The Fremont weekly journal. [volume] (Fremont, Sandusky County, Ohio) 1867-1877, 1873-01-24
THE JOURNAL.
FINANCIAL FINESSE.
Old Nick Biddle and the Savannah
Branch Bank-One of the Notable
"Corners" of the Past.

Old Nick Biddle and the Savannah
Branch Rank-One of the Notable
"Corners" of the Past.
A correspondent of tho Boston
Commercial Bulletin gives very
interesting account of this bold
game, which came very near sue
ceeding. The first effort, he says,
was made upon the Branch Bank at
Portsmouth. N. H, of which the
celebrated jeremiah Mason was Pres
ident;but the result was so hopeless
that the tactics were changed; and
so a great hue and cry was finally
commenced upon the bank, as
monster of political corruption and
public danger. This aroused the
hank-for its charter would expire,
il not renewed, in some five or six
wears. This new element of contro-
yersy speedily drew in ali the adher-
ents of the respective parties; and in
a short time the entire nation was
hotly by the ears upon a subject no
body had thought about at all until
the politicians cried aloud over it.
From insinuations, the assailants
of the bank soon proceeded to spe-
cific charges; and finally they came
boldly out with the astounding as
sertion that the bank was positively
insolvent, and they made the confd
ing sold hero" honestly believe this
was so. A charge so grave only
added to the fury of the contest, as
might well be supposed; but the
story was stronger than the public
mind was yet ready to digest. In
this state ofthe struggle the idea
was conceived of breaking one Of the
bank, of which there were twelve.
If the attacking party could do this,
they might feel certain that the ad-
versarY would fall under the shock.
Such an effort was full of danger. A
discovery and exposure Of plot so
diabolical would have overwhelmed
its originators, and swamped the
party. But it was not a time, nor
were the managers in a mood, to
stick at means, nor hesitate over
dangers. The agent chosen to do
the work was a New York broker,
whose name we will call Clark. For
the valuable consideration which
the job would net to his purse, he
readily undertook it-in business
way of course. The branch selected
10 be assailed was the Savannah
bank. This was not so difficult a
task, either, as might be supposed;
for that bank was in very remote
quarter in those days, and its busl-
ness comparatively small. Usually
the amount of specie in its vaults
was only from eight to twelve thou
sand dollars. To secure far more
than that sum of its bills was easy;
and as every bank was liable TO pay
specie for every bill presented, and
was broken bank If it failed to do
so en- demand, it appeared to be an
assured work that the Savannah
branch had broken. True, even if
the matter proved a success, the
scandslous means, and the malig
nant motive would be plainly expos
ed 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 would
be regarded as in like condition.
The insolvency Of the United States
bank would have too much proba-
bility with the masses for it to stem
the tide or secure a renewal of its
charter. and so two hundred thou
sand dollars were placed at the dis
posal of Clark, with orders to call
for as much more as he required,
and to take his own time to complete
his work.
As broker, Clark quietly gather
ed and boarded Savannah branch
bank notes as they came along, or
as he could secure them without
suspicion in the regular course of
business.
But there was another chapter
which was forgotten or unknown to
Clark, but which came into the sto-
ry and gave it finishing touches; aHd
that was the inexorable laws Of f.
nancial tides, and the system pursu-
ed by the mother bank at Philadel-
phia in dealing with its branches
not emitting Nicholas Biddle, Pres
ident of the mother bank-familiar-
ly known in that notable war as "Old |
Nick" This important considera-
tion seems not to have been fully |
studied nor comprehended by the
New York broker, nor the political |
field marshals 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 RESPONSE
bility. Integrity, experience and |
brains were the essentials for such |
honors. 1t was certain, therefore,
that no second rate man would hold |
the vast power in the money world,
and the complicated duties involved |
in the Presidency of bank with
thirty millions of capital, collecting
and disbursing every dollar of the
national revenues, and with a bust
ness credit that had perpetrated even
to Hong Kong. Nicholas Biddle
was the happy individual upon
whom this distinguished honor fell,
and right ably did he sustain his
place ahd reputation. So, while Bro.
Clark was mousing around New
York, slyly gathering in Savannah
branch notes and boarding them,
Nicholas Biddle sat on his golden
throne in the bank parlor at Phila-
delphia,
"Calm as a summers morning"
We know what Broker Clark was
about, with his little corner" in New
York. Now let us see what Nicho-
las Biddle is about, in his parlor in
Philadelphia.
The branches of the United States
bank, made weekly returns to she
mother bank, including the amounts
Of respective branch notes during
the week. This kept "0ld Nick"
always informed Of the general
amount of notes in circulation from
each branch, as well as birds eye
view of the circulation and business