Bank of Van Diemen's Land

The Bank of Van Diemen's Land (nicknamed 'the old bank') was Tasmania's first commercial financial institution. A charter was granted by Sir Thomas Brisbane and capital was divided into shares worth 200 dollars each.[1] Founded in 1823 prior to the use of the name Tasmania, it lasted for 68 years before becoming the first major bank failure of the 1890s depression in Australia.[2] Although it had a reputation for reliability, during the 1880s the bank lent heavily to Tasmanians who invested heavily in silver mining ventures. When the mineral prices crashed in the 1890s the bank was unable to survive the number of defaulting loans. The bank closed its doors in August 1891, and offered up its banking premises as a £1 lottery ticket.[3] Following the bank's demise, a Royal Commission was established to investigate allegations of fraudulent activities.[4]

Bank of Van Diemen's Land
TypeBank
Founded1823
Defunct3 August 1891
Headquarters
Hobart
,
Australia

The headquarters of the bank stood on the corner of Collins and Elizabeth Streets in Hobart until 1958 when it was demolished.[5] The lions that stood over the original doorway are now located at the entrance to St David's Park.

References
  1. West, John (1852), The history of Tasmania, Vol 1, Launceston, Dowling, p.77.
  2. Felmingham, Bruce (2006). "Banking and Finance". The Companion to Australian History. University of Tasmania.
  3. Blainey, Geoffrey (2016). The Story of Australia's People: The Rise and Rise of a New Australia. Penguin Books. pp. 163–164. ISBN 9780670078028.
  4. Tasmanian Museum and Art Gallery (15 February 2013). "One pound note: 1881". ABC Radio Hobart.
  5. "The Bank of Van Diemen's Land building". ABC News. 19 January 2016.
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