Evening journal., 1914-10-30
New News Of Yesterday
When Note Shaving Was
Popular in New England
BY HOLLAND.

In the days when the State banks of
New England we're maintaining with
success fund with one of the large
banks of Boston. with which bank
notes we're redeemed upon presenta-
ton, it was spoken of with pride by
New England bankers, that in all the
years these banks issued their notes
and redeemed them at Boston. there
was not an appreciable loss on account
of any OF these issues. The aggregate
loss in all the years was a fraction OF
/ per cent.
That high standard of banking was
naturally reflected in the deposition
of the. leading business men OF New
England. also TO maintain high credit.
Il was regarded as a serious reflection
upon the credit of any business man
If he offered his notes to note brokers
with the understanding tina. he was
willing to pay a larger rate than the
one customarily demanded by the
banks. There were, of course, occa-
sions when business men of good
repute found themselves temporarily
embarrassed. and to relieve their
embarrassment they secretly sought
the aid of the note brokers, or, as they
we're commonly called, the note shay
ers. These transactions were carried
on in secret, because business men
feared that II II we're known that they
had borrowed money and paid an eX-
cessive rate of interest upon the loan
their business standing would be SER
iously affected.
But there was one business man Of
New England who was not ashamed
to let II be known that he had been
compelled to borrow money with the
agreement that he was to pay interest
at the rate Of per cent a month for
its use He was Francis w. Birge, and
in his day no name of a citizen OF
Massachusetts was better known.
Mr.. Birge had created and developed
large paper-manufacturing estab-
/ lishmont. in his time one of the largest
Of the State His philanthropies, his
willing acceptance Of his duties as a
citizen. and his energy. which led him
to undertake many things, brought
him into prominence, and that was
amplified by his impressive personal
appearance, for he was a man OF
I
head above the majority of men. Mr..
Birge was, however, not brought into
prominent official relation with the
people, and that was chiefly due to
his almost unique frankness in ex-
pressing his convictions and in justi-
flying his actions. At a time of a
temporary emergency. Mr.. Birge Wis
tied the office of a note broker in
Boston TO ask for the discount OF q
note for about $4,000.
"You can have the money. Mr.
Birge. I'll buy your paper withou
4 any Endorsement. for l have perfec
confidence In you. But I shall havl
to exact an interest at the rate of
per cent. a MONTH" said the broker.
e Mr.. Birge did not object to thi
;. high interest. The note was accepte
e and he received the money. IL was
time OF some lively political actiy
ity. in which Mr.. Birge was prom
nently associated. There sprea
abroad rumors that Frank Birge ha
been borrowing money of the not
shavers. and paying per cent
month for 1t, and that was a dan
gerous accusation to make at that tim
against any business man who wa
being urged to run for political office
The rumors we're at last brought &
Mr.. Birge's attention. His friend
hoped that he would promptly den.
the accusation. Instead OF doing Sc
he said:
"That statement is true. You ca
tell anybody who asks you about tn
transaction that did it. And you can
furthermore. say that ! would hav
paid 10 per cent month rather tha
fail to meet an imperative busines
obligation"
They respected his franl1ness. The
repeated his confession. and yet, Will
there was admiration for his courag,
there was a feeling that his politica
availability at that time had been i'm
paired.
Copyright. 1914. by E. ]. Edwards
All rights reserved)
| TommOrrow Mr.. Edwards will te
| OF THE Actual Hero Of a Forlor
| Hope