The interior journal. [volume] (Stanford, Ky.) 1872-1881, 1875-09-10


tCipcinnsti Gssette.l
The failure Of the Bank Of California,
and subsequent suspensions, caused great
excitement in San Francisco and through
out the Pacific States, but the effect In
New York was very slight. The varia.
tion in the gold premium was triAing,
and the decline in stocks early In the
day was subsequently recovered. This
shows that the failure Of the bank Of
California did not take that money cen
ter by surprise. II has, indeed, long been
predicted as sure To occur. II was not a
bank In the true sense Of the term, but a
large speculative corporation. Those
who visited San Francisco formed a
lasting impression Of the magnifi-
cence Of the establishment, and
the munifcence of its managers. The
banking-bouse was the finest in the
world. II was built and fitted up with
out regard to cost. Hard wood, solid
silver and marble were used in finishing
the rooms devoted to banking, and The
furniture corresponded. There was no
veneering, no sham. Everything was
real, and calculated to impress the be-
holder with the solidity of the concern,
its great wealth, and to indicate mex
haustible resources Paper money was
not passed over those counters except as
merchandise. Gold and silver were the
exclusive currency, except where deposit.
ors deposited coin and received bank
drafts in return. The clerical force in
the bank was large. well drilled. and well
paid. The capital stock was four mil.
lions gold, all paid up" and the depos-
its eight millions.
The President of this bank of great
splendor and wonderful pretensions, was
Mr.. Ralston, an Ohio man. He was for
merly second clerk on an Ohio River
steamboat, and lived, when at home, at
or near Steubenville, Ohio. He emf
grated to California, and was one of the
few adventures who prospercd. He
walked up the ladder of wealth and fame
rapidly, and was supposed, recently, to
be worth fifteen million dollars He
considered himself equal to any under.
taking. For time everything he touched
paid, and he was bold and grand as he
was lucky.
The bank paid him, in addition to a
large salary, twenty-five thousand year
for entertaining, and he did entertain in
style that was more than princely. lie
maintained a magnificent residence
twenty-six miles from San Francisco.
Here was park of many acres laid off
in magnificent style, lighted with gas
on the adjacent grounds.
The house correspOnded. The Gar OF
Russia or the Emperor of France in his
best days would hardly have desired any
thing better. Then there was an army
of servants, every man in his place and
every guest was waited upon from the
time he stepped from his carriage until
he retired, and from his rising in the
morning until he was assisted into his
The stable contained thirty-six blooded
horses. The carriage was drawn by four
horses, and the time between the residence
and San Francisco was two hours. Half
way there was relay of horses, and up
hill and down the highest possible speed
was maintained. The living expenses of
Mr.. Ralston were supposed to be $780,
900 yearly.
The bank, soon after its organization,
invested $3.50, 900 in lands. 1t also pos
sessed itself of the California Wagon
Company, 80 that wagon-making was
part of its banking business. 1t was in
the mining business of course extensive.
To- .na hes;aos !, ,noon,.,ad I.rnoI, IN
y, anu o.s'u''' " M sP'' ''"'.u '"'s.y :"
mining STOCKS Inc Presiueh' u'u
great zeal, too' on MS own account IL