The Republican journal. [volume] (Belfast, Me.) 1829-current, 1873-01-02
Old Nick Biddie and the Savannah Branch
Bank
From the Boston Commercial Bulletin.

Old Nick BiddIe and the Savannah Branch
Bank.
From the Boston Commercial Bulletin.
Forty years ago the brokers and specu
lators knew very little of "corners," suct
as have rendered the operations of thest
gentry in New York and Chicago notori
Gus in these latter days. Stocks, grain
and provisions were bought and sold ther
in quite primitive fashion according to
our present ideas. But, Notwithstanding 9
their ignorance of the improved facilities
for making money which these latter days
have developed, our fathers at times con,
Quoted financial schemes so daring anC
startling as to evidence they We're not un
worthy progenitorso of the brilliant geniuse
OF this day. One of these, desperat,
and reckless effort made during the fore
part of General JacksOn's Administration,
to cain 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 managers.
The first effort was made upon the
Branch bank at Portsmouth, N H., of
which the celebrated jeremiah Mason
! was President but the result was so
uODplbSS Iiidl lllt ltbCIlIS NOiC Shteh S,St
| and SO a great hue and cry was finally
commenced upon the bank. as monster
of political corruption and public danger.
This aroused the bank-for its charter
would expire, if not renewed, in some
five or six years. This new element Of
controversy speedily drew in all the ad-
herents of the respective parties; and in
:. short time the entire nation was hotly
| I Al. fbat pnhn1yy
had thought about at all until the pollti-
clans cried aloud over it.
From insinuations, the assailants of the
bank soon proceeded to specific charges ;
and finally they came out with astonish-
ing assertions that the bank was positively
nsolvent, and they made the contidin g
''old hero" honestly believe so. A charge
so grave only added to the fury Of the
contest, as might well be supposed but
the story was stronger meat than the pub
lie mind was yet ready to digest. In this
state of the struggle the idea was con-
ccived OF breaking one Of the branches OF
the bank, of which there were twelve. If
the attacking party could do this, they
wJiG,ht, lfnf u6delF the shock Such an et-
fort was tull Of danger. A discovery and
exposure of q plot so diabolical would
have overwhelmed its originators, and
swamped the party. But it was not a
time, nor We're the managers in mood,
to stick at means, nor hesitate over
dangers. The agent chosen to do the
work was II New York broker, whose
name we will call Clark For the valu-
able consideration would net to his purse,
he readily undertook it--in a regular bus
mess way of course. The branch select
ed to be assailed was the Savannah bank
This was not so difficult task, either. as
might be supposed for that bank was at
q 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 tar more than that
sum of its bills was easy; and as every
bank was liable to pay specie for every
bill presented, and was q broken bank
if it failed to do so on demand, it
appeared to be an assured work that
the Savannah branch would be broken
True, even if the matter proved q success,
the scandalous means and the malignant
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 failed; and one part being proved
to be rotten, the whole concern would be
regarded us in like condition. The insol-
vency of the United States bank would
have too much probability with the
masses for it to stem the tide, or secure a
renewal of its charter. And so 5000 900
We're placed at the disposal Of CLARK, with
orders to call for as much more as he re-
quired, and to take his own time to com
plete his work.
AS a broker, Clark quietly gathered and
boarded Savannah Branch bank notes, as
notes as they came along, or as he could
secure them without suspicion in the reg
ular course of business
But there was another chapter which
was forgotten or unknown to Clark, but
which came into the story and gave il
finishing touches; and that was the mex
orable laws of financial tides, and the sys-
tenn pursued by the mother bank at Phila-
delphia in dealing with its branches-not
emitting Nicholas Biddle. President of the
mother bank-familiarE known in the
strategy of that notable Waras 'Old Nick. :
, This important consideration seems not tC
, have been fully studied nor cOmprehended
by the New York broker nor the political
field marshals in Washington. From :he
, Revolution up to the days of which we
write, neither money nor fame were suffi-
cient to secure men in places of high
, trust and responsibility. Integrity, eX-
perience, and brains were the essentials
for such honors. 1t was certain, there
lore, that no secondrate man would holG
the. vast power in the money world anG
the complicated duties involved in the
Presidency Of a bank with thirty millions
| of capital, collecting and disbursing every
dollar Of the national revenues, and witt
a business credit that had penetrated ever
to Hong-Kong. Nicholas Biddle was the
| happy individual upon whom this dis
tinguished honor fell and right ably did
he sustain his place and reputation. So
| while Broker Clark was mousing arouni
New York, slyly gathering in Savannah
| Branch notes, and boarding them, Nicho
las Biddle sat on his golden throne in the
back parlor at Philadelphia
Calm as a summers morning.
We know what Broker Clark was abou
) with his little ''corner" in New York
Now let us see what Nicholas Bddle is
about, in his parlor in Philadelphia.
The branches of the United States Banl
made weekly returns to the mother bank
including the amounts of respective brancl
notes received during the week. This
kept "Old Nick" always informed of the
general amount of notes in circulation
from each branch, as well as birds ey,
7 view Of the circulation and business of tn,
7 whole. Necessarily these weekly return.
were critically scanned and compared
! An understanding of this part of the bust
ness system pursued by the principal banl
will make what follows clear, and incline
} us to feel curious over the success of Mr.
Clark, the broker in search of Savannah
3 branch notes.