R E P H T f.^,/^-.^-. tjoinsrx co3^^Jsd:iTTEE ■fiiks anb ^anhing, ITIRE OK THU STATE (»l' liOriSlANA. B A 1' U N K (^ ( G K : M 11 Y N' T.' M STATE I' R I N T E R 1861. -'t^c-— -,^^S~ i{ E p n T OrOIISTT COIvIIvariTTTE lUWW^ II lib § nulling, LEGISLATURE OF THE STATE OF LOUISIANA. BATON ROUGE: tOM IJYNUM STATE PltlNTEn 1861. / REPORT To the Senate and House of Representatives:' Gentlemen — T'^nder the " act to revive the charters of the several Banks located in the city of New Orleans and for other purposes," approved Feb- ruary 5th, 1842, your Joint Committee on Banks and Banking proceeded to the city of New Orleans for the purpose of investigating the several Banks of the State and now beg leave to submit their report At the close of the last session of the Legislature the Banks were left in a sound and healthy condition, no action of the Legislature being required. Under the laws in existence the currency of the State of Louisiana has always been looked upon as the very best, and as long as the act of Febru- ary 5th, 1S42, has been strictly adhered to, under the supervision of the Board of Currency, the paper issue of our Banks has been regarded as safe, as though the parties held coin instead of paper. The great revolution inaugurated by the people of the Southern States during the last ten months, and the establishment of a new Government, has created a new era in the history of the American people. The great expenditure of money, caused by this revolution, required all the energies of the people to furnish the aid neces- sary to carry it on. The necessary consequence was that the new Govern- ment of the Confederate States had to resort to an issue of Treasury Notes. At the opening of the war all the Banks of the several States of the Con- federacy were paying specie, and the issue of the Confederate Treasury Notes were at a discount of from five to ten per cent. The Government, in order to enable them to carry on the wheels of Government and cause the Treasury Notes to be taken at par, requested a Convention of the Banks of the Confederacy to take into consideration the propriety of suspending specie payment. The several States were duly represented and a resolution was passed requesting all the Banks to suspend. The delegates from Louisiana, sitting in the Conwention by invitation from the other delegates of sister States, on the passage of that resolution withdrew, as they could not sanc- tion suspension on the part of the Banks of Louisiana. The Banks repre- sented in that Convention, with the exception of those in the city of New Orleans, all suppended. Louisiana then, with the exception named, was tho only State that remained with all her Banks paying specie, as those located in Montgomery, Alabama, had previously suspended. At this period the notes of the Confederated Treasury were at a depreciation in New Orleans of ten to fifteen per cent. The Government, at liichmond, looked upon the course pursued by our Banks, in adhering to specie payments, as injurious to the interests of the Confodcrtfy, m a very largo per xjentage of the expen- ditures for supplies had to ho innde'ift Nc^v Oleads, aud the fuuds necessary could only be placed there by a sale of the Treasury Notes at the discount named, they therefore addressed letters to the several Thanks urging them to follow the example of the Banks of Virginia, South Cai'olina and Others, but our Banks still determined to maintain the high position they had always occupied and refused to suspend, nordid theyyield until the Governor, by proelamation, eaTnestly Jippesiled to them so to do, while at the same time he informed them that it\f!\s out of liis power to afford thorn relief from the penalty, nttaehed by law, to a violation of their charters, but with that patriotism that all tl»e Banks have oxliibitod to the Kcvcral -governments of the city> State and Confederate, since tho CDramoncemont of the war, they deter- mined to suspend the j^ayment of specie, and thus placed the issue of the Confederate Government on a par throughout the Confederacy, as the Mo- bile Banks snnultaTieOHsly nntl for the same reasons suspended on the same day. It is only just and proper to remark that at the same time the Banks came to this determinatiwi, viz : on the IGtli of September, 18G1, their re- turns to the Board of Cun-ftnfcy show that they were all more than within tlie reiquiremeiits -ftf the law,, ha^•iug on Jiand in coin and ninety days pa- per, a much larger amount than was iiecessary to pay thoir liability to note. hoMers and depositors. The Sonthern Bank was an exception in the gen- eral suspension, but while tliey continued to pay all their liabilities in coin to either depositors or note hoMcrs, tiiey joined with the other Banks in rccr^ving in payment of duc.sto the Bank tho Treasury notes at par, and in like manner paid them out over their counter. Under'tliis condition of the Bank.s, as wo are informed by tlic report of the Board of tfnrreric}'^ the President of the Board, under a resolution passed, notified the Attorney' General that he had instructed the several old chartered Banks to go at once into liquidation, other means being pre- scribed for tho Banks orgaiuaxl under the Free Banking Act of March, 1855. The Attorney General, for reasons set forth in his able special report to the Legislature on this snbj{»ct, declined to prosecute the Banks, and de- termined to await the action 'o.r tho General Assembly before proceeding against them. Your Committee Have deemed proper to thus lay before you, as briefly as possible, the c ausoB that have brouglit about this condi- tion of OUT Banks, and leave in ^^our hands the entire subject matter, and at the same time t<> report i\y\' your action in the premises an act entitled. " An act relative to suits, or proceedings for the forfeiture of the charters of the Banks, or the involuntary liquidation thereof,'' deeming it but an act of justice to the Banks that the General Assembly should come to their relief, which this act will aftord them. That they all have violated their charters and the laws, there cannot be a question of doubt ; but is it not a matter of duty on the part of the Legislature lo sanction their action as fur as they possibly can ; they having placed themselves in this condition for no other purpose than to subserve the great cause of American lihert)-» and aid, as far as they could, the successful prosecution of the great revo- lution in which we are all engaged. In furtherance of their duty, your Committee append, as part of this re- port, the various reports of the sub-committees appointed to count the coin in the several Banks. They also beg leave to report that they made a careful examination of the assets of the Consolidated Association, in liquidation, and are pleased to state that the assets will be found ample to meet the bonds of the State as they fall due, and for which the State is liable for account of that institution. Too much praise cannot be awarded to the liquidating commissioners for the manner they have dispensed the duties of their oflice. Your Committee also take pleasure in calling your attention to the re- port of the Savings Institution of the city of New Orleans. It continues in a highly prosperous condition, as a perusal of the report will show. Such institutions, and so well managed, are a credit to the commercial emporium of the Southern Confederacy. The bonds deposited with the Auditor against the circulation of the free Banks have been counted and found to correspond with that officer's re- port, and the cancelled notes of the several Banks have been destroyed in accordance with the r(>povt of the Sub-Committee, which is herewith ap- pended. Your committee have also had under consideration the Article 118 of the Constitution which permits, by consent of the General Assembly, the issue of Bank notes by the Free Banks to the extent of three-fourths of the paid in capital, and they now report a bill entitled, "An act to authorize the Free Banks now existing to issue circulating notes in accordance with the provisions of ordinance No. 30 of the State Convention." Your com- mittee deem it due to the Free Banks that some of the onerous restrictions of their charters should be removed, in order that, in the present condition of our planting and other interests, they may be enabled to render that aid which is now so very essential. The requirements of the Free Bankinf»- Law are of such a stringent character that at present they cannot afford any relief, as already have they been taxed to the very extent of their means, in the aid they have rendered to the State and Confederate Gov- ernment. 6 Your Committee cannot close without taking some notice of tho r<»port of the Hoard of Currency. The President appears to Ih5 alone in his lio- sire to have sfreater powers conferred on the lioard to tarry out the laws, as we find on an examination of the report that the other membora dissent from his wishes on the pubject. We do not deem it necessary tti take any further notice, other than in'the opinion <>f the Committee, that while they think there inif^ht he some alterations made in the act creatinpf the Hoiird, we do not think it proper, at tiiis present time, to sugycst any alterations or chancjes. The minutes of the proccedin^•s of the Joint Committe are appended for your consideration. All of which is respectfully submitted. E. SAfvOMOX, C'hairman on the part of the Senate. JOHN R. SHAW, Chairman on the part of the House. REPORT OF SUB-COMMITTEES. The unJersiijucd, a Sub-Committee appointed to inquire into and examine the coin in the Merchants' J?ank, Meeliauics and Traders' Bank and Union Bank, beg leave to report to tlie Joint Committee that they have performed their labors, and herewith accompiny this report with a statement of the coin found in the vaults of each of the above named Banks, MKUCIIA.NTS' BANK. American gold >>110,800 OU American silver 11,500 00 Mexican silver, $4,000 at 102c $4,080 00 Mexican silver 713 40 . 1J93 40 Spanish doubloons, 1,253, worth...... 20,920 00 Foreign gold ^ 156 00 Gold and silver on Teller's tray 54 30 8154,232 70 Total coin $154,232 70, held and owned by the Merchants' Bank. MECHANICS AxNl) TKADEUS BANK. In American gold 55(325,000 00 foreign gold— Spanish doubloons $18,690 00 French coin 8,250 00 Kepublican doubloons 4,545 00 Mexican doubloons 3,255 00 Spanish doubloons 2,160 00 86,900 00 g Mexican silver 10,000 00 Mexican,^ 4,000, at l02c 4,080 00 American silver 0,000 00 Mixed lots of gold and silver in vault 400 00 Old and mixed silver in vault 750 00 Gold and silver on Teller's tray ,. 2,377 00 20,OS0 00 :],477 00 8685,457 00 Total coin 8085,457, held and owned by the Mechanics and Traders' Bank. UNION BANK. American gold 1315,000 00 American silver 27,278 00 Mexican silver, $12,998, at 102c. to the dollar lo,257 9() American gold on Teller's tray 725 00 ^356,200 90 Total coin, $350,260 9G, held and owned by the Union Bank. All of which Is respectfully submitted. ED. D. NEAVELL, ) ^ , ^ JOS. W. CARROLL. { ^^l>^^'"^^ttcc. New Oulkaxs, December G, 1861. STATEMENT 0/ the Sub- Committee appointed to ascertain the amount of Coin m the Citizens Bank and Soxithern Bank. Your Committee beg leave to report that they repaired to the Citizens' Bank for the purpose of counting the coin and found the same impractica- ble, from the fact that the coin was mostly in kegs and could not, without great labor, be counted. They therefore present a statement, certified under oath of the President and Teller, which they make a part of this report, as follows : Coin in mother Bank, per statement «4,013,043 70 Coin in Branch Bank, per statement 22,185 32 84,035,229 11 IN THE SOUTHEUX BANK. In American gold..... 845,810 00 In mixed coin 26G 63 In Spanish doubloons 3,402 62 In American silver dollars 12,000 00 In American half dollars, dimes, etc 21,600 00 In Mexican dollars , 198 00 $82,777 R. W. ESTLIN, L. A. SCUDDAY. New Orleans, December 6, 1861. STATEMENT Of Coin ill Citizens' Bank Decemher 6, 1861. Silver bars S 8,256 85 Mexican dollars $1,006,000 At 102 ccutseach 20,120 1,026,120 00 American dollars $ 286,000 At 102 cents each 5,720 291,720 00 •7 D D 10 • American half dollars 70,000 00 American quarter cioUars 1,000 00 American 10c. and 5c. pieces 41,000 00 American gold 2,413,174 25 Spanish doubloons, 2,3605, at $15 60 each 36,S25 75 Spanish doubloons, 1,000, at |1G each 10,000 00 Mexican doubloons, 5,480, at §15 GO each 85,4."^S 00 South American doubloons, 800, at *15 40 each.. 12,320 00 Sovereigns, Napoleons, 10 guilders, etc 3,388 00 Change on trays and counter 7,750 94 Total specie 54,013,0.43 79 BUAN'OII AT SIIUKVEPORT, NOVEMBKR 30, 18G1. Gold $16,501 05 Silver 5,084 27 $22,185 32 Total in Bank and Branch .'?... 14,035,229 11 (Signed) C. W. CAMMACK, Teller! JAMES D. DENEGllE, President. Sworn to and subscribed before me this day, December G, 1861. (Signed) AllTHUR SAUCIER, Third Justice of the Peace. 11 Your Sub-Coinraittee appointed to count coin in the Branch of the Lou- isiana State and Louisiana State Bank and Crescent City Bank beg leave to report as follows : LOUISIANA STATE DANK. American Gold $1,833,000 00 Spanish and American Doubloons 241,910 21 American and Spanish Doubloons 340,517 00 American Dollars 17,000 00 On counter in change and gold 1,203 54 $2,433,630 75 IN BRANCH DANK OF THE LOUISIANA STATE. American gold S255,000 00 Foreign gold 5,657 50 American and Spanish silver 28,463 60 289,121 10 $2,722,751 85 Reported by mother Bank on hand in Ba- ton Rouge, to be verified by your Com- mittee 35,200 00 $2,757,951 85 CRESCENT CITY BANK. American gold $150,525 00 Foreign gold 10,750 10 American dollars 10,232 00 Copper cents 10 00 On counter, in gold and silver 1,320 00 ■ 8172,837 10 Dimes, half dimes, quarters and halves 3,000 00 $175,837 10 12 Your Committee examin«'il the assets of the Consolidiiled Bank in li<|uidation, and found the .same to corrcspoud with the report to the Board of Currency. They also examined tlie asseUs and eondition of the Sav- ings Institution, and found the same liighly satisfactory. All of which is respectfully submitted by E. SALOMON, On part of Senate. J. R. SHAW, On part of Ilonsf. Nkw Oklkans. Docciuber G, 18fil. 13 The utiderfiigned, appointed a Sub-Committee to examine the coin in Canal Bank and Bank of New Orleans, submit the following report: CAXAL BANK. IG kegs, $5,000 each, in $20 gold pieces $800,000 00 1 keg, gold, mixed ftOjOOO 00 1 • • • • • • 1 0,000 00 Gold $860,000 00 Silver. In Mexican dollars- $6,733 at 2 per cent, prera. $6,867 00 In American half and dollars, (1 keg.) 5,000 00 On trays, mixed silver 5,900 00 In silver 17,737 00 4 $877,767 00 BANK OF NEW ORLEANS. 25 boxes gold, $20, $30,000 each $750,000 00 1 tray 5,900 00 1 • • 1,945 00 1 bag foreign gold 7,070 00 $764,915 00 Silver. 6 kegs half dollars, $5,000 each 30,000 00 1 keg American and Mexican 4,590 00 2 boxes half dollars, $1,000 each 2,000 00 1 box dimes and half dimes 1,000 00 1 box half dollars 400 00 2 trays quarters 680 00 1 tray small change 300 00 Change Paying Teller's desk 75 42 $803,960 42 FELIX LABATUT, C. E. RULE. New Orleans, December 6, 1861. u The undersigaed, appoiDted a Sub-Committee to examiDc the coin in the Bank of Louisiana and Bank of America, submit the following report : DANK OK 1.0CISIANA. American gold $1,442,802 85 Foreign gold, (Sovereigns, Napoleons and Donbloons) 1,010,445 94 $2,453,248 79 American silver $319,717 46 Mexican dollars 79,750 00 399,467 46 Total $2,8.'i2,716 25 *. BANK or AMERICA. American gold • $617,850 00 Foreign gold 67,733 12 $685,583 12 American silver $46,913 68 Mexican dollars of $1 02 33,762 00 80,675 58 Total $766,258 70 ALSO, Bullion (not counted bv the Board of Currency) valued at. . . $14,921 65 •,, rN. D. COLKMAN, bnbCommittee. | ^^^q^q GARDERK, New Oukkaxs, December Glh, 1861. STATEMENT Of the Condition of the Consolidated Association in Liquidation nn fheSOth November, 1861. Liabilities other than those of movement: Aimexes to State Bond of 1843 $204,000 00 1848 344,000 00 $548,000 00 Dead weight, to-wit : Real estate 1 $ 7,553 10 Long loans on stock 254,807 87 mortgage 10,590 00 Protested paper 7,984 90 Bills receivable 163,940 61 Other assets 129,923 79 City bonds 23,612 50 $598,412 77 Movement — Cash liabilities : Coupons of interest $2,971 15 Cash assets 8,018 75 Consolidated Association of the Planters of Louisiana. H. L. PIERRK. Cashier. 16 STATEMENT Of the. condhion of ihf. New Orleans Savimjs Institution, Xovtmher 30//i, 1801. MAUILITIES. Received from 5,932 depositors in 30,118 dep's.$2,r)24,867 11 Paid in 22,219 drafts 2,178,900 57 Amount duo depositors this day |;]45,90() 54 Certificates of deposits, amount outstanding. . . 2,000 00 Total liabilities $347,960 54 Loan on pledge of Bank stocks : On 305 shares Crescent City • 30 • • Citizens' • 704 • • Merchants' • 113 • • Louisiana State Bank • 380 ■• Union Bank • 170 • • Canal and Banking Company. . . • 115 • • Bank of New Orleans |148,678 32 Loans on mortgage of improved city property worth double the amount loaned 49^443 31 $83,000 city bond.s issued to N. O., Jackson, and G. N. and Opelousas li. R. Co's (36,990 00 870,000 8t. Charles Hotel 7 per cent, mortgage bonds, cost 01,750 00 Cash in Bank of Louisiana $61,140 53 • • vault 5,534 31 $66,680 84 Total assets $393,542 47 (Sigucdj SAM. JONES, Jr., Secretary. Nkw Okleans, December 7th, 1861. 17 « », w S OQ ^ 125 ^ O 1 Sz; "g o c_> "« 1^ ^ ,;0 r-l r-H r-H ■ O O •O O •(M O . o lO o c:> o !C5 t^ 1- CO o iCO O O l^ CO c: 00 -^ r-l t-1 'rA ,.a^ . t^'-OOi-inbor, 1801. The Joint Coinuiittce on I'.anks and Bankinj^ met this inoining' pursuant to call. Present on the part ol' ihe Senate, lions. E. Salomon, Cliairnian, Fergus Gardere, Felix Labatut, Ed. 1). Newell and J. A. Scudday. On the part of the House, Rons. John R. Shaw, C. E. Ilulli, R. W. Estlin, N. 1). Coleman and J. W. Carroll. The annual report of the ]'>oard of Currency and the special report of the Attorney General of the Slate, liciiii;: presented, on motion of the Chair, they were read by the Secretary. On motion the Chairman aj)! uinted ihe rol!o\\ini^- Sub-Committees to 21 count the coin in the vaults of the Banks on Friday, the 6th instant, and to report to the Joint Committee on the evening of tliat day : Bank of Louisiana and Bank of America, Messrs. Gardere and Coleman. Citizens' Bank and Southern Bank, Messrs. Estlin and Scudday. Canal Bank and Bank of New Orleans, Messrs. Labatut and Rulh. • Merchants' Bank, Union Bank and Mechanics' and Traders' Bank, Messrs. Carroll and Newell. Louisiana State Bank and Branch, Crescent City Bank, Consolidated As- sociation and New Orleans Savings Institution, Messrs. Salomon and Shaw. On motion the Committee adjourned to meet on Friday evening, the 6th instant, at 6 o'clock. (Signed,) JAMES FLINT, Secretary, pro tern. Okkick BoARn ok Ccurkxcv, New Orleans, 6th Decemljer. 18G1. The Joint Committee on Banks and Banking met this evening pursuant to adjournment. Present on the part of the Senate, Hons. E. Salomon, Fergus Gardere, F. Labatut, Ed. D. Newell and James A. Scudday. On the part of the House, Hons. John R. Shaw, C. E. Rulh, R. W. Est- lin, N. D. Coleman, J. W. Carroll and J. V. Duralde. Hon. E. Salomon in the Chair. The minutes of the last meeting were read, and, on motion, approved. The Sub-Committees appointed at the last meeting submitted their re- ports of the examination of the vaults of the several Banks, giving a de- tailed list of the coin held by each Bank, which being road were, on mo- tion, approved. On Mr. Gardcre's motion, duly seconded uud agreed to, the Secretary was instructed to address a communication to the several Banks and to ask of them : 1st. What was the amount of unmatured paper of all kinds held by your Bank on the day of suspension of specie payment, the 16th September last, and what is the amount held on this day, the 6th December instant ? 2d. What is the amount loaned by your Bank, either to the State, to the Confederate States, or the parishes of the State, for war purposes ? It was agreed that this Committee meet the Sub-Committee of the Fi- nance Committees of both Houses of the Legislature and the Presidents of the several Banks on Saturday morning, the 7th inst., at 10 o'clock, at the office of the Board of Currency. On motion the Committee adjourned. (Signed,) JAMES FLINT, Secretary, pro tem. <>•) Uatox UoiiiK, December loth, 1801. The Joinl Cuinmittee met this inuininjj pursuant to ailjuurument. Presont, Uons. E. Salomon, J. R. Shaw, F. Gardere, Butler, Scudday, Newell, Texada, Colouian, Kstlin and Carroll. The Chair submitted the following bills : "An Act relative to suits or proceedings for the forfeiture of the char- ters of the Banks of this State, or the involuntary liquidation thereof." " An Act to authorize the Free Banks now existing to issue circulating notes in accordance with the provisions of Ordinance No. W, of the State Convention." Botii of which were unanimously ailoDted by the Committee The Chairmen also submitted their report to the two Ilouses, which was unanimously adopted : On motion the Joint Committee adjourned. CONDENSED REPORT 0/ the Sub- Cotmnittees appointed to count the Coin in the several Banks on the (Sth December, 1861. Citizens' Bank and Branuli at Shreveport $4,085,220 11 N. 0. Caual and Banking Company 877,767 00 Bank of Louisiana 2,852,716 25 Louisiana State Bank and Branches 2,757,951 85 Mechanics' and Traders' Bank 485,457 00 Bank of New Orleans 803,960 42 Union Bank 356,200 96 Southern Bank 82,777 25 Merchants' Bank 154,2;)2 70 Bank of America... 766,258 70 Crescent City Bank 175,837 00 Total coin in all the Jianks this day $13,548,448 24 Nkw Ori.k.vns, Gth December, 1861.