El Banco del Estado de México
Luis de la Barra, director of the Sindicato de Ingenieros de México, suggested founding a bank to Barón Carl de Merck, of Merck, Weisser y Cía. Merck visited Mexico together with the German banker Otto Frommer to study the possibilities, and after the passing of the Ley general, on 22 March 1897 de Merck, Frommer and Donato Chapeaurouge applied for a concession for a bank in the state of México. The contract was signed on 2 April 1897 and the bank began operations on 1 August 1897El Xinantecatl, Toluca, Tomo I, Núm. 81, 1 August 1897 Its notes began ito circulate in Mexico City on 8 August (El Xinantecatl, Toluca, 8 August 1897).
According to the original plans the baron de Merck would be the Director General, with Donato de Chapeaurouge, of the Casa Bancaria de Esteban Benecke y Sucesores in charge of the Mexico City branch. However, in July 1897, disagreements between the concessionaires and shareholders led to the former leaving the enterprise.
The bank acquired its offices on 1 August 1898, and on 6 September 1898 set up an agency in Tenancingo under the management of Miguel Izquierdoinforme of interventor in Memoria de las Instituciones de Crédito, 1898.
The bank’s initial capital was $1,500,000. In December 1905 the board decided to double its share capital to $3,000,000, and as a result reconstructed its board in Toluca, composed of early shareholders (Eduardo Henkel, Alfredo Ferrat and Alejandro Pliego) and estabished a Comité Directivo in Mexico City, on which sat old shareholders (Fermin Zubiaur), representative of powerful German casas comerciales (Juan Hatfiel or Ernesto Shroeder), financiers connected to the Banco Central Mexicano, allies of the Científicos (Manuel Araos, Ramón Alcázar) and a guarantor of French interests (Fernando Pimentel y Fagoaga).
By 1905, in addition to its headquarters in Toluca, the bank had established branches in Tenancingo, Coatepec Harinas, Zacualpan, Temascaltepec, Sultepec, Ixtlahuaca, and Morelia, Michoacán, and agencies in Pátzcuaro, Uruapan and Ario, Michoacán, and Acámbaro, Guanajuato.
American Bank Note Company print runs
The American Bank Note Company made three print runs. It engraved a special vignette of the valley of Toluca (C 642) for the backs.
For the 1906 printing the ABNC erased the dateline and changed "Director Gerente" to "Cajero".
On 16 December 1915 the Comisión Reguladora reported that the bank was within the requirements of the Ley General and so could continue operating.