The Washington union., 1858-01-31
BANK OF CoMMERcE,

5a2a A 4t BANK COMMERCE, 5
sI Georgetown, ID. c., Dec. 81, 1851
SrR The undersigned president of the Bank of Com
erce Of Georgetown has the honor to acknowledge the
receipt Of your letter of the Esd instant addressed 40
the President of the Board of Trustees of the Bank of
Commerce of Georgetown,' requesting ga full state
Of the affairs of the board Of trustees of the Bank
of Commerce. detailing the assets and liabilities of the
same with full and complete list of its debtors the
amount due by each, when their obligations
tracted, and when they mature; how the
cured &c. and also enclosing resolution of the SEN
ate for your authority In the premises adopted 22d inst
1t is evident from the direction of this letter. that
msconcepton exists in the honorable committee of the
Senate to the origin and legal position of the Bank of
Commerce, which may be easily removed by brief ex-
planaon Of the rise and establishment of that bank
Congress- by several acts Incorporated certain banks
this District whose charters expired in July 1874 The
stockholders Of these banks at public meeting held in
June Of that year. directed all their estate real personal
and Mixed to bc conveyed to certain trustees upon
tain trusts uses and purpcoes and such deeds were
duly made and recorded in the clerks Office of this Dis
trct. The charters of such banks having expired in
july lS44 the trustees it is said advised by the
most eminent counsel that officers of such oinstock
companies they had full power to engage in the business
of banking and to issue paper money, discount notes.
and receive depostes. #
The trustees of these companies having been thus
tilted by the opinions Of able lawyers, engaged in bank
ing operations and have continued in this business for up
wards of thirteen years. and 1t may be inferred that their
banking operations have been highly beneficial to the
public. Certain individuals, to wit Hugh b. Sweeny
Hamilton G. FAINT, John L. Dufef Richard Petit Mrs.
Susan Ireland Charles E. Rttcnhouse Samuel Fowler
William I. Heron, r M. Boyer, and Timothy Neale
who are all residents of this District and known be
large estate owners of abundant means and who
entirely disconnected with the banks whose charters
had thus expired determined in the absence of any
banking law for this District and ut the solicitation of
large number of merchants to appropriate considerable
part Of their capital to the business Of banking
The population Of the District having largely increased
and the current business of the two cities equally
dviJ in fhpv
stock company, with capital of hundred thousand
dollars to carry the banking business in Georgetown
and designated it the Bank of Commerce of George
town. They encouraged to undertake this business
from the conviction that they would infringe no esab
lished public law and from the belief that they had
right to appropriate their capital to the of any le
climate object Of business The stockholders thus formed
the Bank of Commerce appointed president and cashier
and controlled revised and supervised the acts of their
officers at stated regular meetings. This company has
been engaged since in Danking operations that
to in receiving depostcs dscountng notes. and is
suing bills for a limited circulation.
The first clearly legal, deposite is only an
agreement between parties the depoitor having right
to give his money to any individual to keep and control
and the depostee Iailee having the right re-
cevc the money The right to discount is just clear
discount is but loan and all the public law enjons is
that usury shall enter into the contract And here
it may be respectfully suggested that depose and
loan not usurious thus legal and harmless, gov
ernment, however despotc, much less free, has ever
abridged denied the rights of its citizens thus to
tract in these simple FORMS
The parties, then, to such innocent and legal opera
Hons should not be exposed to public view it being the
undoubted understanding of customers that they
have right to borrow, and the transactions being legal
and innocent they ought not to be made accountable for
any such engagements either by public exhibition of
their Names searching scrutiny into their ability to
pay This suggestion is confirmed by the reflection that
1t is private partnership, and only responsible to the u
dcal tribunals Of the country for the propriey Of it's
past operations, similar to other partnerships and to be
governed by the same laws. .s,a sf
The right to issue paper money was not restrained by
any public law act of Congress when this bank
tablshed and as such issues then and still
legal 1t is very clear that the stockholders and officers of
this bank cannot be subjected to any penalty,
aenable to other than the courts for the exercise of
undoubted right.
That Congress has the right to enact any laws for the
c concerning the currency Of this District il beyond
dispute and the stockholders of this bank will be among
the first to scquiesce in such legislation
Confidently believing that they have transgressed
law and that the courts open to their customers for
any imputed wrong they cheerfully submit herewith
to the consideration of the honorable committee such
statement Of their condition compors with strict
gard to the feelings rights and iteests of Others That
the bank has bsen considerable advantage to the
mercantile community may bc inferred from the fact that
during the period Of Its existence about six years. has
discounted over four miIlon dollays.
The circulation Of the bank, which constitutes the only
possible objection to It, 10 far the public ID concerned
thousand dollars.
Having referred for their authority 70 the general law
which gave them full power to engage In this business
and chocrully rendering statement OF the affairs Of the
company the undersigned believes that il fully complies
with the object proposed by the letor Of the commttec
cnt servant G. 4. RITTENHOJJSE Pres;dent
Hon. JOHN SLIDEL,
Chairman Of the Select Committee, &c, u s. Senate.
General statement Of the Bank Of Commerce Gcorgeown D.
c., January 2, 1858.
I a.-f.. a UAmLIrlrx t.t.s
Capital paid In $l06 900 90
Circulation 2s, ,995 90
Certificates of deposite. e.-------..--- $500 90
Dcpositon ACKNOWLEDGEMENTS 81, 1872 46
Due to other banks. 4g9 2l