The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1897-06-05

had increased to nearly $1,OOO,OOO. To
withdraw this amount without danger
of loss was a task of nc ordinary diff
Guilty, and his papers show that he
| experienced much alarm and anxiety
ON this account. Exchange in Eng
land had fallen below par; the SOL
vency of the foreign house was for a
time a matter of great doubt, and the
difficulties between Great Britain and
| this country already threatened war.
| But, by skillful mana nagement, he sue
ceeded safely and profitably in extri-
eating his money, principally by pur-
chasing in England United States gov
ernment stock and shares of the Bank
of the United States. Having thus OBJ
| tained so large an interest in this bank
upon the expiration of its charter, in
| 1911, he determined to become a bank
/ err, and having in June, 1912, purchased
| the banking house of that institution
he commenced his operations. 1t
would appear from the statement
| Girard rendered to congress in the case
Of the ship Good Friends that he had
been concentrate his funds at the
| point of London from the year 1907, at
which period it is highly probable he
even then looked forward to his spec
| ulation as one by which a large profit
could be realized. In extrlcating his
| immense funds from the Barings he
did so partly by investments in Brit
ish goods and partly by the purchase
of public stock and Bank of United
States shares, for which he paid 1920
per share, or per cent. advance, ana
that bank finally divided upon it's set
tlement S1s per cent. beyond par value
| of original subscription. At that epoch
rich merchant was no extraordinary
character, but a rich banker was a
| character new and previously unknown
to the American public, especially
when backed by his millions an1 able
| to compete with the Treasury itself in
sustaining the public credit and pre-
| serving the currency from deprecia-
| ton. In the spring of 1912 Girard
| found that he could purchase the bank
| and the cashiers house at the price Of
| $l20,O00, one-third of their cost, and
he purchased the property May 12,
| commencing his banking operations
| with capital of 81 100000, which he
| increased January l, 1913, to 81, 300, 000
| III the transfer of the business not less
| than $5,000000 specie was included the
Bank of the United States depositing
| al! its funds in its vaults, providing an
| extent of resources never before ex-
| ampled in this or any other country.
| The old bank cost 100000 and the
cashiers house $4,000, and Girard
bought them in for $4,000. No man
| ever heard Girard boast of what he
would do in time to come. He re-
mained quiet and silent until the time
did come, and then he struck the blow
with an aim that could not miss its
| object. Stephen Girard's bank never
refused to pay the specie for a note
of Stephen Girard.
FIRST BUSINESS MISFORTUNE.
Girard did not permit his occupation
as banker to withdraw him from his
mercantile pursuits. Occasionally he
met with heavy losses. December II,
1910, his fine ship, the Montesquleu
sailed from the port of Philadelphia for
Valparaiso and thrice for Canton,
where she arrived February 10, 1912. In
November, same year, the Montesquien
sailed from Canton with most val
liable China cargo on board. Singular
as 1t may seem, she passed through
| that great extent OF sea without meet
ing a British cruiser, or speaking ves-
sci that could inform her OF the war.
| Arriving off the capes Of the Delaware
on the night of March 26, 1913, the Mon
tesquleu discharged guns for pilot. The
firing attracted the La Paz, a small
schooner. which proved to be a tender
to the British man-of-war Polctlers,
and this led to the capture. The loss
of this fine vessel was a severe trial
to Girard, but he Immediately set
about repairing the disaster and ram
somed her for the sum of $ls0.OOO His
| calculations and foresight were most
! fully realized. for II Is Chown by his