Mineral Point tribune. (Mineral Point, Wis.) 1869-1938, 1895-06-20

ened by the conduct OF the bank O.
| Mineral Point, especially in the issu,
Of what were denominated apos
notes" notes payable at a future day
and not on presentation. The char.
ter Of the bank was repealed In 1912
but not until after the institution
had gone into the hands Of receivers
and the cashier had proved himself d
scoundrel and defaulter. lie had
managed by his apparent candor, by
his false statemants and fraudulent
manipulation Of the funds, to mis-
lead the committee and the public as
to the true condition of the bank.
soon after the organization OF the
bank Of Mineral Point, James ID. Doty
bought up the stock and gained a
controlling interest, many of the
shares being purchased at 20 cents
on the dollar. In the fall of 1898 or
the spring Of 1889 this man Knapp
and one Peter Bruce came to Mineral
Point, and either as purchasers from
from Doty or as Representatives OF
his interests, took charge of the in
stitution. In addition to issuing
paper money, receiving deposits and
discounting notes, the bank did a
considerable exchange business for
shelters. The latter bought the ore
from the miners and shipped the
lead to the south and east, and made
their drafts upon their customers at
the home banks, which necessitated
some time for transmission and coll
lection. TO facilitate such exchanges
and to gain time for realizing upon
the remittances, doubtless afforded
the bank officials pretext for issu-
ing what were called post notes,
referred TO in the governors message.
These We're notes issued by the bank
for circulation, upon which was
written across the face In red ink
words indicating that they We're re-
deemable in two or three months
after date instead Of upon demand.
They were accepted with no little
grumbling by the tradesmen and
miners, who called this paper "Red
bog Currency" for the purpose of
designating it froIG demand bills.
Later bills were issued by the bank,
payable six months after date, with
the time of payment written across
the face IN blue ink, and they were
yulgarly designated as Blue Bellies.
The issue of these post notes aroused
a storm Of indignation and fastened
the down fall of rotten concern.
Knapp, the cashier, absconded, but
was oyertaken at Galena. He had
nothing in his possession but a
travelling bag and two Volumes OF
Dickens novels, and the latter he
presented to Il Mr.. WEIGH, who was
then editing n paper at Galena. Some
thing in connection with the gift ex-
cited the suspicion Of the officer who
insisted ON an examination of the
books, and found pasted within the
| fly leaves, notes and bills of exchange
representing not less than $4,000 OF
the assets of the bank. One of the
receivers of the bank, w. III. Banks
was deputized to 60 to st. Louis to
collect large amount of securities
and was never heard Of afterwards
whether he absconded or was muir
dercd was never known. Most of the
other assets Of the bank were alb
sorbed by attaching creditors, and
there was little OF nothing remain
ing for general creditors, many OF
whom were small bill holders. Mr.
Strong, in his history, states that the
loss to the community by the failure
of this bank exceeded 100000, which
is probably not an exaggeration
And thus closes the history of banks
Incorporated under territorial au-
thority.