, 1876-08-21
How the "Ten Per Cent Paid.Up"
Dodge Has Been Success
fully Worked.
Tbs Laboring Classes Swindled Ont Of
Millions Of ard-Earnsd
Dollars.
A Compendium Of Advice for st.
Louis Deposit0rs.

an.s ul from, thc h,tsine.s men Of The city very
.,T.sa,. ,s1p frnrn what might be s,ipnosed from
w. .,nre.slon, of tho pcwspapc.s. True, tue
t,,s,1 n.moerat takes to the thing quite kindly,
.nd ,r,a ax thourt, It yould enjoy nothing bet
ihu 80 ~ ~ {. ..,;, L., ii. ..,ro u,,ne hut
the other papers aIo ira'eio'e, ana nso 1tylc Of
language thut good people should never direct
,ounrft a 11ssiouAryin good causu-
lint lint The business men Of St. Louis arc less
...,',.,ro n on1 moro prnctic.,. The other
sensitive ano 'no,o p'ae'sa" ~ o.uo. L.,'a
dAy l met leading fncrcAant7 VINO
was OH his way from = news-dcpot
,chere he had lust pail 10 cents for 4
Tara,,xu sunn1cn,nt. usajd he: nWby
iHlnush euprss.n".' r.s..' .h.na -, ~ ~, ,,,,tn.
doesn't Tlsh Tribune snake up our banking
,counirelsl We have some OF the best banks
h the country in st, Louls, but We also have =
iot ri the verv worst kind, Tho pcopIo who SUI
rr Nv these bank failures are those who can least
afford II. h1cschane uo MOI patfoa'ze thch,
but poor people do. This thing Is common
rurso to all communities, but Il Is worsa hure
t,an auywfcro else. / wish THu TRIBUNE
Upon inquiry, became satisfied tlat no more
instructive or useful chnuter upon banking
,ould be written than the record Of tho banks
D1 ". Louis lhat nase ia'en s"su e,1 pa,a'c.
Of weakuess to which banking i1,stltu-
lions aro subject. The record Is ~
pertinent In New York; Chicago or Sun fran.
cisco, as III 81. Louis III every 'argc city lna..y
millions OF dollars are conltued almost bltndly
to the keeping uf naiks 9y nlamy thousands 10, m
SeSc SsSq s. wnS ~: 0fRk RsssS; iasss ssss aVa 81
thakcu tic conllucce Of these peupe that very
iarsu amount Ut nloncy Las been with
drawn from deposit, 70 tho Injury ot
Ill part!cs conserned, anu TO- s!1sh !3;!l. an
10 tic sound moncyed Institutions of tl's coun.
kry. II Is very Important that this dlstrust
slioud be checked, but i can never b. expected
that people gencraliy Will nuke study Of the
banking business In order tllat tlicr confidence
tuuy Lc weIi-dlregted. The samu end may be
accomplished by II hinplcr and more attraetiYe
mcthutl. TI.c record which is to follow will
auswcr tic purpose. It nlay bt styled
AcoMrESpluM OF ADVICE re- pEposITons.
st. Loais LS Contains ct5 more stedsed scoanares
aud mure poor people who l'avo bccn lsc;Ftless-
y ylelinized tllnt any other city IN tile land.
IN st. Louis, becausc, presume, 1t is rcspert-
uhle and allows good sllaro of time for sitting
down. TAero ia nUthlhg cl6e 6uuthcrllcr
enjoys 50 much us A., bclug respectable
twn nov. Tlis great number oi banks is not
Wy dsaaad isF thS,a @ q M p% a q ts ,, ,ss;
existence may By charged upon the very looss
aud liberal LankIng laws Of Missouri, wlllri
ulrosl 10 safeguard or protection to the
creditors Of Il bunk md give to
u dupc aud swluAe tl'o people. ANY Ave men
who ca,l serape together about e, ,001 may eart
bank. Many Of tho banks here lave ne1or i.sd
more tilnn 10 Or 10 per cent of thclr canltnl patl
II. know Of yoll,g clerk here who holds
nal purchaser, alld f0r which he paid only $5D0.
liz Owls no ottur property, and Is utterly irre-
spons!ble, yet that bank Is doing business now,
anl advcrtlses capital of 100000.
The degree Of eoaiiaenco ti,a. these m2iserab!y
ized hcrc, with pail-up capital ot only ,s7,6vo.
A larger part Of thls sum was expended IN it,
ing up the Office, .yet tho concern at one time
large llnc Of deposits.
IT LoASRD $700,O TO A FINN
Of which Its Vlcc.presilcnt was member, and
later It's cashier deeamps4 alter having stolen
work hard fur their money put III big t,l1t sign
With tbs word sBank" oil It Ia alnazlng Ovyond
expression.
It has BEEN very common practice hero Tor
hanks to Tork Mp9n ts 1 national q religious
jewish hunks und, In q more covert
1huo' terrible distress that has Lgen
visited upYn thousunt!s Of fau.tllcs In IT. Louis
through tho fnflure Of banks, is quite enough to
teach tho lesson taat 0rftnan can hnd no ex-
tra security in herman bank; that CathUlic
bunk may be thr very worst p!aco for Cutlsolio
to select for the keeping Of llla moncy; aud III
genernl that the banks that appeal To Religious
or ni!o,ih synpatlilcs aru frauds.
Banks hayu GeeA organized here In this way:
An ambitious teller after becoming vol ae-
qualntcd with ths characteristics ot the wealthy
ilatrons Of the bank, would select one wslo llal
dtsplayel the weakness of san!tY and eHotian,
a1d Toult sklaltily represent that &c tthe said
wealthy patrDt) WIS Just the nluI, fur bauk
president: bJ working upon thu mau,s vanity
shs teller would soaa obtata ths
use Of his nau.e In carrying out
Tho project Of new bank. Tue ono
naanc would bo nj nsuranyo to oslcra, and,
after obtaining the uso OF II, there would ho
llttiu trouble III getting subscriptions froln
kna!d-bc Dlrecturs, amounting In the aggfe-
cato to lnrge capltal, hut really representing
lae payment uf only from $7,0oo to $@O, Vo.
A cllArteF would then be procured. great gilt
Ign constructed, an ol'ice Furnished, aud thuro