Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1882-12-26

tain questions propoonoed 10 me IN your
issue OF the 18th Instant by one Of the
citizens OF Tennessee, in respect 10 my con-
nee ion with and action in respect TO he
Bank of Tennessee during the war, and also
the payment of my salSry as governor during
that period 10 answer to which i beg leave
10 say that on the 29.h day Of September,
1876, in a speech made by me at Gallatin, |
gave full and accurate Statement of my
action 10 respect 10 the bank, which state
ment was published at that time in the
Anaei lean and other papers in the State, but
as il may not have been read by portion of
tbe neople L.ezd-H copy ard ask that you
reprint II.
THE SPEECH.
Gov. Hsrris entered into an explanation
of his connection with the Bank of Tennes-
see and said:
"Having been requested to give an expla-
nation OF the loss OF The school fund / cheer
fully do go to the extent of my inform ation
upon the subject. By the act OF January
10, 1888, the Bank of Tennessee was iuenr-
porated, and the school fund of the State
wss made part of the capital OF the bank
The sixth section OF the act provided th at
the governor of the State shall nominate and
appoint twelve persons to act az directors
which nominations and appoint
mems shall be subject 10 confirmation or re-
lection by the Legislature. When the nomi-
nations of directors was conferred BY the
General Assembly all the powers and dulles
,, of the governor in respect 10 the Bank OF
Tennessee was ended. Even il a vacancy
was occasioned by the death or resignation
of any one of the directors 80 nominated,
the law gave the governor no power to Eli it;
it was filled by the remaining directors.
/ These directors elected all the officers of the
bank and appointed the directors of all the
branches, the governor having no mere
power over the action and management OF
the bank than sny other citizen of the State.
| When / was elected governor in 1857, the
Hon. Cave johnson was president OF the
bank. Having the fullest confidence in his
capacity and integrity, l renominated him
and the board OF directors that found act
ing with him, and they were confirmed BY
the Legislature.
"After my re election in 1859 / was in
formed by. Mr.. johnson that his faiiog
health would compel him TO retire, and at
the same time most of the directory ex-
pressed wish TO be relieved, whereupon l
nominated a new board which was con-
fiji med by the Legislature. When reelected
in 1861 nominated the same board OF d.
rectors that had nominated in 1853, and
they were again confirmed.
"rhese directors having been first APP
pointed in 1859, shows that their appoint
ment was not controlled 10 any messure by
the war or its incidents which began in 1861.
"The president amt directors were the
legal cuslodians OF the capital and assets of
the bank, and had the entire management
of its business, subject only to the authority
of the General Assembly, the governor hav-
ing no authority under the Law 10 int ffere
with it in any manner Whatever
"With regard to the removal of The CAPT.
tai and assets OF the bank from the State in
1862, / can only say that on the 5rh of
February, 1852, the Legislature passed an
act authorizing the bank, when its locs ton
is threatened and endangered BY the enemy,
to remove its capital and Assets to some
point out of the State and transact it's busi-
nees al such point
"The officers of the bank were SIS much in
sympathy with the Confederate cause as
was. Some time in February, 1862 be- fore
the battle OF Fort Ponelson; without con-
sultation with tie; they sent TO Atlanta, Ga,
portion OF the assets, and had strong boxes
prepared ready TO pack the books, papers
and assets OF the bank for removal at
moments notice.
"When Fort Donelsou fell and Nashville
was evacuated by the Confederate army, the
-oflcers Of The hank sfiaaFed the balance of
the capital and assets South 10 Keep Them
within the Confederate lines
II see that q. G. Torbett, who was presi-
dent oil the bank from the beginning 10 the
end OF the war, states 10 a deposition that |
he gave before Legislative 6oHimistee in |
March, 1879, that it was by order Of Gen. |
johnson that the assets Of the bank were re.
moved from Nashville.
After the evacuation OF Nashville went |
TO the army and made my headquarters with |
the commanding general of the army. The
bank being in The Confederate lines, in The
custody OF q. @. Torbeti, president, john A.
Fisher, Cashier, and Flippiu, teller, with
some OF the officers of the branches From
my c0naf ant aaa0Qi ali ba
ing general, L was familiar with the military
situation, and kept The officers OF the bank
advised from time 10 tifiie OF the places OF
greatest safety, and when necessary secured
Tor them such transportation and guards as
were needed Tor the preservation of the
assets; but this was the full extent of my in
terference with the management of the bank
Late in 1858, or early in 1864, Col. Torbett
exhibited 10 me an order issued by the sec
rotary of the treasury Of the Confederate
States Tor the improvement OF the coin Of the
Bank OF Tennessee as basis for he fnap-
clal operation. Of the Confederate govern
menf, INFORMING me at the time that the
coin OF several of the banks OF the Southern
States had already been impressed.
Il went Immediately 10 Richmond, had al
Interview with the secretary OF the treasury
and president, informed them that the ssse ts
IL the bank were not the property of a pri-
atS wi put dtlOuJ lucy belonged 10 the
people OF Tennessee, and were a sacred trust
q the hands of the officers of the bauk. and
protested against the impressmen mt or seizure
" The coin. AT my request The order was
ountermanded and the coin saved, and it,
With other sssets of the bank, remained in
he custody of the officers of the bank to the
nd OF the war.
81 see that Gov. Brownlow, in his message
o the Legislature, October 3, 1865, says
hat fharo IN, II |
DIN S446,719 70, which was invested in
61S,2 OF seven-thirty United States bonds.
1T appears from the deposition of George
{. Rutter that he was the president OF the
rational bank. which was organic in 1865,
nd coon after this bank was made deposit
Dry for the State, through Influences, with
be understanding among the leading Radi-
ais OF the State that
his bank was to support the r adica party,
nd be the financial agent, and furnish
honey to run the machine whenever they
'anied 1t. This was the general under.
landing, and frequently talked prior and
1bsequent TO the passage OF the bill making
ie bank the fiscal agent OF the State
That in Nav, 1866, the $618,250 of seven ]
lirty United States bonds were deposited ia 7
ne Tennessee National Bank, and that the q
rafts of the members of the Legislature and s
her Radical leaders upon the bank 10 sup j
ort the Radical party and run the 9
lachine' were so frequent and heavy that I
he bank wss soon driven to suspension and i
lsolvency. C
81 never knew, and had no other means OF 8
moving than every other citizen, from the I
ublishSd reports Of the bank, how much I
,in or other assets the bank had. il
81 see that Col. Torbett states in his 1
eposition that there was about 100000 in o
'ecie when the bank went South; and he u
lao states IN his deposition that $4,000 in 4
lin was given for sterling exchange, and C
lat about years salary was paid to Stale u
I'D bank officers in coin. u
II also see that Col. Young, OF the Fifth
avAlry, receipted the officer OF the bank, on a
e 18th of Nav, 1865, for fifty-seven kegs Ii
nd boxes of gold and silver coin, the aggre- Il
,te weight of which was 1896 pounds. / Ii
n told by bankers that If the gold and Il
liver coin was in the usual proportions Il
.pt by banks the 1896 pounds would be a
lite equal to 5000, 000-but upon that sub il
CT / know nothing. / have also been in f.
rmed that when the con, assets, tr
'oks and papers of the bank were returned oil
Nashville they were dumped down IN one Of
the rooms at the capitol, and remained d
ere for days or weeks under guard of sol
ers-but of this 1 know nothing. o.
According TO the showing of the Repub- W
AN party, the officers of the bank preserved IS
e coin through Tour years of war with loss Ia
less than thirty-three per cent, but doubt W
~ much whether il was diminished beyond ot
e amount invested in the sterling exchange a.
d the years salary paid TO the State and w
nix officers, as stated by Col. Torbett. 1t e.
ssed through several hands before il
ached the capitol, and was, L apprehend,
{ very carefully guarded between the time co
reached Nashville and that OF counting | n,