Phenix gazette. [volume] (Alexandria [D.C.]) 1825-1833, 1825-07-23

es of the two existing banks Of Virgi.
MIA might be extended to them; and
some praying the establishment of new
banks at designated places. These pc
titions were first referred to the stand.
ing committee Of Propositions and
Grievances: but, on the l4th Deem
Der, Mr.. M. moved to discharge that
committee from the duty, and to refer
the petitions to select committee,
with leave to report by bill or other
wise; and with instructions to enquire,
whether there was any depreciation of
the paper medium then in currency,
and if any, the actual extent, the true
cause, and proper remedy thereof; and
also to inquire into the existence ofany
unchartered banking association, re-
Gently established in the common
wealth, and the means of guarding the
chartered banks thereof, against the in
fraction of the privileges secured to
them by law. The motion prevailed,
and select committee appointed in
pursuance of it; of which Mr.. Mercer
(of course) was the chairman. On the
5th January 1916, he made an elaborate
report (Which had been prepared by
himself) OIL the several subjects men,
toned in the resolution; in which, a.
mong the other topics, the private bank
ing associations that had been form
ed in 1915, were, indeed, acknowledged
to be directly contrary to the law Of the
land, but were at the same time more
than excused, as being not only harm
less but beneficial and almost necessary
to the public; and it was recommended,
that independent charters, should be
given them on the same terms on which
the two existing banks Of Virginia had
been incorporated; both Of these hav-
ing declined the proposal to extend
branches TO the places, at which the
petitioners prayed the establishment!
or location OF bank capital. The re-
port concluded with three resolutions:
the first proposed to incorporate J-
teen banks at places therein designated ,
(from one or two Of which cannot
find that there was any petition,) upon
condition, that they should pay the
same premium that has been exacted
of the two existing banks, should be
compelled TO emit specie, and should
hold their charters subject to reyoca-
ton by the Legislature, if they should
at any time cease to emit specie with
out authority of law; and that the pub
lie taxes should continue, as before, to
be receivable in specie, or in notes OF
the then existing banks. The second
proposed to provide by law additional
means OF enforcing the issue of specie
by the banks Of Virginia: and the third
to devise by law, the most efiec,ual
means of protecting the privileges OF
the chartered banks, and the rights, in.
terests and dignity Of the Commonwealth,
against the abuses of unauthorized
banking. The report and resolutions
were recommitted to the same COM
mittee; and Mr.. Mercer, very soon al.
forwards, reported two bills, in con.
formity with them; the one to compel
the resumption Of specie payments by
the banks; the other "to establish sun
dry banks within this commonwealth,
and for other purposes Of this last
bill, can only state the substance from
my own recollection, and the best in.
formation / can procure from others;
the recent death of that excellent off
GER and truly good man, the clerk Of
the house of delegates, prevents me
from having access to the bill itself,
if indeed it be preserved, as such pa
pers sometimes are, tho not always
The bill, then in effect, incorporated
almost all the private banking associa
tons, which had by petition prayed
charters to legitimate them; and added
one or two banks, which no petition
had prayed for; and, in regard to the o
ther purposes indicated by the title, en-
acted uery heavy pains and penalties a.
gainst the persons who should be con
cerned in any unauthorized banking; 81
conGiyed, however, as not 10 aztec
those persons, who had been concerned
in the private banking associations o
1915; so contrived too that, even in re.
gard 10 future associations OF the lik.
kind, they were little calculated to ct
feet the professed object. l well re
member, that, in this particular, tn
bill was considered, and described bI
its opponents in debate, as mere bra
tumf uimen. On the 9th Feb. il was ia
ken up in committee of the whole
gone through, and reported TO thu
house. a motion was immediatel.
made by Mr.Scott of York, to postpone
| the whole bill indefinitely; and 1t wa
| carried by majority of aos 10 o..
say, confidently, that this bill, in y il
| provisions, and in every stage OF IT
progress, was supported by Mr., Merce
with the utmost industry, perseverance
| and zeal. He gave, indeed, remarka
L e tlxa on~tafV- IfnnQflenC,