Helena weekly herald. [volume] (Helena, Mont.) 1867-1900, 1878-09-05
From the Philadelphia Press.]

itrOm the Phadephla Press.1
The recent developments relating to the ex-
istence of an organized effort looking to the
obtaining of loans on insufficient or worthless
security from the Franklin fund of married
artiticers, which is under the directors of the
the board of directors of city trusts has direct
ed attention to the present condition Of the
legacy of Franklin for the benefit of
Philadelphia industrious mechanics. Frank
lin died in 1890, and by the provisions of his
will two thousand pounds sterling were divi-
ded equally between the cities OF Boston and
philadelphia, to be regarded as fund in each
city to be loaned for the benefit of young
married mechanics at five per cent interest
1t was Franklin's idea, as outlined in his will,
that the fund would in the manner indicated
be kept constantly in use, until, compounding
at five per cent. at the end of one hundred
years, or in 1890, it would amount to $685.
600. AS regards Philadelphia the sanguine
philosopher advised that $500, 900 for the
amount should be employed in bringing to
the city the water of the Wissahickon by
pipes, and that the remaining 1856, 900 be
kept on interest in the same manner during
another hundred years, when, by the arith-
metic, it was to reach the enormous amount
of SEQ, ,305, 900. It was directed in the will
that $15, 900, 600 of this sum at the end of the
second century should be given to the State
of Pennsylvania, while the remaining $5,-
3O5, 900 was to be placed at the disposal of
the city of Philadelphia.
So much for the plans of Franklin and the
paradoxical effect ascribed to the increase of
money at compound interest. To be sure, be
inserted in the will proviso that he had,
perhaps, too much fattered himself with "a
vain fancy" in regard to the ultimate results
of the bequests. Eghty-eigh years have
gone by, leaving but twelve before the end of
the first century will be reached. On January
1st the capital of the fund amounted to $685.
500. Of this sum $17, 100 represented loans
to Franklin's much-loved artifcers, while
$39, 800 was made up of investments in city
securities. In other words, it has been found
necessary to invest the money of the fund
otherwise than by extending loans to well
ordered mechanics. Although Franklin him.
self was runaway apprentice from Boston
to Philadelphia, he was careful to provide
that no loans should be made save to those
quired in their indentures."
The causes that have gone to defeat the
object contemplated in Franklin's dream of
port submitted to councils in 1887, from the
committee having the fund in charge, it ap-
pears that the fund at that date had. on an
approximate estimate, capital of $4,000,
which is about what the original amount
would have yielded at simple interest. 1t was
confessed in the report that loans on worth
less security for some $4,000 were then out
standing, thus revealing that the fund was at
times depleted, either by well-meaning but
unsuccessful citizens, or rascals, in the garb
of workingmen. Before the organization of
the board of city trusts, in 1860, the opera
tion of obtaining loans on doubtful security
was easier since that date, but, as has since
been shown, there are not wanting designing
men at this date who do not hesitate to OBJ
tain the money of the fund.