Muskingum County, Ohio - Chapter 16: Banks and Money Institutions, 1882

Chapter 16: Banks and Money Institutions

THE FARMERS & MECHANICS' BANK OF ZANESVILLE THE ROUND RING SOCIETY MUSKINGUM BANK THE FRANKLIN BANK THE FRANKLIN BANKING COMPANY - THE SECOND NATIONAL

Bank Savings Bank Home Building Company'S Bank

From the beginning of the reign of Henry I., (Beauclerc) in the eleventh century, and on down to the estabHshment of the Bank of England, which was incorporated by William III., in 1694, the legal tender monejs or i-epresentative of money in England, was made of wood. The holder was entitled to receive from the Crown the value inscribed thereon. A four sided rod was carved in transverse notches, varying in width for thousands, hundreds, scores, pounds, shillings and pence, for those who could not read ; and for those who could read, the sum was written in ink on two opposite sides of the staff, and, finally, the staff was split in two, longitudinally ; one half was called the tally, or check, and one was laid up for safe keeping, until its corresponding tally should be brought bj^ the person who had last given value for it. From this primitive tally was derived the Exchequer bill, first introduced by Mr. Montague, the Councellor of the exchequer, in 1696. The exchequer derived the word bill from the Norman French word, di'lle, which means staff.

" 6i cents - Treasurer of the town of Zanesville, pay the bearer, in current bank notes, six and one-fourth cents, on the presentation of orders amounting to five dollars. Zanesville, May 27, 1837." Isaac Spangler,

Recorder. In 1815-16-17, the county was full of shinplasters, issued by banks and individuals, representing'Sums of from six and one-fourth cents to seventy-five cents.

August 17, 1817, the Farmers and Mechanics" Bank, of Zanesville, was in operation ; and February 10, 1819, "the Zanesville Canal and Manufacturing Company's Bank" published the following statement (as required by law) : sive, by order of the "Round Ring Society." This .organization is said to have been composed of members of the Jefferson School of Politics, and to have held secret meetings, at which refreshments of all kinds were served. The Order adopted an emblem, which was a ring, with a spade within the circle. Samuel Gofi was President, and signed his name with the suffix, R. R. B. S.

Muskingum Bank was inaugurated about the tirst of September, 1812, with the following Board of Directors: A. M. Laughlin, Presi- 'dent ; E.Buckingham, John Mathews, J. Van Home, W. Silliman, R. Fulton, J. Price, J. F. Munroe.J. Mclntire, A. H. Wood, J. Hazlett, M. Dillon and Arius Nye. Mr. E. Granger was chosen cashier.

The following paper, having the official signatures of the officers and directors of Muskingum Bank, shows the determination of those gentlemen to secure fair dealing ; also the true spelling of the names, one in particular having been spelled in different ways, and as this is Mr. Silliman's own signature, this dispute is settled :

"Ordered that the Board of Directors of the Bank of Muskingum, now in session, do hereby, for value received, release Horace Nye from all and every demand against said Horace Nye, as either drawer or endorser, or in any manner whatever, said Horace Nye having this day paid to said bank his only note in the name of Horace Nye & Company, for the sum of three hundred and seventy-five dollars.

"Bank of Muskingum, January 9, 1819. Whom it may concern: - This will make known, that the bearer hereof, Horace Nye, Esq., is a Director of the Bank of Muskingum ; that he has been duly appointed by the Board of Directors of said bank, to go in pursuit of David J. Marple, late cashier of said bank, who absconde'd on Tuesday morning last, as is supposed, with a large amount of the funds of said bank ; and the said Horace Nye is hereby authorized, in behalf of, and at the expense of said bank, to take all lawful measures to arrest and secure said David J. Marple, that he may be dealt with according to law and justice.

The Franklin BANK-^This Bank was opened in 1838, by gentlemen of Putnam. Among the stockholders were Solomon Sturges, A. Buckingham, H. Sturges, Daniel Brush, John Peters, J. V. Cushing and E. Buckingham. This Bank was succeeded by the Franklin Banking Company, in 1858. The members of the firm were Daniel Brush, C. W. Potwin and C. E. Robins. Mr. Robins retired from the firm in the fall of 1859. A. V. Smith purchased the interest of Daniel Brush in the spring of 1862.

The Second National Bank - This Bank was organized in the fall of 1863 ; C. W. Potwin, President, and A. V. Smith, Cashier, who served the nine years of its operations. Among the stockholders were J. V. Cushing, H. Sturges, Daniel Brush, J. Taylor, Jr., and S. R. Hosmer. This Bank was closed, and the assets divided, in the fall of 1872.

The Muskingum Valley Bank - This Bank, very soon 'after, succeeded the Second National Bank, with A. H. Brown and A. ^'. Smith, stockholders, and continued to do business until the fall of 1873, when C. W. Potwin and A. V. Smith succeeded to the business, under the name of C. W. Potwin & Co's. Bank, and continued to do business until Julj' ist, i88i, when the business was closed, and the Citizens" National Bank became the successor to C. W. Potwin & Co's. Bank, with the following officers :

The Muskingum Branch of the State Bank of Ohio - This Bank was organized about 1848. H. M. Kearny was President, and D. C. Convers, Cashier. The capital was $100,- 000. The bank was chartered, and continued to do business until 1865, when the charter expired. This Bank was succeeded by the Muskingum National, about the year 1864, with Daniel Applegate as President, and D. C. Convers as Cashier. The capital of this Bank was $100,- 000, and it continued to do business until January 14, 1871. The stockholders being largely interested, also in the First National, the two

First National Bank - No. 134 Main street. The Article of Association was dated, October 14, 1863,' and, framed in accordance with the provisions of the Act of Congress, appeared February 25th, 1863. On the i6th of November following, a Board of Directors was chosen, consisting of Peter Black, Joseph Black, John A. Adams, E. E. Fillmore, Dr. C. C. Hildreth, W. A. Graham and Chas. C. Russell. Peter Black was elected President, and Charles C. Russell, Cashier.

January 14th, 1871, the Muskingum National Bank was consolidated with the First National Bank, and the act approved by the Comptroller of the Currency, at Washington, D. C. By this act, the capital of the former Bank was added to the latter, and thereby increased to two hundred thousand dollars. Under this management, Peter Black was continued as President, and E. Martin as Cashier. On the 14th of January, 1874, ^^- Martin resigned, and George H. Stewart became Cashier. Peter Black died July 7th, 1878, and on the nth of that month, Wm. A. Graham became his successor as President.

The panic of 1873, that proved disastrous to many banks, did not affect the First National. All demands were paid promptly, thus imposing the fullest confidence, which it still enjoys.

The Union Bank, 128 Main street, was organized December 16, 1872, and is a partner- -ship, with large individual liability. The parties being among the most wealthy and responsible manufacturers, merchants and farmers in the -county.

Its provision against burglai's is perfect, having an extra strong iron-lined vault, with burglar box safe, all secured by five of the very best combination and time locks.

The Deposit Bank. - This institution commenced business June 15, 1869, under the name of "The Deposit Bank of C. C. Russell & Co." The company was composed of C. C. Russell, ThomasL. JewettandHugh J. Jewett. Thomas L. Jewett died in 1876, and his interest was purchased by Hugh J. Jewett. March 13, 1880,

Hugh J. Jewett retired from the firm, his interest being puixhased by Charles C. Russell. Thomas Griffith, William Price and Charles M. Gattrell were then admitted, as members of the firm.

Charles C. Russell died June 4th, 1880, and the business has been continued by the Russell estate and Thomas Griffith, William Price and Charles M. Gattrell, under the old firm name, and at the saine place occupied by C. C. Russell & Co., southeast corner of Fifth and Main streets.

Savings Banks. - These institutions are now so well known that but little explanation is needed at this time. The first in the United States was in Philadelphia, Pennsylvania, in 1816 ; the second was opened in Boston, in 1817, the object being to afford any one, old, young, rich or poor, an opportunity to save money "for a rainj^ day," by depositing, in a safe place, sums for accumulation, ranging from ten cents upward.

The first savings bank in Zanesville, Ohio, was organized in 1875, under the control of the Mutual Building and Savings Association, and rapidly grew into favor, and continued to do business until the Manager, Mr. Henry Jones, failed in health, and advised the Directors to either elect some one in his place, or close the concern. They elected to do the latter, and notified the depositoi's to withdraw their deposits, which they did, and the institution closed in the fall of 1879. The demand for such an institution was such that it was deemed expedient to reopen, provided a competent Manager could be found. Mr. Jones, having partially recovered, was prevailed upon to accept the situation, and the business was resumed, under the name and style of " The Home Building Company," in March, 1880. The institution does not seek commercial deposits, makes no short loans, nor on personal security ; it loans from six months to one or more years, on first mortgages on real estate collateral, on city o.r country property.

The business is managed by Mr. Henry Jones, the President, and Mr. Jefferson Van Home, as Secretary, with a Board of Directors, now composed of Henry Jones, J. B. Allen, J. M. Lane, G. M. Jewett, Harvey Darlinton, James T. Irvine, J. P. Ford, J. M. Bonnet, and William C. Townsend, and located at No. 155 Main street, Zane House Building.