PATERSON, WILLIAM (1658-1719). A Brit ish financier, born in Dumfriesshire, Scotland. When a young man he removed to England, and then went to the Bahama Islands. Returning to London. he engaged in trade, and soon acquired a considerable fortune. Paterson is chiefly famous for having been the originator of the Bank of England and for having projected the Darien scheme. His first overtures to the Government for the establishment of the bank were made in 1691, but it was not until 1694 that Parliament adopted his plan and passed the act creating for ten years the corporation called the "Governor and Company of the Rank of England." Pater son was one of the original stockholders of the bank, but in less than a year he resigned. and soon afterwards took up the more visionary Darien scheme (q.v.). Removing to Edinburgh, he succeeded in persuading the Scottish Parlia ment to pass the Act of 169.5, which created the "Company of Scotland trading to Africa and India," under the management of which the set tlement at the Isthmus of Darien was made.
Paterson, who had, because of a quarrel with the directors, accompanied the expedition merely as a private individual, lost his wife by death and suffered greatly from hardships and sickness. Upon his return to England be was an active and influential advocate of the union between Scotland and England, and had a considerable share in framing the articles of the treaty relat ing to trade and finance. In consideration of his public the united Parliament of 17(6 recommended that he be given an indemnity for his losses in the Darien undertakine, but this was not done until 1715. when he received ĢIS. 241. Paterson published anonymously inure than twenty works on finance, colonial enterprises. legislative union, and other subjects. His 'Works have been collected by Bannister in three volumes (London, 1859). Consult also, Bannister, Life of W. Paterson (Edinburgh, 18581.