The Evansville daily journal. [volume] (Evansville, Ia. [i.e. Ind.]) 1848-1862, 1857-10-20
The Bank Of the State.


Mr.. EDITOR As your statement that
Winslow, Lanier g. Co. held large sums
from the new and old State Banks is not
correct as regards the new State Bank
and may create an erroneous impression
as regards the old, beg leave to set you
right.
The new State Bank has not altogeth-
er over $4,000 in the hands Of that
house, which would be only $1,000 to
each Branch, provided all had accounts
with them. AS the fact is, the largest
balance held by them from any one
Branch does not probably exceed 5000,
while on the other hand they own stock
in all the Branches which kept an ac-
count with them, and in none in small
er sum, believe, than $4,000. As this
stock is all paid in and is bound for any
balances held by them, there could, in
no event, be any loss. But as they are
abundantly solvent. no loss could in the
end occur even without estimating their
stocks; and the amount they hold for
the new Bank being so small the tempo
rary deprivation of it can give it no in
convenience whatever.
To the OLD BANK their Indebtedness
is much larger; but the Branches hav-
ing provided fully for their redemptions
without regard to the balances in the
hands Of Winslow, Lanier & Co., will in
no degree be prejudiced by their suspen-
sion.
The new State Bank can only preserve
her franchises by maintaining specie pay
ments, and being abundantly able to
maintain them has decided to do it.
Should few Branches be unable to stand
the pressure for redemption of their
notes, still their suspension-snould any
occur-would not destroy the charter or
effect the value of their notes. The 9TH
er Branches would receive them in pay
ment and on deposit as usual, and would
be liable for their redemption should the
suspended Branches themselves be una
BILE to pay them in full.
That the bank as whole is very
strong, and will sustain itself admits oil
no doubt, and no apprehensions should be
felt in any quarter, even should few Of
the banches most exposed be compelled
temporarily to yield to the redemptions
demanded of them.
One word on another point. There
ere those who have urged that the new
Bank ought to suspend to relieve the
wants Of the community by giving dis.
counts payable in its own suspended
notes. Such do not consider that sus.
pension would give the Bank no such
power. It's functions as Bank would
cease, except in so far as necessary to
close up its business. The constitution
settles this point. Hence, were thu
Bank at large to suspend, it would CEASE
to exist, except as Bank in liquidation
By maintaining specie payments it
rights will be preserved, and if properly
administered it will become in the flu
ture what the Old Bank was in the past
valuable aid to the business interest Q
the State. G. w. RATHBONE.
In confirmation Of Mr.. Rathbone'
statements We copy the following lette
from the President Of the Bank.
BANK OF THE STATE OF INDIASA,l
Indianapolis, Oct. II, 1857. I
To the Editor:-Messrs. Winslow, LAME
81 Co., of New York, are supposed by Il
public to be intimately connected with tn
Institution, and to be considerably indebte
to our Branches for deposits. take the lii
erty of saying, that the total amount of the
Indebtedness to the branches of the Bank Q
the 18th inst. was about $40, 900, whiC
amount is entirely secured by the stock of N
Lanier in the branches.
| regard Messrs. Winslow, Lanier 81 CO
although driven to a suspension by the pre-
sure of the times, as amply responsible tor a
their liabilities-but under no circumstanc
can this bank lose dollar By the suspensio
HUGH McCULLOCH, Prest.