Arizona silver belt., 1879-01-17
Arizona Silver Belt.
LIN. 5anaarg Is. Iasa.
e,Ol. NEa.I. .slls ONTD0N D.
8e@ sessv Ezas Wrecked sAs &N-
 sasnas mpnk ss aiase@rl.


 Tue New York Suu If TucsiAs
 contanA an exten,lrd account of hog
 Capt. James 5 Eads. the man whs
 prolected and built she St. Louis.
 Kxlaas City aud Northern raiiroati
 ant ;be brsdge across the MlssisaiPpi
 nt St I.nuis. and who IS noN con
 s;guctlng tnc ietties si the mouth of
 inc same river, wrecked the National
 Bank Of che State of Missouri kt
 ssatrs that from the founding of the
 bank m 1857 until l866, che bank
 sas prudently and successfully man
 aged. At tl.e latter date Ehe bank
 was as solad as any in the country
 wsIh a capital uf S3 ,50o 000 and a
 surplus of $500 ,Uv0, bank shares
 aelllng at el50. It's liabilities were
 kI.27o. .S2O, Of wAlch the directors
 were only Aable fOf $l15. 944. fhe
 State of Missouri held lV.S63 shares
 of the bank stock AS a school fuud.
 Captain Eads and the ring operating
 wlth hHn Iobbied a bull through che
 Missouri Legislature to have Ehese sharcs soid to tue highest bidder, aud
 bought them all al S106 25 ! share,
 although Mr Barnes, as president of. Che ballk. b.d $l4S for them Gov
 fleteher's acton m executing shis illegal sale so Capt Eads has never be ii satisfactorily explained
 Eads vas al this tune not connected wiIn the Bank of the State of Mis- souri, but was director III the Thsrd National Bauk Uf St Lous
 Eads obIalaed tue States stock 0y tue payment of Missouri bonds He obtained Missouri buds be borrow- ing some. to br replaced n the future, aad Oy purchasing others for cash. lie opiaHsed cash Dy borrowing lt on Lls owls note at the Thlra National Bank, and piedglng as security the Bauk of Missouri stsck just pur- chased bat not paid for Then % capture control oF che Bank of the State of Missouri, Eads borrowed some b.nds of friends in S5. Louis and in New YorK, and purchased others outright, borrowing the money for the purpose from hls own bank che Third Aauonai-in his owliname. aud on discounts voted hun by hs assoeiases-the other directors of that bank. To capture the Missouri Bank, th.s ingenious rug invested aliausE everything except actual Cash When he and his friends found themselves established in the directors room of the Bank of Missouri, they were still in debt for tue stock by means of which they had effected HI entrance. That stock vas hypoJhecated to pay for itseH Iu thls emergency Capt Eads called upon the Bank of Com inerce, of New York, for loan of S1 .OUU ,0JO, with whose officers, es- peelaiy Ex-Uoy. Morgan aud Heury |. Na.l. he WAS intimately acquaint- ed, osteuslOly to provide circulating Aotes for the newly oFganlzed nation al bank of St. Lotus, the Bank ot Missouri to be the endoisers. The Bapk of Commerce declined, but sAs willing to loan the sum direct tO tlle Bauk of and the agree suent was so ad sealed, tue 1 Bank of CuinnleFee party of the inst part, he Bank of the State ot Mis- souri on the second part, aud tue seven fatare dHectnrs of the latter bank of tbe third part, as guaraugors. the school- fund bouts beng security. l bus, ln October. 1866, tue Bank : of the State of Missouri passed Into i the hands of lhe Eads ring, the seven directors furnishing che iuouey to pay for tue bonds Nsth winch they bought the Sgale's stock, and the bank be commg responsible for tue debts con- l iracIcd |, the capIors in the process ot cap.nre.
 The bank was then made a Ma uonal bank. and sithin SIX months the Lads directors, ,as prlaclpais oi.ly. lsrre haole to tue bank tO the amount of over S1 ,200 ,000. and tor the next sight years Capt. Eads and some of Lae other '4Eeeters were. iu violation sf the National Bank act. ln debt each to the bank m san much greater than oie- tenth it's capital. In lo5si 5hes owed the bauE nearly Sz.- Jlu,0O In 1876. when thr Bank af Genmcice sued the Bank of Mls- .0arl fvr the balance. one ball of .ls B .0oV Quo ban, t found sbe balsk Il the hau5s Of receisrr. che sur fIFlng directors. guasnnIors, ali su- Io!sel.E. and ghe stock asld as srcuri- ; utterly ssiaelsss. Uuder oath
 apt4iH Eads stated tdAt whcn he s'9tosed shst money. che bsuk dld l"t isrcd t, 0af=iAas is was aesarbed { !. lhc seven directors iuJasadsaily, l. receiving S200 .000 Wien the