7451. Southern Bank (Russellville, KY)

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Russellville (Continued from page one.) tin pan, over which hung a flaxlinen towel, and a small lookingglass, to which were fastened by a chain a horn comb and a hairbrush. The remainder of the furniture consisted of a few splitbottom chairs, a small table, and an iron safe- the first I ever saw -near which stood a desk with racks for their account books and pigeon-h for their papers."(David Morton, "The Nortons," page 17-19.) George W. Norton became a successful business man, and when the Southern Bank of Kentucky was organized in 1850 he became its president. It was located in a brick building just across the street from the Baptist church, on the corner of Sixth and Main streets. "The bank began business in 1850, with a paid up capital of $1,500,000, of which the State of Kentucky owned $600,000, and continued without intermission to do general banking business as a bank of issue, with four or five branches located in different parts of the State, till December, 1863."-(David Morton, "The Nortons," page 21.) Dr. John A. Broadus, in his funeral address for Mr. Norton, said: "The Southern Bank of Kentucky, of which he was president, though located at a village on the border. was at the outbreak of the war the strongest bank in the State, having connections in New Orleans and New York." The panic of 1857 caused a run on the bank, and brokers and other dealers in notes hurried by day and night over some of the worst roads in the State to demand redemption in coin. Every demand was promptly met and no one lost a dollar. The bank passed through a crisis during the Civil War. Mr. Norton. having been called before the provisional governor of Kentucky at Bowling Green for questioning feared for the safety of the bank's funds The directors were called together to decide upon a way to protect the million dollars then in the vault of the bank at Russellville. It was arranged to leave this entirely in the hands of Mr. Norton and one other gentleman he might select. This man was M. B. Morton, cashier of the bank. The entire amount was taken in small parcels by Mr Norton and Mr. Morton to a secret place known only to themselves and safely hidden away. The removal took two weeks. After the danger had passed the money was returned and not a dollar of the million was lost. When the banking laws were revised and the national banking system went into effect. it was feared by those in control of the Southern Bank of Kentucky that it could not successfully compete with the national banks. Accordingly, by authority of the Legislature of Ken- tucky, the bank went into liquidation at the close of December, 1863, and successfully closed an honorable and efficient history of thirteen years. The State of Kentucky realized when the redemption of its $600 000 worth of stock a clear profit of nearly $800,000. While these figures seem staggering when the usual capital of a small town bank today is from twenty-five to fifty thousand dollars, yet they have been verified by the books of the bank and by Mr. Norton's report as president to the Legislature of Ken. tucky. The following resolution was passed by the Legislature of Kentucky: Resolved, by the General Assembly of the Commonwealth of Kentucky, That the affairs of the Southern Bank of Kentucky have, in the liquidation through which said bank has passed, been managed with fidelity, promptitude, and ability. Its officers are, therefore, entitled to this expression of the General Assembly, and which is now tendered to them as a compliment." (Approved March 9, 1867.) In 1867, George W. Norton removed to Louisville, where he was a banker until he retired in 1885 He was a long-time treasurer of the Southern Baptist Convention and was also chairman of the Financial Board of the Southern Baptist Theological Seminary. It is related that after he moved to Louisville, a man evidently from the hills of Kentucky called at his office one day. He carried a carpet bag in his hand and when he entered the office he inquired if Mr Norton were the former president of the Southern Bank of Kentucky. When Mr. Norton replied that such was the case the stranger asked if the notes of the bank would be redeemed Although the liquidation of the band had been closed, he was told that they would be redeemed. Opening the carpet bag, he took out $17 .000 in notes of the bank, and Mr. Norton promptly paid the full amount from his own private funds. In July, 1889. George W. Norton died. His brother, John L. Norton, with whom he began business in Russellville, died in 1843 before he had reached his twenty-seventh birthday. The third brother, Pressley E. Norton (1818-1878) was successful merchant and traveled extensively abroad. The fourth son, William Frederick Norton (18201886) began business at Yost's, a country tavern and stage-stand in Logan County, at the age of seventeen. After about two years here he removed to Paducah and became a successful business man. Elijah Hise Norton, fifth son, was born on the family farm near Russellville in 1821 He was educated for law at Transyl University After a brief stay in Russellville he removed to Missouri and in 1845 he settled at Platte City, where he spent the greater portion of the remainder of his life He was elected to Congress from Missouri in 1860 In 1875 he was a member of the constitutional convention of Missouri and took such a leading part that the constitution which was then adopted was known as Norton's Constitution.' In 1876 he was appointed to the supreme bench by the governor of Missouri, and in 1878 he was elected to the same position for a period of ten years. He retired from the bench in 1889 Eckstein Norton, the youngest son, was also born in Russellville and in 1850 he began business with Joshua Knowles as a partner In September 1851, he left Russellville and went to Paducah. In 1864 he went to New York and engaged in commission and banking business. He became interested in railroading He was first president of the New Orleans & Ohio Railroad, sixty mile long, with a terminus at Paducah. In July, 1884, Mr. Norton was elected a director of the Louisville & Nashville Railroad Company, and in October of the same year he became vice-president. In October, 1887, he became president of the Louisville & Nashville Railroad, and was three times re-elected at the annual elec.. tions February 12, 1891, he resigned this position and he later returned to New York to reside. The Nortons were a family of financial giants. One was an eminent lawyer and the others, both