20716. Miners & Manufacturers Bank (Knoxville, TN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
December 1, 1856*
Location
Knoxville, Tennessee (35.961, -83.921)

Metadata

Model
gpt-5-mini
Short Digest
5579620f

Response Measures

None

Description

Contemporary newspaper excerpts (Jan–Apr 1857) report the Miners & Manufacturers Bank at Knoxville as suspended/failed in 1856. Articles refer to its suspension/failure but give no clear indication of a depositor run or later reopening; therefore classified as a suspension leading to closure. Date of suspension not explicitly given in the snippets; set to 1856 with unknown day.

Events (1)
1. December 1, 1856* Suspension
Cause Details
Newspaper notes the bank was suspended/failed in 1856 but provides no explicit cause (no run, rumor, or correspondent failure mentioned).
Newspaper Excerpt
Of the suspension of the MINERS' AND MANUFACTURERS' BANK, at Knoxville, Tenn., we know nothing definite.
Source
newspapers

Newspaper Articles (4)
1. January 31, 1857 Grant County Herald Lancaster, WI
Article from Grant County Herald, January 31, 1857

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Article Text

Bank Failures and Suspensions of 1856. Jan. 8th-BaNK OF THE OHTo SAVINGS' INSTITUTE, at Tiffin, Ohio; failed. Affairs not yet closed up. Circulation, $500,000. Notes not bought. March 1st.-CENTRAL BANK OF TENNESSEE, at Knoxville, failed. Circulation about $100,000. Affairs yet unsettled.No sales for notes. Aug. 1st.-VALLEY BANK, of Maryland, at Hagerstown, failed: Circulation $190,000. Receiver has not yet made & report. Owned by Simeon Leland & Co., Metropolitan Hotel, N. Y. Notes not purchased by brokers. Sept. 3d-STATE BANK, at Sacketts' Harbor, N. Y., failed. Circulation $50,000. Affairs promptly wound up, and notes redeemed at par. PLANTERS' AND MECHANICS' BANK, Dalton, Ga., failed. Small concern, and nothing known about it. Oct, 27th-Bank OF THE REPUBLIC, Providence, R.I., failed. Circulation $80,000. Affairs in hands of Bank Commissioners, and not yet wound up. Notes bought at thirty cents on the dollar. Nov. 1--MANUFÁCTURERS & MECHANICS BANK, Columbus, Ga., failed. Circulation, $50,000. Not wound up, notes not bought, and prospects bad. Nov. 18th-LANCASTER BANK, Lancaster, Pa.; failed. Circulation $700,000.There is a movement on foot, which will probably be successful, to resuscitate this bank, and if so, the notes will be good again; if not, the assets are sufficient to pay a large dividend on them. Notes bought at sixty cents on the dollar. Nov. 18th-CANTON BANK, South China, Me., closed by State Commissioners.Circulation small. Notes not purchased. Dec. 18th-Exchange BANK, Bangor, Me., enjoined by State Commissioners.Circulation supposed not to exceed $40,000. Will probably go on again: Notes bought at 62 cents. Dec. 31st-ERIE COUNTY BANK, Erie, Pa., suspended: Circulation $300,000:e Notes bought at 50 cents. Of the suspension of the MINERS' AND e MANUFACTURERS' BANK, at Knoxville, Tenn., we know nothing definite. On the 20th ult., the BANK OF EAST TENNESSEE, Knoxville, closed its doors— probably forever. We hear the President has made an assignment of his property to the bank, and that all its assets are in the hands of Trustees for the benefit of d the billholders. There is no sale, here, for the notes. At Knoxville, those indebted to the Bank, pay thirty cents on the dols lar. Many of the above may not be wound up in years, while in this State, as in the case of the State Bank at Sackett's Hare bor, they are closed up and billholders paid n in a few months. e Altogether the past year has been very moderate in bank failures, and with one or two exceptions, there has been no great loss to the public.-[Thompsons] Reporter.

2. February 17, 1857 Nashville Union and American Nashville, TN
Article from Nashville Union and American, February 17, 1857

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# BANKS AND BANKING. We have published several communications on the subject of Banks, in which the writers propose changes in the present system of Banking. We believe that Barks have done serious injury to the great mass of the people, and that the injury is in proportion to the number created. We refer back to the time when our legislature gave every body the previlege to bank, and soon thereafter the country was flooded with Kincannon tickets, Chaffin, Kirk & Co. shinplasters, and others of like material. All these, like the moras multicaulis, became worthless, except as fuel to kindle a morning fire. Subsequently the Fermers' and Merchants Bank of Memphis was chartered. Then came the Bank of East Tennessee. The next birth in the Bank family was named the "Lawrenceburg Bank." The legislature of 1851-2 chartered the Citizens' Bank, and passed a general law allowing any person banking privilezes who would deposite $50,000 in bonds with the Comptroller. If the legislature following had looked back to the condition of the banks chartered by their illustrious predecessors, and made an estimate of the loss sustained by the hard working people in consequence of bank failures, surely they would have waited a while to see what tax the people could stand before burthening them with any more banks. But there was not yet a stopping place. After the adjournment of the legislature of 1853-4, (the same body that made JOHN BELL Senator,) we find on the statutes charters for eight more new stock banks. Three of them the Mechanics Bauk at Memphis, the Central Bank at Nashville, and the Miners' and Manufacturers' Bank at Knoxville, have failed. Two others the Bank of West Tennessee, at Memphis, and the Agricultural Bank at Brownsville, are said to be shivering in the chilly breeze of adversity. There was yet no stopping place Although JOHN BELL had failed politically and the three banks above named had failed pecuniarily, yet with all these evils staring them in the face, the legislature of 1855-6 chartered the Bank of America, with the power to establish two branches and the privilege of incressing its capital to one million two hundred thousand dollars, and to issue two dollars for one of capital paid. This same legislature seemed, by their action, to be of the opinion that there had been rather a loose way of banking in Tennesseee, and they passed an act requiring all the banks and branches to make semi-annual reports to the Governor, and that the branch bark reports should be "separate and d stinct from the return of the mother bank." But not one single branch has complied with this act. (It may be proper here to remark that the act makes an exception as to the State Bank, and that the Bank of America, Union, Planters and Citizens' Banks, are all that have branches. Even the Bank of America, chartered at the same session which required branches to report to the Governor, has paid no attention to this act. The same act also prohibits any bank or branch bank from having a circulation which shall "exceed its discounts more than $2,000." If the branches had made reports as required by law, the people could see and understand the practice of dodging the payment of their debts by giving the people of Clarksville notes payable at Rogersville or Dresden, and by giving the people of Nashville notes payable at Athens, Pulaski, Jackson or Knoxville. Now we ask the reader to run over the list of baks named in this article and estimate if he can the heavy tax sustained by the people in consequence of the failure of banks ereated by our legislature from the days of Kincannon to the present time. On whom has this loss fallen? Even at the risk of wounding the feelings of what, in refined circles, are called "commercial men," we say that the great injury dote by the breaking of a bank is done to the farmer, the mechanic and the day laborer. You rarely see a "commercial man" with broken bank money on his hands. He is right at the door of some bank where he can deposite such funds as will not get him exchange to pay his Northern or Southern debt he can deposite every day, and the next day the meanest money he has deposited is paid out on his check to the farmer for his cotton, corn, or other articles of trade, and to the mechanic for labor done on his house or steamboat. But suppose the bank breaks where the "commercial man" keeps his account: don't he lose then? In nine cases out of ten, not a red, but oftener makes by the failure; for he generally has a note or bill in the bank and he checks for the deposite to be applied to the payment of the note or bill ard often has a chance to buy up the notes of the bank at a heavy discount to take up his own paper. If he has no note of his own, he knows of a friend who has, and he will work in his broken bank deposite. The only way these "commercial men" lose by bank failures is when they become too knowing and buy up tank notes when the bank is going down hill and are caught in their speculation. We think it clear that banks have greatly injured the people pecuniarily. We go further:- With the single exception of a hypocritical know-nothing clergy, we think banks and banking are far shead of any thing in injuring the morals of the community. They do every thing in their power to avoid paying their debts. For instance: A cotton speculator draws a bill on his New Orleans merchant for $10,000. The bank discounts the bill. On looking over the money he has received for his bill he finds that it is all payable at Jackson, or Pulaski, or Dresden. He goes to one of these points to make his purchases and finds that by paying gold he can purchase at a lower price; so he goes to the branch bank and gets the coin. The cashier is mad because he had to pay an honest debt, and he immediately writes to the parent bank, tells what notes he redeemed fand what sort of man presented them. When this letter reaches the parent bank, there is a whispering between the president, cashier, and teller and the identity of Mr. Cotton speculator is fixed. Do you suppose he could ever get a bill discounted in that bank again? Not a bit of it. Why? Was that bill he drew not paid? Oh yes, the cotton speculator's bill was met promptly; but the bank did not expect to pay their notes! And because the bank was not successful in avoiding the payment of its notes, it will have no dealings with the man that makes it pay. But again: Banks injure the morals of the people by giving character to the paper of other Banke which they believe to be unsound, and if banks can do this thing, the example is apt to be followed and the fraud becomes general. For instance: A new bank is started without capital- The first object is to get out a circulation. The

3. April 14, 1857 The True Democrat Little Rock, AR
Article from The True Democrat, April 14, 1857

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11. nature gave every body the pri vilege to flooded bank, d soon thereafter the country was Kincannon tickets, ith others of like material. inplassers, and Chaffin, became worth- Kirk & Co., All the morus multicalis, fuel to kindle a the Farmers' and as chartered. came hese, ss, ank subsequently except of like Memphis as The morning Then Merchants' next birth e Bank of East Tennessee. bank family was named the 'LawrenceBank." The legislature of 1851-2 charred urg the Citizens' Bank, and passed general who W allowing any person baking privileges ould deposit $50,000 in bonds with the comp looked oller. If the legislature following had by ck to the condition of the banks chartered eir illustrious predecessors, and made working unestiate of the loss sustained by the hard in consequence of bank what would have waited a while could stand before was with more banks. But eople em ey x the people any failures, to burthening there see surely stopping place. After the adjournot yet a of the legislature of 1853-4, (the same find ent dy that made JOHN BELL senator,) we new the statutes, charters for eight more Mechanics banks. Three of them--the Nashank tock at Memphis, the Central Bank at Bank ille, and the Miners' and Manufacturers' others-the Knoxville, have failed. Two and ank of West Tennessee, at Memphis, are said Agricultural Bank at Brownsvi e shivering in the chilly breeze of adversity. here be was yet no stopping place. Although three ohn Bell had failed politically and the above named had failed pecumiarily, the vet ith all these evils staring them in the face, of of 1855-6 chartered the Bank two egislature merica, with the power to establish its ranches and the privilege of increasing thousand apital to one million two hundred of ollars, and to issue two dollars for one capi- by il paid. This same legislature seemed, had of loose way heir action, to be of the opinion banking that in there Tenneseen and rather they passed an act requiring all the reanks ee, and branches to make semi-annual branch orts to the Governor, and that the distinct ank reports should be separate and But not the return of the mother bank.' rom single branch has complied with this the act. act ne It be proper here to remark that Bank, and may exception as to the State and makes at the an Bank of America, Union, Planters' Banks, are all that have branch Even tizens' the Bank of America, chartered at the ane session which required branches to to report this the Governor, had paid no attention bank or et. The same act also prohibits any which ranch bank from having circulation $2,000." "exceed its discounts more than hall the branches had made reports as understand required the people could see and of their y law, practice of dodging the payment notes he by giving the people of Clarksvi lle givof notes Nashville ebts vable at Rogersv lle or Dresden, and payable by at g the Pulaski, people Jackson or Knoxville. banks Now thens, ask the reader to over the list of the amed e this estimate if he can conse. tax sustained by the people in our eavy of the failure of banks created by mence egislature from the of Kincannon loss fallen? to the has this of the wounding the feelings commercial hat, the great injury done by the the and You mechanic reaking bank done to the farmer, rarely bank broken money n his hands. He is right the door of some will where he can deposit such funds northern as or he can deposit ank ot get him exchange to pay his every day, and outhern he next debt day the meanest money he has farmer deosited is paid out on his check to the of trade, or his cottou, corn, or other articles his But steamboat. nd to the mechanic for labor done the on bank suppose ouse ks where the keeps red, oftener makes ccount: don't he lose then? In by the failre; f ten, for he generally has note he for the checks deposit ank, lied and to the of the note notes of the ften has chance to buy up the If cavy discount take up his own paper. of note of he knows has and he will work in his broken ban ho eposite. has, The only way these belose by bank failures is when bank they notes too knowing and buy up and are then the the bank going down hill speculation. aught it clear that banks have greatly pecuniarily. Wego further jured the single exception of a hypoeritical Vith now-nothing elergy, think banks community g are far ahead of any thing They in injuring orals in their of the power to avoid paying their New his Orleans hing or instance: A cotton speculator for $10,000. On bill. the the ank discounts for his bill he finds honey or Pulaski, or of these points so en. that by paying he The coin. ranch he had he redeemed he and parent presented them. When this letter an bank, there parent president, cashier and teller, and the Do you ty of Mr Cotton speculator fixed uppose he could again? ever Not get bit of Why hat bank that bill he drew not paid? Oh yes, the but Vas otton speculator's was met promptly; the bank was not he bank did expect to pay their in and becaus the payment of its notes, it will it voiding o dealing with the man that makes of pay. the But again: Banks injure the morals of other to believe people by giving character to the be paper unsound and banks which can do they this thing, the example general. is apt 0 f be followed and the fraud become without 'or instance: bank is started circuapital. The first object is to get out its eyesation. The little kitten has opened ma arrange. begins to Knoxville, craw Nashville Has and Memphis, nents whenever at the youthful varmint" be gets hat either of these large cities it shall pro- that to The farmer and mechanic let it all ected. is protected by through bankers, conclude the State-it to has pass-it to goes be large wildcat. Its owner meets berown day, huge, bristling monster-it The owner every exceedingly troublesome. "protect" any omes nds it has grown too large; its longer, claws and are too he ong concluded for him to to "let her rip." The protectors conseis, that the owner and its to the neuce riveit away and continues its rambles his friends and neither the owner nor rambling country, by the depredations of the of re injured Such was pretty much the history that late Central bank. Bankers in owner had been largely in bank principal he ildeat. stated know engaged the banks, and it was rthwestern that every bank with which he to ote had failed. Yet all he then he bought Tennessee in connected Reporters charter protected was had arrangements to have his issues written to us ur principal cities. Letters were and our re.

4. February 16, 1858 Arkansas True Democrat Little Rock, AR
Article from Arkansas True Democrat, February 16, 1858

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furnished by the banks. Experience driven out the better circulation is always valuable that more worthless- the more circulaby the And yet, sir, this paper not the cheaper. which is su ect to such fluctuation, the tion, drives specie from our country, but more peo- by ple of only the United States annually lose suspensions, depreciation of this currency by and the the total failures, and defalcations, of banking, thousand and other incidental abuses of our govlet us into came than would pay the entire expense the State of ernment. But and see something of what our much own Tennessee have lost by their banks. How Merchants' people lose by the Farmers' and worthbauk did they at Memphis, which now calculation, utterly half suppose, at the lowest lose million less? of dollars. How much did whose they charter by was remember the Central bank at stolen Nashville, through the Legislature? you At least quarter of million Agricultural did they lose by the How much at Brownsvill owned by set of thieving hundred bank From seventy-five to a Yankees? How much by the Miners' histo- and thousand more. bank at Knoxville, whose Manufacturers' believe is similar to that of the suppose Central bank? ry `wenty five thousand more much by the would be safe estimate. How which bank of East Tennessee at Knoxville, all? I supthe most stupendous windle of truth in putwas I would fall far short of the million of pose circulation at half ting down its impossible, in fact, to ascertain dollars. amount It is of circulation this mammoth learn what had out, but *from all I can "wild-cat" safe in setting down at half million. feel How much have they lost by being compelled paper of submit to discounts or shaves on the stock least hundred to the suspended free banks and thousand smaller dollars banks? Thus At we see, sir, that the people of their this more. have within the last few years lost hundred by banks State actual cash, one million, four low thousand dollars. This, think, sir, nothIn this estimate have said Kinestimate. of the losses by the shinplasters" that of ing Chaffin & Kirk, and other of Nor of an estimate cannon, have confined myself to recent the millins dates. of dolhave that made have been and will yet be lost in of con- her of the depreciation in the price induced sequence property and products of the country This-al by the present monetary pressure banking systhis-is but part of the cost of our told that tems to the people. along without And yet banks- we are they cannot commercial get luxury with which no luxury civilized people can dispense. Well, sir, if would say they are rather an LegisOh! sir, wish could prevail upon this laxury our consider the cost of lators woul my to voice could be heard by State-by every man the within the limits of our proud land-that people--the sovereigns of the and could induce them to stop and think, and that sider the cost of this system to them. they might be persuaded never to send who is this hall to make laws for them, man to against banks and bank influe not pledged miracle, Mr. Speaker, that with this Is it not : burthen, this onerous tax upon us, we grievous ever attained unto the degree of prosperity been have now enjoy And oh! sir, had we but free we from this burthen, what people would have been? But, Mr. Speaker, the gentlema from Shelby objected to that provision in the Senate's and which prohibits banks from selling gold silver at any price, and from selling exchange Why, greater premium than two per cent. these banks debts- -they refused to pay sir, them-have suspended, and why Because, as they allege they have not sufficient specie this redeem their And when --when they tell us they have not now specie to redeem their circulation, shall authorise cient them sell or dispose of what specie they have on hand? Would that be guarding, should, the interests of our constituents as who hold their notes? No. sir, no! to They have issued their notes promising demand, and yet when the honest holder presents them and demands payment them they refuse, have the power to compel do so? or at least to see that they do to squander their effects until by legal proceeding what are forced into liquidation? If not, they is our boasted liberty worth? Where cacy of our free institutions? And exchange, the of gold--they ship their gold and check on it, and shall we allow them to refuse to pay their gold to the holder who is justly entiteld to it, and ship New York or Philadelphia and check from five to ten per cent. premium as they are now doing? Why, sir, in times of suspension, these banks fatten and grow rich, and we low them suspended and sell exchange at exorbiant prices they never will resume, and ruin the merchants of the county they need and must have this exchange If will redeem their notes and furnish the mercial with gold, they can perhaps either us them pay the at est debts able They premium it profitable of per infavor limiting furnishing Why, furnish price. banks these of notes thing to-day, allow them to ling soon the their for they will have disposed of all their redeem their Sir, without this provision, the bill would be materially defective us protect the of the -holder, by prohibiting the banks from making way with their and thus postponing indefinitely the period of resumption Again, sir, this Senate bill provides that if any bank shall refuse to accept of its provisions as amendments to charter, the Attorney General shall proceed against it to forfeiture of of charter. This the only means we have compelling them to obey our law af have made it. Why, the law already requires that they shall be paying out specie, and vet they are every day violating and disregarding it. If they disregard laws made by previous to Legislatures, what more respect will they pay those we may enact? We must retain this provision in order to force obedience to our enactments. And, indeed, so well am satisfied of the wisdom of this provision, that if this Legislature refuses to pass it, am then prepared to vote for a resolution directing the Attorney Geberal to have every one of them wound up. But bank advocates here say: If you oppress the banks, the banks will oppress the people," or in other words Mr. Speaker, their position is this: Let the Legislature take care of the banks, and the banks will take care of their constituents. Indeed, sir, when logically considered, the position of bank advocates every where is: Let the Legislature take care of the rich, and the rich will take care of the poor, or the the poor may take care of themselves. poor man, sir, that gets bank accommodations? Are the great mass of the people accommodated by them? By no means. If a poor man gets note discounted at is thought the influence of some rich friend, or perhaps in order to enable him to pay debt he owes some rich man, and then he had as matter of course to be indorsed by men of property. No. sir: the fact of the is, that the poor are always the sufferers by the defaulting, non paying banks and while the banks are solvent they receive no accommodations whatever. Sir, to am not in favor of returning at once