, |
Gouin, Son St Go. |
|
Maples, |
James Hartley St Go. |
|
do. |
Iggnlden St Co. |
|
do. |
0. M. de Bothschilt St Bom |
|
do. |
W. J. Turner, St Co. |
|
Xeufohatel, |
F. Henri Nicolas. |
|
Mice , |
Arigdor L’Atn6 St Fils. |
|
Muremberg, |
Leonard Kalb. |
|
Odessa, |
E. Mahfl St Co. |
|
Oleron, |
Doran tis Fibres. |
|
Oporto, |
Bormester St Go. |
|
do. |
Sandcman St Co. |
|
Ostend, |
F. A. Belleroche, |
|
Palermo, |
Brown, Franck St Go. |
|
do. |
Prior, Turners St Thomas. |
|
Paris, |
Callaghan St Co. |
|
do. |
AHlez St Grand. |
|
do. |
Green St Go. |
|
do. |
Hottiguer St Go. |
|
Paris, |
B. L. Foald St Foald Ojv penheim. |
|
do. |
U. Zellweger St Co. |
|
do. |
A . Msrcuard St Co. |
|
do. |
John Munroe St Co. |
|
do. |
De Rothschild, Fibres. |
|
Pan, |
Dav antes, Fibres. |
|
Pisa, |
Vaqnay, Pakcnham St Smith, |
|
do. |
Ferdinand Pererada. |
|
Prague, |
*■ C. A. Fiedler, Soda. |
|
Rhekns, |
Bninart St Son. |
|
Biode Janeiro. |
Freeland, Ker, Ceilings St Co. |
|
Rome, |
MoBean St Ca |
|
do. * |
C. Kalb. |
|
dot |
Bakenham, Hooker St Co. |
|
do. |
Plow den, Cbolmdy St Co. |
|
do. |
Torionia St Co. |
|
Rotterdam, |
D. Sc C. Blankenheym. |
|
do. |
Fibres Notts bohm. |
|
Rouen, |
J. Faacon A Ca |
|
Seville, |
Cahill, White St Beck. |
|
Shanghai, |
Oriental Bank Corporafn. |
|
do. |
Wetmore St Co. |
|
Sienna, |
Haqnay St Pakenhmm. |
|
Singapore, |
Oriental Bank Corporafn. |
|
Smyrna , |
Couturier, Salannt, KUs St Co. |
|
SUtUn, |
8. Abel, Jr. |
|
Stockholm, |
Tome Sc Arfwedaon. |
|
do. |
Schon St Co. |
|
do. |
C. D. Arfwedaon. |
|
St. Petersburgh, |
Cayley, Mobeiiy St Co. |
|
do. |
Blessig Sc Co. |
|
* do. |
Wilson St Co. |
|
Straeburg |
B. De Boussierre. |
|
Toulon, |
Franchtere, P6re St Co. |
|
Toulouse, |
COurtoi* St Co. |
|
Trieste, |
J. Collioud. |
|
do. |
D. P. Dutilh, Yon Hemerf AGo. |
|
do. |
J. 0. Bitter A Co. |
|
Turin, |
F. 8. Long A Fils. |
|
do. |
Nigra, Brothers. |
|
Utrecht, |
Ylaer AKoI. |
|
Venice, |
8. A A. Blumenthal. |
|
do. |
Mudie A Co. |
|
do. |
Schielin, Brothers. |
|
Vevey, |
Genton A Ca |
|
Vienna, |
Amstein A Eskles. |
|
do. |
S. M. de Rothschild. |
|
do. |
J. H. Stametz A Co. |
|
Warsaw, |
S. A. FraenkaL |
|
Wiesbaden, |
Marcus Berie. |
|
Zurich, |
Qnspard, Schnltresa A Ca |
Gck igle
Original from
UNIVERSITY OF CHICAGO
List of Private Bankers.
19
LIST OF
Private Bankers in the Principal Cities and Towns
OF THE UNITED STATES,
JUNE, 1854.
Albany, X. T.
Bruce & Young,
Watson Jb Co., W.
Alexandria, Ya.
Burke A Herbert, Snowden A Cone.
Ashland, Ohio. ,
Lather, Crall A Co.
Atlanta, 6a.
Wright, V. Lb Holland, Edmund Mf.
Baltimore, M<L
OUtings A Co., John S. Harris A Sons, Samuel Johnston, Brothers A Go. Lee A Co., Josiah McKim, Greenway A Co. Nicholson A Bra, J. 0. Burris, Gorer A Co. Winchester, Samuel,
Battle Creek, Ueh. Kellogg, L. CL
lsaidgtown, DL Krelgh A Co, D.
Betkt,Wls.
Carpenter, A, B.
BeQwiUe, Hlinoia
Hinckley, BnaeM.
BlMdere, HL
Neely A Co, Alexander Fuller A Oa, E. 1*
Attwood A Fay, 9 Webster Bank Building; Blake, Ward A Co., 4 State-street,
Brewster, Sweet A Ckx, 40 State-street.
Clark A Co., J. W., 94 State-street.
Curds, Thos. B., 68 State-street.
Cutter, Brodhcad A Clapp, 29 State-street, Gilbert A Son, 86 State-street,
Lee A Higglnson, 10 Union Building, Thayer A Bra, J. E., 28 State-street,
Wilua A Co., 25 State-street.
Buffington, Iowa.
Green, Thomas A Oa Peasly A Co, J. F. CL
anwnovmo, Fa.
Hogg, John T.
Buflhto,N.Y.
Ganyl A Oa, B. 0.
Johnson, Hiram Lee A Co, John B.
Bobinson A Oa
Canton, HL
Maple, Bttpp A Vtttxun.
Cincinnati, Ohia
Almy A Wilcox,
Cones A Co., W. W.
Dunlevy, Atwood A Ca Ellis A 8 torses,
GUmore A Broth erton,
Goodman A Ca, T. S.
Gregory, Ingasbe A Ca Groesbeck A Ca Hatch A Langdon,
Manchester, P. B.
Matthews A Ca, Howard. McMicken A Co.
McNicoU A Bussing,
Morton A Co., John JEL Milne A Co., Gea Outcalt A Ca, P.
Ramsay, J. B.
Bowe A Co., 8. 8.
Sanford A Oa, B. F.
Sinead, OoUord A Hughes,
Torrey A Oa, 8. W.
Wheeler, A. J.
Wood A Dunlap.
Chicago, HL
Adams, F. Granger Adsit, J. M.
Bradley, Curtiss A Oa Burch A Co., L H.
Davison, McCalls A Oa Forrest, Brothers A Oa Preston A Ca Smith A Oa, Gea Swift. B. K/
Tinkhsm, E. J.
Tucker A Oa, H. A.
Charleeton, & a
Adger A Co., James Lloyd, William Martin, N.M.
W. M. A J.O. Martin.
Cleveland, Ohia
Brockway .Wason, Bvsrett A Oa Hartnees, HUlAHaj*
Lewis, G.F. .
Morrison, Justia Pierce A Co- B. P.
Shaw A Co, B. B.
Sturgea A Hale.
Wicks, Otis A BrowneO, Williams A Co, Gea WflUsms, H. Dwight.
Digitized by
Gck igle
Original from
UNIVERSITY OF CHICAGO
Digitized by
20 List
GUrkavOle, Tran.
Kennedy A Glenn.
Ooidwater, Mich.
Crippen A Flak.
Columbus, Ohio.
Clinton Bank, [without charter,] Bartllt A Smith,
Hiller, Donaldaon 4 Co.
Oxmellrville, Penn.
Hogg, John T.
Dayton, Ohio.
Beck el, Daniel Harehman 4 Whiten,
Shoup, 1. O.
Davenport, Iowa,
Cook 4 Sargent
Deflanoe, Ohio.
Boyd, Moore 4 Co.
Delav&n, Wisoonain.
Harrington, N. M.
Detroit, Michigan.
Butler 4 Co.. W. A.
Dey, Alex. II.
Howard, Smith 4 Co,
Ires, C. 4 A.
Lyell, James L.
Preston 4 Co., Darid Warner 4 Co., H. W.
Dixon, Illinois
Robertson, Eastman 4 Co. Wood, Lorenzo.
Dubuque, Iowa.
Barney* A Ca, W. J.
Mobley, M.
Jesup 4 Ca, F. 8.
Hrie, Penn,
Curry, W. O.
Sanford 4 Ca, M.
Wright 4 Ca, C. B.
Fort Dm Moines, Iowa.
Stevens 4 Ca, Andrew J.
Fort Wayne, Indiana.
Hamilton 4 Co., Allen.
Fond Da Lae, Wisoonain
Darling, Wright 4 Oa Bell 4 Ca, W. J.
Freeport, I1L
Taylor 4 Bronson.
Mitchell 4 Co., J.
Fremont, Ohio.
Burchard, Otis 4 Ca
Galena, HL
Carter 4 Ca, James Cor with 4 Ca, N.
Galesburg, I1L
Dunn 4 Co., J. F.
Gallipolii, Ohio.
Hanking, Charles.
Private Bankers,
Milto, R- <k D. G.
6md Bapida, Utah.
Ball & Co., Daniel Well*, William J.
Geneva, Wisoonain.
Richardson, £. D.
Georgetown, D. C.
Sweeny 4 Rlttenhoose.
Glasgow, Mo.
Birch 4 Son, Weston F.
Hannibal, Mo.
Blatchfbrd 4 Whitney.
Helena, Arkansas.
Jackson 4 Ca, John J.
HorneUsville. H. T.
Hallett, Samuel.
HoUidaysburg, Pa.
Bell, Johnston, Jack 4 Co. Bryan, Gleim 4 Co.
TwdlwwapnHa) -
Woolley 4 Co., John.
Iowa City, Iowa.
Cook, Sargent 4 Downey, Green 4 Stone.
Jacksonville, 111.
Ayers 4 Catlin.
Janesville, Wisoonrin.
Bell 4 Co., W. J.
Brewster, H. B.
Doe, J. B.
Jaokson, Miss.
Adams, Wirt Green, J. 4 T.
Joliet, Illinois.
Osgood, Uri,
Smith 4 GoodelL
gilmmoo, mrii.
Ransom 4 Dodge.
gmosha, Wisconsin.
Wright, Thomas.
Kenton, Hardin Co., Ohio.
Copeland, G.
Keokuk, Iowa.
Anderson, George 0. Parsons, Charles.
Lalkyette, Indiana.
Reynolds JohnL.
Spears, Peirce 4 Oa
Lancaster, Penn.
Shroder 4 Co., John F.
LaSalle, I1L
Baldwin, Heman Cruickahank, A.
Gck 'gle
Original from
UNIVERSITY OF CHICAGO
21
Private Bankers, .
List of
Penn.
Bnwell, W.
Lexington, Mo.
Ault, Robert Limrlck, William.
Lexington, Kentucky.
Taylor, Turner St Go.
Lynchburg, Virginia.
Peters, Spence St Llgga L
Lyons, V. T.
Sisson St Chapman.
Loekport, 9. T.
Brown, J. K.
Louisville, Xy.
Culver W. E.
Gray, George E. H.
Hunt A Co.. A. D.
Hutchings St Co., 457 Main-street, Monsarrat, O. H.
Tucker, Brannln St Co.
Warren A Co.,0. N.
Madison, Win
Van Slyke, N. B. *
Marshall, Mich,
Gorham, Charles T.
Marysville, California.
Plume St Co., George W.
Minch Chunk, Penn.
Bockwood, Hazards 4c Co.
Memphis, Xenn.
Cherry, CaldweQ St Co.
Folwell, William Kirtland, J. B.
Walker, J. Knox.
MUwaukie, Wisconsin.
Kneeland A HnU,
Bell A Co., William L Marshall St Ilsley,
Papendiek St Co., G.
Mobile, Alabama.
Brewer 4c Co., ft. 0.
Cochran St Co.
Morrill St Dickey,
St John, Powers A Co.
Weeks St Co., John L.
ITCcsinclsville, Ohio.
Goodlive, McLain St BeQ.
Montgomery, Alabama.
Henley St Ca, John Cullara St Co., 8.
Knox, William Morris, Josiah.
Monroe, Mich.
Haskell, N. B.
Mt Pleasant, Westmoreland Co., Pa.
Hogg, John T.
Muscatine, Iowa.
Green A Stone.
MaahviUe, Term,
Alioway A Co., N. E.
Pearl A Co, Dyer Hobson A Wheless,
Lusk, Robert Shepard A Co., W. B.
Hatches, Bis,
Britton A Co., W. A.
Hewark, Ohio.
Pinny A Co., G. W.
Storges A Go, Wa.
Hariblk, Va.
Gordan, John D.
Hurley W.
Hew Orleans.
Barker, Jacob, 74 Gravier-strect,
Barker, Thomas H., 44 Camp-etrecS,
Bean A Co., Horace, 28 Camp-street, Benoist, Shaw A Co., 81 Camp-street Brown, Johnston A Co., 89 Camp-street, Cochran A Co., 88 Camp-street,
Fisher A Armor, 92 Camp-street,
Judson A Ca,M., Camp A Canal-streets, Moise, Columbus, 5 Commercial Place, Matthews, Finley ACa, Camp-street,
Merrill A Ca, H. B., Camp A Common-eta Pickett, Macmurdo A Ca, St. Charlee-etreet, Powall A Hopkins,
Robb A Ca, James, 50 Camp-street,
Smith A Ca, Samuel, Camp-street,
Thom A Co., 82 Magazine-street
Hilos, Michigan.
Paine, B. C.
Qghkoth, Wisconsin.
Darling, Wright, Kellogg A Co.
Ottawa, Ulinoia.
Fisher, George 8.
Eames, H. 7.
Swift, M. H.
Philadelphia.
Bamttz A Co., D. G-, Ha 8 South Thlrd-ct Benson A Ca, A.
Biddle A Ca, Tha Bayard, C. P.
Barker, Brothers A Ca Browns A Bowen,
Cambios A Brother, 85 South Third-street, Clark A Ca, E. 25 South Third-street,
Drexel A Ca. 22 South Third-street Hogg, John T.,22 Sooth Third-street Emory A Co., Charles Hutchinson A Jacobs, 12 South Third-street, Keen A Taylor,
Gaw, MacaJiater A Ca Hopkins A Ca, J.
Johnston A Co., R., South Fourth-street Miller A Co., Matthew T.( 88 South Thlrd-flt Whelen A Co., E. 8., 48 South Thlrd-sL Kramer, Work A Young, 24 South Thlrd-sL Boss, Cambios A Co, 24 South Thlrd-sL
Pekin, Illinois.
Rupert A Ca, G. H.
Peru, Illinois.
Cruikshank, Alex.
Petersburg, Va.
Lemoine A Sons, J. E.
Paul A Hinton.
Digitized by Gougle
Original from
UNIVERSITY OF CHICAGO
22
Lift of Private BanJcert,
Digitized by
Peoria, raiwaif,
Curtiss A Co, N. B. Hotchkiss A Co., J. P. Phelps, Bouriand A Co.
Providence, B. L
Vaughan & Co., D. W.
Pittsburgh, Pc.
Arnold, Geo.E.
Bell A Co. Thompson,
Harris A Co.
Hill A Co., Wm. A*,C4 Wsod+trcet, Holmes A Son, N.
Boon A Sargent,
Jones A Co., 8.
King, H D.
Kramer A Rahm,
Larimer, Jr., W.
Palmer, Hanna A Ox Patricks A Friend,
Tieraan A Co.
Wilkins A Co., A,, 71 Foorth -street, Williams A Co,, W. H.
Pottrrille, Pa.
StraUb A Co., A. B.
Portsmouth, Ohio.
Hagan A Mackay, 1 Kinney A Oa, P.
Portland, Main#.
Brown, J. J. Wood, W.H.
Quincy, ILL
Flagg A Savage,
Moore, Hollow bosh A Co,
Badno, Wipeomtn,
Bell A Oa, W. J.
Richmond, Ltd.
Morrison, Blanchard A Co.
Richmond, Va.
Allen, J. R.
Maury A Morton,
Patro A Cow, H. T.
Purcell A Co., 0. W. Tinsley, W. W.
Rochester, H. T.
Bissell A Amsden, Brewster A G reenough, Karnes, Abram Powers, Daniel W. Smith A Fairchild.
Bock&rd, Illinois.
Tompkins A Son, Horsman A Co., 0. J. Robertson, Coleman A Co.
Bock Island, Illinois.
Cook, Sargent A Parker. Sacramento City, CaL Grim A Rumler,
Hastings A Co., B. F. Mills, Townsend A Co. Page, Bacon A Co.
Bead A Co.
Rhodes, Purdy A McNulty; Swift, E. A R. K.
Wells, Fargo A Co.
Sandusky City, Ohio.
Moas Brothers.
San Francisco.
Adams A Co.
Argent! A Ca, F.
Burgovne A Co.
Drexel, Sather A Church,
Davidson. B.
King, of Wm. James,
Lucas, Turner A Co.
Page, Bacon A Co.
Palmer, Cook A Co.
Perry, Jr., John Rising, Cassell! A Ca Robinson A Co.
Sanders A Brenham,
Tallant A Wilde,
Timmerman A Co., J. B.
Wooisey A Co., J. 1*
St Panl, Mlnecota.
Borup A Oakes,
Brewster A Ca, Wia Parker, Charles H.
St Josephs, Mo.
Beattie, A.
Corby, John.
Itlsm, Kia
Pierce, Nathaza
Savannah, Geo.
Bancroft A Bryan,
Cummings, Montgomery W ithington, £.
Sheboygan, Wia.
McCreaA Oa., A. L.
Bhweport, La.
JohMon, B. U.
St Louit, Ko.
Anderson A Co., John J.
Bcnoist A Co., L. A.
Bogy, MUtenberger A Ca I Chouteau A Benoist,
| Clark A Bra. K. W.
Darby A Barksdale, i Durkee A Bullock,
Haskell A Ca
I Loker, Renick A Ca, 182 Main-street, 1 Lucas A Simon da,
Nlsbet A Co., W.
Page A Bacon,
Presbury A Co.
Teason A Darden,
Wolf, Marcus A.
Tamaqua, Schuylkill Ox, Pa.
WagenseUer A Ca, J. N.
Towanda, Pa.
Laporte, Mason A Co.
Toledo, 0.
Poag A Ketcbam, Bliss A Hubbard.
Troy, H.Y.
Smith, Calder A Ca
Uniantown, Pa.
Hogg, John T.
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UNIVERSITY OF CHICAGO
List of Private Bankers.
23
'nataOHugli.llte.
Brown A Johnston.
Washington City, D, C,
Chubb, Brothers, Keller A Me Kenney, Pairo A Nourse, Biggs A Co.
Seldon, Withers A Oo. Buler, Lea A Co. Sweeny, Bestor A Ca Williams, Brooke B.
Wankagan, Blinoia.
Dowst, 8. M.
Steele, Blokford A Cow
Wetompka, Alabama.
Hatchett, W. T.
Xenia, Ohio.
Nnnnemaker A Allen. Yaaoo City, Xa Mlchie A Ca, J. J.
Zanesville, Ohia
Buckingham A Ca, E. Sturges* Wm.
Wheeler, M. D.
Montreal, Canada Bait.
Dorwin, C.
Chapman A Oo., Henry.
fork Cit|.
BANKERS, BROKERS AND FOREIGN EXCHANGE DEALERS.
Adams. Thomas a Co., 71 WaD-etreeL Alftn, ft. C. 15 Wall-street Allen, Moses. 49 William-street Arnold, Brothers A Co.,82 Wall-street Armstrong, Robert, 87 Wall-street •Atwood. Donlevy A Co., 18 Wall-street Arerell A Brown, 99 Wall-street Aymar A Go., 84 South-street Babcock A Biddle, IS William-street Bache, Andrew J., 181 Ful ton-street Ballla A Sander, 34 Exchange Place.
Barker, Henry R., 1 Hanover-street Bay 11a, A. B., 56 Merchants* Exchange.
Bee bee A Ca, Specie Broker s, 47 Wall-street Belden, C. A G., 60 Wall-street Berend A Co., Specie Broker s, 28 Wall-street Bernard A Crommelin, 64 Wall-street,
Belknap, Edward, 63 Wall-street Betts, P. T.,56 WaU-strcet Bell, Richard, Henry E. Ransom A F.H. Grain, 48 Wall-street
Bingham, M. H.t 67 Wall-street Bird A Gitlinan, 47 Exchange Place.
Blatefaford A Ralnsford, 58 Wal^street ^Belmont, August 76 Bearer-street Borrowe, Wm. A Son, 83 Merchants’ Exchange, Bocrne, C. 8. A Brothers, 13 Wall-street Brandon, Joseph, A Son, 66 Beaver-street tBrown, Brothers A Ca, 59 Wall-street Brown, George A Samuel, 11 Wall A 2 New its. Bruce, Langley, 10 Merchants’ Exchange. Buckler, John, Jr., 49 William-street Burr. Horace, 62 Wall-street.
Bare hard A Buck, 33 South William-street Batter, Edward, 45 Wall -street
tCaramann A Co , 56 Wall-street,
Caldwell, Wallace E., 40 Wall-street Campbell, a W. A Andrews. 174 Groenwich-st Carpeader A Ca, 69 Wall-street •Carpenter A Vcrmilyo, 44 Wall-street Center A Ca, 30 Old Slip.
Christmas, Charles, 60 wall-street
•Clark, Dodge A Co., E. W., 51 Wall-street
Clark, 8. A Ca, 27 Wall-street
Clerk e, Wm. B. A Co.,49 William-street
Cobb, N. R. A Ca, 29 Wall-street
Cole, C. L., 85 Wall-street
Coleman, T. J., 68 Wall-street
Colgate, Charles A Co., 29 Wall-street
Cooiidgc, F. W., 24 William-street
Cel Till, Alfred, 3 Hanover-street
Condlt A Jenkins, 45 Wall-street Comstock, D. A., 41 Wall-street ♦Coming A Co., 68 Wall-street Currie A Ca, 45 Wall-street Cutting, R. L., 55 Merchants’ Exchange.
Darby, G. Frederick, 52 Wall-street Dennistonn, Wood A CoM 53 Wall-street Do Coppet A Co., 16 Exchange Place. tDelaunay, Iselin A Clarke, 63 Wall-street De Rham A Moore, 24 Exchange Place. Dickinson. Charles, 66 Beaver-street tDixon, Thomas, 68 Beaver-street Dore A Robinson. 68 Wall-street Drake A Bradford, 29 Wall-street Draper, Theodore 8., 54 Wall-street Draper, Simeon, 46 Pine-street Draz A Martens, 88 Wall-street Duncan, John F., 68 Wall-street •Duncan, Sherman A Co., 48 W ilttam-street Dyker, Alstyne A Co., 63 Wall-street Dye, John S., 2 Maiden Lana Ebbetts, J. J. A., U Hanover-street Fendi, J. G., 12 Merchants’ Exchange.
Ferris A Brothers, A. Morton, 4 Hanover-street Finley, Xissam A Co., 49 Wall-street Fisher, Denny A Ca, 8 Jsuncey Court Foster, A. 8., 284 Pearl-street*
Fronk, E. C..54 Wall-street Fumiss, T. H. A H., 56 Wall-street
Genln A Lockwood, .20 William-street Gelpecke A Co.. 74 Beaver-street Ginord, Arthur N., 62 Wall-street •Gilbert, Coe A Johnson, comer William A Ex- change Plaoa
Gooding A Brother, 6 Wall-street GoodlLn, James T., 25 Wall-street Goodhue A Ca, 64 South-street Gourlle, John H., 1 Hanover-street Grade A Dash wood, 27 Wall-street Graeffe, A Ca, 66 Beaver-street Graham, Charles, 45 Wllllam-strcet Greenough, William H., 43 Wall-street Greig, Alexander M„ 1 Hanover-street Grosbeck, Brothers, 87 Wall-street
Hablcht A Ca, C. E., 94 Wall-street Hallgartcn A Herzfleld, 4 Hanover-street Hamilton, James K. A Sons, 24 William-street Hart Emanuel R., 42 William-street Hawes A Dubois, 178 Canal-street
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Lift of Private Banker, *.
Hays, D. C., 66 Wall-street Baja, Jacob, 65 Wall-street Hays, W. 8., 65 Wall-street.
Hennings, Muller A Gosling, 89 Pearl-street. Uoguet A Dias, 62 Wall-street. tHoge, William A Co., 40 Wall-street Hopkins A Co., 52 A 54 Merchants’ Exchange. Hough. Joseph, 220 Broadway.
Houghton A Co., 11 Wall-street Hoyt, William 8., 4 Hanovcr-sUreeL Hunt, James 8^ 65 Wall-street
Jaggar, Walter, 66 Wall-street James, A. 8., 62 Wall-street James, Frederick P.. 88 Wall-street Jaudon, Samuel, 54 Wall-street Jerome, A. G., 29 Wall-street
Kelley, Townsend A Co., 48 Wall-street Kellogg, Edward, 46 Wall-street •Ketcbum, Kogers A Bement 45 WlUlam-st Ketch am, T. A Co., 1 Hanover-etreet •King’s Sons, James G., 58 William-street Kimball, £. W., 60 Wall-street Kip, Isaac, 64 Wall-street K ivtland A Co., 48 Wall-street Klemn, Adolph, 50 Wall-street
Lane, Anthony, 68 Wall-street Lahens A Co., 62 Wall-street Leroy, Daniel, 66 William-street Leroy, William H.,60 William-street Little A Co., Jacob, 27 Wall-street Livingston, Carroll, 61 Wall-street Livingston. Myers, A Fonda, 89 WilUam-street Ludlow, Thomas, 52 Wall-street
McJimaey, J. M., 67 Wall-street Magagnoa, T. C. A Co., 2 Wall-street McJlmsey, Robert, 85 Wall-street.
•Maitland, Phelps A Co., 14 Stone-street McMillan A Seymour, 66 Wall-street McVIckar, W. H., 59 Merchants’ Exchange, Manesea, Louis, 148 Ful ton-street Manierre, Benjamin F., 220 Broadway. Marvin. C. R., 54 Wall-street Maxwell A Co., 69 Wall-street Meyer A Stuck eti, 76 Beaver-street Merwin A Gould,89 William-street Miller, Augustus F., 1 Exchange-Plae* Miller, E. H., 66 Wall-street Morford, C. A., Greenwich and Dye streets. Morton, W. R., 14 Wall-street Morgan, Henry, 84 Wall-street.
Morgan A Son, Matthew, 54 Wall-street Morgan, Henry T., 66 Wall-street Moran, Brothers, 1 Hanover Square. •Morrison A Co., E. 51 William-street
Hellion, Wm.H., 68 Wall-street Nicholson, Meadows T.t 1 Hanover Square, Norwood, Andrew G., 49 William-street
O’Brien, Wm, A John, 88 Wall-street Oelrichs A Co., 86 Broad-street Ogden, T. W., 1 Hanover-street 0*KeU, Wm.,9Park Place.
Paine, Wm. H., 47 Wall-street Parker, James C., 54 Wall-street Parsons, James H., 51 William-street Paunstedt A Schumacher, E., 88 New-street Plllot A. P., 61 Wall-street Payson, Stephen, 86 Fulton-etreet tPickengill, Wm. C. A Co., 47 Wall-street Pepoon, Hoffinan A Tenbrook, 54 Wall-street Phelps, J. N. A J. J.t 45 Wall-street Poppe A Co., 66 New-street
Post, Edwin F., 9 Wall-street Prime A Co., 64 Wall-street Pmdy, Elijah. 88 Merchants’ Exchange.
Purdy, John F., 66 Beaver-street
Bead A Lathron. 40 W all-street.
tRiggs A Co., 56 Wall-street
•Robbins, G.S. A Son, 52 Wall-street
Robinson, Nelson, 87 WT all-street
Rogers, J. Warren, 22 Merchants’ Exchange.
Rollins, Brothers, 41 Wall-street
Rowland A'Grecnleaf. 78 Merchants’ Exchange.
Rudd A Wheeler, 27 Wall-street
Sarory, Charles A Co., 69 Bcavcr-strsst
gather, P., 166 Nassau street
Scback, O. W. C., 67 Wall-street
Schall, W. A Co., 84 New-street
Schermerborn, John, 60 Wall-street
Schell, R.. 61 and <8 Merchants’ Exchange.
Schuchara A Gebhard, 21 Nasaau-elreet
Schultz, M. A Co., 87 Wall-street
Searis A Co , William, 47 Wall-street
Shipman, William II., 54 Wall-street
Smith, W. A., 62 Wail-street
Smith A D arrow, Specie Broken, 29 Wall-strcst
Snelling, Andrew 8., 49 Wall-street
Sparks, A J., 4 Hanover-street
Stansbary, E. A., 40 Wall-street
Stanton A Wilcox, 49 W'all-street.
Stebbins, W. Augustus, 41 William-street.
Scott, W. B., A Co., IS Wall-street Stokes, James, 146 Pearl-street.
•Strachan A Scott 51 William-street •Sturges A Ellis, 14 Wall -street
Taller, Edward N., 49 William-street Tallmadge. Benjamin H., 61 Wall-street. Tapacott, W. A J., 86 South-street Tatem, John R., 5 Nassau-street Taylor Brothers, 76 Wall-street Tempest A Dixon, 54 Wall-street Terhune, Garret T., 7 Broad-street Thome, T. W., Jr., 64 Wall-street Thorne, Wm. 8., 58 Wall-street Thwing, C. A E. W., 61 Wall-street ♦Thompson, John. 2 Wall-street.
Titus, Samuel, 46 Merchants’ Exchange.
Totand, Henry, Jr., 69 Wall-street Tolaud, Henry A Son . 60 Wall-street Trevor A Colgate, 62 Wall-street
Underwood, J. A. A Sons, 22 Merchants’ Ex
Very A Gwynne, 12 Wall-street •V anvleck, J. T. A Read, 27 Wall-street Vom Baur A Co., G., 6 Broad-street Vonhofflnan A Co., L., 6 Hanover-street
' Wainvrright, J. H., 41 William -street 'Wadsworth A Sheldon. 29 Wall-street i Warren, John A Son, 65 Wall-street -Ward A Co., 54 W all-street 'Washburn A Co., 87 Wall-street Weeks A Co., 58 Wall-street Wesaley A Kowalski, 49 William-street Weston, George S., 85 Merchants’ Exchange.
W etmore, Robert A Co., 70 Beaver-street Wheelock, Moses A., 8 Hanover-street White, Robert H., 65 Wall-street Williams A Qufcrn, 40 Fulton-streot •Winslow, Lanier A Co., 52 Wall-street Winslow, W. W., 74X Wall-street •Wiggin, T. A Co., 6 Wall-street Wood, David M., 181 Fulton-street Worth, F. W., 62 Wall-street.
Wright, A. W., 43 Wall, Jauneey Court
♦Bankers.
1 Foselgn Ex things Draws*.
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UNIVERSITY OF CHICAGO
1854.]
The Saving t Banks of New York City.
25
THE SAVINGS BANKS OF NEW YORK CITY.
Over twenty-six millions of dollars are deposited in our savings banks, tbe hard earnings of our industrious classes. These institutions serve a moat important purpose in our community, in facilitating investments and promoting thrift, and have an interest for the philanthropist as well as the financier. They have of late years been multiplying in a rapid ratio, but as yet no connected exposition - of their bases and operations has ever appeared. It is only after much, labor that we have been able to supply this deficiency, by making out the following succinct yet com- prehensive account of every such institution in our city.
The first attempts to establish savings banks in the City of New York were made in the year 1818. Previous to that period, several of these institutions had been in operation in Massachusetts. On the. 30th Decem- ber, 1818, a letter was addressed by John White Treadwell, Esq., Secre- tary of the Institution for Savings in the town of Salem, (Mass.,) to John E. Hyde, Esq., of New York City, detailing the operations of the bank in Salem. The correspondence on this subject may be found in the August number of this work, 1852, (pp. 143-4.) This and similar fa- vorable reports led to the establishment of the “ Bank for Savings” in the year 1819, in this city.
The progress of tbe important principles of Savings Banks is fully shown in the fact that the deposits in this city alone have increased to nearly $2 7,000,000, as will appear by details now given.
In the establishment of such institutions by a State, care should be taken to insist upon investments of their funds in securities of the highest order. It seems to us that loans on personal security should be avoided, and that certain portions of the funds should be invested in real estate, (bonds and mortgages on,) as permanent loans ; other portions in State stocks of the most reliable character, which, in case of any sudden emer- gency, coaid be converted into cash.
In Boston there are three chartered Savings Banks, whose deposits, Ac., were as follows in 1853 :
DtpotUon. DtpotU*. An. Hcptn.
Provident Savings Institution, . . Suffolk Sa vines Institution, . . . . East Boston Savioga Institution,
27,910 $5,165,948 $17,772
7,467 1,866.460 7,582
880 68,600 800
The total for Massachusetts was as follows in the last three years :
1861. 1869. I860.
No. of Depositors, 86,587 97,868 117,404
Amowt of Deposits, $16,554,088 $18,401,807 $28,870,102
In Great Britain the progress has been likewise remarkable.
In the year 1830 the number of individual depositors in the Savings Banks of Great Britain, was 412,217, and the amount of their deposits
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26
Digitized by
The Savings Banks of New York City . [July,
£13,507,565 sterling. Their condition at three several periods maybe stated as follows :
Xo. qf Depositor*. Amt qfDejxxit*.
November, 1830,. .. . * 412,217 £18,507,565
November, 1840, 1,065,031 26,671,903
November, 1850, 1,092,581 27,198,503
According to a report made by Mr. Scratchley, there were in 1849, no less than 10,433 enrolled Friendly Societies, numbering 1,600,000 members, who subscribe an annual revenue of £2,800,000, and have ac- cumulated a fund of £6,400,000. There are also a vast number of unen- rolled societies. Of the Manchester Unity, there are 4,000 societies, with 264,000 members, who subscribe £400,000 a year. In addition to these there are the unenrolled Foresters, Druids, <fec. The total is taken at 32,233 societies, with 3,052,000 members, who subscribe £4,980,000 a year, and have a capital fund of £11,360,000. The whole adult male population of the United Kingdom may be estimated at about 7,000,000; nearly one half of tthese, therefore, without distinction of rich and poor, are actually members of some of these societies.
Of the Savings Banks established in New York city, we enumerate the following:
1. The Bank foe Savings, 107 Chambers-street, commenced business in July, 1819. Since when, they have received from 635,274 depositors the sum of $40,464,425, and accrued interest on investments $4,777,002, with a balance on hand, in January last, of $7,901,808 29. The in- creased popularity of the “ Savings Bank” principle is shown in the fact that their depositor for the first five years w^ere 29,437 in number, and for the next five and a half years, 60,820 ; whereas for the last four years they have been 33,594; 35,134; 35,851 ; and (in 1853) 43,335. That is, the depositors last year were 50 per cent, more numerous than in the whole of the first five years. The number of depositors 1st January, 1854, was 46,997, with an average balance of $168 13 each. The solidity of the investments may be seen in the annexed summary :
1st Funded Debt of the XT. S., at par, $1,572,350
2d. Stocks of the State and City of New York, and of other States,
at par 3,827,656
3d. Bonds and Mortgages, 2,553,433
4th. Real Estate, (Bank building,) 30,000
5th. Cash on han<£ 880,422
$8,368,861
Of the depositors of the year 1853, 11,199 were new accounts. The Trustees of tne Bank, in their last report, classify these persons : of whom 1,875 were domestics; 1,333 laborers; 484 seamstresses; 510 tailors; 383 clerks; 280 shoemakers; 218 blacksmiths ; 297 carpenters; of no other trade or business were there over two hundred.
In the year 1853 there were 43,345 deposits made in this bank: of these, the largest number were in sums of $10 to $20, 8,192. There were 6,073 deposits of $20 to $30, and 4,108 of $5 to $10, and only 1,695 less than $5.
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UNIVERSITY OF CHICAGO
27
1854.] The Saving s Banks of New York City.
In order to show the progress of this institution from its beginning, we copy from the last annual report the annexed summary of its receipts and payments to this time :
Rzcuptb.
From July, 1819, to July, 1824, 6 yean, from 29, 487 depositors,. ... $1,880,666 46
* “ 1824, to Jaa, 1830, 5* “ « 60,820 “ .... 8,461,916 62
“ Jan, 1880, “ 1886, 5 “ « 82,686 “ .... 4,644,604 70
“ « 1886, “ 1840,6 “ « 92,382 « .... 6,961,646 80
“ ** 1840, “ 1846, 6 « “ 94,088 “ 6,040,867 26
“ “ 1846, “ 1860, 6 « “ 128,148 « .... 8,608,937 81
“ * 1860, “ 1861, 1 “ “ 83,694 “ .... 2,224,604 40
“ " 1861, “ 1862,1 ■ " 86,184 « .... 2,414,789 98
“ “ 1862, “ 1868, 1 “ “ 86,861 “ .... 2,464,667 68
* “ 1868, « 1864,, 1 « « 43,846. « 2,882,046 07
Total, 84$ “ “ 686,274 “ .... $40,464,426 06
Deduct amount paid to 480,086 drafts, 87,389,619 00
$3,124,806 06
Add interest up to and including January dividend 4,777,002 23
Total amount due depositors, 1st January, 1864, $7,901,808 29
Rxpaid,
From July, 1819, to July, 1824, 6 years, paid 9,684 drafts, $ 800.946 61
" “ 1824, to Jan, 1880, 6$ “ “ 39,699 u 2,994,468 49
“ Jan., 1880, • 1836, 6 « « 67,807 “ 4,166,684 17
" • 1886, « 1840,6 “ « 79,841 “ 6,634,306 67
“ “ 1840, “ 1846,6 “ “ 78,611 “ 6,276,979 83
“ “ 1846, « 1860, 6 “ “ 108,797 “ 8,442,326 99
“ “ 1860, “ 1861, 1 “ “ 24,162 " 1,894,284 06
“ “ 1861, “ 1862, 1 “ " 28,040 “ 2,277,699 77
“ “ 1862, « 1868, 1 « “ 29,711 “ 2,494,057 64
* “ 1868, “ 1864, 1 “ “ 28,794 “ 2,458,180 27
Total, 84$ “ “ 480,086 “ $87,839,619 00
IL Thx Sxamxn’s Bank nor Savings, at No. 78 Wall-street, is the second in importance in this city — having deposits to the amount of $6,478,677. Of this sum, $3,067,050 is invested in bond and mortgage on improved property in the cities of New-York and Brooklyn, worth double the amount loaned ; $2,863,500 in stocks, viz. : Of the city of New-York, $1,132,374 ; State of New-York, $14,522; Ohio, $839,819; Pennsylvania, $97,000; United States, $210,800; Virginia, $250,000; Georgia, $213,750 ; Tennessee, $109,000. The real estate owned by the bank, is $131,157, and cash on hand, $352,826.
Open daily, from 10, A. M., to 2, P. M. Deposits received of $1, and upwards. Dividends payable in January and July.
The Seamen’s Bank for Savings was originally established under a charter from the legislature of the State, in order to provide a safe and advantageous Seposit for the surplus earnings of the seafaring commu- nity. It originated in a desire to serve this useful class of men, whose occupation, necessarily calling them so much from home, leaves them but
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28
The Saving* Bank* of New York City. [July,
an imperfect opportunity of finding who are trustworthy, and whose generous and confiding disposition often leads them to place confidence where it is not merited.
A seaman made a deposit in this bank on the 23d December, 1829, of $50 ; interest began from the first day of January, 1830 ; it remained undisturbed until the death of the depositor, and wa9 paid to his execu- tor on the 19th of July, 1844 — having then accumulated to $106 72. The period for which it drew interest was 14 J years.
The savings banks of this city are generally under similar rules and regulations, as to deposits and depositors. We publish the following series of by-laws of the Seamen's Savings Bank, as an index to those adopted by the other institutions :
EXTRACTS FROM THE BT-LAWS OF THE 8EA)fEN’s BAKE FOR SAYINGS.
No president, vice-president or trustee shall receive, directly or indirectly, any pay or emolument for his services.
It shall be the duty of the accountants to attend at the bank during bank hours, and shall enter all deposits made in the books of the bank ; and a duplicate of such entry shall be made in the book of the depositor, which shall be his voucher, and the evidence of his property in this institution.
Mouey received from, and paid to, depositors, daily, from 10 o'clock, A. 1L, to two o’clock, P. M. (Sundays and Holidays excepted.)
Deposits of one dollar, or any number of dollars, may be received, provided the tame be in specie, or in bills taken in deposit by the incorporated bonks in this city.
On the third Monday of January and July in every year, there shall be declared and paid such interest as the profits of the institution will allow, on all sums of five dollars and upwards, which shall have been deposited for three months next pre- vious to the first day of January and July ; but no interest shall be paid on the no- tional parts of a dollar.
The frauds practised ou seamen are notorious, and the losses on the part of masters, officers and men, who leave their money with merchants or landlords, or trust it with their friends, are of every day occurrence.
The legislature has taken great care, in the charter of this bank, to make it safe. The trustees, respectable and well known gentlemen, are neither allowed to borrow the money themselves, nor to lend it on indi- vidual security; but are required to invest it only in the best public stocks, and in mortgages on real estate in the cities of New-York and Brooklyn, worth double the amount loaned. The history of other banks for savings in this State, has proved that such guards are effectual ; for no instance of serious loss or failure has ever occurred among them.
Confidence in the Seamen’s Bank for Savings has been shown, by the large amount of deposits, by officers and seamen, in the naval and mer- chant service, and others, which, since its incorporation, has reached $21,000,000, and of which the bank now has in hand over $6,000,000.
Should any seaman ask what benefit he would derive from depositing his money ? the following, among the many advantages, may be named :
1st. It will always be a recommendation to a man that he has some money in the bank, and would often secure him a good birth, where trustworthy and responsible men are wanted.
2d. A fund in this bank would be a good reliance in sickness or old age. The alms-house and hospital are, at best, bat poor retreats, and a
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1854.]
The Savings Banks of New York dig.
man's money is a better friend, in time of need, than the good will of even his friends. A small deposit at the termination of every voyage, would, in a few years, be a sum of some magnitude. .
IEL The Bowkrt Sayings Bank, No. 128 Bowery^-hhey com- menced business in the year 1834. The following items are takenfrom their twentieth annual report to the legislature : •
The trustees have erected a spacious and beautiful building, with a stone front — the cost of which, with the lot, was $125,707. The new accounts opened last year, were 1 1,440, and total number of deposits, 41,451 — averaging about $75 each ; but the large number of 7,097 were in sums between $10 and $20. From the classification of the depositors, it seems that the largest number were domestics,' 670 ; tailors, 614 ; seamstresses, 442; shoemakers, 375 ; cabinet makers, 345.
The large amount of assets, $5,270,519, was, in January last, invested as follows : .
Bonds and mortgages in New-York and Brooklyn, $2,378,414
Stocks of New-York City, $1,164,708 ; New-York State, $269,863 ; Ohio,
$863,200 ; United States, $271,900 ; City of Williamsburgh, $20,000 ;
Troy, $50,000 2,1 19,281
Loans on stock,. ; 6,000
Banking house and lot, 1 26,707
Cash on deposit in city banks and on hand, 642,166
Total deposits, $6,270,619
IV. Greenwich Savings Bank, corner Sixth Avenue and Waverly Place. — The bank commenced'business in the year 1 833. A new and spa- cious building has been erected recently, which was first occupied by the bank on the 1 1th of May, 1854. It is one of the most solid and sub- stantial public buildings in this city. It has a front of 47 feet, and depth of 80 feet ; the banking room being 43x66 feet. The whole structure, with lot, cost about sixty thousand dollars. The Greenwich Savings Bank was the third institution of the kind chartered for this city. Its by-laws authorize loans on real estate worth double the amount loaned. The bank is open daily, for the reception of deposits, from 10 to 2, and from 5 to 7, P. M. Total deposits, $2,823,071.
Under the by-laws of this institution, no one depositor can deposit over $3,000, nor allow his funds to accumulate beyond this sum.
V. Manhattan Savings Bank, No. 648 Broadway. — Open daily from 8, A M. till 7, P. M. Total assets, $1,007,828, invested as follows :
Bonds and Mortgages, City and State of New York, $674,640
Loans on stocks, 814,868
Cash on hand and in bank^ 118,980
$1,007,828
In the year 1853, 2,098 new accounts were opened. Total deposits, $682,683, during the year, of which the largest number (971 out of 7,085) were, as in the other institutions, from $10 to $20 each.
Deposits of one dollar, or any amount not exceeding five thousand
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30 The Savinge Bankt of New York City. [July,
dollars, will be received, made in such bills as are received on deposit by the banks of the city. Among the by-laws are the following :
The accountant will endeavor to prevent frauds. But all payments made to per- sons producing the deposit books, or duplicates thereof, shall be deemed good and valid payments to the depositors respectively.
All notices in relation to the deposits or depositors, published by direction of the Trustees, in one or more daily newspapers of this city, shall be deemed and taken as personal notice to each depositor.
The Trustees invest the attending committee with power to dose the account, or refuse to receive the deposits, of any individual, whenever they may deem it ex- pedient
VI. Savings Bank for Merchants’ Clerks and others, 516 Broad- way, open from 10, A. M. to 2, P. M., and on Tuesday, Thursday and Saturday evenings, from 5 till 7. The assets, in January last, were,
New York City stocks, (139,854
Ohio State stock, $98,163; Pennsylvania, $61,400; Virginia, $21,000 ;
Tennessee, $82,637, 218,201
Bonds and Mortgages, (New York City, Brooklyn and Willkmsburgh,). 396,919 Beal Estate, Ac, 91,923
Total, January, 1854,. $840,898
Dividends in January and July. This institution was established July 1, 1848, for the benefit of clerks and others, and its success has been in the highest degree satisfactory. Deposits of not less than one dollar may be received ; but no deposits shall be received from a minor under the age of twelve years, unless through his or her guardian or trustee.
The Trustees have recently erected for this institution a spacious and commodious building, with a marble front, at 516 Broadway, near Spring-street
VII. The Emigrant Industrial Savings Bank, No. 51 Chambers- street — Their Third Annual Report was made on the 3d of January, 1854, from which it appears that, 2,738 new accounts were opened during the year 1853. Of these the principal are laborers, 366 ; domestics, 253 ; clerks, 148 ; tailors, 105 ; and no other class exceeding 100. The total amount of funds on hand in January last was $841,712, invested as follows :
Bonds and Mortgages on Real Estate in the cities of New York and
Brooklyn, $384,100
Bonds of the city of New York, $100,000 ; Rochester, $51,176 ; Troy,
$49,712 ; State of Missouri, $18,045, 218,982
Loans on Collateral Stocks, 108,420
Real Estate, (Banking House,) 51 Chambers-street, 8 1,560'
Cash on hand, in bam:, Ac, 98,700
Total deposits, $841,712
The whole number of accounts open was 3,661, at the time of making the last report.
The title of this institution will show that it was mainly intended for the benefit of the industrious classes among the emigrants who arrive at
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1854.] The Savings Banks of New York City* 31
and make a home in this State. The following statement will show the nativity of the new depositors :
Natitoof
177 S witserland, . 0
113 Norway, . 1
2,094 , Sweden, . .......... 4
54 Canada, . . . . . , 11
4 Cuba, 2
248
28 Total new depositors in 1858,. . . . 2,788 2
The total amount of deposits for the year 1853 was $730,300, and the total number of deposits 9,202, mostly small sums, as is the case with other institutions of this kind, viz: 1,292 deposits of $5 to $10 eachf 1,042 of $10 to $20, 1,082 of $20 to $30.
. The fact, that from such persons alone deposits were received to the amount of nearly $2,500 per day, (on an average) during the last year, at this institution solely, is full evidence not only of its utility, but of the confidence felt in the management by our foreign merchants, and by the thousands of emigrants who transact business with it.
VIII. Thb Broadway Sayings Bank, (at the Broadway Bank,) 237 Broadway. — Total assets, $442,296, invested as follows :
Bonds and mortgages on real estate,. .$186,700
Loans on stocks, 112,675
Troy and Rochester dty bonds,. • 69,266
Cash on hand, 6a, 78,755
Total, January, 1864, .$442,296
Open, Mondays, Wednesdays and Saturdays', from 5 to 7, P. M.
IX. East River Savings Bank, Chambers-street, near Chatham. — Commenced business in 1851. Number of depositors in 1853, was 4,296. Amount of deposits on hand, $419,080. Invested in
Bonds and mortgages,
Loans on call, (stock collaterals,)
Cash, Ac,
Total, January, 1864, $419,080
X. Irving Savings Institution, Greenwich-street. — Total assets,
$291,903 ; invested in bonds and mortgages,
On real estate in New York city,. •••••• .$158,565
Loans on stocks,. • •• 87,690
Banking house and lot, 28,907
Cash in bulk, 71,741
Total deposits, $291,903
The number of new accounts opened in 1853, was 649 ; total deposits, $203,268 — the largest number of which was from $100 to $20p. In
$250,440 . 148,990 24,640
United States England, .... Ireland, .... Scotland, . . .
Wales,
Germany, . . .
Prance,
Italy,. ......
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23
The Savings Banks of New York City. [July,
this institution, the larger number of depositors was — clerks, 45 ; farmers, 35 ; grocers, 22. Open from 11 till 1 o’clock, and from>4 till 7 P. M.
XL Thu Nbw-York Drt Dock Savings Bank, No. 619 Fourth- street, near Avenue C. — The number of deposits last year, was 5,875.
Amount of deposits, January, 1858, $380,888
Amount of deposits made in the year 1858 483,485
$848,800
Amount of depoeita repaid in 1863 268,778
Total deposits on hand, January, 1864 $501,024
The investment of these funds are —
In bonds and mortgages on real estate, $510,850
Loans on call, 10,000
Gash in bank, Ac, 70,174
Total, $691,024
This bank is open for the reception of deposits every Monday, Wednes- day and Saturday, from 5 to 7 o’clock, P. M. The information in refer- ence to this institution could not be procured from the officers ; we have therefore availed ourselves of the copy of their report, on file at the City Hall.
XII. Knickerbocker Savings Bank, corner of Eighth Avenue and Twenty-third-street. — Organized in the year 1851. Deposits on hand, January, 1853, $199,552 ; received in 1853, 454,053. Paid out in
1853, $225,942, leaving aggregate deposits, in January last, $427,663, invested as follows r Bonds and mortgages, $222,782 ; loans on stocks, $154,357 ; cash in bank, &<%, $50,524. Open daily, from 10, A. M., to 7, P. M.
XIIL The Mariners’ Savings Bank, corner of Third Avenue and Ninth-street. — Commenced business, April, 1853. Deposits for the year ending 31st December, $36,649. Funds invested in New-York and Erie Rail-Road income bonds, $13,650. Loans on call, $18,965. Cash and expenses, $4,034.
XIV. The Sixpenny Savings Bank, No. 336 Broadway. — Of this institution we have given copious details, in our number for March,
1854.
These returns embrace, it is believed, all the savings institutions in the city.
From these data, it may be seen how important to a commercial com- munity is the Savings Bank system — its salutary effects upon the masses. Here were more than twenty-six millions of dollars on deposit, in January last, in behalf of an immense number of operatives, wjdows, minors and others, distributed throughout every class of people. Every department of mechanical labor is represented among them; every profession, and some who belong to “ no class.” Of this large variety, we find in one
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33
1854.] The Savings Banks of NeuyYork City.
bank alone, 4 “speculators;” 2 “soldiers;” 37 “nurses;” 2 “chiffon- iers;” 15 “ hostlers;” 1 “ house-mover ;” 20 “sawyers;” 89 “ teachers ;” but only one “ editor.”
Many of the accounts in these institutions have been accumulating (or active) for fifteen or twenty years. The people are thoroughly impressed with the idea that their savings are safe in these banks. In the absence of such depositories, how much money would have been squandered ! and the powerful influences of such institutions upon the masses, who can describe 1 We consider them among the most valuable institutions of the country, and that they are destined to maintain a still stronger influence upon the rising and future generations of our city.
It is fortunate that the late measure before the legislature, in reference to savings banks, failed to pass. That bill contemplated the abstraction .£>( savings deposits, of long standing, to the use of the State. We hope this proposition will not again be considered.
The fact that such a law was contemplated at Albany, induced cpiite a large number of persons to withdraw their deposits from the savings banks. In one case, orders were sent for the withdrawal of the deposits at any sacrifice, although standing for some years ; the owner fearing that the moment the State obtained possession, there would be no recovery.
From the preceding data we furnish the following recapitulation of the several savings banks in this city, the date of commencement of business of each, and the amount of deposits of each in January, 1854 :
Bscapitulation of Deposits, January , 1854.
yarns o Bank .
Ban k for Savings,
Seamen's Bank for Savings,
Bowery Savings Bank,
Greenwich Savings Bank,
Manhattan Savings Bank,
Merchants’ Clerks’ Savings Bank, . . Emigrant Industrial Savings Bank,
Broadway Savings Bank,
East- River Savings Bank,
Irving Savings Institution,
New- York Dry- Dock Savings Bank,
Knickerbocker Savings Bank,
Mariners’ Savings Bank,
Sixpenny Savings Bank,
Total,
|
Commenced. |
Deposits. |
|
...1819 |
$7,901,808 |
|
...1829 |
6,478,677 |
|
. . .1834 |
5,270,519 |
|
. . .1833 |
2,323,071 |
|
...1851 |
1,007,828 |
|
...1848 |
840,898 |
|
...1851 |
841,712 |
|
...1851 |
438,509 |
|
...1851 |
419,080 |
|
...1851 |
291,903 |
|
...1849 |
591,024 |
|
...1862 |
427,663 |
|
...1853 |
37,649 |
|
...1853 |
41,061 |
|
.$26,910,402 |
At a future day we propose to resume the subject, and furnish facts in regard to the Savings institutions of Philadelphia, Baltimore, and other cities. Those of Boston and other parts of Massachusetts are fully detailed in our preceding volume.
3
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Notice of Protest.
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[July.
NOTICE OF TROTEST.
The phraseology of notices of protest of bills of exchange and pro- missory notes has been carefully considered l>y the notaries public of New- York and other cities. The following, it is believed, combine all the information that is essential to be furnished to parties to commercial paper :
Notice of Protest for Non -pi y men t of a Promissory Note.
New- York, , 1S54.
Phase to take notice , that a Promissory Xvte ]>>r $ dat'd
made by , indorsed by you , t ras THIS EVENING PROTESTED FOR
NON-PAYMENT, of Or demand and rtfnstd of payment, and that the holders lx>k to you for pa y ment th e n of.
Your obedient servant ,
John Brown, Notary Priiuc.
To # # ( afire ^ Xo. 1 John street , Xew- York*
Non-payment of a Bill of Exchange .
New- York, 1S54.
Please to take notice, that a Bill of Exchange for $ dated
draim by indorsed by you, was this evening protested FOR
non-payment, after demand and refusal of payment , and that the holders bx>k to you for payment thereof
Your obedient servant ,
To Notary Public.
Non-acceptance of a Bill of Exchange .
New- York, , 1354.
Please to take notice, that a Bill of Exchange for $ dated ,
drawn Uj indorsed hy you, was this evening PROTESTED FOR
NON-ACCEPTANCE, after demand and refusal of acceptance, and that the holders lo<>k to you for pay merd th ereof
Your obedient servant,
To Notary Public.
Effect of Non-acceptance of a Bill of Exchange .
It is not generally known that in case of the protest for non-acceptance of a foreign bill of exchange, the holder has a right, and before maturity, to insist upon an immediate payment of the bill, together with inteiest, damages, and costs, as well from the prior indorsers as from the drawer. Upon this point Chief-Justice Story says :
“ And in default of acceptance, he may immediately commence sepa-
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35
Failure of the Cochituate Bank.
rate actions against each of them, and pursue such actions to judgment and execution, until he has received full satisfaction from some one or more parties.
4i What the damages are, and should be, will more properly come under review, when we have occasion to consider cases of dishonor for non-payment of bills. But it may be here stated, that the like damages are ordinarily allowed in cases of non-acceptance, as in cases of non- payment of bills ; and that they are governed by the lex loci contractus , that is to say, the drawer is responsible for damages, according to the law of the place where the bill is drawn ; and the indorsers are severally liable, according to the law of the place where they made their respective indorsements.” (See Story on Bills, p. 395.)
44 Heineccius lays down the general rule in unequivocal terms. Speak- ing upon the subject of the liability of the drawer and the indorsers of the bill, he says, that it attaches, whether there be a dishonor by a non- acceptance, or by nonpayment of the bill ; but in each case there is a necessity of protesting the bill for the dishonor, and if it be neglected, the frhole obligation is extinguished.” ( Ibid ., p. 321.)
FAILURE OF THE COCHITUATE BANK.
BOSTON, 1854.
Tiif. proceedings in the case of the Cochituate Bank, Boston, were resumed on the 5th of June, before the Supreme Court, at Boston ; pre- sent, Chief-Justice Shaw. For the Commonwealth, Attorney-General Clifford; for the defense, William Whiting and A. A. Ranney, Esqs.
William Dehon, for the Receivers, (A. T. Hall, E. R. Colt, and Solo- mon Lincoln,) read a report of the proceedings, of which the following
is the substance :
Capital $250,000 00
Circulation, 250,514 00
DejMi-its, 44,067 15
Deposit Cct til i cates, 3,578 21
Dividends, 3,256 00
Reserve, 20,700 00
Gain 1,572 55
Specie balances, 44,000 00
$617,687 91
April 17, 1854.
Over-Drafts, $20,708 56
Loan 488,253 13
Suffolk Bank, 5,000 00
Bank of Republic, 30,038 41
Nassau Bank, 145 92
Bills,..-* 6,272 00
Checks, 67,038 76
Specie, 231 13
$617,687 91
W. C. Starbuck, Cashier.
Sworn before me
Samuel Phillips,
Bank Commissioner.
To the liabilities mentioned in the foregoing should be added the amount of liabilities of the bank as indorser on paper re-discounted by
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Failure of the Cochituate Bank. [July,
the Bank of the Republic, New-York, or proved to be discounted else- where for the use of this bank, and which does not appear on the books.
The amount of liabilities of this description outstanding at the date of this report was 167,023.96, all of which has become due, and has been protested for non-payment
The aggregate liabilities of the bank on account of circulation, deposits, dividends, and specie balances due other banks as appears bv the state- ment, (corrected,) was - $346,302 76
To which add liabilities of the bank, as indorser, - 67,023 96
1403,326 72
Expenses incurred and others accruing will constitute an additional liability for future settlement
Assets of the Bank. — Upon these we remark in their order :
1st. Over-drafts. — They amount to $20,708.56, of which $20,367 is against parties who have suspended payment
2d. Ijoans. — The amount of the loan payable in Boston $348,944.67 ; out of Boston $139,308.16. The amount of over-due paper of all kinds considered doubtful, - - - - - - $77,21670
The amount of loan payable in Boston and not due, by par- ties who have suspended payment, considered doubtful, 60,803 31 Amount of loans payable elsewhere (chiefly in New-York) not yet due, from parties who have suspended or are con- sidered doubtful, ------- 60,641 92
Amount of demand loans considered doubtful, - - - 21,000 00
$219,661 93
3d. Suffolk Bank. — The special deposit will be available to balance the claim of that bank to a similar amount
4th. Bank of Republic. — The state of the account with this bank has been adverted to. We do not suppose that on a final adjustment any balance will be conceded as due to the Cochituate Bank, but on the' con- trary a balance of several thousand dollars will be claimed against this bank. (The amount claimed of the Bank of Republic is $30,000.)
5th. Nassau Bank. — This claim is regarded as perfectly good.
6th. Bills. — This item of $6272 was found to be correct, less $20 of counterfeit bills, to which should be added $52 current bills found among Cochituate bills.
7 th. Checks. — Of the amount stated, a balance remains due of $50, 144, a large part of which is due from parties who have suspended or are insolvent, and which we apprehend to be of doubtful value. The amount was overstated by the cashier $2186.
8th. Specie. — The item of specie ($231.13) embraces expenses and other items to the amount of $43.07, being the actual amount of specie, $189.19, making the amount $1.13 over the statement of the cashier.
The liabilities of the bank, as before stated, were :
Absolute, .
Contingent,
403,326 72
.$846,302 76 , 67,023 96
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With expenses to be added :
The assets, as before stated, are. . . .$617,687 91
Of which there are over-drafts from failed parties, * . $20,144 19
Loans due and not due from suspended parties or considered
doubtful, 219,662 93
Bank of the Republic, 30,038 41
Checks doubtfhl, 46,146 00
$315,988 53
There are collateral securities for some of the suspended and doubtful paper from parties so remote, or of such a description, that we are not able at present to give an intelligent opinion of its value.
The receivers have made such collections of securities as became due, as was practicable, and have taken such measures to enforce the payment of others not paid at maturity as circumstances seemed to require.
The receivers have kept a detailed account of the receipts and expenses, of which the following is a summary statement :
; There has been paid, since their appointment up to June 1, 1854 :
On notes included in the loans, $90,180 30
Memorandum checks, . . 16,972 90
Over-drafts, 186 95
Overpaid by A. W. Smith 14
Interest received, 64 38
$107,394 67
Add cash on hand April 18, 1854, 6,493 19
For the above sum they account as follows :
Added to the deposit in Bank of Republic, $48,469 00
Paid to depositors in liquidation of debts due to them, . 4,830 04
Incidental expenses, 130 86
Cash on hand, including $6846, notes of Cochituate Bank, 108,442 20
The Attorney-General said that it was manifest from the report that the interest of the public and the stockholders requires that the temporary injunction wnich has been put upon the proceedings of this bank should be made perpetual. The single item of doubtful paper is more than sufficient to absorb the capital of the stockholders, and though the bill-holders and depositors may ultimately be paid, vet it is apparent, from present appearances, that the stockholders will receive little or nothing.
On motion of the Attorney-General, the injunction was made perpetual, and the receivers were ordered to wind up its affairs.
Mr. Whiting, in behalf of the president, directors, and stockholders, would simply say in behalf of the president and directors, that from their knowledge of the assets of part of the parties who have suspended, and of their collateral securities, that they feel justified in believing that by October next, money enough may have been reoeived to pay all bill- holders and depositors, and the president authorizes him to say that some of the stockholders intend to contribute a sum sufficient to bring about that result, if the assets are not sufficient.
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[July,
Failure of the Cockituate Bank .
They were aware (Mr. W. continued) that the present look of the affaire of the bank is not so favorable as was supposed at the last meeting. Parties then in good condition have become insolvent, one reason for which was that they were suddenly deprived of facilities by the stoppage of the bank ; but they desire that the present temporary injunction be continued until October next, and at that time, if the expectations of the stockholders are not realized, that the injunction be made perpetual and the affairs of the bank wound up.
The Chief-Justice inquired if there had been any formal meeting of the stockholders.
Mr. Whiting said that a considerable number of the leading stockhold- ers had consulted him on the subject, but were averse to doing any thing formally while affairs stood as at present
The Attorney-General thought that the action of the authorities should be such that the public would bo satisfied that all had been done that could bo to protect the creditors of the bank.
Mr. Whiting said that the course pursued might make a difference of from $25,000 to $75,000 to some of the large stockholders, one of whom had purchased since the stoppage of the bank, on the faith of the publica- tion of its condition.
The bank had been in operation some four years, and he would state on the authority of the president that during that period they did not meet with hardly a single loss until the sudden flood of disaster which led to their stoppage.
The Chief- Justice remarked that it was of the greatest importance that the interests of the public in this matter should be fully protected, and it was also important that a bank should maintain the highest credit.
After some general remarks on the nature and duties of banks, he said in regard to the point urged by some of the stockholders for time to collect debts and ascertain if they could not go on, that whilst it was his duty to consider the interests of the stockholders, he could not grant this request. While the $250,000 of doubtful paper might go towards paying them, it would be dangerous to make it a basis for further bank- ing operations. The proper course, it seemed to him, was to make the injunction perpetual.
In regard to paying off the demand of bill-holders and depositors, he thought that early action should be taken; that it was desirable to pay the money into the hands of those to whom it belonged as soon as possible, and it was agreed that the receivers should give notice for persons to present their claims against the bank previous to August 1st, when a dividend could be made up. The order of the court, therefore, was that the injunction should be made perpetual and the affairs of the bank wound up.
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The Bank of England .
39
THE BANK OF ENGLAND.
From the Bankers' Circular , London, May 27, 1854.
In our pages of to-day we proceed to lay before our subscribers our annual analysis of the Bank of England returns for the year 1853. The acknowledged importance of these tables to the statesman, the banker, and the merchant, as well as to the political economist, has induced us to compile them with great care, that our regular subscribers may have in their possession a complete record of the annual movements of this powerful corporation, so far as they are apparent from the public returns ; and at the present moment they possess more than an ordinary degree of interest to the political and commercial classes of society. - In our previous analysis of the bank operations, we had to deal with one of the most remarkable changes that have occurred in the history of the present age, or indeed, we may say, of any age, through the discoveries of gold in the eastern and western hemispheres. We will venture to repeat a few of the remarks made upon this subject when we gave our last analysis of the movements of the Bank of England. We then wrote as follows :
“ Although no determinate results have been arrived at respecting the final consequences of this great increase of the precious metal, the surest guide to* sound conclusions is in the record of facts that are inseparable from this remarkable, and we rnay add, most providential discovery. We know full well that since these discoveries have been made, that the whole commercial industry of the world has been put in motion. It has not been confined simply to the commerce of these islands, although we have received a very large share of the gains ; but whether we look to the east or to the west, this discovery has created a pulsation amongst every people to whom it has become known throughout the civilized world ; it has attracted thousands to quit the land of their birth in search of happier homes ; it has filled the harbors of the world with ships and merchandise ; it has stimulated our own manufacturing industry to such an extent that it has become difficult to find an industrious man without employment; it has increased the demand for labor in our agricultural districts, so that our union-workhouses are discharging their inmates, and the poor are rapidly diminishing in almost every county in England. These are some of the many advantages which the discovery of gold has conferred upon the world at large.”
Such were our remarks on the commerce of 1,852, in connection with the bank returns. And we are persuaded that the discovery of gold, in connection with the means of rapid communicatioLn by steam and elec- tricity, has done more to extend the commerce of the world than any acts of legislation during the last ten years. These are the giants that have struck from the hands of political opponents the weapons with which they combatted each other, and have driven from before them the prejudices and customs of a former age.
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40 The Bank of England . [July,
We are now called upon to record the events of a year in the mone- tary circles of a much less favorable character than that of the previous one, but we trust with equal accuracy and truth. At the former peiiod we had to deal with the greatest increase of gold at the Bank that was ever known during its history. It was in the month of August, 1851, that its metallic assets began to show an increase, which lasted for thirty-five consecutive weeks, with but two intermissions, namely, Sept. 6th and December 27th ; and after a decrease for two weeks, continued for thirteen weeks more, namely to July 10th, when the gold and silver in the issue department amounted to £21,878,765, and in both depart- ments to £22,232,138. From this period to the close of the year, the metallic assets of the Bank did not fall below £20,000,000, and the amount of notes issued was kept above £34,000,000. The changes which took place in the following year we shall now describe.
I. The Issue Department.
This department of the Bank is given under four different heads : the notes issued, notes in circulation, gold coin and bullion, and silver bul- lion. The highest amount of notes issued in 1853 was £34,014,005, on the 1st January, against £35,878,765 on the 10th July in the previous year; and the lowest amount was £28,358,055, on the 22d Oct., 1853, against £30,992,450 on the 3d January in the previous year. The fluc- tuation between the highest and the lowest amount in 1852 was 15.7 per cent, and in the year 1853, 19.9 per cent.
The amount of notes in circulation reached their highest point on the 16th of July, when the amount was £23,880,060 against £23,379,755 in 1852 ; the lowest amount in circulation in 1853 was £20,077,860, on the 31st December. The fluctuation in the former year was 20 7 per cent, and in the latter year 19.9 per cent
The metallic assets in the issue department of the Bank are regarded with peculiar interest by all parties engaged in banking and commerce ; and under this head the returns exhibit a marked decline between the highest and lowest points in the year. The largest amount of bullion and specie in the issue department in 1853, was on the 1st January, when it stood at £20,014,005, against £21,878,765 on the 10th July, 1852; the lowest amount of bullion and specie was £14,960,206, on the 22d October, against £16,992,450 on the 3d January in the previous year. It will be found, on reference to the tabular statement given in another place, that the metallic assets of the Bank experienced a serious decrease during the year 1852; the total decrease in the issue depart- ment being £5,655,050. The highest and lowest amounts of bullion and coin held by the Bank in both departments, for the four years ending 31st Dec., 1853, were as follows:
II iff /vest. Dale . Love eat Date,
1850 £16,209.493 16th March £14,300,053 28th December
1851, 10,784,875 20th December 12,608,81)5 3d Mav
1852, 21,845,390 10th July 10,959.075 3d January
1853, 20,527,602 1st January 14,960,206 2 2d October
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The Bank of England.
Under the head of silver bullion, it will be seen that only £19,145 was held by the Bank in January, and after the 20th of August this wholly disappeared from the returns, since which, silver has formed no portion of the metallic assets of the establishment
II. The Banking Department.
Whenever the issue department of the Bank exhibits any material changes in the amount of its metallic assets, those changes must neces- sarily produce a considerable influence npon the banking department, though they do not always correspond in the same degree with each other, inasmuch, as the bullion held by the Bank in the issue department, and the notes in active circulation, can only be operated upon by the bank department in an indirect manner ; therefore, the Bank experienced no such fluctuations, since the year 1847, in this department as in 1853. It is true, that the fluctuations in the latter year have been of a more gradual character, owing to the constant supplies of gold to support the credit of the Bank, but still they have preserved almost one uniform tendency for the last sixteen months, during which time, the amount of gold in the bank coffers has diminished to the extent of £8,000,000. We must, however, here remark that the amount of gold at the command of the Bank has much less to do with the fluctuations in its movements, than the constitution of the Bank itself ; and so long as the present prin- ciples govern the operations of the corporation they are inseparable from those consequences that periodically paralyze our industry and commerce.
The highest amount of public deposits was on the 31st of December, when it stood at £11,409,933, and the lowest on the 23d of July, when it was £1,849,658. The highest amount in the previous year was £9,447,516, and the lowest £2,802,361. The highest and lowest amounts for the three years, ending 1853, were as follows:
Highest Amount. Lowest Amount.
1851, £10,796,655 £3,957,006
1832, 9,447,516 2,802,361
1853, 11,409,933 1,849,658
Under the head of other, or private deposits, the highest amount did not reach that of 1852 ; nor did the lowest fall to that of the same year ; and in both years this department of the Bank indicates a striking increase in commercial transactions. The highest amount was £14,933,897 on the 9th of April; and the lowest £10,607,922 on the 24th of December. The highest and lowest amounts for the three yeare, ending 1853, were as follows:
Highest Amount. Lowest Amount.
1851, £10,975,856 £8,121,431
1852, 15,464,288 9,371,117
1803 14,933,897 10,607,922
These figures represent in a remarkable degree the stability of the public resources during the years 1852 and 1853.
Seven-day and other bills stood at the highest point on the 6th of
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August, and at the lowest on the 31st of December. When compared with tbe previous year, the maximum shows an increase of £G9,200, and the minimum an increase of £111,1G4.
The highest amount of liabilities in the bank department was £41,395,492, on the 31st of December, and the lowest £34,165,799, on the 6th of August, being an increase on the maximum of the previous year of £773,167; and a decrease on the minimum of £1,178,577.
The highest amount of government securities held in the banking department was £15,044,330 on the 31st of December, and the lowest £11,319,072 on the 22d of October ; being an increase on the maximum pf the previous year of £743,235, and a decrease on the minimum of £l,924,G9l. It is not improbable that the increase in these securities at the close of the year was to provide for the payment of South-Sea Stock in January following.
Under the head of other securities, which comprisas commercial bills discounted, advances on bills, bonds, and other descriptions of securities, the highest amount ranged far above that of the preceding year, having increased between August 6th and October the 1st, £G, 808, 092 ; the total amount that day being £19,124,799; or £4,988,847 above the maximum of 1852, the highest point reached since the 11th October, 1847, wheu it stood at £21,437,443. The minimum amount of other securities in 1853 shows an increase of £2,114,5G7 above that of the previous year. The actual amount of commercial discounts is not given in the returns, but it may be fairly taken at about one half the amount under this head, and the rest as advances.
The notes in reserve present a remarkable contrast with the returns for 1852, caused by the fluctuation in the supplies of gold in the coffers of the Bank. The fluctuations in 1853 ranged between £ll,9G0,495 on the 1st of January, and £5,012,490 on the 15th October, while the highest amount held in 1852 was £14,244,G24 on the 2Gth June, and the lowest was £10,112,840 on the 17th January.
The last column, but certainly not the least in importance, which affords an unerring test of national prosperity, is the rate of discount charged by the Bank. We believe that at no former period has the interest been advanced on discounts to such an excessive rate in one year, namely, 150 per cent, if we exclude the rate fixed by the government in 1847, which can scarcely be regarded as an act of the bank directors. Seven different rates in one year , all of an upward tendency, we believe, cannot be found in the previous history of the Bank, although we are aware that the Bank advanced money on loan in 1847 at twenty-six different rates, from 3 to 9iJ- per cent; but these were exceptional cases. The precise dates and the minimum rates in 1853 were as below :
Januaiy 1st, 2 per cent.
“ 6th, 2&
“ 20th,
Juno 2d, “
September 1st, 4 “
“ 15th, 4* •
" 20th, 5 ••
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Those who contend that our commercial prosperity has not received its main support from the discoveries of gold, will perhaps be convinced by contrasting it with a period when it disappears from the Bank.
III. The Bullion Department.
The following statement shows the quantities of gold and silver received and delivered by the Bank in the bullion department up to the close of 1853, in continuation of that we published last year, in weight and in value :
Gold Received.
1851. 185J. 1S5S.
Ounce*. Ounce*. Ounce*.
1st Quarter, 332,759.10 1,081,959.75 1,084,467.14
2d “ 513,607.20 1,319,538.60 1,157,195.14 ,
3d “ 692,717.70 1,095,514.60 981,453.17
4th “ 2,002,633.65 1,318,611.20 720,801.12
Totals, 3,441,717.65 4,815,657.15 3,943,916.57
Gold Delivered.
1851. 1852. 1853.
Ounces. Ounces. Ounces.
1st Quarter, 282,822.00 234,895.60 625,796.91
2d “ 209,245.55 222,850.55 558,287.35
3d “ 163,472.15 197.452.10 1,059,715.35
4th “ 251,309.45 559,509.55 1,372,240.00
Totals, 896,849.15 1,214,707.80 3,016,039.67
Silver Received .
1851, 1852. 185?.
Ounces. Ounces. Ounces.
1st Quarter. 4,024,614.40 5,070.962.25 4,944,888.44
2d “ 3,909,671.40 5,683,720.20 6,670,586.55
3d “ 6,252,508.36 C, 858, 005.95 4,719,640.31
4th “ 5,052,716.65 4,033,347.80 5,361,358.61
Totals, 18,239,510.S0 21,G4G,03G.20 20,696,473.91
Silver Delivered.
1851. 1852. 1853.
Ounces. Ounces Ounces.
1-t Quarter, 4,047,725.85 6,079,838.25 4,938,533.91
2d “ 3,957,962.75 5,671,377.60 5, G89, 945.99
3d “ 6.252,085.60 6,884,606.10 4,777,271.69
4th “ 4,958,207.45 4,009,242.57 5,381,941.87
Totals, 18,215,981.65 21,705,064.52 20,787,693.39
The above statements show that the receipts of gold into the Bank during the year 1853 were 871, 741 ounces less than in 1852, or equiva-
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lent to £3,888,843, sterling at 77s. 9d. per ounce. The total receipts and deliveries for the four years ending the 31st December, 1853, reduced to their equivalent money value at the same rate, give the following results :
Gold received. Gold delivered.
1850, £0.080,056 £3.735.203
1851, 13,370,674 3.186.500
1852 18,720.866 4.722.173
1853, 15,332,098 14,057,352
£53,372,594 £26.001,228
These figures indicate some very remarkable changes in this depart- ment of the Bank, and in some degree explain the efflux of gold repre- sented in the Gazette returns, during the 3d and 4th quarters of the year; the deliveries from the Bank being 2,431,955 ounces, against the Teceipt of 1,702,254 ounces ; or reduced to their equivalent value, the deliveries were £9,454,183 against the receipts of £0,017,512.
The receipts of silver during the year 1853 show a decrease upon those of the previous year of 049,503 ounces, or £245,304 ; and the deliveries a decrease of 917,371 ounces, or £236,987. The total receipts and deliveries for the four years ending the 81st December, 1853, reduced to their equivalent value at 02d. per ounce, were as follows :
Silver recoined. Silver delivered.
1850 £4,880,211 £5.019.127
1S51, 4,711,873 4.6S9.128
1852, 5,591,892 6.607, Ml
1853, 6,346,588 6,370,159
£20,530,5G4 £20,715,555
It is necessary to Understand that the above statement does not repre- sent the actual purchases and sales of specie by the Bank, but the amount of specie deposited and withdrawn on merchants’ account
DISCOVERY OF DIAMONDS IN VIRGINIA.
From the Richmond Inquirer, May , 1854.
Description of some of the largest diamonds in the world. , including a ndde of a genuine eigldrtoi-aiid-three-guartcr-canit diamond lately found opposite this dig , and sup - posed to have been washed from the bituminous coal-basin , iuUrsrrtul, twdve miles west of this po inf by James River.
It is with cordial pleasure that we publish, from the pen of a scientific friend, the following lucid, full, and most interesting description of the extraordinary diamond recently dug up in the streets of Manchester, opposite this city. We have seen and examined the jewel ourselves, and we bear testimony to our friend’s description, so far as we are acquainted with this novel subject It struck us as being of the size of a robin’s
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egg, and we saw several of the peculiar diamond properties exhibited by experiments.
We are particularly pleased that our intelligent correspondent has taken occasion to pay a just tribute to the talents and science of Professor W. B. Rogers, whose name is so intimately connected with the present and future history of Virginia, and the development of her vast mineral resources. While on this deeply interesting and suggestive subject of geology and mineralogy, so full of novelty and intrinsic value, we would fail of our duty were we not to express our warm and cordial apprecia- tion of the valuable services now being rendered to the great cause by Capt Samuel W. Dewey, an account of whose mineral explorations and won- derful discoveries in the region of Danville, we some weeks since laid before our readers. Captain D. comes cordially commended by some of the best and ablest men in the State. He is a private gentleman, unconnected with any public institution, and wholly unaided by any kind of patronage; who has, nevertheless, at his own expense, devoted the last five years, with unflagging zeal in the genuine spirit of science and philanthropy, to the exploration of the mineral treasures of the Dan and Yadkin, mountains and rallies, west of Danville. We have been de- lighted with his rich and beautiful specimens of gold, iron, copper, lime, coal, and precious stones of several kinds, and with his lucid and really eloquent exemplification of the mineral wealth abounding in the moun- tains and along the streams west of Danville, both in Virginia and North- Carolina. In his valuable and persevering ‘‘labors of love,” Captain Dewey has brought to light the treasures which a beneficent Providence has imbedded in the bosoms of our mountains and vallies; and has shown, beyond all rational doubt, that they exist in such quantities as to furnish the most magnificent rewards for the capital and labor required for their development The people in a country embracing more than 40,000 square miles, of which Danville is the natural upland market; the friends of the commerce of Richmond, and all who desire the pros- perity of the railroad connecting the two places, should be awakened at the exhibition of facts which speak, trumpet-tongued, to the business and besoms of the whole country. A friend in Pittsylvania, well known for his intelligence and lofty character, and for his devotion to the interests of Virginia, writes us that the whole people of the Dan and Yadkin country owe a debt of gratitude to Capt. Dewey, which they will never be able to pay. With Captain Dewey we have been especially pleased, on personal acquaintance. No one can witness his intense devotion to the cause of science, his glowing enthusiasm, his thorough “action,” (although be talks most clearly and well,) without a feeling of regard and admiration, and of gratitude for his valuable services to Virginia. We do not know what may be the destination of his magnificent collection of mineral specimens, (now at Captain Dimmock s, in the Armory,) but we unhesi- tatingly say that it should belong to the University of Virginia, being in every way most worthy of that noble institution.
A short time since, Mr. Benjamin Moore, a worthy, industrious, hard- working resident of Manchester, opposite this city, while digging and removing from one of the recently hud-out public streets, a few cart-loads
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Discovery of Diamo?ids in Virginia.
of hitherto undisturbed alluvium, for James Fisher, Esq., of that town, was so fortunate as to discover in the ferruginous clay or earth, about two feet below the surface, near several water-worn round pieces of secondary sand-stone, what at the time he supposed to be simply a very pretty fragment of sparkling, transparent glass ; but which in reality is a truly beautiful and valuable diamond, weighing 18J carats, or 75 grains; measuring from extreme point to point rather above seven lines, and worthy of being styled a Nonpareil, if not a Om-i-Noor, ( Sun of Light,) not only because it is by far the largest ever found on the con- tinent of North-America, but more especially on account of its superior limpidness, which is nearly perfect, with the exception of a slight greenish tinge and a partial chatoyancy, arising from the salient edg**s of its apparently infinite number of laminae, and in part, perhaps, attributable to the multiplicity of minute stride, curvilinear and straight lines, and the miniature graven equilateral triangles that embellish its surface, and most emphatically “show exertions of a power divine.”
In form, it might be termed a rhombic dodecahedron, similar to the 'supposed original form of the celebrated Koh-i-Noor, or Mountain-of- Light diamond, presented by the East-India Company to Queen Victoria, althought it probably approaches nearer to the figure of a regular octa- hedron, consisting of two four-sided pyramids, obliquely united at their bases ; the planes or faces being convex, and each triangular face of the primitive octahedron being replaced by or divided into six secondary triangles, bounded by curvilinear lines, producing in the aggregate forty- eight faces, and presenting in outline a rounded or spheroidal appearance. And as regards invincibility, and other unmistakable characteristics of the genuine adamas or diamond, it readily scratches or rather cuts glass and the hardest agates, without becoming in the least abraded or defaced ; and by having successfully withstood, for two hours, the most intense heat possible to be generated with charcoal in a common smith’s forge, it may with propriety be considered as indestructible by ordinary fire.
It refracts singly, and if rubbed on dry cloth or leather, acquires positive electricity ; and, on being suddenly removed from the sun’s rays into the dark, it sends forth sparks of light resembling fairy like blazing stars, bordering upon, if not fully coming up to Hauy’s description of the diamond’s remarkable and peculiar phosphorescent powers, where he says : “The diamond, though in most cases colorless itself, is still capable of dazzling the eye by its brilliant and playful colors, constantly fugitive but perpetually returning.”
To form an idea of the value of the foregoing described Old-Dominion or Om-i-Noor diamond, it is necessary to bear in mind that its weight is 18} carats, and that in Brazil, when a slave diamond-washer finds one weighing 17} carats, he forthwith receives his freedom; and further- more, it should be recollected that among dealers in these gems, there is no general rule for estimating their actual worth when they exceed ten carats, the largest size commonly used for setting in brooches, rings, etc., notwithstanding a rule to the contrary is given by the astute Doctor Andrew Ure, in his valuable and most generally correct “Dictionary of Arts, Manufactures, and Mines,” wherein he states: “The weight and
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value of diamonds is reckoned by carats of four grains each ; and the comparative value of two diamonds of equal quality, but different weights, is as the squares of these weights respectively. The average price of rough diamonds that are worth working, is about two pounds sterling for one of a single carat ; but as a polished diamond of one carat must have taken one of two carats, (he estimates a lose of one half in splitting, cutting, and polishing, whereas in diamonds of good water and respectable size, the loss does not exceed one third,) its price in the rough state is double the square of £2, or £8. .Therefore, to estimate the value of a wrought diamond, ascertain its weight in carats, double that weight, and multiply the square of this product by £2. Hence a wrought dia- mond
|
Of 1 |
carat is worth |
£8 |
Of 1 carats is worth |
£392 |
|||
|
11 2 |
u |
u |
32 |
44 8 |
it |
it |
612 |
|
41 3 |
u |
it |
*72 |
14 9 |
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612 |
|
44 4 |
it |
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|
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44 20 |
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3200 |
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288 |
beyond which weight the prices can no longer rise in this geometrical progression, from the small number of purchasers of such expensive top.”
In a preceding part of his article on this species of costly playthings , as he terms them, he expresses himself as follows : “ Since the diamond is merely a condensed form of carbon, it cannot, in a chemical classifica- tion, be ranked among stones, but as it forms in commerce the most precious of gems, it claims our first attention in a treatise on the arts. Diamonds are distinguishable by a great many properties, very remark- able and easily recognized, both in their rough state and when cut and
Eolished. Their most absolute and constant character is a degree of
ardness superior to that of every mineral, whence diamonds scratch all other bodies and are scratched by none. Their peculiar adamantine lustre, not easy to define, but readily distinguished by the eye from that of every other gem, is their most obvious feature. Their specific gravity is 3.55. Whether rough or polished, diamonds acquire, by friction, positive electricity, (and so do common quartz crystals, and many other crystalline minerals,) but do not retain it for more than half an hour. The natural form of diamonds is derivable from an octahedron, and they never present crystals having one axis longer than the other. Their structure is very perceptibly lamellar, and, therefore, notwithstanding their great hardness, they are brittle and give way in the line of their clearage, offering a direct means of arriving at their primitive form, the regular octahedron. Its various forms in nature present a circumstance peculiar to this body ; its faces are rarely terminated by planes, like moBt other native crystals, but they are often rounded off, and the edges between them are curved. When these secondary faces are attentively examined with a lens, we remark that they are marked with striae, sometimes very fine and almost imperceptible, but at others well defined ; and that these striae are parallel to the edges of the octahedron, and consequently to those of the plates that are applied on the primitive faces of this figure.
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“ Diamonds are usually colorless and transparent When colored, their ordinary tint verges upon yellow, or smoke-yellow, approaching sometimes to blackish-brown. The limpid are the most highly prized. The geological locality of diamonds seems to be in diluvial gravel, and among conglomerate rocks, consisting principally of fragments of quartz, or rolled pebbles of quartz, mixed with ferruginous sand, which composes sometimes hard, aggregated masses. Its accompanying minerals are few in number, being merely black oxide of iron, micaceous iron ore, pisiform (or pea-shaped) iron ore, fragments of slaty jasper, and several varieties of quartz, principally amethyst. The loose earth containing diamonds lies always a little way beneath the surface of the soil, toward the lower outlet of broad valleys, rather than upon the ridges of the adjoining hills. * * * Diamonds take precedence of every gem for
the purpose of dress and decoration, and hence the price attached to those of pure water increases in so rapid a proportion, that beyond a certain sura (or size) there is no rule of commercial valuation.”
Professor Dana, in bis 44 System of Mineralogy,” published in New- York three years since, says : “The diamond appears generally to occur in regions that afford a laminated granular quartz rock called itacolumite, which pertains to the talcose series, and owes its lamination to a little talc or mica. This rock is found at the (diamond) mines of Brazil and the Urals, and also in Georgia and North-Carolina, where a few dia- monds have been found. In the United States a few crystals have been met with, in Rutherford county, N. C., and Hall county, Ga.”
Professor Silliman, in the American Journal of Science , remarks, in a brief paragraph: “We have seen a beautiful diamond, of fine water, weighing about four grains, taken from a gold-washing in Rutherford county, North-Carolina, and understand that others have been found in the same State, (also about five years since.) A crystal of a straw-yellow color, having the usual convex faces, and about the size of a small pea, was found in California, and supposed to be a diamond.” Doctor Ure further observes : “ Only two places on the earth can be adduced with certainty as diamond districts ; a portion of the Indian peninsula, and of Brazil.” It is likewise stated by other able writers on these “ expensive toys,” that the diamonds of India are generally free from any coating or opaque covering ; while tfrose of Brazil, surrounded, as they frequently are, 44 with a greenish crust, become of the first water, and most limpid when cut and polished.”
On the composition, formation, and origin of the diamond, Sir David Brewster (the highest trans-Atlantic authority) says: “From certain cavities (several of which, discoverable only with a magnifier, are to be seen on the surface of the Om-i-Noor) observed in diamonds, and from their effects in polarizing light, it may be conjectured, they originate like amber, from the consolidation of vegetable matter, which gradually acquires a crystalline form, from the influence of time and the slow corpuscular action.”
Faraday, and other eminent chemists of Europe, have recently sue* ceeded in converting the diamond into coke, having extinguished its blaze before it was wholly consumed by the voltaic arc of flame*
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As early as 1694, at Florence, diamonds were volatilized within the focus of a mirror, and thereby proven to be of a combustible nature.
Arid, as if determined to be foremost in the race for accomplishing a still greater miracle in the dawning science of chemistry, which seems destined ere long to achieve far greater and more truly useful, if not mysterious results than were ever dreamed or thought of by the most enthusiastic of ancient alchy mists — our own not half sufficiently appre- ciated, W. B. Rogers, late Professor in the University of Virginia, has “oxydized, in a liquid way/’ this gem of gems — in the course of which process he found carbonic acid was evolved by the decomposing diamond — thus adding another well-earned laurel to his previously crowded brow, and, at the same time, furnishing another all-important and conclusive fact to be placed, like the crown-stone of a pyramid, upon the existing host already on record, that prove beyond question their vegetable origin, and mark coal measures as the birth-place of diamonds.
Whence cometh this, what to some persons, (Dr. Ure, for instance, with his universal lead-colored taste,) might appear to be blind and sense- less adoration, or unaccountably high appreciation of diamonds weighing more than ten carats , so prevalent among man and womankind, almost without exception, at a day like the present, when ilcui bono ” or instan- taneous utilitarianism seems to be*the sole motive actuating and controll- ing all classes enlightened and unenlightened? Does it not arise from an innate principle implanted in the human mind, alike natural in its irresistible operations and universal as physical gravitation, compelling us to admire, venerate, and even adore whatever is sublimely beautiful in nature? Pliny, eighteen hundred years ago, in recording the super- stitious awe and veneration entertained by the ancients for the diamond, wrote in substance, as follows : “The most ancient writers describe the diamond as found only in Ethiopia, between the Island of Mcroc and the temple of Mercury, and as resembling a cucumber seed botli in shape, size, and color. It was said to be so hard as to break and splinter the hammer with which it was struck and the anvil on which it was laid ; and, on account of its resisting not only abrasion, but the most powerful heat, it was called by the G reeks, Adamas , which signifies the invincible or unconquerable.” Also, it was sometimes given the name of Anachitis , which means, a deliverer from anxiety , as it was thought to be a cure for depression of spirits or insanity, to be an antidote