Bank of California
The
Bank of California was founded in
San Francisco, California on
July 5,
1864 by
William Chapman Ralston. It was the first commercial bank in the western
United States. It was founded with $2 million in capital. It was the second-richest bank in the nation and was instrumental in developing the west.
Shares were sold by William Chapman Ralston in
1864 for
USD $100 a share to 22 of the state's leading businessmen.
The bank made loans to
Comstock Lode mining companies in
Nevada. The bank took ownership of a number of these companies after their owners defaulted. Ownership of these mines was lucrative for the bank.
United States Senator from Nevada
William Sharon was the Nevada agent for the Bank of California.
At the height of their influence, Ralston and his "Ring" (as his associates became known) had a corner on industry in San Francisco and in
Virginia City, Nevada.
The bank closed for a short period after the collapse of
William Chapman Ralston's financial empire in
1875 and his subsequent death.
Union Bank and The Bank of California merged on
April 1,
1996, to form
Union Bank of California. It is currently the third largest commercial bank in California.
