Evening star. [volume] (Washington, D.C.) 1854-1972, 1872-12-21
FINANCIAL FIyESSE.
Old Nick D1aale and she savannah
Branch Bank


knew very little Of "corners." such as have
rendered the operations Of these gentry in New
York and Chicago notorious In these latter
Ssvs; Ssse rs, grain, and PROVISIONS we're
Ion according 70 our present ideas. But, not
wtthstanoiDg their ignorance Of the improved
facilities for making money which these latter
Quoted financial schemes 60 daring aud start
ling a. to evidence they were not unworthy
PIogenitors Of the brilliant geniuses of this
effort, made during the fore part Of General
Jaekson's administration, to gain control OF the
then United States bank, for the Aid its funds
would afford about election times, was entirely
worthy OF the best OF our present party man
ayers.
bank at Portsmouth, n. H.. of which the cele-
brated Jeremiah NJ ason was president; but the
result was so hopeless that tbs Ia lies we're
changed; and 80 great hue and cry was finally
commenced upon the bank, as q monster OF
political corruption and public danger. This
aroused the bank-for its charter would expire
II not renewed, In some five or six years. This
new element OF controversy speedily drew in ell
the adherents OF the respective parties; and in
short time the entire nation was holly by the
ears upon q subject that nobody had thought
about at all until the politicians cried aloud
over 1t.
From Instructions, the assailants of the bank
soon proceeded to specific charges; and finally
they came out with the Astounding assertion
that the bank was positively insolvent, aud they
this was so. A charge so grave only added to
the fury Of the contest, as might we'll be sup
posed; but the story was stronger meat than the
public mind was yet ready to digest. In this
state Of the struggle the idea was conceived of
breaking one of the branches of the bank, of
which there were twelve. III the attacking
the adversary would fall under the shock.
Such an effort was full of danger. A discovery
and exposure of a plot so diabOlical would have
overwhelmed its originat0rs, and swamped the
a m fha
managers in mood, to stick at means, nor
hesitate over dangers. The agent chosen to do
the wST. Tas New YORK K, broker whose name
ton which the job would net to his purse,
he readily undertook tin q regular
business way, Of course: The branch selected
This was not SO difficult task. either,
as might be supposed; for that bank was
at very remote quarter in those days, and its
business was comparatively small. Usually the
amount of specie in its vaults was only from
eight to twelve thousand dollars. To secure far
more than that sum of its bills was easy; and as
bill presented, and was q broken bank if it
failed to do 30 on demand, it appeared to be an
assured work that the Savannah branch would
be broken; True, even If the m after proved Q
nant motive would be plainly exposed and
everywhere denounced among intelligent and
business men. But the great mass of voters
would only see and hear that the bank had
failed; and one part being proved to be rotten,
the whole concern wOuId be regarded as in like
condition. The insolvency of the United States
bank would have too much probability with the
masses for 1t to stem the tide, or secure a re-
Dewal of its charter. And so 5000 were
placed at the disposal of Clark, with orders to
call for as much moro as he required, and to
take his own time to complete his work.
As q broker, Clark quietly gathered and hoard
ed Savannah Branch bank notes as they came
along, or as he could secure them without sus-
picion in the regular course Of business.
But there was another chapter which was
forgotten or unk nown to Clark, bat viii Cd came
into the story and gave it finishing touches;
and that was the memorable laws of financial
tides, aud the system pursued by the mother
bank at Philadeiphia in dealing with its
dent of the mother bank-familiarly kno wn in
the strategy of that notable war as "Old Nick"
This important consideration seems not to have
been fully studied comprehended by the
New York broker, nor the political field mar
shals in Washington From the revolution up
to the days of which We write, neither money
nor fame were sufficient to secure men in places
of high trust and responsibility. Integrity ex-
perience and br aims were the essentials for such
honors. Ii was certain, therefore, that no sec
ond-rate man would hold the vast power in the
VOWED In the presidency of a bank with thirty
millions OF capital, collecting and disbursing
every dollar Of the national revenues, and with
a. business credit that had penetrated even to
Hong Kong. Nicholas Bddle was the happy
individual upon whom this distinguished honor
fell, and right ably did he sustain his place aud
So, while Broker Clark was mousing
around New York, slvly gathering in Ssvan-
nah Branch notes, and boarding them. Mich
olas Biddle saton his golden throne in the bank
parl0r at Philadelphia
Calm as summers morning.
We know what Broker Clark was about with
his little "corner" In New York. Now let US see
what Nicholas Biddle is about, in his parlor In
The branches of the United States bank m ads
weekly returns to the mother bank, including
the amounts of respective branch notes receiv-
ed during the week; This kept "Old Nick"
always informed Of the general amount of notes
In circulation from each branch, as well a. Q
birds eye view Of the circulation and business
OF the whole. Necessarily these weekly returns
were critically scanned and compared. An un-
derstanding'of this part of the business system
pursued by the principal bank will make what
follows clear, and incline us to feel curious over
the success OF Mr. Clark, the broker, in his
search for Savannah branch notes.
or course "Old Nick" was constantly on the
alert for his cunning and powerful foes. Like
sharply to see where and how it was threat
ened. Studying over thu usual weekly returns
one day, he observed this, in the return from
"we return you less than our average Of a.
vannah branch notes.
This was not calculated to arrest any special
attention. But the next week two branch
sour return, this week, shows less than the
average Of Savannah Branch notes."
1t may be supposed that Nicholas Biddls
turned his eye g asses upon this second war; ming
with curious interest, and when the next week
and the succeeding weeks-and every week
the steady, wholesale disappearance OF Savan.
nah Branch notes from circulation was thus
proved, we fancy we see the Nicholas Biddle
place the right digit across his nose, and
ponder. No one but hi mself knew
of those signs OF storm coming from all quar-
ters. Just what 1t all meant, he could only
guess, but ne hit the truth. So, keeping his
own counsel, he quietly shipped $500 200 of
specie to the Savannah Branch-with letter
to the president-who was directed to keep his
eyes wide open, and his mouth close SHUT
Meanwhile, Broker Clark was gathering
them in" and chuckling over the success and
secrecy OF his labors. What he did, he meant
should be thorough; and when he started to
squech the Savannah Branch, he intended to
snuff 1t all out, sure; aud 50 he 10 abe no undue
haste, and took no perilous risk mot he.
One fine sunny day, at a time of the year uu-
known to this depOnent-only all sunny days are
specially fine In Savannah-s strange gentle
man entered the quiet office of the United
States branch bank in Savannah and inquired
for the president,-an occurrence not unusual.
Coming into the presence of the great man of
the bank, the stranger introduced himself as
"Mr. Clark, OF New York" Mr.. President
courteously clasped the hand of Mr.. Clark, who
reciprocated. Seats were now taken, and the
first general chat Of such meetings ensued. At
last something like the following took place:
4" Mr.. President, L am broker, aud have
some of your notes, for which 1 want the
. Certainly, Mr.. Clark. What amount have