The sun. [volume] (New York [N.Y.]) 1833-1916, 1878-12-24
ton as q stepping stone to the control Of the

Charles. He designed and constructed the ~
LOUIS bridge. with its novel and daring scheme
OF tubular arches; and he conceived his plan
for deepening the channel at the delta Of the
mississippi by means OF the Iettics which he is
still constructing at Government expense.
The st. Louis bridge is a wonderful piece OF
engineering. II Is the chief pride Of the city to
which II gives access from the East. Its beauty.
usefulness, ana ingenious design nre not dis
puted. The undivided credit Of the achieve
ment belongs TO- Capt Ends. Nobody else
could have built that bridge" said one OF the
gentlemen already quoted rs spoakinc not with
unqualified enthusiasm. of Capt. Ends's pro-
lects. That nobody else could have built the
bridge is part OF the st. Louis creed Yet. for
those who pinned their money to Capt. Euds's
faith. the bridge has been deplornbly bad in.
charged fortransit-nve dollars for every empty
car. Ave cents for every hundred weight OF
freight or baggage. and ten ccnts for every
railroad passenger who crosses-the bridge has
never paid Bridge stock is worth next to
nothing. and. according to advertisement to-
day, Dec. 90 this monument to Capt. Eads's
genius Is 10 be sold by auction to the highest
bidder d rat at 2 foreclosure sale.
ready spent t2bGO.0O0. His estimate Tor the
whole work is s5.0O00O0 which he is to get
water is attained in the channel Ends il conf
dent that the jetty enterprise will be- successful.
II was apparently to secure the use OF funds
dertakings that Capt Eads planned in 1866
the capture ofthe Bank OF the State of Missouri.
THE STOLEN BAsK.
Under its old State charter this bank wns one
of the notable institutions Of the Southwest.
Since its first incorporation In 1897 IL had been
prudenty and honorably managed. Mr.. Robert
hsb Barnes an o,S resbIeht $40 oI ths & city hSd
thirty yenrs-from lSi0 to 1859. as Director.
then rs President. He earned for the bank TN
unsurpassed reputation, both at home and in
the East. for sound. conservative management.
The institution was solid and strong in 1856
Part Of the stock in the State bank was held by
New York capitalists. among others. / believe.
by. ex-Gov. E. d, Morgan. Part was held rs a
safe inyestment by citizens Of Missouri. The
State Of Missouri itself owned about one-thrd
OF the entire capital stock. In 1866. at the time
when the Eads party, planned their raid. the
States interest, directly and ms the representn-
tive OF the School and Seminary Fund and
other educational Investments. amounted 20
exnctly lO.S63 shares. worth IN the marke. con-
sideraby more than one and halt million
dollars.
At this fatal crisis in the banks history Its
capital was nearly t3.500.000. II had u surplus
fund amounting 10 more than half million. AL
though rs u RUE the value Of bank stocks in tho
border States had been more or less impaired
by the civil wnr shnres in the Bank Of the State
OF Missouri were far above par. The nstitu-
tion had more money in s vaults to loan than
1t could place satlsiacturiy The mother bank
had branches nt Fayette Palmyra Cape Girnr-
deau. Springfield. Louisiana, Chillicothe. Ar
quarterly statement " the Barnes directory,
made on Sept. so. 1866. showed that the hunks
total Liabilities a. that date, were 81 27s.s20.
while the personal liability Of all it, directors.
as principals or endorsers. was only sll5.9i4.
To put fact out Of its proper plHce In the
narrative. for the sake OF sharper contrast. il
may be said here that six months later. under
the new management the Liability of the Ends
directors 10 their own bank. anl as pr pals
| only. was more than ten tunes sll5.g44. With
| their old-fashioned notions OF financial integ-
| rty. the Barnes directors failed to improve the
chance to vote themselves loans. rs II was i'm
| proved by the bolder and more enterprising
| nnanciers who succeeded them.
Suddenly. By a sharp trick. the control OF the
| bank was wrested from these respeetahle hands
and seized by men who put the institution 10 a
| purpose for which neither Providence nor its
| founders ever designed II.
HOW THE EADs RING GOT CONTROL.
Early In 1866. when Tom Fletcher. the war
| Governor OF Missouri, was still in Office. the
| Leg stature passed n bill directing the Governor
to sell to the highest bidder the lO.SG3 shares in
| the Missouri Bank owned by the State Little
| lobby influence was brought to bear on the
| Legislature for the passage ~ this bill. The
| law merely carried out resolution adopted two
years before by the convention which rcmod-
! elled the Constitution Of Missouri All the lob.
| bying. wire pulling. and intriguing employed
| 10 push this measure had been quietly done In
| the Constitutional Convention. and the Legisla-
| ture. two years later. had no option.
| The purpose OF the measure was long mys-
terry to nil except the few concerned IN its origin
| The State held this bank sio X AS the investment
| OF an educational fund. such trusts have nj
| ways been regarded as sacred. and the most un-
| scrupulous manpulntors OF public funds have
| hesitated TO attack them. In tue form OF stock
| OF the Missouri Bank. the school money was
| safer and more productive than by any other
| investment possible at the time. Who was in
|
Capt Eadsr splendid scheme for bridge
| across the Mississippi WAS in process OF incu-
| baton nj the time Of the Constitutional Conven-
| tion. His bridge company was Incorporated by
the same Legislature that directed the sale OF
As has been said, Capt. Ends was then n II.
rector Of the Third NatiQnal Bank y 81. Louis.
ton was President Of tie Third National. Nearly
| all the active managers Of that bank were also
! concernsd in ihe bridge enterprise and IN the
| Narfh ~ Roll a. hplr nNVU flfpi.
| sion they were the mon who worked rthe pas
sage OF the law for the snle OF the states lO.sG3
| shares in the Bank Of the State oi Missouri.
| The law providing for this sale directed Gov.
Fletcher TO transfer the stock. undivided. 10 the
highest bidder for the whole lot the ,payment
| 10 be made in bonds Of the State Of Missouri.
| But In order 10 make certain the realization OF
| the largest sum for the benefit Of the sch Qos,
| the Governor was further empowered and di-
rected 10 set aside all the bids and TO break of
negotiations with any party at any stage up 10
the time OF actual payment, II in the mean
| while a more favorable uiier had been made by
| responsible persons. In short. Gov. Fletcher
| had full power 10 dispose OF the stock 10 the
| very best advantage for the schools. The State
ought never 10 have sold the stock II returned
| a good dividend every year. and was worth
| $3.50 share. Selling Il. II was infamous 10 ac-
cept bid under the actual value OF the
| property,
That, however. was, what Gov; Fletcher did.
found one from James b. Eads Offering s106. 25
| a share for the lot. Eads represented the Ring
which had worked for the passage Of the law.
| which then had its headquarters in the Direc-
| tors Room OF the Third National Bank. and
| hich afterward ruined and wrecked the Bank
| Of the State OF Missouri.
| Another bid only fraction OF a dollar under
| Eads' s. came from Robert A. Barnes, the Presi-
| dent OF the Bank OF Missouri. and in behalf OF
| that bane. Inasmuch as the States stock was
| advertised for sale, the DIRECTORS had voted TO
| buy II IN for the bank itself Mr.. Barnes. con-
| servHtive and cautious man. made the mistake
| Of setting his first bid al a figure less than what
| he was really willing 10 pay. In bidding flO6
| he felt protected. II Is true. by the knowledge
| that IL was Gov. Fletchers duty 10 entertain
| nfterward an increased Cfer. and. moreover. he
was ignorant of the fact that the Governor WIS
| working with the Eads Ring. Mr.. Barnes had
been suspected Of Confederate sympathles. and
was unpopular at Jefferson City. where the tone
| OF the existing administration was intensely
| radical
As soon as the Barnes directory perceived
| their mistake they immediately increased their
| offer from sl06 TO sl4S per share. So confident
| was Mr. Barnes that this offer could not be de-
| clined that he went to New York and began to
make arrangements with his baDk's corre-
| spondent in that city. the Bank OF Commerce,
| for the purchase OF outstanding Missouri
! bonds with which to pay the state. To this end
| he purchased bonds to the amount oil about
| $500 900.
Atthe same time. Capt. Eads. who was equally
confident and with better reason. that his bid
OF 1861 would be accepted. went 10 New York.
| and began TO scrape together Missouri bonds.
| Like Barnes. he operated principally through
the Bank OF Commerce, with the officers OF
| which he was personally intimate. Keeping
| Mr.. Barnes in Ignorance OF hlD compettoTs
| oueratiOns the Bank OF Commerce did all that