The Cecil Whig. [volume] (Elkton, Md.) 1841-current, 1879-02-15
THE FREEDMAN'S BANK.
LETTER FROM MIR. CRESWELL.
PLAIN STATEMENT OF FACTS
AND FIGURES.

The following statement of facts relative
the Freedman's Bank, and which appeared
1T the Washington Republican Of Friday
last, we think effectually disposes of all the
dirty political filings against the manage
ment of the Commissioners:
To The Editor Of the National Republican,:
SIR:-ln response To repeated inquiries
concerning the management and present
condition Of the affairs of the Freedman's
Savings and Trust Company, commonly
called the - Freedman's Bank have pre-.
pared the following statement. You will
oblige me 10y making it public.
. The act OF Congress of June 20, 1874
entitled AN act amending the charter of
the Freedman Savings and Trust Com
pany, and for other purposes provides in
the seventh section, among other things,
that whenever it shall be deemed advisa-
bic by the trustees of said corporation to
close up its entire business, then they shall
select three compstent men, not connected
with the previous management of the insti-
tuition, and approved by the Secretary Of
the Treasury, To be known and styled |
- commissioners. whose duty it shall be |
10 take charge of all the property aud ef |
fecis, &c. Under this provision the pres |
ent commissioners were chosen by the ,rus-
tees on the list of July. 1874. and were duly
approved 10y Secretary Bristow the follow
! ing day.
Although promptly informed of their Sc
lection, the commissioner, hesiratsd for some |
days Ia assume a trust so complicated and /
responsible. and it was not until after one !
or more interviews with the trustees, and a |
distinct understanding with them and my |
colleagues To the effect that was not to be |
required to renounce my other duties and |
engagements, that | finally consented to |
serve.
After the acceptance OF all had been oh.
tained. the commissioners proceeded to
qualify by taking the prescribed oath, and /!
giving joint bond in the penalty of $780, /
900. These facts being duly certified, the |
Secretary of the Treasury Mr.. Bristowl and |
the Comptroller of he Currency MIR. Knox |
acting under the authority vested in them, |
and in them alone, by the law above men
toned, fixed the compensation of the COM
missioners at So 900 per aunum each, that |
being within the limit named in the act
very short experience convinced the |
commissioners that they had greatly under !
estimated the responsibility aud labors of
their position.
When they assumed control, they found
the company To consist OF principal Office /
aud thirty-four branches, established AT
remote points. and conducted as separate
aud distinct institutions, each doing bust
ness equal to that of an ordinary bank and
having it's own corps of employees.
The business of the principal office and
many of the branches was discovered to be /
IN great confusion. and it soon became ap.
parent that additional legislation was need |
ed To enable the commissioners TO discharge
their duties properly. Awaiting thems elves
of the first opportunity, they prepared an
exhaustive report, which they transmitted
to the House of Representatives on Decem
Der II. 1874. with request that sundry |
amendments, embodied iG the form of a /
bill, should be made to the act of June 20, |
, 1874.
Much TO their regret and disappointment,
| Congress adjourned on the 4th Of March. |
! 1879, without passing any of the amend
ments proposed. This unexpected result /
was so disheartening that the commission
ers unanimously resolved to resign their |
trnst, if the law under which they were
acting would permit them to do so; and, in
execution OF that pur pose, they forthwith
| addressed a formal resignati ion to the Sec
rotary of the Treasury. who referred the
same to the Attorney General for his opiu-
Z ion.
/ On the 10Th of March, Attorney General
! Williams forwarded his reply, which CON
cludes as follows:
My conclusion. therefore, is. that the
. present commissioners cannot reliuquish
/ their trust nor can others be appointed ID
their places in the manner proposed in their
/ communication To you
! The ruling of the Secretary and of the
! Attorney General being adverse to their
designations, the commissioners, in their
report of January Is, 1876, renewed their
/ former recommended IONS with two add.
/ tloual provisions of which was in.
tended to meet the case of their volun
tary resignation and earnestly urged their
prompt adoption.
Notwithstanding these and other appli-
cations, Congress has failed to egisatc
Z rnpn any pft he r,oints axcan,
10 pass The act OF February 49, 1877. giving
authority 10 buy in and sell the company's
real estate. thus leaving the commissioners
no alternative, but compelling them to go
. on with the execution of their trust to the
best of their ability.
How efficiently the work has been done,
the following will exhibit:
On the 80 Of November, 1873.
when the last general bal
snce was struck, the liabili-
ties, after payment of pre-
ferred claims aad special
deposits amounting TO 3d.
1863 10 were 81 96G 1876 -
The nominal assets, 2,693 Og5 20
The collections were. ], APO 3g5 10
The disbursements were
For special deposits aud pre-.
ferrsd claims, -, 463 90
For two dividends of 90 per
cent aud 10 per cent respec.
lively. ISIS -
For salaries OF commissioners,
s. 900 each per annum, 80, J5S -
For salaries OF agents at priu-
cipal office and branches, Ga 22g -
For advertising, stationery.
postage sxpressage, and
other ordinary expenses, ll,16l 90
For atthorneys fees and costs
IN over 200 law suits. 81 31S -
Fer rents, 92;;l -
For insurance, auctioneers
fees, expense OF foreclosure,
&c. &c, -, 236 -
For repairs, fuel, gas. and ex-
peuses incident to maintain
ing properties, l0.145 %
For taxes and arrearagss of
taxes IS, 30 20
L 49,