Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1829-01-22

>Nsk'f 4 w. $3.50 btAH hudt yOui OiicN
uents will, in the end, have reason TO rejoice, that
a trust so sacred has been reposcd in hands 80 dc :.
serving.
Ii you should decide in favor of renewing the.
charters OF those banks whose solvency and pre-
sent capacity TO discharge all their duties shall, af-
ler a rigid aud. impartial scrutiny, be found free
from doubt, it will become necessary to consider
the conditions upon which the new grants ought TO
be made.
The policy heretofore pursued, of recurring the
payment oil a large bonus to the state, or the per-
|iormance Of some specious service, as the price Of
oank Charters, IL condemned by experience. A
sietemento OF the injurious consequences that have
resulted from il, cannot be necessary. The unbi-
|assed Judgment OF all observing and thinking men,
must concur in regarding it as an exp-dent, from
which no good has resulted. It's tendency has
been, and must always be, TO weaken the security
OF the public in those institutions, for the pes form |
ance OF that in which the public interest mainly
consists-the faithful redemption of their paper.
Eager TO obtain q charter, and stimulated by the
harvest IL view, they are most liberal in their
promises. If these promises are performed, the
capacity OF the bank to redeem its paper is impair
ed, and the consideration that such incapacity is
caused by the exaction of the government, not
unireqnently leads to unreal dividends and frau
duient advances of the stock in the first instance,
ana TO disreputable failures in the end; futures by
which those classes Of The community. who stand
most IN need OF the protecting care OF a good gov
eminent, are usually the principal sufferers
Strongly impressed by these considera.ions.I re-
specially Suggest the propriety of making all the
conditions you prescribe, refer exclusively to the
safety and stability of the Institution.
The conceded difficulty Of efiecting that great
object thro' the means proposed, should not deter
US from the attempt In all our deliberations upon
this subject we should keep constantly in view
The important consideration, that the solvency Of
the banks, aud the consequent stability Of their
paper, is the principal and almost the only point, in
which the public has much interest. Who are
the particular recipient of yeur favor, is a matter
oil minor importance. The number Of the stock |
holders in comparison with the great body of the
people, is 80 very small, and the stock is so con-
SANITY changing hands, that the equity of its oriCi- |
nal distribution becomes a comparatively unim- !
portant matter. Our chief duty in this respects,
to see that the farmer, when he exchanges his
produce or estate-the mechanic his wares-the |
merchant his goods-and all other classes of the |
community their property or services, for bank pa.
per,-inay rest contented as to its value.
Provisions invalidating all confidential assign |
men,s or trusts Of any description, imposing severe
penalties upon acts designed to divert the funds
from the appropriation which in justice and policy |
ought TO be made Of them, are Of value, but ne |
cessariiy restricted in their operation. The i'm |
por'ance of some more efficient safeguard, has
been felt by former Legislatures, and they have
underworld TO obtain IT,, t'iro' the medium OF a per-
sona' responsibility OF the stockholders. But it is
objected that the practical operation OF such a pro- \
vision would be. to defeat the object in view, byj
throwing this species OF property, and Of course its
management, into the hands of IRE sponsibie men. |
When it is considered that tho dividends do not al J
ways, and seldom much e1cecd the lawful inter-
est-ihat the responsibility which the stockholders
would necessarily have TO piacei in others, would be |
disproportionate to the advantages secured, s tllatit |
Is rarely, ii ever, possible to reach the property of
thos who fail; thro' such means, it is greatly TO he
feared that the experiment, if tried, would be I'M
successful. The disastrous consequences necessa |
Tily towing from such a result, need not be stated.
You VIII, 1 aIn persuaded, give the subject your |
utmost attention, and, by the application to it of
yonr long experience in such matters. lie able. I
hope, to devise some mode by which the public
interest vii he secured. 1t is unnecessary that |
should say, that any plan that is proposed by YOU,
that shall be preferable 10 those 10 which ! have
referred, shall receive my cordial and cheerful CO.
operation, |
My own reflections upon this point, have deriy-
ec much assistance from a sensible and apparently !
well con 'idered plan that has been submitted 10 |
me, and which will. in due season, be laid before |
you. j have every reason 10 believe, that the
suggestions come from a disinterested source, anu
have the public good for then leading object. The
limits OF this communication will not allow me 70
do justice to its details. or to the argument by |
which it is supported. II proposes to make all the |
banks responsible for any loss the public NAV sus-
tain by the failure Of any one or more of them
IL suggests provisions by which that result NAV he
reached, as far as i, respects the banks whose char
ters are about to expire, and be ultimately made
universal, or nearly so. The idea is not entirely |
new 10 thu commercial world, aItho' IL has not here
tofore been applied in this form. Most men will,
upon HE iirs' Impression, view il, as i certainly did
myself, as presenting a rigorous condition. But il |
is confidently believed by competent Judges, that
the form in which it is proposed 10 enforce the |
responsibiiiiy-being an annual and adequate APP |
preparation OF : part OF heir income towards a com
mon fund, 20 be placed under the control Of the |
state the ample supervision over The inst, utions,
which 1t proposes TO place under the dire elton OF
the contributing banks, in conjunction with the au-
thority of the state-the consequent high charac-
ter and correspondent circulation il would give to
our paper-the expulsion from circulation of the
doubtful paper which now engrosses il, and the
substitution in its place Of that issued by banks i'm |
full credit-with other acknowledgements make
the condition such as would. upon more full con.
sideraiion, I'VE deemed admissible by all concerned.
Bu' oi all these matters you will Judge for YOUR
selves. Every scheme submitted 10 you, u uldnn
dcrgo ;he severest scrutiny; because, from the
nature OF The i'iect. a mistake committed in re-
gard to it, must be more injurious than in relation
10 any other matter.
ITO be continned.)
Horned Frogs no fctiont--It will he seen by
the following correspondence, for a COPY of which
we are indebted to the politeness of Mitchell |
that one Of those curious animals which, before
the mural history of our country was as well
known rs az present, exposed the philosophical
Jefferson TO so much ri6icule has sofaIv arr;vad