Evening journal., 1913-08-20
NEW NEWS OF YESTERDAY
The First National Bank
and lis Founder
BY Holland.

-----
BY Holland.
Many times In the last two or three
years of the life of John Thompson
spent an hour or two in reminis-
cent conversation with him. His rec
objections chiefly covered the years
of President Lincoln's administra-
ton and especially many incidents
associated with the inception Of what
at last became The present national
banking law.
Mr.. Thompson was quaint char
acter and even IN his very old age
for he was we'll past so when first
met him-maintained drollery Of
manner, a delightful humor and
capacity for setting forth in a few
words his estimate of the men of the
earlier generation who we're pre-
eminent in the difficult and stupend-
GUS financing of Civil War days.
Mr.. Thompson used to sit in a sort
of reception room, informal in its
characteristics, which was at the
front end of the main hall Of the
Chase National Bank, which Mr..
| Thompson established. This bank
was at that time located upon Mas
sau street, New York. within a
stones throw of Wall street Mr..
| Thompson wore upon his feet a pc
culiar shoe evidently made for COM
/ fort, which looked like a hybrid of
an old-fashioned wooden slipper and
low-cut shoe. His socks were home
knitted. He carried in his waistcoat
pocket tobacco leaves which we're
well cured. and he was in the habit
of tearing off a bit Of leaf from time
to time and tucking it away in some
mysterious corner of his mouth. He
did not chew tobacco, but in this
manner absorbed IT,
said to Mr.. Thompson one day
that could never understand
how he could have no strongly ad.
vocated the adoption of the national
banking system when he must have
known that a measure of that kinC
when it became a law would in
stantly destroy the publication Will
which his name had been identified
for many years.
when I was boy" I said l re
member seeing in the stores Of m,
little town copies of Thompson
Bank Note Reporter. / noticed tha
whenever a customer offered a bank
note in payment of a purchase the
clerk or proprietor Of the store woulC
reach under the counter and tak'
from a hook a copy of Thompson
Bank Note Reporter. Then he would
compare the bank note with the re
port contained in the Reporter and /
II was found there was no counter
felt outstanding on the note of thu
particular bank then he would lool
to see what the rate of exchange wal
in case the note was issued by
bank some distance away. He woul'
deduct the exchange from the fac'
of the note and then accept IL an'
put IL In his money drawer.
81 suppose my name was better know
10 the bankers an over the United State
than that of even the most importan
bank president of New York" said Nh
Thompson. II had such thorough OF
eanization that | was able TO describ
the counterfeits and there were lots o
them i'm those days-and ] also KEEP
constant track of the rate Of exchange
which was an important item in thos
davs when state banks all over the Unite
States were issuing notes. Some time
the rate of exchange was pretty heavy
especially for notes of remote wester
banks which had worked their way east
at ono time the circulation OF m
Banl, Note Reporter was as high as 100
600 copies a week The publication wen
everywhere IL yielded me a handsom
income and it was my chief business.
"As YOU say I knew that if n'
tional banking law were established the
the currency issues of national banl
would pass current anywhere. a Nation
hank note issued by a Maine ban
would certainly be accepted anywhere
the United states at its face value b
cause the people knew that the cover
ment of the United States was behind
'Net IL seemed TO me that ! ougl
to subordinate my own personal D
terests for the benefit OF the countr
Furthermore. / had decided that IN ca
2 the proposed national banking law we
: into effect I would establish in New No
city the first bank TO take out a chart
of that kind. and ] believed. that in {
long run and in this way | should reco
whatever losses might he occasion
hv the inevitable abandonment of n
publication.
"ln that view ! was correct
Here the old gentleman paused a
Il chuckled for a few moments IN ch'
acterstic way, and concluded, "Wh
the first national bank sook out
X charter and was organized. | and me
bers of my family were the only sto'
holders and there were actually cert'
Y preiudices in New York and other pa
of the country against the national bar
ING system SO that for quite a while
T. New York Clearing House would not
init the First National Bank to memh
shin. The association was glad enou
10 do that year or two later, espeeia
q after our hank had established stro
!, relations with the government at Wa
ington.'
Copyright. 1911. by T.. J. Edwards.
N rights reserved)
Tomorrow Mr. Edwards will tell