20925. Nashville Bank (Nashville, TN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
June 23, 1819
Location
Nashville, Tennessee (36.166, -86.784)

Metadata

Model
gpt-5-mini
Short Digest
82c55af2

Response Measures

None

Description

Contemporary articles (June–August 1819) report the Nashville Bank's board directing the cashier to suspend specie payments (June 23, 1819). By Aug 31 stockholders requested surrender of the charter and winding up of business, indicating permanent closure/wind-up. This appears tied to the broader 1819 financial distress (Panic of 1819). No specific depositor run is described in these items.

Events (4)

1. June 23, 1819 Suspension
Cause
Macro News
Cause Details
Part of the widespread financial distress of 1819 (general panic/credit contraction) prompting suspension of specie payments; articles link many banks suspending payments around this time and mention general embarrassed state of the times and balance of trade problems driving pressures on banks.
Newspaper Excerpt
the Board of the Nashville Bank, directing yester- of spcCashier to suspend the payment cie.
Source
newspapers
2. July 9, 1819 Other
Newspaper Excerpt
the Bank of Nashville shuts up its vaults. ... the resolutions of a meeting of various citizens of Tennessee ... recommend to all the banks of Tennessee to suspend their specie payments.
Source
newspapers
3. August 31, 1819 Other
Newspaper Excerpt
the stockholders of the Nashville Bank met on the 31st ult. and requested the president and directors to surrender the charter and wind up the business of that institution.
Source
newspapers
4. August 31, 1819 Receivership
Newspaper Excerpt
requested the President and Directors to surrender their charter and wind up the business of that institution
Source
newspapers

Newspaper Articles (5)

Article from Richmond Enquirer, July 9, 1819

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Article Text

THE SEASON. 22.-We have noCINCINNATI, June ratification, numerti d. accounts with much from places to from the east several of ous mountains, as well as very flattering to of abundant the the west of th m, of In this prospects state, and in the part of our Indiana and parts of good crops pearances of fruits, we of Kentucky, understand, crops. the and hay, adjoining liberal how ap- are quite supplies favorable. said, owing The article to the of dry weather, former ever, will not it is be as plentiful as in some seasons. Gazettes of the United Statespre of the The and distressing picture to be retimes sent a novel and if true this picture criterion were by which might to garded as the the realstate of things, some we unestimate eled to inter the But existence the case of is far other- in an a people we are of such heavy degree. are certain of commercial and wise: and usual eminent we make wild calamity. as consequences system Thedistresses complaints, of an blessed in unrestrained turn, which spe has the engendered culating policy pride, : and sloth, this, be and reversed, prodigality and Were the be pl visited ture to with famine, cause pesti the land to the sword, we might have of the lence, indeed or for lamentation. Instead of unusual present cheering prospects and trat quilhabitations might present lity, bounty. our with general health would barrow images up It contemplation that heart. for sensibilities of the endea the becomes finest us, therefore, to follies, use our and not to the dust. vours provoke 10 visitations correct our that own might [Inquisitor. humble us LEXINGTON, K. June 23.-From it would an the Nat. Intelligencer made article that in an impression has been seem that there have been county ab oad, all over the state" of Kentucky, of meetings that it is probable a suspension indepenand evments, at least by the This will take place. it is has done us no service: specie dent pression banks, produced but im- by greatest, of the evils of not the at Frankfort. Hundreds thouthe commenced, and of dollars drawn from sands would not have taken been for that meeting. the it payments being suits which not meeting have been stopped the place, debts The banks, by had fear and of the collection of the by an extra session of ing excited no small degree of bank creditors and holders banks, of gislature, many specie delayed of the alarm col- be- lein and induced them to push for notes, of their dates and call spelection they would have rested content, cie, not been for the alarm assure the people of had We when it can other excited.- not states, been meetings have is a and it is ascertained general; that the county the measures there decided against No suspension of specie pay. our nor call of the is at all opinion ments proposed. majority probable. legislature President. [Reporter. in Arrangements for the of the committee of arangements Ata meeting 17th inst. appointed by the Trustees for the on the to make preparations the of Lexington reception of the President of to this Uproper States at his anticipated visit unaniuited place, the following re-olations were monsly adopte suitable means be employed to as. be 1st. That time when the President may which expected he certain the to arrive here, and the road by will That come. military escort for his entry whose into 2d. be accepted a frointhose companies and that town offered for this purpose, M. M services are THOMAS BODLEY and COL. JOHN and GEN be the marshals upon the occasion, arrangeempowered CALLA to make the necessary That ments for it Mr. SANFORD KEEN be requested with pro43d. furnish the President and suite provide to apartments in his house, and to manper for their entertainment in a hospitable uer 1th. That an address be delivered to the President in the name of the town. 5th. That a public dinner be provided for him. That the committee of arrangements distance be 6th. to meet him at a suitable his lodgexpected from town, and accompany him 10 ings. And that snch citizens, as may choose es7th. on horseback with the military by the marshals. cort, 10 go out shall have a place assigned to thein published. A vote was passed to have these resolutions [lb. NASHVILLE, June 23.-The Board 0° of the Nashville the a resolution, day Directors adopted Bank, directing yester- of spcCashier to suspend the payment cie. Their reasons for this measure, we are authorized to say, will be laid before the public, this evening or to-morrow. (Gazette. A large number of the citizens of Nash and many others of ville, the state attending the federal circuit court now in session, met at the court house on the 21st of June, 1819, forthe purof taking into consideration the be apose deption of such measures as should best calculated to relieve against the present embarrassed state of the times. (Clarion. ROBERT C. FOSTER, Esq. brung called the chair, and WM. S. FULTON, Esq. to Secretary if was therefore resolved, at least two appointed unanimously hundred persons present the opinion of the citizens


Article from Richmond Enquirer, July 9, 1819

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Another! and yet another A few days since the Furmer's' and Me. chanics' Bank of Nashville closed its vaults. The newspaper article which gave this information, "positively" announced (from authority) that the Bank of Tennessee, "and the Nashville Bank, and their Branches, were resolved to continue their pay. ments in specie as usual -But scarcely was this assertion made public, before the Bank of Nashville shuts up its vaults.So ignorant, to all appearance, does this institution seem to be of its actual situation And so little gifted with the spirit of foresight.-We see 100 the resolutions of a meeting of various citizens of Tenmessee, who are attending the federal court at Nashville they do not hesitateto recommend to all the banks of Tennessee to suspend their specie payments. Thus one bank follows upon the heels of another! Indeed, so great has been the balance of trade lately, against most of the southern and western country, and in favor of the east, that it will require some skill on the part of the western and southern banks to withstand the current. A large part of this balance is paid for in bank notes. These are of little use to the eastward; they are not wanting to pay debts to the South and West; for the balance of debis lies the other way. What becomes of these notes? Holders are unwilling to be at the risk and trou ble of sending them to the issuing bank to be exchanged for specie-they are of nouse, ifkept on hand. They are willing therefore, to part with them at a loss. The notes depreciate below the notes of the Northern banks. Thisinvites brokers to buy them up at a discount, and send them Much to be converted into specie predence is requisite to guard against this state of things. The banks of Virginia here seem determined to spare no means whatever to go on with the ir specie pay ments. They aresanguine in their hopes of success.


Article from Alexandria Gazette & Daily Advertiser, August 26, 1819

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Oftwenty-five banks in the state of Ohio, the Western Herald informs us. there are at present but 6 or 7 which redeem their paper with specie. A letter from a gentleman at Nashville states, that the stockholders of the Nashville Bank met on the 31stult. and requested the president and directors to surrender the charter and wind up the business of that institution. The Washington Bank at Lebannon, Ky. has stopped payment, and is about to wind up its concerns. On Saturday the 31st ult. the citizens of Jefferson county, Ky. assembled at the different election precincts, (for the third time) agreeably to public notice, to take the voice of the county upon the expedieney of a suspension of specie payments by the Bank of Kentucky and its branchesand, on taking a vote, it was found that about three to one were opposed to the sus[National Intelligencer. pension. From the Baltimore American, August 24. HEALTH OF THE CITY. The report of interments for the last week. given below, we hope will at once quiet all apprehensions as to the general health of the city-on a reference to our files, we find the number of deaths reported in the corresponding week of the last year to be sixty-six-BILIOUS, SIX. The anxiety which has prevailed in the public mind, was occasioned by a few highly bilious cases, produced by the state of the atmosphere in the immediate viciality where they occurred. These having been officiously sent abroad by letters, created an unnecessary alarm at home. REPORT OF INTERMENTS In the city of Bultimore for the last week. ending Mon ay morning. Consumption, 5-bilious, 7-teething, 3-whooping-cough, 3-dropsy, 2-fits, 5--dropsy in head, 3-choleta morbus, 15-casualty, I-drowned, I-dysentery, 1-intemperance, 1-typhus, 2- benorr bage, 1-measles, 1--mortification, Iapoplexy, I-still torn, 1-cancer, I-decay, I 1-worms, |--sudden death by drinking cold water, I--old age, 1- Total 59. Adults 21-children 38.


Article from Elizabeth-Town Gazette, September 7, 1819

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From the National Intelligencer, Aug. 23. Of twenty-five Banks in the State of Ohio, the Western Herald informs us, there are at present but six or seven which redeem their paper with specie. A letter from a gentleman at Nashville states, that the stockholders of the Nashville Bank met on the 31st ult. and requested the President and Directors to surrender their charter and wind up the business of that institution. The Washington Bank at Lebanon, Ky. has stopped payment and is about to wind up its concerns. On Saturday the 31st ult. the citizens of Jefferson county, Ky. assembled at the different election precincts, (for the third time,) agreeably to public notice, to take the voice of the county upon the expediency of a suspension of specie payments by the Bank of Kentucky and its Branches, and on taking a vote, it was found that about three to one were opposed to the suspension.


Article from Constitutional Whig, May 7, 1824

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RICHMOND, VIRGINIA, FRIDAY, MAY 7, 1824. DDRESS OF NINIAN EDWARDS, such letters are to be found in the files of the sented to the House of Representativesby the Department." IIe has sometimes another deSpeaker, April 19, 1824. pository for them, in which the letter menCONCLUDED. tioned in my examination may also have been my letter to him of the 9th February, 1822 placed. It may have been addressed to him ch I would not venture to refer to, if 1 had without the addition of Secretary of the Treais answer to it,) I say, beg leave most which we have seen gravely insisted en cctfully to suggest, that it would be but an as giving hun a right to consider any letter of justice to present my publication of 1319, private paper,' though exclusively relating hich I declared I would be no longer resto matters of official duty. Or he may have ible for the bank of [Edwardsville] in any " considered not of a description to go on the whatever. This publication was confiles and thus may its absence from the ed in the St. Louis Enquirer, which I bcfiles," or its being lost or mislaid, be very nayou took at that time. It was also conturally accounted for, according to the practices of the Department. ed in a paper which I forwarded to you myAnd was enclosed, and referred to, in a The probability of this supposition is greatly from Col. Stephenson, the President of the strengthened by the following case lc, [and the Receiver also to you, which let. Between 1316 and the 31st December, 1819, e informed me, had been answered. Since he received important communications on the all of 1819, my connexion with that bank subject of the illicit introduction of a large entirely ceased. except that I am a stockber of American slaves into the United States, er in it, without, however, ever having borwhich strongly implicated one of his particular d one cent from it." friends. By a resolution of the House of Remy letter to Mr. Crawford, of 14th Februpresentatives, of the last mentioned date, he was 1822, I say to him, " I must, however, say, directed to lay before the House copies of such that as the information in the Treasury Decommunications as he had received since 1816, nent, relative to my original recommendaand such information as he possessed, in relation of the Bank of Edwardsville, has, for some to the illicit introduction of slaves into the Unipast, been distinctly understood, & freely ted States. But, notwithstanding this positive at this place, [Washington] I can but concall upon him, Eassert, and I challenge investiit somewhat unfortunate for me, that other gation, that he did withhold letters and informaunications in the Department, which ought tion upon this subject, implicating his friend. ve terminated all responsibility on my part, which ought to have been communicated to the not been equally known. That I was the louse, and some of which, he did not et en pere of the deposites being made there, in the mit to go on the files of the Department." Of instance I freely acknowledge. But, that conrse, it might be very truly said of them, equivocally declared, I would not be held that no such letters are to be found on the onsible for that or any other bank, in any files of the Department and that the officers whatever, after the fall of 1819 that you employed in it have no recollection of the renotified thereof in due time that the depoceipt them " for. having been deposited in have not been continued there, in consehis own private burean, those officers could Ice recommendation since that period; have no means of ascertaining the fact, and the that the bank was then in a good situation, 1 very motives for withholding their from the files I think, according to my present impreswould reuder fruitless all attempts to find fairly insist upon. And, if so, the partial swers" to them by an examination of the remation, now in circulation, at this place, is cords of the Department." And yet, there is alculated to do me that justice, which I no doubt of their living been received, and the I have a right to expect from your magstrongest probability that they were answered nity. It would, therefore, afford me great also. If the authority of the House of Repreure, I assure you, sir, that the whole of my sentatives was not sufficient obtain their prouct, in relation to that business, should be duction, the non-production of the letter of the lly known as to be no longer misunderReceiver at Edwardsville ought not to excite moment's surprize. e first of these letters was written five days But, it also appears that he, and his " officers e his report of the 14th February, 1822. of the Treasury Department,' have not been asecond bears the same date of the latter. ble to find a great number of other letters, and must both therefore, have been written evensome of his own official ones, when required e any charge of suppressions had been by other calls of the House; or, if they could or suggested. Of have been found, they were suppressed. d the existence of the Receiver's letter this, the documents furnished by himself afford denied, or the slighest intimation of quesbothabundant and conclusive proof. Many ing it, been given at the time it thus asstances might be stated. For the sake of brevid, I could, and would have proved every ty, I will allude few of them only. contained in my statement in regard to it, Several cases of this kind are presented by the at gentleman himself. But he is now dead correspondence with the Bank of Hurisville. Crawford knew this, before he made the I will refer tobut one of them. This is too conrt in question, dead men cannot CORclusive for any artifice to clude it and rect living ones. quires but a bare inspection of the documents b one can read the interrogatories that were themselves to be convinced of it. me, by the committee, and believe that In his letter L. No. 7, to the President of the Crawford was not well informed my tes Bank of Huntsville, dated the 30th July, 1819, by, before the date of his letter to the chairhe says, " You will perceive, by the contents of of the same committee, which was eleven MY LETTER OF THE 9th INSTANT, that later than my examination. From the the failure of the Nashville Bank, and its offire of the inquiries which he was then called cers, was, at that time, known to this Departto answer, they afforded suitable an OCment. It was then foreseen that the Bank of n, as the one he has selected, for questionHuntsville could not fail to be injuriously affecny credibility. Why, then, has he so long ted by that event, and by others of a similar naboned One thing is certain it never ture, which were then anticipated. I have been undertaken with greater hopes The reasons stated in MY LETTER ccess, than when it was supposed I should OF THE 9th INSTANT, in favor of the no opportunity ofdefending myself. prompt adoption, by the bank, of the measure will now submit to your honorable body a necessary to the transfer of the public money in remarks, to shew that the negative statethe possession of the bank, beyond the permats of Mr. Crawford, and his " officers of the nent deposite, remain unimpaired." sury Department," however confidently This letter of the 19th July, 1819, is also d upon by him for my total overthrow, are ferred to in letter L. No. 8, from the President onclusive for his purpose. of the Bank of Huntsville, dated September, bu have been informed by him, that, previ1819. Yet this same letter of the 9th instant, o the calls for his correspondence with the whose "relevancy to the subject matter of the banks, which were made the depositories call" admitsof no question, "was not to be found blic money, it had been usual to refer all on the files of the department," or it was purcalls to Mr. Jones, his chief clerk, but posely suppressed, for it has not been commuin these cases, another clerk had been senicated. d to collect the letters, &c. which were By an examination of the documents No. 66 d for. Why this change was made, at that and No. 119, it will be seen that more than cular juncture, (being wholly unaccounted half the correspondence with the Bank of Misy Mr. Crawford,) is left to conjecture. souri, though called for by a resolution of the Mr. Jones incompetent to the discharge of House, had been suppressed. The importance duty The very station he holds in the and very delicate import of a few of these letartment forbids such a supposition. Had he ters, will be noticed presently, in connexion ed himself unworthy of confidence? If so, with another subject. could not have retained his station and But, though there were two calls in this case, is acknowledged to be his stern, unyieldeither of which rendered it the duty of Mr. inflexible integrity, that no one could have Crawford to have transmitted all the corresosed him capable of a subserviency in any pondence; and though, in answering the second ir purpose. I confess I regnet that the call, be expressiy stated that he had transmitge was made ; for, had it not been, I canted "all the correspondence required by the reresist the belief, that I should have been solution, except two letters from the Receiver cd much of the labor of this vindication at St. Louis, which were of a confidential nawithout yielding to unavailing regrets, I ture," yet, your honorable body will find very t be content to take things as I find them. I, strong reasons to doubt the correctness of this efore, proceed to examine the testimony statement, and I shall be much surprized if the is offered against me. third call, with which he has so tardily comhis is substantially, 1st. That no such letplied, has been sufficient to draw from him all from the Receiver [as that mentioned in my the correspondence, even with the Bank of mination is to be found in the files of the DeMissouri. The emission of letters, addressed ment. 2. That the officers employed in it to the department, might be accounted for on 3 no recollection of the receipt of such a let the supposition that they might have miscarried. And 3. That the records of the DepartBut this a casualty to which the letters, or COt do not show that it was answered. pies of the letters, of the Secretary himself. supposing it to be true, that this letter canwhich should always remain in the department, be found "in the files of the Department, are not liable. They may, however, .someno means proves that it wasnot received by times disappear, as the letter of the Receiver Crawford. Edwardsville seems to have done. If not, il his not the first occasion on which I have a will be difficult to account for the absence of to regret that a letter by him could not be letter of the 30th July, 1819, which is presumd, when it became necessary for my deed to have been addressed by Mr. Crawford to ce. the Bank of Missouri, upon the authority of a inding myselfgrossly misrepresented in rereport of a committee of the Legislature of Mis on to a letter 1 had written to him, and besouri, at its session in 1822. determined to vindicate myself against the This was a committee appointed to examine nuationth were predicated upon it I wrote into the concerns of the Bank of Missouri in on the 5th Jan. 1821, requesting a CO. Mr. Crawford's letters to that Bank were subof it. In his reply, dated 10th January 1821, mitted to the inspection of the committee, and lays, " The letter which you have described the report. which T have the honor herewith to ours of the 5th inst. has been sought for in transmit, (11) contains extracts from several of Mr. Jones states that, according to the them, among which is one from his letter of 30th of his recollection, he considered it not of a July, 1819, of which enough appears to prove cription to go on the files, and that consethat it was embraced by the call, and ought to ntly it was not filed. If his recollection is have been communicated unless. indeed, it is rect, it accounts for the absence of the letter fabrication by the committee, for which no ima n the files, and it being lost or mislaid. My ginable motive can be perceived. er being thus disposed of, Mr. Crawford, in I have not time to dwell upon several curianswer, impliedly repeated one of the insinuous particulars that are disclosed by this report. ins above referred to. This was promptly beg leave, however, to refer, your honorable ed by and since then, have heard no