Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1915-04-21
vIcHT THROWN UPON EARLY
BANKING IN STATES CAP.
iTAL CITY.
WALNUT LUMBER ONCE
USED TO BUILD SIDEWALKS
"Ranks Of Issue" Prohibited and ls-
suanes Of Paper Money Penalized-
ina Business in Des Moines-Paper
Only Means Of Circulation.
Special to Times-Republican.

Special to Times Republican.
Des Moines, April 21.-Among the
memorial resolutions adopted in the
state senate in the closing week was
one which embodies a bit of Iowa
history related to banking that should
not be hid away between the covers of
the senate journals. This was the reso-
luton relating to B. F. Allen. the
former wel-known banker Of Des
Moines, whose life is part Of the
history of banking in Iowa. The state
ment regarding him, as it went into the
Journal, is as follows:
,-Benjamin Franklin Allen, who was
member OF the senate of the state OF
Iowa, 1904, died at Hollywo God. Cal,
on the 14th day of April, 1914. Mr..
Allen was born at Salem, Ind, April
81, 1929. 1t was in that state that he
earned his first money selling fruit. He
came to Iowa in the year 1S4S, with
means variously estimated. but a re-
markable amount for one so young, who
had to make 1t for himself. He went
into merchandising at first, but, like
most persons in pioneer towns, helped
the first sawmill in the vicinity of the
future capital of the state. venture
not only profitable but OF much import
ance to the business interests of the
county, where was to be found an i'm
mense growth of black walnut trees, so
plentiful that that sort OF lumber was
utilized for all sorts OF purposes, side
walks even being constructed OF it.
Mr.. Allen also bought and had
brought to the head OF navigation on
the Des Moines river, that is, the
forks Of the Raccoon,' the first boat
that got to that point. In 1855 he COM
Sined banking with his enterprises. At
that time there were laws against the
establishment OF banks, which to the
pioneers only meant banks OF issue. as
che language of the constitution indi-
Gates. Not only were banks Of issue
forbidden, but the circulation OF paper
money was penaltzed. But Americans
had been too long accustomed to the
ase Of paper money and appreciated its
convenience. That kind Of money had
wide circulation, but the character of
Many Iowa bankers got out bills pur-
porting to come from the territory Of
Nebraska or elsewhere. Among the
paper money thus circulated, the Bank
OF Nebraska, that back Of which was
Frank Allen, as he was universally
called, had the highest reputation, so
much 50 that persons getting hold OF
bills OF that bank were disposed to
hold onto them-they were good.
Nothing But Paper Money.
AT the beginning OF the war and for
several years before paper money Of
that kind was about all the money that
circulated here, the rate Of exchange
getting to extrayagant figures, but the
holders of the, Nebraska bank money
had no such rates to pay. 1t was as
good as the Illinois money that had the
better reputation in that time Of IN
certainty in the currency. When the
new constitution became the fnnda-
mental law Of the state and a state
bank was established, Mr.. Allen became
director OF the branch that was estab-
lished at Des MONIES. That state bank
had always a high reputation, and it
eventually was merged into the ma
tional bank system, the Des MONIES
branch becoming the State National
Bank OF Des Moines. Some years later
it absorbed the First National Bank.
Thus from 1856 for twenty years, the
name OF B. F. Allen as a capitalist
stood very high in Iowa's financial
circles, none was higher. His aid was
freely given to worthy benevolences,
and his help to struggling young per-
sons often was that which enabled them
to get on their feet financially.
In 1859 Mr.. Allen was chosen by the
people Of the county OF Polk to seat
in the senate. In the Thirteenth gen.
eral assembly he was chairman Of the
committee on suppression of intemper-
ance, and In the Fourteenth on that Of
banks. His work here is largely re-
fected in the stately edifce in which
this body sits.
TN the year 1873 Mr.. Allen removed
to Chicago where ne undertook to save
from ruin the Coon County National
Bank. The effort proved too much for
him, the great crash of that year COM
ing on soon after he went to the great
city. Then the mans princely fortune
disappeared and the successful and
popular capitalist saw his vast wealth
vanish.
''Mr. Allen soon afterwards removed
to California where the man of benevo-
lence when possessed Of abundant
means, spent the last years Of life
which in its prime was highly useful
one"