Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1822-01-03
Philadelphia, Nov. /, 1871.



Gentlemen The sensation which has existed, and
stIII exists on the question, whether il is legal
tam, on loan discount, interest for 81 days on a
note OF SINiy, had rs origin, j bciirve, in de-
clson which Was rmmorcd to have been made 10y the
Circuit Court of THIS Distrct-he substance of which,
as II reached the public ear, this effect, that
II isury 10 charge interest for CT DAYS on a note
Tor 60 believed, as far INV means of iniorma-
zion extended, that such u decision hau been made
IL IS assumed ia The communication of your CORES
pondcnt . ! 1T was stated To me, however, this
mOrnlnI, thai the court had certainly made any
such decision, aud upon application to one of The
gentlemen who had bcch engaged Tor the defendant
IN The caEse referred to, | was politely furnished
with the subjonedcop of the he had preserved
oil that case; and trOfh which it would appear that
there has been no decision OF The kind 1t may
Alcs-is. Editions, tend in degree, To aiy lie
alarm and excitement which exist, TO know that tie
sanction of Judicial GeriSion has not been given IL
giiDst this practice OF the Banks and that it j. a!io-
gethcr n.iiakc that the Circuit Court has made
a SUBSCRIBER.
The Bafef lie jieiropoiis IS. Clarke
This antciioO OfasSigs.t ~ iinst lie defend
ant, endOrscr Of John M(iowan's pronissory
mote for 9 1900, payable TO defendant, order, at
60 DAYS aiicl due.
Tie Counsel Tor the defendant srnted Tie defence
{" be, ury on TIE part Of The Bank, IN retaining the
interest on the EOic upon which the action was
brought, aud on The former notes which had been
gwen Tor the sumo dcbi, and i the renewal oil which
tiiS uOe hal beCI given.
They adliiiieJ ihtl the diyisinu Of the year into
800 d."s, instead of 56J, hii been csazcd, aud
slated, illn', although the charter which Congress
hrd grantcdiO Ibis bunk expressly provided hat M
more nan pcr ccniiun per annun' should be
taken lot discountng any bill or note" it ss not
necessary Tor them TO question, IN this case Tie le-
atIiy o The practice OF receiving tie interest IN adj
vance, tie application of the decision on hnt sub
icci 10 these chartered Banks. The nsury Of which!
THIS bank had brcn gri, Oh these notes, consisted
in lhis-hcy had retained interest for 6 diys on
note which drawn NJ 60 DAYS, the legal amount
of Interest Cor : 1850 Tor go days, adding the DAYS
Of grace, JciIs y ~ 97-lhis Bank having retained
go u.
IL was proycdby Alex. McIniirc, from the books
Oh HE Bank, tat the day on which tie former
note bccHnc dueJhe present note was made and dis
conncd ; aud that on that day, McGowan, the draw
rr. was debied with $500 the amount Of lire old
note, 1ndcrcdcd with g 1873 IL, part Of the pro-
cecds from tie discount of The note Ne Bank
having retained ~ ~ for the interest upon such
discount ie also proved tat tiis was debt which
bad bocn owing 10 the bank fur several years and
that rene Gc; notes had been giteu every 90 dnys
and tie above amount Of interest retained on each
renewai--tti lle inst day which the interest was
calculated uyon Tie old upte was the first day upon
which the in,k had calculated il or the new noie--
80 lat they received, every 60 days, interest twice
for the s,nlc day lie further presed that the cal
collation. 81 interest, iu all tie banks Of tho District
~.,s aadc by H0wclfs tables, from which il appea-
81 that ~ ~ Wa llc aaosn VI interest ssr 1900,