Bank Of California

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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, the second-richest bank in the nation, and considered instrumental in developing the American Old West.

History The bank was established in 1864 when Ralston sold shares to 22 of the state's leading businessmen for USD $100 a share. After the discovery of the Comstock Lode, the bank financed a number of mining operations, repossession some mines when their owners Default (finance), and ultimately generated enormous profits as a result. However, Ralston sometimes lent money to mine owners in circumstances that would inevitably lead to default and repossession.

At the height of their power, Ralston and his "Ring" (as his associates became known) were able to exert monopoly influence over sections of commerce and industry in San Francisco and in Virginia City, Nevada.

The bank closed for a short period after the collapse of Ralston's financial empire in 1875 and his subsequent death. William Sharon, one of Ralston's business partners and the Nevada agent for the bank, acquired Ralston's assets and later became the second United States Senator from Nevada.

On April 1, 1996 the bank merged with Union Bank to form Union Bank of California, currently the third largest commercial bank in California.

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