Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1873-03-20
FREEDMEN'S BANK.
How and by Whom Established-HOW
Conducted, and What They Are.
Report Of Inspector Charles J. Meigs to
Comptroller John Jas Knox.
The Number Of Branch Banks-Where
Located, and what Capital
They Have.
From the Wash.ngton ChronIele.l

SR-In accordance with your in
structions l have Just completed an eX-
animation of the affairs of the Freed.
mems Savings and Trust company OF
this city, and respectfully report as
follows:
On the twenty-seventh of January,
1865, the following gentlemen met at the
National American Exchange bank,
New York, and after listening to the re-
marks of Rev. John Watson Alvord,
who had, during the late war, entered
Savannah, Georgia, Simultaneously with
General Sherman's army, became in
spectOr of schools and finances under
General D. o. Howard, and afterward
general superintendent for schools for
freedmen throughout the States lately
in rebellion, measures were at once
adopted to found the FTeedmen's Saw
ings and Trust company, for the charter
of which a bill was then pending in
Congress, and was passed March 8, 1855:
Present: Peter Cooper, William c.
Bryant, Hiram Barney, Charles Collins,
Thomas Denny, Walter S. Griffith,
William Allen, Abraham Baldwin, A.
S. Barnes, S. Is. Caldwell, r. r. Grave,
A. s. Hatch, Walter S. Hatch, +. A.
Lambert, w. G.. Lambert, Roe Lock
wood, r. II. Manning, r. w. Ropes, H.
H. Wallace, George Whipple, Albert
Woodruff, John w. Alvord.
William A. Booth, ESQ, of New
York, was the first president, and J. w.
Alvord the corresponding secretary, who
was authorized to open branches
throughout the southern States.
April 4, 1855, opened an Office in New
aA ~. ,fhi -,
Norfolk, Virginia. July IL, 1865, the
first deposit was received at the Wash
ington branch Office.
Iu 1867 the parent bank removed to
Washington city, corner Nineteenth
street and Pennsylvania avenue, and
December seventh, 1871, again removed
to the present location on President
square, Pennsylvania avenue.
The degree of master of arts was con-
ferred upon Rev. J. w. AlvOTd by
Yale college, and he is now president OF
the institution, having devoted himself
to its service from its inception.
They have an inspector and assistant,
whose duty it is to examine frequently
the parent institution and all the branch
es. with no other duties.
The branches receive deposits, remit
to the parent bank less an amount suffi-
cient to meet ordinary fluctuations in
their deposits, draw drafts on other
branches, mainly for the aecommoda-
ton of depOsitors, and generally for the
reason that there are no national banks
in the places where such drafts are re-
quired by the business community.
This portion of their business is a mat
ter of very small profit, and is mainly
incidental TO the main question of get
ting deposits.
As national banks are established,
this bill-drawing is mainly confined to
transfers of funds required by the de-
pOsitOrs.
The branches have had authority in
some cases to MAKE local loans or tenn
porary investments of funds, but this
system was abandoned in October, 1872,
and all loans Or investments are now
passed upon by the parent bank, with a
few trifling exceptions.
As the magnitude of the deposits will
warrant, this power will pass to local
boards of trustees, who can be intrusted
with tkis vital power.
The only branches that draw any
amount of domestic exchange, st a
profit, are at Jacksonville, Beaufort,
South Carolina; NatcheZ and Nlcks-
burg.
The Shreveport, Louisiana, branch
draws only for the postmaster at that
place.
The branches have local loans at this
time as follows:
Memphis, Tennessee, Sl9,9S3 Is on
county warrants, trust deeds of real es-
tate, etc.
Vicksburg, Mississippi, S25, 800 on city
bonds, State and city warrants, real es-
tate, etc.
New orleans, S325O on United States
bonds and city bonds.
Jacksonville, Florida, $50, ,749 II on
city real estate, personal, etc.
Beaufort, South Carolina, Sl53,65S 60
on various securities.
The branches own Che lot and build
ing in which they are doing business, as
follows:
~