Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1818-03-13
Legisiature &c New Yorl1.
HOUSE OF ASSEMBLY.
TUESDAY. FEn. ~


his state.
ihe committee appointed on lie cue
rency. OF tins state, and % whom was ~
ferred that part OF the Governors Speed.
respectfully report, III part
That They ind themselves cornpelle.i.
eswell from the nature Of TIC subject rs
from the sense they Lcel NI lhtir dulles ~
a standing committee on tsirrsucy. 10
take general view u. the OPERATIONS az
banks IN this state; rs Tar rs lSy dsdec-
lions tan.be drawn from experience, ni;t
VAL threw arg clear light er Nhat volfr
committee consider rs subject oi the
highest and most vital Importance 10 the
public.
The committee are lnlIy satisfied. that
banking Establishments are highly bensi
hcial IN country i.hr oars, with an e.
fensive external and internal commerce.
by affording facility in making rcmittan-
ces and transmitting large sums from oGe
part OF the country To- aIlni!icr, aad IN
head market towns in aii6rtng Temporal
ry loans al particular seasn;.s al The wear
Tor the purchase of Prodoce, and in ii,c
sea port towns where large capitals are
vested IN shipping engaged in foreign
commerce, by enc bling The .proprieiofS,
with temporary loans, 10 purchase fresh
cargoes and despatch their vessels. SD far
HE committee believe III Y are warranted
IN saying, that expcIEncc Hay shown that
banks have been very beneficial 10 tins
state. And it would give lhc committee
pleasure II they could Slup here, without
violating their characieras Legislators and
guardians of The public eItafe But rs
such, they must give it as Their uBdisid-
ed.opinion, that Hike medicine, wien ia,
diciously administered In lie physical
body, IT removes distractions, increases
of its fluids, and IDviso-
rates thewhole system, but When adnii-
by unskiitUl handS, 100 prolUse-
~, produces morbid affections and para
lizes every nerve, so banking establish
ments when increased as they already
have been, io.a! great cAient IN the iule-
Fi0r OF our stats, counieract epiiiely al
The beneficial effects expected from them
and instead Of facilitating exc i,ange ana
the transmission OF money from one part
OF the state Ia the Other, II has rendered
il impossible 10 be- done without ereat
loss, III consequence of local banks hay-
ing eHsrossed tie whole circuIaiian IN
their neighhorhoo@, and the depreciation
OF their notes abroad, 10 tie very preat
Of internal commerce
But this is not the extent Of Tie evil,
nor i'll the opinion,of the committee, bv
any means the greatest; but tie effect
produced on society, irAnediaiely with
III their vicinity, is sill more TO be de-
plorea.
They enable the designing, unpriuci-
pied speculator,, who in fact has nothing
to lose, to impose on lie creduiiiy of the
honest, industrious, nEs,SpectiDg pari of
the community, by thrir specious fate
~ and misrepresentation, obtaining from
them borTor ed notes and endorsements,
until their ruin is contaminated, and iaeir.
farms are sold by The shelia. Examples
OF this sori are too common ans! uoturious
10 need any Illustrations from the cou,-
mittee
In applying for their charters. they
all profess TO have The pubic good sole
~ iii view; but III loo many mstdncrs
their conduct has shown il,ai ihey soon
become blind 10 all other interests but
their own.
BY adopting variety of schemes 70
get their notes into. CitdHlaliop, such as
placing partial fund ia disiani iaak,
10 redeem their paper, and ASKER the fact
becomes generally kmoWn HAL their pa
per Is at par IN thai quarter lSsElng al e.
mission ofnotes signed with Iuk Ola dit
iereBi shade, al The same time giving Sc
the notes thus signed, anl subj citing tie
owners them 10 loss and disappoinf-
ment, compelling thcn either to sell iicm
for " hat they wCuid feich, or 10 rcturn
without accomplishing the business they
went on. This Is done IA more than ore
instance thus, IN tYou day, committing
a barciaccd fraud on lie public.
OILERS, by different siralagem, but
no less contrary 10 the intent and mean.
ing Oftheir charter, have issued Z species
OF paper called fGc'Hfg notes, puTporting
10 I've payable III neither money, country
produce, or any thing else that has body
or shape, and therefore rendering Tie
name appropriate only@by facilitating the
ruin OF those who are so unfortunate as
10 hold them. There are ojlier practices
which The committee are informed are
very common, aud they behete viii not
be doubted, Fich no less tdiatc the first
principles Of their charter. they give
large accommodations toinGividualsrC r-
ditIonally: 10 sone, that they will keep
in clrCuidliOu certain SUM G. iliCIl notes
are designated by 81 private mark Tor
specified time; but "a case they reiurn
sooner, he is again 10 be charged wiihtbc
discount on such SIM for The Fcmainder
OF The iinC: 30 avoid which he is compel
led 90 uiake long lourniss IN distant coun-
tries 10 change the notes for those of o.
tier banks; illus squandering his time
and bis money for their benefit. To o.
theirs, On condition ihst they will pay
their note when due in WHAT'S called cur
rent money (mcaning noiesof such Of The
banks as are current throughout the state,
they not considering theirs entitled 10
that appellaiioh) Which compels the Dor
rover, during he time lis note is TO rnn,
to lay by him ell the current money lc
can collect, which Of necessity lie must
lose the Use Of, md Tor which he is o.