Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1873-03-20

pfOnJ on tne business.
Temporary loans of money were pro-
cured by the institution during the run
upon them of October and November
last, secured by pledge of their United
States bonds, 'tcurrency siXes," to the
amount of S460, 600, in preference TO sell
ing said or other securities, or disturbing
loans in the available fund" drawing
interest at the rate of ten per cent, and
the wisdom of this measure is Jusuhed
by the recent large advance in the mar
| ket value of these securities.
They have paid off Sl6O,OOO OF said
loans since January IS, 1878, the date of
this examination, and the amount now
unpaid, February 4, 1873, is $500, 900.
The payment of the 100000 was the
result Of a rapid increase in their deposit
! line. and the conversion of other avalla-
ble matter into cash.
The first twenty days of January, 1873,
show an increase to the amount OF about
S90, 900.
There is q deficiency in the accounts
of the Beaufort, South Carolina, branch
to the amount of about SIG 400, which is
now in course of investigation by the in
spector.
improvements in the manner of keep
| ing therecoTds are being adopted, which,
when completed, will enable them to
compare favorably in this respect with
some of the oldest-established financial
| institutions among US.
The question of the establishment OF
| Hbranches" does not seem TO be provld-
ed for by the charter, while the spirit OF
| the charter, which seems to have been
! intended to bring about the moral ele-
walton of the freedmen, four millions
in number, would seem to imply the ne
| cessity of such an arrangement IN order
| to reach him where he lives; and in no
other way could this intention have
been carried out, and such appears to
have been the view of the gentlemen
who founded the institution; and they
number among them some of the first
philanthropists and business men of our
nation.
The question of the improvement of
their lands in Washington city seems
to be clearly violation of their char
! ter, and is submitted without further
comment.
The funds of the institution are loaned
| in sums of $50 to $50, 600, and these loans
are widely spread as to location, and
diversified as to character. The MAORI
ty of the security for the loans upon real
estate is located in the District of Column
bia.
Many of the loans are of a character
! that should not appear upon the records
of a savings bank, and will finally re-
suit in some loss to the institution, but
! the probable amount of such ultimate
loss it is very difficult to determine at
this time.
A more full inquiry as to values in
certain cases is now in process, the re-
suit of which will be communicated in
due course.
The business of the institution has
risen so rapidly from the most trifling
deposits of one dollar to five dollars,
gathered up by the executive officers
| from the hands of the freedmen all over
the southern States, at personal inter
UielUs, during many tours throughout
! the south, made for the purpose of call
/ ing their attention to the question of
savings, to its present proportions of
| 81, 600, 600, that errors of judgment have
| occurred in investments which are not
| likely 10 be repeated, with the light of
past experience TO guide them in the fu-
| ture.
! The executive officers are, in my
opinion, men of the most undOubted in
| IG0IllN vi EudIdClCIs uCNOlCu W llkC OCot
| interests of the institution, working for
small compensatiOns, and have educat-
ed themselves to the pTatical knowledge
| of the business of a savings bank to a
degree that promises a prosperous fu-
ture for the institution.
| / would respectfully suggest the re-
neal of all the present laws under which
savings banks of the District of Column
bia are now doing business, and which
| admit by inference, if not directly, of
such wide departures from the line of
safety in the pursuit of undue profit in
| the use of sacred funds committed to
their charge as have passed under my
observation in my present examination
of all the savings banks of the city of
| Washington.
Then enact a general savings-bank
act'i which shall define very clearly the
character of the property on which such
| banks shall advance money, limiting
them sharply to loans or investments in
| United States securities; real estate OF
double the amount of loans; State, city,
town and county bonds, having reference
more to safety than profit; such frequent
and full reports to congress or the comp
troller of the currency of their actual
| ondition-eXaminatiO annually at
! least, by eXperts-as shall tend to check
all departures from a sound, legitimate
business career, and such wise liberality
| and announcement to this "Freedmen's
! Savings and Trust company" as shall
| tend to perpetuate an institution which
] has already done so much to elevate and
educate the freedmen.
One result of the working of this last
named institution, of incalculable i'm
portance to the future welfare of our
country, has already appeared.
In hundreds of cases the freedmen,
! through the influence of this institution,
have been taught habits of thrift, which
! have resulted in their becoming the own
ers of small patches of land, and it is
needless to describe the elevation of the
man which this simple fact at once pro-
duces.
The destinies Of any nation are safe in
the hands of a people who are the own
ers of the soil.
l submit herewith detailed schedule
of the assets and liabilities, of loans
and investments, of cash and deposits
at all the branches; list of all salaries
for the year 1872, a list of all other ex-
penses for the year 1872, list of all
! funds in transitu, copy of the charter
and bylaws, and sundry documents
relative to the business of the branches;
all of which is respectfully submitted.
CHARLES A. MEIGS,
| National Bank Examiner of New York.
| Hon. JoHN JAY KNOX, Comptroller of the
| Currency, Washington, d. &.
/ CI.AssIFICATIoN or ASSETS OF THE FREED
| MEMS SAVINGS AND TRUST COMPANY, JAN
| UARY, Is, 1873.
| Assets:
Cash in bands of parent bank. So, ,4S2 O5
| Cash in hands of First National
bank, Wilmington ...................... 63,032 o
Cash in hands OF branches............. 329 S6i -
Cash in 1855 90
| ShOrt-date remittances in bank for
collection ............ 2s,iS5 6s
/ United States bonds, various, at par 7I8O5Oag0
Sundry Washington City securities. 3i,l75 8
! Approved claims against board of
public works.. 10000 90
| Isl all in the district of Columbia,
for periods Of ten days TO two
years .;...... ,7si 47s %
Loans on approved claims on board
OF public $4,000 20
Loans on chattel mortgage....-.......;. 5000 %
| Loans on stocks, bonds and personal
secuTit 106o3 Az
Loans at 259,S5s 40
''sy'i syivania avenue sls2lS 26
in on foreclosure. 2,SO4 90
Real estate and buildings at the
Premium on United states bonds at :
| ia per cent. O4S0 W
| Accrlied Interest on Ioaus............ 7T,029 81
T Total...............4 tSt ..'..e. - 4lSS,732 5:
LIABILITIES.
| Amount due depositors- 81 o,639 -
Amount Of cash borpw- ooo %
Amount sS Of interest due. $500 5000 60 g
- 4,f76,632 81
surplus................................ 7,OOo,2i
I az=zEzzznznzuRum
The leading popular orator of Tennes-
see is Major Gustavus A. Henry.