The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1899-10-16
TRUE WIZARDS Of Finance.
STORIES OF EARLY-DAY BANKING
IN WESTERN MINING CAMPS.
per Gave Circulating Medium TO
Okanogan COunty-Jim Ward
ner's Mode Of Creating Confidence

Two Of the most remarkable bankers
ard hnancie-s that ever operated in me
West met at a downtown hotel the othef
night In a reminiscent mood. They were
surrounded by friends OF the Gays
when each was the J. kIe.oohl
Morgan OF his community. when
doubtless accounts for the interesting and
rather humorous disclosures Of the coca
sion The mining world knows both men
very we'll They are Jim Warmer anu
Sam Lichtens,adter. Their experience as
bankers will satisfy any one that all the
financial craft of the country Is not III
digenous 10. nor confined IN. Wall street.
After Wardner made his stake out Of
The Bunker Hill AMI Sullivan mine, IN the
Occur q Acne ne started the Bank OF
wardner In the nascent mining camp nam
ed in his honor. The bank consisted of an
inconspicuous shack. portable safe,
chicken coop netting Tor the pro'ecion Oh
the cashier, a private office about As big
as cheese box. ard WARMERS credit IN
Spokane, where re kept his own money on
deposit. Busy with mining affairs. he LETT
the management OF The bank 10 horace
Davenport. its cashier.
Things went on S.iGlmingly for awhile,
and Davenport was the pink OF aIn!ah'i-
iiy. until enc gloomy day he
though, he saw the end of me
world, but more particularly the end OF
that important part Of IL represented IN
the Bank of Wardner Sa ooping down on
,he unsuspectiag president, ne insisted that
he must he paid what was due him and
his resignation accepted
It's AL off Mr.. Wardner.' said he. All
We have In the safe is sl15. and one or our
deposito.s. who is buying Up iot OF cat
lie. vii come in this afternoon with d $40
check.
That's all right" replied WarGner. non
hzt a tassA -.
ignauon Is accepted" and writing OH:
personal check On a Spokane bank for the
amount coming to Davenport, Wardner
took his place behind the chicken fence.
Presently the anticipated $50 check made
its appearance. War1ner handed II back,
coolly remarking that he wouldn't pay it.
You won; pay it, exclaimed the as
,onlshea depositor "What do you mean;
haven't $50 In this bank?"
Yes. but l won't pay it. jus. the same"
Well with series Of unmentionabe
exple.ives. If Your banked cid bank is
busted you'd better close up
The hank IS all right" said Wardner
softly. but 1 don't intend 10 let you have
tie money on that check Then he add
ed. even IN rilder tones, See here. haven't
you any business sense about you? Now,
always sized you up for a man who be-
lieved in helping along home Industries
and home institutions. Can't you see that
II instead OF drawing this money out Of
the bank you paid 70, your cattle with Spo-
kane drafts. the Bank OF Wardner would
make ! per cent. out OF the transaction?
Nine dollars isn't much 10 a bank, 10 be
sure. but every little counts, you Know
The angry deposItor cooled down az once,
agreed that Nardner vas right about the
matter, and instead OF c.osing the bank,
paid for his purchases in Spokane drafts,
as suggested process that added just 81
10 Wardners credit in Spokane
THE bank didn't break" said Wardner.
after recit:ns his fluctuations as PRESIDENT
cashier. bur | couldn't stand the strain.
ard sold o4t- When 1t came 10 keeping
guard with a saotgun against borrowing
directors thought IL was time to quit"
Ihough young In mining development
and experience Washington has an
abandoned mining camp not less piciur-
esque in It's relies and ruins than
Irwin Col. and as romantis in its history
as the lost mine Of the Hassayampa No;
50 many years ago. Ruby City In Okano-
gan county, whose cabins and buildings
sui stand, though untcntaHted, was as Wild
and woolly as "Red-Hoss Mountain" The
only essentials Of the typica. mining camp
IL lacked we're producing mine and ready
money. The apparition OF genius is never
wanting In such q dilemma This time 1,
came In the person OF Sam Lfchtenstadter
then the leading merchant of the place.
afterward distinguished as the inventor OF
PINK fiat money and the comptroller Of the
Okanosan currency,
sam remembered that when he was a hoy
In Salt Lake. a Wells Fargo agent. Frad
Rice, displayed a peculiar financial sagac-
lily at Silver Reef. Utah. the lesson OF which
might be turned 10 good account A
Rice had the care OF me company safe the
only enc In camp, he made IL "A hank OF
deposit for the urnid ones who feared to
carry their cash about with them Instead
OF giving an ordinary receip, for these de-
posits Rice issued his personal check
against himself for the individual amounts
Everyone knew him: knew that he was
good; knew that he had plenty OF funds IN
the safe, 50 his checks passed for currency.
After he had thus uttered sl5.po In coupon
credits he disappeared with the deposits
Sam neither approved nor intended 70
initiate Rice's rascaity. but hn saw tho
great legitimate possibilities containe! in
his method Spokane. the nearest railroad
town. was $50 miles away. To transpor,
or move money between that point AMI
Ruby cost money. His plan. when formed.
was 20 give Ruby stl ne benefits of an
abundant circulating Medium. without I'm.
posing on the community The hardship AZ a
heavy discount for carriage. Az least such
is the ph!anthropic explanation az hts ptr-
pose at This remote day
he hfga1 ny sSja bHShing his p'ace %
final redemption AZ Spokane hank through
which he transacted his mercantile bust
ness Then he ordered several thousand
artis;ically autographed cbecks-pink pop
er-rna.lc payable In Sp kane % bearer
meantime having put in a safe with the
conve1.io1a! country cage. an9 holxtef tho
sign of The Bark ot RUBY
The system L3rt:eris tadter was about
% carry into e-ec. may he readily
unH"rs;aoH TO al depostt - ani "a
ali exchange or credits NJ issued his per
sQual checks against bis owa cre8i. n far
away Spokane TIE sign having been
sxuGS pTematuTe.y, taat Is 70 say he'9re
TIE pretty p.ak checks arrived. 4 fnar
NAMED kee1e appeared wifh haze GOA
n0gge.. as big as ores hand. IN exchange
for vhich he desired - e. So IN money
BU' the young banker 1s3 rot suzuSh
bills or ~cln 81 cover shs va}s.e ot tre r.uz-
set. and In taia pr &c arneUt 10 tola k@ef>e
as = reason why he could not Accommodate
him. 'hat f7e Bank u Rgay was bank e
teQ0sit oriv.
Al ,hfs evt;i Al poiat In :ae unique ,ares