Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-08-25
HISTORIC OLD WELL
Reminder of Rivalry Between
Hamilton and Burr.
EXISTS IN NEW YORK CITY.
Story of Political Sharp Practice in
Early Days.
TRICK OF THE ASTUTE AARON
Bank That Was Originally Chartered
as a Purveyor Of Pure Water
A Clever stratagem.
EXISTS IN NEW YORK CITY
TRICK OF THE ASTUTE AARON
Written for The Star.

| clever Stratagem.
Written for The Star
The early history OF New York contains
| no more widely known names than those
Of Hamilton and Burr. who were for many
years the rival political leaders OF the en-
pire state An interesting Renaissance OF
the sharp tactics to which these two oc-
casionally resorted is preserved In the char
| ter Of one of the oldest and largest banking
| concerns in New York city. The story is
! known to few persons at the present time.
! but 1t is vouched for by the officers of the
bank. and can be CLEANED from the original
charter Of the company, which is still pre-
served.
The institution in question is known as
| the Manhattan Company Bank at az Wall
| street. The Manhattan Company was origi-
nally Incorporated under the guise Of
| water company, the ostensible object OF
which was to supply pure and wholesome
water to the inhabitants Of the Island OF
Manhattan. Thereby hangs the tale.
| The rivalry between Hamilton and Burr
as the respective leaders of the federal
lists and republicans is well known. Ham
| tlton. the great fnancier. was naturally In
! terested In schemes of banking. and in 1884
he secured from the New York legislature
| a charter for 1.-THE Bank of New York"
which still exists though 1t has been
| changed into a national bank. 1t did not
| take the politicians of the time long TO
perceive that the formation Of the bank
gave the federalists considerable political
advantage, and in the fifteen years follow
| ing its foundation the bank grew into a
| great engine Of party power.
| The republicans began to wish that they
| had a bank of their own. and for several
| years. under the leadership of Burr. they
| introduced measures of one kind or another
providing for the formation OF a second
| bank. But the federalists had no idea of
| sharing the advantage they had gained as
| long as they held on to the reins OF author
| up Hamilton and his friends got out their
political tomahawks and scalped it.
Burr's Successful Stratagem
/ In the year 1877 there was an epidemic OF
fever in New York city. which was gener-
ally ascribed to the infection Of the drinking
| water. In the agitation for an improvement
| Of the water supply the astute Burr saw his
| opportunity. Accordingly he took the lead
In forming ''Phe Manhattan Company" for
the purpose, as set forth in the original
| agreement, of providing pure and whole
| some" supply of water. Among the men
| who agreed to take stock in the concern,
and who signed the original atticles. were
Burr, Dewitt Clinton. Abraham De Pey-
ster. Anthony Blocker. Stephen Baker and
| other men prominent in the early history Of
the state. The capital of the proposed COM
| pany was to be $2,00000O.
l
| introduced in the legislature at the session
OF 1873. 1t was somewhat indefinite mas
I much as 1t did not state where the COM
pany proposed to get it's wholesome supply
but the general understanding was that it
| would be piped from the Bronx
The bill met with little opposition for no
breath of its ultimate object had been whis-
| pered, and 1t was quickly passed. The
| 'nigger In the woodpile' was hidden in a
| few lines In the final clause. which ran:
| And. be 1t further enacted, that it may
md Shnh hn -T,,l
1 to employ all such surplus capital as may
| belong or accrue to said company in the
| purchase of public or other stocks or i'm
| any other moneyed transactions or opera
! tons not inconsistent with the constitution
\ and laws Of this state or of the United
states; for the sole benefit of the said COM
pany."
Tricked the Opposition.
Burr had neatly tricked the opposition
and had secured an unlimited charter,
which permitted his company to engage in
any kind Of money or banking business
| they might elect 1t was one Of the most
sweeping charters ever granted by the New
| York legislature. AS soon as the charter
| was secured the disguise was thrown off,
! and the members Of the Manhattan COM
pany announced that they proposed to con-
Duct general banking. business under its
| provisions. The federalists were wild at
| what they termed the imposition and
| trickery of their opponents. but they could
only gnash their teeth in helpless rage, for
In order to live up to all the provisions
| or Its charter, however. 1t was necessary
| for the Manhattan company to make at
least blur at furnishing water. Their
| manner OF doing this did not indicate any
particular anxiety as to its purity and
| wholesomeness. well was sunk at what
is now the corner of Duane and Center
| streets, tank was erected to hold the
water, and later a stone reservoir was
| built. which stood for many years facing
| on Chambers street. The pipes used by the
company were wooden logs, with a six
| inch hole bored through the center. Some
| OF these wooden pipes were dug up and
were found to be still perfectly preserved.
though they had been in the ground for
| almost century.
| AS soon its arrangements were COM
| pleted the company announced that 1t was
| ready to furnish, and did furnish to all
who desired it. water from its well and
| reservoir. A circular issued by the COM
pany in 1904 is preserved by President
Baker, and contains curious scale of
prices. This handful announces that the
Manhattan Company will furnish water
at private dwellings at s. per year. at
| groceries for SIS per year and at counter
| fountains for $40 per year each. Prices for
| water used in mixing mortar are also given
| at SO much per thousand bricks laid. The
| Manhattan Company continued to furnish
| water at loss. which was considerably
more than made up for by the profits of the
bank. which has also been in a lourishing
condition, until the year 1910, when Its
business was taken over by the city. In
order to keep alive its ancient charter.
| however the company still holds itself
ready to puryey water to those who de-
mand it.
Remarkable Old Well.
One popularity in the banks board of
directors comes from the fact that it was
| originally chartered as a water company.
The recorder Of the city Of New York is. by
virtue of his Office. a member Of the COM
pany's board of directors. OF recent years
the incumbents of the office of recorder
have not thought 1t necessary to devote
much of their time to the Manhattan Com
pany. Recorder Golf has made it his Gus
tom to attend the annual election of off,
GERS, when he has a pleasant chat, and ex-
amines the semblance of water accounts
which the company still keeps up.