GEORGE WASHINGTON, CAPTAIN OF INDUSTRY THE BANK OF ENGLAND STOCK-THE BANK OF THE UNITED STATES By Eugene E. Prussing Of the Chicago .Bar [SECOND PAPER J

HE marriage of Washington Custis, properly, as I am told, authen- and the Widow Custis took ticated. You will, therefore, for the fu- place January 6, r759, at ture please to address all your letters, her residence, the Whi te which relate to the affairs of the Jate House, in New Kent. The Daniel Parke Custis, to me, as by mar- great house with its six riage, I am en titled to a third part of chimney.s, betokening the wealth of its that estate, and am invested likewise with owner, IS no more--the record of the the care of the other two thirds by a de- marriage is lost-and even its exact date cree of our General Court, which I ob- rests on the casual remark of Washington tained in order to strengthen the power said to have been made to Franklin's I before had in consequence of my wife's daughter on its anniversary in 1790, administration. Franklin's birthday. I have many letters of yours in my The honeymoon was spent in visiting possession unanswered; but at present in various great houses in the neighbor- this serves only to advise you of the above hood. Besides a call at Fredericksburg, change, and at the same time to. acquaint where Mother Washington and her you, that I shall continue to make you daughter Betty dwelt, a week was spent the same consignments of tobacco as at Chatham House, on the Rappahan- usual, and will endeavor to increase them nock, the grand house of William Fitz- in proportion as I find myself and the hugh, built after plans of Sir Christopher estate benefited thereby. Wren and named by the owner in honor The scarcity of the last year's crop, of his schoolfellow, William Pitt, Earl of and the consequent high price of tobacco, Chatham. That house still stands, nearly would, in any other case, have induced one hundred and seventy years old, and me to sell the estate's crop in this coun- perhaps the finest piece of colonial archi- try; but, for a present, and I hope small tecture of the Georgian period.-inVirginia. advantage only, I did not care to break Williamsburg, the little capital, where the chain of correspondence, that has so Colonel Washington must attend the long subsisted. House of Burgesses and the affairs con- On the other side is an invoice of some nected with the settlement of his accounts goods, which I beg you to send me by the with the army, was chosen for the winter first ship, bound either to the Potomac residence and until adjournment sent the or Rappahannoc, as I am in immediate young couple to Mount Vernon in June. want of them. Let them be insured, and, The urgent affairs of the great estate of in case of accident, reshipped without de- the late Colonel Custis promptly claimed lay. Direct for me at Mount Vernon, the attention of the young Benedict, and Potomac River, Virginia; the former is we find that at Williamsburg, on May the nanie of my seat, the other of the I, 1759, he is writing to Robert Cary, the river on which it is situated. I am, etc. agent of the estate in London, thus: Go. WASHINGTON.

WILLIAMSBURG, I May, 1759. SIR, The tone and habit of command as well The enclosed is the clergyman's certif- as the giving of regular, formal proof and icate of my marriage with Mrs. Martha documents in support of all statements of 549 550 George Washington, Captain of Industry

fact and claim of right which pervade this Washington wrote, as he said he would, letter make it a model, and will indicate fully: that the young planter and colonel was in full control of the subject and the situation. MOUNT VERNON, September 20, 1759. And on June 12, 1759, he tells the same' GENTLEM~: This will make the fourth correspondent that he had written him letter I have written you since my mar- on May r , and adds: riage to Mrs . Martha Custis. The first "I shall expect/also . . : to receive two served to cover invoices of such goods some account of the sales of the estate's as I wanted and to advise you at the same tobacco sent you, and an account current. time of the change in her affairs; and As the last is necessary for me to compare .how necessary it would be to address, for with my own account in order to satis- the future, all your letters, which relate factory settlement with our General to the estate of the deceased Colonel Cus- Court, I entreat you to be punctual in tis, to me. The last tended only to order sending me one every spring and fall insurance on fifteen hogsheads of tobacco, yearly. I shall keep the estate under the sent by the Fair American. same direction as formerly, neither alter- ing the managers, the kind of tobacco, After remarking upon some difficulties nor the manner of treating it, unless you experienced by the agents in fighting new advise otherwise for our interest. import duties, he continues: "And while I continue to pursue this "I likewise observe the difficulties you method, I hope you will be able to render have met with in settling for the interest such sales as will not only justify the of the bank stock; but I hope that this present consignments to you but encour- is now over, unless any part or the whole age my enlarging them; for I shall be should require transferring (when a divi- candid in telling you, that duty to the sion of the estate is made) and timely charge with which I am entrusted, as notice will be given; but until this hap- well as self-interest, will incline me to pens, it may be received and placed to abide by those who give the greatest the estate's credit in the usual manner. proof of their abilities in selling my own H From this time it will be requisite and the estate's tobacco, and purchasing that you should raise three accounts; goods of which I cannot otherwise judge one for me, another for the estate, and a than by the accounts that will be ren- third for Miss Patty Custis, or if you dered." * think it more eligible (and I believe it The French and Indian War was over will be) make me debtor on my own ac- in Virginia when Washington became count for John Parke Custis, and for Miss successor to his wife as administrator of Martha Parke Custis, as each will have the estate of Daniel Parke Custis and their part of the estate assigned them this guardian of her children, but in the rest fall, and the whole will remain under-my of the world and especially on the high management, whose particular care it seas it still raged vigorously; and so shall be to distinguish always, either by Washington wrote, "I shall find occasion letter or invoice, for whom tobaccos are to write you fully by the fleet" which shipped, and for whose use goods are im- then, as later in 1917 and 1918, was con- ported, in order to prevent any mistakes voyed across to England by men-of-war, arising. . .. It must appear very plain \ and he said: "Till then I shall forbear from my former letters, as well as from ~,, to trouble you with particulars." what is here said, how necessary it is to In September r759 the fleet sailed and send regular accounts current, that, by * These cautious admonitions were probably-not neces- comparing them with the books here, sary; at any rate the friendship which ripened out of the satisfactory settlements may from time acquaintance thus begun in 1759 continued for forty years, despite time, the changes of firm, the Revolution, the polit- to time be made to our General Court." ical independence of the United States, and the engrossment of Washington in larger affairs, Robert Cary and Com- _Under date of" 28 May 1762," Wash- pany and Wakelin Welch, their successor, were the firm and faithful friends of Washington and of the United States ington wrote again to Robert Cary and throughout, and enjoyed the confidence and conspicuous Company, and regarding the bank stock consideration of the man who trusted them though he never saw them, or they him except in the fine portrait they sent said: Sharples in 1794 frow: London- to paint for them, ".My letter of the 25th of January will Copy of record in books of the Bank of England relating to stock (£r650) owned by John Custis, bequeathed to Daniel Parke Custis and descended to Martha Custis (later wife of George Washington) and her children. By his marriage, Washington acquired one-third of this stock.

inform you how the interest of the hank In the summer of 1917 the writer of stock is to be applied. As that fund was this article was in pursuit of a study of appropriated towards the payment of the business affairs of Washington. It Miss Custis' fortune, I am informed that occurred to him that these references to the stock ought to be transferred to her. shares of stock in a bank could apply , You will please, therefore, to have it done only to the Bank of England, and that if accordingly, and whatever charges may so, here lay the beginnings, perhaps, of a arise, in so doing, place to her account. story of interest to the American and I hope Messrs. Hill & Co. will send the British public, at a moment filled with wine into this river, for I had rather have fraternal feeling. it in Madeira than at York." England in r9'7, was pretty deeply en- The subject of the bank stock and gaged in making history and the United Washington's relation to it, seems never States likewise. For several years we to have excited any interest on the part had been sending money, food, and muni- of those who have written the story of his tions across the Atlantic and now were life and times. landing ships and men, to help ward off 55' ...

552 George Washington, Captain of Industry

the white peril to democracy and civi- In less than three months, despite the lization. Perhaps the play of "hands dreadful days of the autumn of r9r7, on across the sea" made the time not un- November 26, to be exact, the secretary favorable to rouse an interest in a long- of state transmitted to the writer a copy forgotten business, the record of which of the ambassador's despatch of Novem- must be found chiefly in the mother coun- ber 2 (No. 7426), which acknowledged try. the receipt of my letter and covered the At least it was worth while to take the subject by enclosing the reply received chance and so this letter was sent to the from Lord Cunliffe, the governor of the Hon. Walter H. Page, ambassador of the Bank of England. United States, at London, with- the kind assistance of the administration at Wash- BANK OF ENGLAND ington. SIR: 1St November, 1917. CHICAGO,ILLINOIS, August a-th, 1917. Referring to your letter of the ajrd r,' DEAR SIR: ultimo, I have caused a search of the In preparing my book, «The Estate of Bank records to be made in the matter of George Washington, deceased," I dis- Mr. Prussing's enquiry, with the result covered that the General, through his that no account has been found in Bank marriage with the widow of Daniel Parke Stock in the name of George Washington. Custis in 1759, became the owner of some The books have been searched from the shares in the Bank of England-concern- year 1747 to .r798. There was however a ing which some correspondence on his sum of this stock standing in the year part is preserved here. 1735, and subsequently, in the name of My purpose in writing to you is to ask John Custis of the City of Williamsburgh, your kind assistance in ascertaining from Virginia, of whom Daniel Parke Custis the Bank whether or not any records, was registered as executor. Daniel Parke documents, or letters to or from him, re- Custis died and Letters of Administration lating to the subject are preserved in its were granted in r774 to Martha Wash- files and, if so, to obtain copies, photo- ington, formerly Custis, wife of George graphic or otherwise, and such other in- Washington. In I784 letters of adminis- formation on the subject as the Bank tration with the Will annexed of the goods may be able to give, with a view to my unadministered of the said John Custis telling the story of his connection with were granted to Wakelin Welch, H the the institution in some proper time and "lawful Attorney of Martha Washington, place. "wife of His Excellency the Honourable "George Washington the Relict and Ad- "ministratrix of the rest of the Goods of I appreciate, of course, that you and "Daniel Parke Custis deed." the Bank are both too busy to take up In connection with this account it is any merely speculative side issue of a found that dividend instructions were curiosity hunting scribe, but as I wish to given in November 1759, signed by use the information only for historical George Washington and Martha Wash- purposes, I trust both you and the Bank ington, and I enclose a photograph of will find this of sufficient importance to this document and of the entry in the give it examination. Bank Stock Register relating to the ac- count, both of which may be of inter- est to Mr. Prussing in his investiga- In using the material, full credit to all tions. [Pages 551 and 553.] concerned will follow as of Course. It will be seen that Martha Washing- Believe me, my dear Sir, ton was registered on the account as Ad- - Faithfully yours, ministratrix from 1778 to 1784, and it 1 EUGENE E. PRUSSING. rnay be that the correspondence referred Han. Walter Hines Page, to in the enquiry relates to this holding, J] Ambassador of the U. S. but the Bank cannot trace that the name London, England. of George Washington appears in con-

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Original in possession of the Bank of England. Refers to shares of stock standing in the name of John Custis, of Virginia, father of Daniel Parke Custis, whose estate passed to his widow (Mrs. W.) and children. The shares were held until 1784 and then sold on Washington's order.

nection with any further documents or bottom. It is the earliest document we letters in their possession. now have evidencing the marriage of I am, Sir, Washington. It is published for the first Yours faithfully, time. . CUNLIFFE. The document on page 55! is a tran- S. L. Crosby, Esq., script from the bank's stock ledger and First Secretary, notes first the death of Colonel Custis and Embassy of the United States of the grant of letters of administration upon America. his estate on July 16, '774, in the Arch- bishop of Canterbury's Court-the Pro- The two documents enclosed in this bate Court of England, called Doctors' letter are here reproduced. Commons; and second, the grant of The one above is all in the handwriting letters of administration in the same court of \Vashington, except the signature of on September 23, I784, to Wakelin Welch, . his wife and the clerk's notation at the referred to in Lerd Cunliffe's letter. 553 554 George Washington, Captain of Industry

The appended note in the ledger shows matters of tradition. The date is reason- the extent of the holding: ably certain because of a casual remark said to have been made by General Wash- £ 1650 ington on January 6, 1790 that it was his 13: 19. 2. Increas'd by Call of 8 prCt. wedding anniversary. The parish records £ 1663. 19. 2. are at the disposal of Wake- and the Court records were destroyed, lin Welch Administrator, the the former, probably, during the Revo- Attorney to Martha Washing- ton formerly Custis wife of the lution, the latter, certainly, during the Hon. Ceo: Washington. Rebellion of 1861-'65. Permit me to state the history of the shares in the Bank The record thus disclosed confirmed the briefly. belief that here lay a story, for it made "They were originally owned by John vital the meaning of a letter written by Custis of Virginia and London, who de- Washington to Wakelin Welch at a later vised them to his son Daniel Parke Custis date. upon whose death, in 1757, they passed Gratefully and in the assured hope of to his wife and minor children, Martha further Washington material, Lord Cun- Custis, John Custis and 'Patsy' Custis. liffe was addressed on December 17, 1917, Mrs. Custis was appointed Administratrix in part as follows: to her husband's Estate and while such, in January 1759, married George Washing- "DEAR SIR: ton. "I am emboldened. by my first success "General Washington thus became en- in this matter of great interest to the titled to his wife's share and as Guardian American public, to quote to you the old of her children, was in control of their proverb of Roumanian origin, which says: portions. This was confirmed by the de- 'Having done us one favor, you are under cree above referred to, in the General obligations to do us another.' I trust it Court at Richmond." needs no assurance on my part to make you feel that it will be gratefully received Then followed quotations from the letters and that reciprocity will be my aim. to Robert Cary given in this article, and "When I opened this subject in my the letter continued detailing the history letter to Ambassador Page, I did not fully of the Custis estate interest in the bank state what I hoped to find, as that letter stock until Washington became sole own- was intended chiefly to be one of prelim- er, and concluded with a request for fur- inary discovery. The case is this: ther information, through the bank's so- "We have at hand a letter from Wash- licitors, concerning bank or court records ington to Robert Cary, his wife's agent on the subject, and this apology: in London, dated May I, 1759, the first "I know this is 'a large order,' espe- after his marriage in the preceding Jan- cially when times are not favorable for uary, in which he opens up the 'subject of inquiries of this character, but it seems a his interest in his wife's affairs and those matter of duty to exhaust the subject of her two children. I append a copy of now so favorably begun, despite the con- this letter. CA) cluding lines of your letter to Ambassador "In the opening paragraph of that Page, dated November I, 1917, wherein letter, with which only we are now con- you say' the Bank cannot trace that the cerned, he refers to the enclosure of his mar- name of George Washington appears in riage certificate and a decree of the General connection with any documents or letters Court at Richmond, Virginia, in substan- in their possession.' " tiation of his rights. About a month later I received" passed HIt: is my hope that both these docu- by the censor," in a plain tissue-paper ments, and perhaps others, have been envelope, a letter from the then deputy- preserved and are in the Bank's posses- governor of the Bank of England, Sir sion, as evidence to support the dividend Brien Cokayne (now the successor of order, because, curiously enough, there is Lord Cunliffe, as governor). The letter no record now existing here of this marriage, covered three long legal-cap pages on plain and even the date and place are merely paper, no printing, engraving, or other ex-

J George Washington, Captain of Industry 555 pense being indulged in during the war after become due &c. (on the Bank Stock) can- time. It follows: not be received in virtue of the Letter of Attorney (Martha Custis to john Moorey) and can only be BANK OF ENGLAND E. C. 2 received by virtue of and under Letters of Ad- ministration of and under the Sealof the Preroga- 8th January, 1918. tive Court of Canterbury and that Martha Cus- EUGENE E. PRUSSING, ESQ. tis resides in Virginia and whereas the said Sur- Dear Sir, rogate, &c, &c. did decree Letters of Administra- tion of the Goods Chattels and Credits of the In the Malter of General George Wash- said Daniel Parke Custis, deceased:so far as con- ington. cerns and to the effect of receiving all dividends Referring to your letter of the r yth already due &c. but no further or otherwise-to ultimo it is to be observed in the first be committed to the said John Moorey. (Signed) JOHNMOOREY place that the photographic copy sent in (Attorney to Martha Custis, Wo.) my previous letter was that of a dividend ROBERTCROKERand instruction-not a dividend warrant- THOMAS CLARKE. and did not require endorsement or cor- (All Merchants in London) roboration. The 2nd Bond is signed by George The Bank are not in possession of the Washington, Peyton Randolph and Ro. marriage certificate to which you refer C. Nicholas, and is dated .j rst May, '774. (nor would they have required that it The preamble recites (inter alia): should be produced) or the Decree of the General Court at Richmond, Virginia. And whereas it was further alleged that the said Daniel Parke Custis died and left certain Enquiry has now been made of the other Goods Chattels and Credits in England Principal Probate Registry in London which as well as the aforesaid Stock Share and with the result that among the records Interest (&c.Bank Stock) standing in his the de- of Doctors Commons which passed to the ceased's name cannot be received under and by virtue of the limited Administration so granted keeping of the Registry after the Probate to the said John Moorey &c., &c. and whereas Act of 1857 there is found an exemplifica- the said Surrogate did decree Letters of Adminis- tion (i. e. a certified copy) of the Will of tration of all and singular the Goods Chattels John Custis dated rath November '749, and Credits of the said Daniel Parke Custis (save and except only so far as concerns all dividends the original of which is presumably with &c. and which have been received by the said the Virginia State records. The Will was John Moorey) to be committed and granted to the proved" At a Court held for James City said Martha Washington Wife of George Wash- County, April cth, 1750." The Grant ington-Justice so requiring &c., &c. was signed. by Lewis Burwell, President The document then proceeds as follows: , of His Majesty's Council and Comman- der in Chief of this Colony and Dominion KNOW ALL MEN BY THESE PRESENTS (i. e. Virginia), and bears the Seal of the that WE GEORGE WASHINGTON of the County of Fairfax, PEYTON RANDOLPH and Colony. The Residuary Legatee is ROBERT CARTER NICHOLAS of the City of Daniel Parke Custis. Williamsburgh jn the. Colony of Virginia, Es- The Principal Probate Registry has quires, are become bound unto the Most Rev- also in its possession two Bonds given erend Father in God-by providence Lord Arch- bishop of Canterbury, Primate of all England and with regard to the Grants of Administra- Metropolitan, in the sum of £4,000 of good and tion of the Estate of Daniel Parke Custis, lawful money of Great Britain. (r ) to the Attorney of Martha Custis, and It is sealed and delivered "in the presence of (2) to Martha Washington, and these me, Governor of Virginia," documents may be of interest to you. (Signed) DUNMORE. The Preamble to the rst Bond contains There is also extant a Bond given by the following: Wakelin Welch, Hugh Innes, and John That the said Daniel Parke Custis in his Life- Stabler dated roth September, '784, in time and at the time of his death was and stood connection with the Grant of Administra- interested of and in certain shares or dividends tion of the estate of John Custis with Will in the Capital Stock of the Governor and Com- annexed of the goods unadministered by pany of the Bank of England, and being so there- of interested departed this Life Intestate and Daniel Parke Custis.· This Grant is re- Administration had been committed to Martha ferred to in the copy of the Bank Stock Custis-and whereas it was lastly alleged that Register which you have. the dividends already due and that may here- The particulars of the holding of Bank

- """---~~=~ 556 George Washington., Captain of Industry

Stock as shown by the. ledger here are as tration thereof as son and sale executor by letters follows: "in and by 'thomas, by Divine Providence Arch- bishop of Canterbury, Primate of all England A sum of £1,500 stood in the year 1735in the and Metropolitan, to our well beloved in Christ" name of John Custis. In 1746 a sum of £150 at London. was added to the account in consequence of a 3· The order of said Archbishop in June 1758 Call of 10% on the Bank Stock Proprietors and granting to John Moorey letters of administra- in 1782a sum of £132 through a Callof 8%. In tion on the estate of Daniel Parke Custis, de- 1782a sum of £II8:-w was sold from account ceased, as the lawful attorney of Martha Custis, by the Bank in order to satisfy the Call, in pur- his widow. suance of the Power given them by an Act of 4. The bond of John Moorey, with Robert the third year of King GeorgeI, to sell Stock be- Croker and Thomas Clarke, merchants of Lon- longing to holders who failed to respond to the don, as sureties, in the penal sum of four hundred Call. pounds. In November 1784 the account was dosed by 5. The order of July 1774 under "Frederick transfer of £1,663: 19: 2 to Wakelin Welch of by divine Providence Archbishop" etc. which Maryland Point, Essex. The death of John 'extended to "Martha Washington, (wife of Custis had previously been proved and Daniel George Washington, Esquire), formerly Custis, Parke Custis was registered as sole Executor; greeting;" and granted to her letters of adminis-' Administration of the Estate of the latter had tration on the unsettled estate of her late hus- been granted in July 1774 to Martha Washing- band Daniel Parke Custis. ton and in September 1784 Letters of Adminis- 6. The bond of George Washington, as prin- tration with Will annexed of the goods unad- cipal, and Peyton Randolph, and R. C. Nicholas ministeredof John Custis were granted to Wake- as sureties under date of May 31, 1774,signedin lin Welch,the lawful Attorney of Martha Wash- the presence in the Governor of Virginia, Lord ington formerly Custis. Dunmore, in the penal sum of four thousand pounds, unto Frederick, Archbiship etc. "to be The subsequent history of this Stock paid to the said most Reverend Father in God is as follows: or his certain attorney, in case the said Martha Washington shall fail of her said duty." A sum of £1,163: 19: 2 was transferred by 7· The order dated September 23, 1784grant- Wakelin Welch in December 1784 to J. L. La- ing administration to Wakelin Welch, which is motte, jnr., of Devonshire Street, and in Novem- referred to above and noted in the bank's record ber 1786the account was closed by the sale of reproduced here. £500• 8. The bond of Wakelin Welch accordingly, with Hugh Innes and John Stabler as sureties in In conclusion I may say that the Bank, the sum of four thousand pounds sterling. after careful search, have not discovered Between the records noted under six any further documents in connection and seven the Revolution intervened. Its with the Stock, nor has the Probate Regis- effect may be noted in the language of try been able to produce in response to the court in number seven, which no the Bank's application any further papers longer speaks of "George Washington, or entries in the records, likely to be of Esquire," but refers to him as "His Ex- interest, bearing upon the subject of your cellency General George Washington." enquiry. With the records thus before me it was I am, Dear Sir, not difficult to piece out the letters of Yours faithfully, Washington saved to us in his letter- BRIEN COKAYNE. books, and the story now tells itself thus. Dep. Gov. At Colonel Daniel Parke Custis's death the shares for one thousand six hundred An appreciative letter of thanks in and fifty pounds sterling in the stock of reply closed the correspondence. the Bank of England standing in the name Application to the principal registry in of his father, John Custis, passed to Mrs. London at Somerset House promptly re- Martha Custis as her late husband's ad- sulted in the following certified copies: ministratrix and she in turn passed them on to George Washington when she mar- I. The last will and testament of John Custis deceased on file there in form of an exemplified ried him on January 6,1759, and he suc- copy from the court in Virginia in which it was ceeded her in office as administrator. probated, duly certified by the Colonial Gover- He so held the stock until the division nor, devising his estate to his son Daniel Parke Custis. of the Daniel Parke Custis estate in 1762, 2. The order of November 17, x753 showing when the entire number of shares was set that Daniel Parke Custis proved the will of his apart to II Miss Patey Custis," as her father by his own oath and was granted adminis, name appears on Washington's ledger of George Washington, Captain of Industry 557 the time. At her death in I773 one-half are lodged in it, as were the youthful of the shares fell to her mother and, ac- secretaries of that time. cording to law, became the property of Then a crop was planted and harvested, Washington; the other half became the and as soon as it was secured on Septem- property of her brother, John Parke Cus- ber I, '784, Washington mounted his tis. Washington arranged to have the horse and started out on his next adven- stock sold when the boy should arrive at ture, the building of the Potomac Canal, • age in '774· To this end legal proceed- which resulted so directly within five ings were begun in London in the court years in the creation of the government of the Archbishop of Canterbury, letters of the United States under the Constitu- of administration were granted to Mrs. tion. But before we enter upon that Washington and General Washington story let us see how he closed the chapter with Peyton Randolph, the first presi- relating to the Bauk of England stock. dent of the Continental Congress, and In one of his letters to his manager in Robert Carter Nicholas, the famous law- . '775 from Cambridge, he wrote that he yer, who was attorney for the Custis intended in his settlement with "Jack" estate, signed her bond as sureties. Custis to take over the boy's share of the The Revolution interrupted these pro- bank stock and give him well-secured ceedings, and until I784 the matter re- bonds and mortgages for the value of it. mained in abeyance in England, except And he so directed Lund Washington to that an eight-per-cent increase of its capi- state the account with the lad who came tal stock was voted and called for by the into his estate while his guardian was in- Bank of England during the war to enable vesting Boston. He asked his friend and Great Britain better to carryon its strug- neighbor, George Mason of Virginia, to gle with the colonies and with France, audit and settle the account with his Spain, and Holland, "their allied and ward. . associated nations." This arrangement put upon Washing- Under au act of Parliament the pay- ton the loss of the stock which might re- ment of the assessment for the increase suIt from his participation in the Revolu- upon the stock of those who by reason of tion and saved the boy from that danger. absence or-otherwise were unable to meet It being impossible to carry out the sale it was enforced. Washington's share of of the stock in England for which pro- one hundred and thirty-two pounds, being ceedings had been begun, Washington eight per cent of his holdings, was sold promptly took upon himself what he sup- under this act at a premium. From the posed would be the consequence when he proceeds his assessment was paid and he "pledged his estate, his life, and his was given credit for the excess realized, sacred honor" to the cause of the colonies. to wit: thirteen pounds, nineteen shillings, But it turned out otherwise. Perhaps and two pence as the bank's memoran- because he was not an alien enemy, only a dum shows. . rebel, his case was postponed until the When the war was over, peace finally rebellion should be crushed. He hap- declared, and the independence of the pened also, to owe his London agents, colonies assured, Washington resigned Robert Cary & Company, to whom his conunission as commander-in-chief, Wakelin Welch seems to have succeeded resumed his favorite occupation as farmer during or just after the Revolutionary and again undertook his duties, obliga- War, about fourteen hundred pounds tions, and interests as a captain of in- sterling for advances made to him with dustry. . which to buy lands in the West. Per- Immediately after January I, 1784, haps they held the bank stock or a lien his papers were securely housed at Mount on it during the war. They certainly col- Vernon, and two secretaries were em- lected the dividends on it regularly, and ployed and instructed to put them in credited these to his account while charg- order and transcribe them into books. ing against it the interest on his debt. The house is still used for officepurposes, They made no effort to force the sale and the assistant superintendent on the of the stock or to embarrass him about estate at Mount Vernon and his family the principal of their claim. They were 55 George Washington, Captain of Industry

impo~ters from and exporters to the you in my favor; for, had there beenno colonies, and sympathized heartily with stipulation by treaty to secure debts, nay the colonists. Their correspondence more, had there even been an exemption shows that they were great admirers of by the legislative authority or practice Washington, and it was promptly re- of this country against it, I would from sumed at the close of the war. After an a conviction of the propriety and justice exchange of courtesies and accounts of the measure, have dischargedmy orig- Washington wrote this letter to Wakeli~ ina! debt to you. Welch: But from the moment our ports were shut, and our markets were stoppedby SIR, MOUNT VERNON,July, 1786 the hostile fleets and armies of Great Brit- I have received the paper-hangings ain, till the first were opened and the and watch by Captain Andrews. With others revived, I should, for the reasons the last Mrs. Washington is well pleased I have (though very cursorily) assigned, and I thank you in her name for your at- have thought the interest during that tention to the making of it. epoch stood upon a very different footing. If the stocks keep up, and there is not I am, Sir, etc. a moral certainty of their rising higher in Go, WASHINGTON. a sh?rt time, .it is my wish and desire, that my interest m the Bank may be irurne- Mr. Welch sold enough of the stock, diately sold, and the money arising there- one thousand one hundred and sixty-three from made subject to my drafts in your pounds nineteen shillings and two pence, hands, some of which, at sixty days' sight, at the price of one hundred and forty- may soon follow this letter. three per cent of par to pay Washington's The footing on which you have placed debt to him with interest. Later he sold the interest of my debt to you is all I for Washington's' account the remaining require. To stand on equal ground with five hundred pounds at a good figureand others, who owe money to the merchants accounted for both the transactions as in England, and who were not so prompt appears by Washington's ledger. This in their payment of the principal as I ended Washington's experience with the have been, is all I aim at. Whatever the Bank of England. two countries may_finally decide with re- It probably proved of great importance spect to interest, or whatever general to him and to the United States. He agreement or compromise may be come subsequently invested his granddaugh- to between British creditors and Ameri- ter's dowry in stock of the Bank of Alex- can debtors, I am willing to abide by: andria. He became a stockholder himself nor should I again have touched upon this in that bank, and in the Bank of Colum- subject in this letter, had you not intro- bia at Georgetown when the District of duced a case, which, in my opinion, has Columbia was established. He directe~ no similitude with the point in question .: in his last w.ill a~d testament, that the You say I have received interest at the proceeds of hISentl:e estate, III so f~ras It Bank for the money which was there. should be sold by his ex~cutors during the Granted: but, besides remarking that lifetime of Mrs. Washmgt.on, should be only part of this money was mine, per- invested for her benefit m good bank mit me to ask if Great Britain was not stocks. enabled, by means of the Bank, to His experience in the Revolution with continue the war with this country? paper money and public ~r~dlt .depre- Whether this war did not deprive us of ciated to the lowest point, h15inability to the means of paying our debts? And b?rrow 0; collect when he began ~orestore whether the interest I received from t~lS his dilapidated estates and buildings from source did or could bear any proportlOn 1)84 to 1)89, wh~n he was slave and l,,;nd to the losses sustained by having my poor, had told hun the value of banking grain my tobacco and every article of establishments. . roduce rendered 'unsalable and left to Everything he had was run down, hiS ~erish on my hands? However, I again tenant; could not or would not pay with- repeat, that I ask no discrimination of out suit and he forbore to sue. Those George Washington, Captain of Industry 559 who owed him on bond and mortgage de- urged the organization of a national, bank layed him by stay laws or paid him a upon the Continental Congress and its shilling in the pound in the depreciated superintendent of finance, Robert lV10r- paper currency which then flooded the ris, but without success. He had per- country. He paid his debts, which were suaded his friends in New York to estab- . not small, at twenty shillings in the lish a bank under his guidance, which pound in good money and with interest, flourished and still exists in honor. promptly and with honorable pride, here The new Congress of the United States and in England. To do so he had to sell soon received his proposals and financial his best farm to Lund Washington and plans with renewed urgings, and now his best investment, his Bank of England stock as we have seen. they met with sufficient favor despite some opposition. The happy trade with He was applied to, as in former times, Thomas Jefferson passed the assumption for loans by friends and kindred. He bill to fund the war debts in return for frankly replied that not only could he not fixing the Capital on the Potomac. The loan them money but he would be glad if national bank which Hamilton proposed they could tell him where he could borrow Congress should incorporate met with even a few hundred pounds on the amp- lest security. more vigorous contention. The narrow constructionists from the rural communi- One good crop usually followed by two ties, especially Madison, Jefferson, Ran- poor ones was about the average result dolph, and Monroe, from Virginia, feared of his farming and his tenants fared like- wise while the three to four hundred the money powers of the cities of Phila- delphia, New York, Boston, and Balti- slaves which he was trusted with must be fed, clothed, and sheltered, and taxes more. They were of opinion that such a bank was unwise and that such a law must be paid. His house was" like a well would be unconstitutional. There was resorted tavern," he"said, and entertain- ing the world was costly. no specific grant of power in the Consti- Politically the country seemed to be tution to create corporations for any going from bad to Worse. The Continen- governmental purpose or otherwise. tal Congress under the Articles of Con- But the bill passed and Washington federation was impotent, while the several had it before him for signature or veto. States in their imagined independence He asked the opinions of his Attorney- and sovereignty were unwilling to apply General Randolph and his Secretary of the necessary remedy, namely a grant to State Jefferson, in writing. He consult- it of sufficient powers of taxation and ed Madison. They vigorously declared regulation. Soon the critical period in against the policy of a bank and the con- the affairs of the nation arrived and stitutionality of the law. Washington's prudent, far-seeing men felt that the judgment that the bill should receive his choice lay only between a stronger cen- signature was gravely shaken. To have tral government and immediate anarchy. his attorney-general, his secretary of The struggle lasted nearly six years. state, and the leaders of his party in his Finally the Constitution was achieved State unanimously advise him that a and Washington became President of the national bank was not only unconstitu- United States of America. tional but undesirable and dangerous Facing an empty treasury, with a was II a facer" for a mere farmer or even worthless currency, a total lack of na- a captain of industry. tional credit, a war debt of $75,000,000, With but five days more in which to and WIth ~o financial machinery what- come to a conclusion, he sent the written ever, Washington offered the position of opinions to the secretary of the treasury, secretary of the treasury to Alexander and requested his reply at an early hour. Hamilton. . " Hamilton was delayed by official du- For ten years this young lawyer of ties, but on the fourth day he gave Wash- thirty-t"(o had been ardently studying po- ington his famous and epoch-making IUIcal economy and writing and working opinion on the constitutionality and necessity of a national bank which covers On the finances of the nation. He had over one hundred pages of his printed 560 The Book of Stones and Lilies

works, and expounds the doctrine of im- two political parties under which for one plied and inherent powers under the Con- hundred and thirty years and more this stitution. nation has contended for the control of Washington carefully considered it and its government. then laid aside the petty fears and fal- If Washington had been as ignorant as lacies of his Virginia friends. None of ' Jefferson of the value of banking insti- them, probably, ever had had a bank- tutions, or had taken his narrow view of account or known the use of hank. credit. governmental powers, which admitted the He recalled the regularity with which his grant of them but denied their exercise dividends had been paid to him for, twen- . by non-enumerated methods, this govern- . ty-five years onLady-day and Michael- _mont would have become forever aspine- mas. ' He probably also remembered his less jellyfish like China, as it was largely question to":Wakelin Welch four yeats from 1801 to 1,824, or .speedily have gone before: ':"If .Great- Britain 'was not en-: upon the rocks.' A captain of industry abled bymeans of .the bank to carryon laid its foundations broad and deep and the war with thiscountry?" He 'signed "strong in "common sense based on experi- the bill. , _ ence, -f so .that" it could function despite That act created .the 'division' into the . mere theorists at the helm in later days.

- . . - ~ THE BOOK OF STONES AND LILIES ByAll1Y Lowell

I READ a book , The night shut up' , With a golden name, · Like a silver bell: ' Written in blood But the words" still' sang, On a leaf of flame. , And I listened well.

And the words of the book' I heard the tree-winds Were clothed in white, ' · Crouch and roar, . With' tiger colors - I saw green waves Making them bright. · On a stony shore.

The sweet words sang I saw blue wings Like an angel. choir,'. In a beat of fire. And their' purple' wings ' My hands clutched the feathers Beat the air to fire. Of all desire.

Then I rose on my bed, , I cried for hammers, And attendedrny ear, . For 'a 'hand of brass, And the words sang carefully, · But "my soul was hot So I could hear. ' As melted glass.

The dark night opened -Then the ' bright, bright words, Like a-silver bell, , Allclothed in white, And Lheard what it was Stood in the circle of the silver night. The words must tell: , And sang: ' . "Rea ven is good. "Energy is Eternal Delight. Evil is -Hell." Energy is the only life.",

And my sinews were like bands of brass, And the glass of my sonl hardened and shone . With all fires, and I sought the ripeness of sacrifice Across the dew and the gold of a young day. \ \