REPORT
OF THE
PRESIDENT AND CASHIER
OF THE
Tlirion B2.1TZ
OF THE
STATE OF TENNESSEE,
MADE TO THE
©OTML A8SMBL7i
ON THE 10TH SAT OF OCTOBER, 1833.
PRINTED BY ORDER OF THE HOUSE OF REPRESENTATIVES.
NASHVILLE:
A. A. HAL.L., Printer to the House.
REPORT
Union Bank, )
Nashville, October 10, 1833. J
The Honorable the General Assembly of the State
Tennessee:
Gentlemen—In obedience to your resolution of the
4th inst. the undersigned, President of the Union Bank
of the State of Tennessee, has the honor to present the
state of the Bank of this date, under the official authen¬
tication of the Cashier, affording all the information re¬
quired by the first branch of the resolution, which it is
hoped will prove satisfactory to your honourable body.
The remaining part of the resolution, not embraced
by the statement of the Cashier, asks two questions—
First, Why a branch of the Institution has not been es¬
tablished in East Tennessee? And, Secondly, What
produced the delay in establishing the other branches?
In reply to the first inquiry, the undersigned would
beg leave to state, that by the second article of the fun¬
damental articles of the charter of incorporation, it is
provided, that "None but a Stockholder, being a citizen
of the State of Tennessee, shall be eligible as a Direc¬
tor, except such citizens of the State as shall be appoint¬
ed by the State,"
Under this provision it was considered by the board
;T0RICAL
>UC!
4
improper to appoint any person a Director, other than
Stockholders; and there being none thus qualified in
that district of country, they felt themselves constrained
to decline for the present fixing a Branch in East Ten¬
nessee.
The Directory would have felt themselves bound by
the Charter, and would with pleasure have opened a
Branch in East Tennessee, if there had been members
of the corporation there to have taken upon themselves
the management of its concerns.
The undersigned, in answer to the second inquiry, as
to the delay in establishing the other Branches, must
be permitted to say, that no unusual or unnecessary de¬
lay has taken place upon that subject. The undersign¬
ed upon consultation with the other Directors that had
been designated upon behalf of the State, before the
election of Directors for the Parent Bank had taken
place, with a view to hasten the commencement of the
business, and thereby relieve the country from the diffi¬
culties of the times, as much as possible, upon the lim¬
ited means of the Bank, did, upon their own responsi¬
bility, request Col. Douglass (who was one of them) to
procure books for the Parent Bank, and three Branch¬
es; to procure some Bank Paper whilst in Philadelphia,
where he was going upon his own private business.—
This was done by Col. Douglass, and the paper, or a
small portion of it, arrived in Nashville about the 20th
February, and the Bank was opened the first Monday
in March.
The Directors considered that it was proper to organ¬
ize the Parent Bank, and place the small sum in their
possession under discount, rather than let it remain idle
to await an increase, and then establish the Branches at
the same time,—and they considered it useless to divide
5
about $200,000 into three parcels, and incur treble ex¬
penses, before, in fact, the Institution had concentrated
its funds, and made arrangements necessary to com¬
mence their intended system of operations, with any
prospect of success, or advantage to the country..
But the undersigned would here remark, that in mak¬
ing discounts of this small sum, they were governed by
the principles of so diffusing it, as to give more than an
equal portion to the applicants from the section of coun¬
try where Branches were intended to be established;
and up to July, at which time the Branches were put
into operation, there was nearly one half of all the pa¬
per under discount, for the accommodation of citizens
of those sections.
The Directors lost no time, after the Parent Bank
was organized, in despatching the undersigned to the
eastward, to endeavour to realize the State Bonds, and
for such other banking arrangements and exchange
connexions as were thought necessary for the operations
of the Institution. He started about the 10th of April,
a very few days after the bonds had been prepared and
delivered over to the Bank, and was gone only about
45 days. The paper, however, which he had ordered
whilst in Philadelphia, did not arrive until about the
middle of June. All hands were immediately put to
work, and some additional Clerks employed to fill up
and prepare the paper, and notwithstanding the epidem¬
ic was raging at this place, no officer of the Bank re¬
laxed his labour, unless prevented by indisposition,
until the Branches were put into operation. I have
been apprised, that som<? individuals, during the sum¬
mer, were imputing blame to the officers of the Bank, for
not establishing the Branches immediately on the Pa¬
rent Bank's opening its doors; and still more for not is-
6
suing their paper to an unlimited amount, without re¬
gard to the means to redeem it. Their imputations, we
suppose, were the reasons of your honourable body
making this inquiry; and we are gratified that you have
given the Board the opportunity to say that these impu¬
tations were entirely without foundation; and that every
thing has been done by the board, to relieve the distress¬
es of the country, within their power, without jeopard¬
izing the institution, and that no exertion, labour,, of at¬
tention has been omitted, to furnish that relief prompt¬
ly and effectually.
All of which is respectfully submitted.
G. W. GIBBS,
President Union Bank of Tennessee.
7
A.
General state of the Union Bank of the State of Tennessee and
Branches, Thursday, October 10$, 1833. The Branch at Jack¬
son to 1th, and the Branch at Columbia to 8lh inst.
Bills and Notes discounted,
Domestic Bills of Exchange,
513,691 71
1,211,187 60—1,724,879 31
The State of Tennessee—Interest on bonds to'
1st July last, J
Due from distant Banks—viz:
Bunk of Maryland,
The Girard Bank, Philadelphia,
Bank United States, Pittsburgh,
Bank of Louisiana,
Union Bank of Louisiana,
Due from City Banks—viz:
Bank of U. States, Nashville,
Yeatman, Woods & Co.
Union Bank balances against Office at Jackson,
Do. do. do. Columbia,
Deduct balances by Office statements,
Expenses,
Cash on hand—viz:
Union Bank Notes payable at Nashville,
Do do do Philadelphia,
Do do do Baltimore,
Do do do Jackson,
Notes on City Banks,
Notes on distant Banks,
Silver and change,
Individual Depositors,
E. E. Union Bank,
Nashville, October 10, 1833.
12,500
381,763 76
88,637 93
344 47
3,829 46
2 00 474,577 62
50 00
5,081 70-
56,307 38
60,191 77
116,499 15
110,219 12-
-5,131 70
-6,280 03
9,102 81
152,870 00
19,770 00
166,425 00
1,580 00
20,015 00
4,530 00
156,121 18—-521,311 18
Capital Stock, limit,
Reserved by State,
Paid in,
Post Note account on time,
Bank Note account,
Due to distant Banks—viz:
Commercial Bank Of Cincinnati,
Back of Louisville,
Merchant's and Manufacturers Bank, Pittsburgh,
Public Officers.
Thomas Crutcher, Treasurer M. T.
Exchange account,
Discounts received,
Premium on sale of State Bonds,
Interest account,
3,000,000 00
500,000 00
2,753,782 65
1,242,647 47
154,625 76
1,095,000 00
791 79
2,291 16
790 96--
-3,873 91
83,636 29
19,319 98
25,000 00
12,266 30-
19,233 13
-140;222 57
98,179 81
$2,753,762 65
A. VANWYCK, Cash'r.
3
State of the Union Bank, Nashville,
Bills and Notes discounted,
Domestic Bills of Exchange,
The State of Tennessee,
Distant Banks—viz:
Bank United States at Pittsburgh,
Bank of Maryland, 5 percent,
Do do 4 per cent.
The Girard Bank, Philadelphia,
Union Bank of Louisiana,
Bank of Louisiana,
City Banks—viz:
Bank United States, Nashville,
Yeatman, Woods & Co.
Office at Jackson,
Do Columbia,
Expences,
Cash on hand—viz:
Union Bank Notes payable at Nashville,
Do do Baltimore,
Do do Philadelphia,
Do of Office at Columbia, issue
Do do Jackson,
Notes on Bank United Statea and Branches,
Yeatman, Woods & Co. and State Bank,
Sundry distant Banks,
Silver and Change,
Capital Stock,
Post Note account on time,
Deduct Office at Jackson, issue,
Bank J\ote account—viz:
Nashville,
Philadelphia Post Note account,
Baltimore Post Note account,
Off, Branch Bank Note account,
Distant Banks—viz:
Commercial Bank, Cincinnati,
Bank of Louisville,
Merchant's and Manufacturers' Bank, Pittsburgh,
Public Officers.
Thomas Crutcher, Treasurer,
Exchange account,
Discounts received,
Premium on Bonds,
Interest account,
Individual Depositors,
Amount issued,
On hand,
In circulation,
E. E. Union Bank, Nashville, Oct. 10,1833.
October 10/A, 1833#
343,396 95
1,004,202 29—$1,347,599 24
12,500
344 47
275,000 00
106,763 76
88,637 93
2 00
3,829 46 474,577 62
50 00
5,081 70-
-5,131 70
56,307 38
60,191 77-
-116,499 15
8,238 94
97,310 00
132,190 00
19,770 00
249,270"00
2,905 00
6,135 00
6,260 90
13,290 00
4,530 00
148,914 65-
154,625 76
8,788 70-
315,000 00
80,000 00
700,000 00
1,095,000 00
320,000 00-
431,304 65
$2,395,851 30
1,242,647 47
145,837 06
-775,000 00
791 79
2,291 16
790 96-
71,694 27
15,353 19
25,000 00
12,266 30-
-3,873 91
19,233 13
124,313 76
84,945 97
$2,395,851 30
775,0001)0
249,270 00
525,730 00
A. VANWYCK, Cash
9
c.
Stale of the Office of the Union Bank of Tennessee at Jackson5
October 7, 1833.
Notes discounted,
Domestic Exchange,
Expense account,
Cash—viz:
Office Jackson, notes payable in Baltimore,
.Do " « « « Nashville,
Silver, Change, &c.
94,432 57
99,798 83 194,231 40
833 42
21,740 00
47,600 00
6,198 82-
-75,538 82
$270,603 64
Branch Bank Note account,
Branch Post Note account,
Discounts received,
Exchange account,
Parent Bank,
Branch Post Notes on time,
Individual Depositors,
A copy.
(Signed)
107,000 00
87,000 00-
2,247 02
4,956 30-
-194,000 00
-7,203 32
54,123 71
8,788 70
6,487 91
$270,603 64
JNO. W. CAMPBELL, Cash'r.
D.
State of the Office of the Union Bank of Tennessee at Columbia,
October 8th, 1833.
Domestic Bills,
Notes discounted,
Expense account,
r CASH ACCOUNT.
Office Columbia, notes payable at Baltimore,
Do " " " Nashville,
Yeatman, Woods & Co's. notes,
Bank United States and Branches,
Silver,
Branch Post Note account,
Branch Bank,
Discounts received,
Exchange account,
Parent Bank,
Individual Depositors,
A Copy.
(Signed)
107,186 48
75,862 19
183,048 67
30 54
9,530 00
3,465 00
245 00
220 00
1,007 71-
-14,467 71
$197,546 83
10,000 00
116,000 00 126,000 00
1,719 77
6,985 72-
-8,705 49
56,095 41
6,745 93
$197,546 83
P. W. PORTER, Cash'r.
10
E.
General Table of Circulation of the Union Bank and Branches,
October 10 th, 1833.
Total amount of Bank Notes issued,
on hand,
" " in transitu,
•' " in circulation,
Viz:
Notes issued payable at Nashville,
On hand,
" " " in circulation,
" " " at Jackson,
on hand,
" " 11 at Philadelphia,
on hand,
340,645 00
3,000 00-
291,000 00
152,870 00
24,000 00
1,580 00-
80,000 00
19,770 00
in circulation,
" " " at Baltimore, 700,000 00
on hand, 166,425 00
In transitu to Columbia, 3,000 00—169,425 00
in circulation,
Total as above,
SUMMARY.
Notes in circulation, payable in Tennessee,
Specie and Bank Notes equivalent, to meet the same,
Notes in circulation, payable in Baltimore and
Philadelphia,
Specie to meet same,
Whole amount of Notes out,
Whole amount of Specie,
Excess,
Instalment due December 2d, to meet same,
E. E. Union Bank,
Nashville, October 10,1833*
1,095,000 00
-343,645 00
751,355 00
138,130 00
-22,420 00
60,230 00
530,575 00
751,355 00
160,550 00
176,136 18
590,805 00
470,400 00
751,355 00
646,535 00
104,820 00
200,000 00
A. VANWYCK, Cash'r.
11
F.
General Summary of the Means and Liabilities of the Union Bank
of Tennessee, October 10/A, 1833. Compiled from statement A.
LIABILITIES.
To Stockholders, 1,242,647 47
" Holders of Notes on time, 154,625 76
*' " " on demand, 751,355 00 905,980 76
" Sundry Banks, 3,873 91
" The Treasurer of Middle Tennessee, 19,233 13
u Individual Depositors, 98,179 81
Off.—Individual Checks on Officers, redeemed ? n oqa aq oqq 70
at Parent Bank, in transitu> 5 ' '
2,266,635 05
MEANS.
Notes and Bills on personal security, payable 7 gto gni 71
in Tennessee, 5 '
Do do payable out of Tennessee, 1,211,187 60
Debt against the State, 12,500 00
Due from sundry Banks, 479,709 32
Silver and sundry Bank Notes, 180,666 18—-2,397,754 81
Balapce to credit of Profit and Loss, $131,119 76
E. E. Union Bank,
Nashville, October 10,1833.
A. VANWYCK, Cash'r.
€*•
Union Bank, |
Nashville, October 10, 1833.
Balance against Bank U. States, Nashville, March > on nnn no
4th, 1833, equal to Specie, < yU'UUU w
Paid since in Specie and Checks at par on Cities 7
East of Nashville, \
Viz:
In Specie, 83,380 41
In Checks, 50,763 42 134,143 83
224,143 82
Balance against Bank U. States, Nashville, on > 5q qq
the present day, )
Total amount absorbed, 224,093 83
E. E. Union Bank,
Nashaille, October 10,1833.
' A. VANWYCK, Cashier.