Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1832-07-13


MUM upon the sales into the treasury.
But this act does not permit competition in the purchase
oil this monopoly IL seems TO be predcated the erone
idea, that the present stockholders have
right not only 10 the favor but TO the bounty of the Gov
eminent IL appears that more than fourth part of the
stock Is held by foreigners, and the residue is held by
few hundred OF our citizens chiefly of the richest class
For their benefit does this exclude the whole Amer
can people IRON competition in the purchase OF this mono
poly aud dispose OF ii for many millions than il worth
rms seems the less excusabe, because of our c
zens not now stockholders petioned that the door of com
petition might be opened and offered take charter ON
terms much more favorable to the Government coun-
try.
But this proposition although made by men whose no.
gregse wealth is believed TO be equal all the private
stock in the existing bank has been aside aud the
bounty our Government proposed be again bestow-
ed on the few who have been fortunate enough TO secure
he stock and at this moment WELD the power of the ex
ing institution cannot perceive the Justice or policv
OF us course III our Government must sell monopoles
1t would seem 10 be its duty oake nothing less than their
iu Vaue and gratutes must be made in fifteen or
twenty years let them not be bestowed on the subjects
oil foreign Government upon designated or favor
cd class OF men in our own country II justice and
good policy, as far as the nature of the will admit 10
conhne our avors to fellow citizens and let each
IN ms turn ENJOY an opportunity profit by our bounty
In the bearings OF the act before me pon those pon,s
ma ample reasons why il should not become a law
IL has been urged argument favor of rechartcr
ing tue present bank that calling in its loans will produce
great embarrassment and distress The time allowed to
close Its concerns Is ampe and il has been well manag
ed its pressure will be light heavy only in case lis
management has been bad IT, therefore, il shall produce
distress, the fault will be its own and it would furnish
reason against renewing power which has been SO OBJ
be a me hen
TINS reason viii be less powerful To acknow ledge its
force is to admit that the bank ought TO be perpetual and
as consequence the present stockholders and those in
erung their rights as successors be established priv
legged order, clothed both with great political power and
enjoying immense pecunary advantage, from their con-
necton with the Government.
The notifications of the existing charter nronosed bv
this act are not SUCH in view, as make
the rights oil the States, the liberties of the people
Inc qualification of the right of the bank hold real es
tate the Limitation of its power establish branches and
the power reserved Congress forbid circulation of
small notes. are restrictions comparatively little value
or importance. All the Objectionable principles of the ex
isng corporation and most of its odios features are re-
tanned without alienation.
The fourth section provides shot tho po,os or lille or
the said corporation, although the be on the faces
thereof respectively made payable place only shall
nevertheless be received by tho said corporation at the
bank or at any of the offices discount and cpose there
OIL IL rendered in liquidation payment of any balance or
balances due TO said corporation or TO such office of dis
count and deposi!e from any other incorporated bank
MS provision secures TO the State Banks legal priv-
lege in the Bank of the United States which is withheld
from all private citizens If State Bank Philadelphia
owe the Bank of the United States and have issued
oy me ST. Louis branch pay the debt with those
notes. but II merchant mechanic, other private citi-
zen be in like circumstances he cannot by law pay his
debt with those notes, but must sell them discount or
send them TO St Louis TO be cashed This boom conced
ed TO the State banks though not unjust in ITSELF is most
odous because does equal Justice TO the
high and the low, the rich and the poor To the extent
OF its practical effect it is bond of union among the bank
Ing establishments of the nation erecting the into an in
terest separate from that of the people, and its necessary
tendency IS TO unite the Bank of the United States and the
state BANKS In any measure which may be ght con-
ducve to their common interest
The ninth section of the act recognizes principles of
worse tendency than any provision Of the present charter
1t enacts that the cashier of the bank shall annually
report to the Secretary of the Treasury the all
stockholders who are not resident citizens of the United
States and on the application of the Treasurer of any
state shall make out and transmit such Treasurer list
oil me stockholders residing in, citizens Of such
with the amount owned by each''
Although this provision, taken in connection with de-
cIslon OF the Supreme Court surrenders by lis silence
the right of the States to tax the banking institutions Gre
ated by this corporation, under the of branches
throughout the Union, IT is evidently intended to be
strued as concession of their right tax that portion of
the stock which may be held by their citizens and resi-
dents In this light, if the act becomes law il wlbe
understood by the States who will probably proceed TO
Wy tax equal 10 that paid upon the stock of banks ncor
Poraed by themselves. In States that tax now
per cent either on the capital or on the shares. and
mat may be assumed as the which all citizens or
resident stockholders would be under the operaon
oil this act Asst only the stock he'll in States and
mol mat employed within them, which would he subject
TO taxaon and the of foreign stockholders are
not to be reported the Treasuor of the States il is OBJ
vious that the stock held by them will be exempt from this
burden Their annual profits will, therefore, be increas
ed one per cent more than the citizen stockholders and
as the annual dividends of the bank may safely esa
ted at seven per cent, the stock will be worth or
fifteen foreigners than 10 citizens of the
United States TO appreciate the effect which this
oil things will produce must take brief review of the
States.
BY documents submitted to Congress at the present scs
zion, 1t appears that LIST OF January 1892 OF the wcn-
ty-eigh millions Of private stock the corporation SS
f05 500 held by foreigners mostly of Great Britain
The amount of stock held in the nine western States is
$l4O2OO, and in the four southern States So 623 100
and in the eastern and middle States about I3522 900
The profits Of the bank in 1881, shown in statement
to Congress- about SO f55 ,59S this there accrued
in the nine western States about $40 O1S in the four
southern States about 1852 ,507 and in the middle and
eastern States, about 81 4630f As little stock held
in the vest 1t obvious that the debt of the people i'm hat
section TO the bank principally debt 80 the and
foreign stockholders that the interest they pay upon it,
carried into the eastern States aud into Europe;
Is burden upon their industry, aud drain of their cur
reucy which no country bear without nconvcn
and occasional distress To this burden and equa-
lie the exchange operations OF the bank the amount of
specie drawn from those States through its branches
within the last two years, shown by its official reports
wasabout SO 900, 900. More than half million of this
amount does not stop in the States but passes TO
Europe TO pay the dividends the foreign stockholders
In the principle OF taxation recognized by this act the
western States ind adequate compensation for this per-
petua burden on their industry, and drain upon their
rency The branch bank at Mobile made, last year. sos
1905 yet under the provisions of this act the State of Ala
bama can raise no revenue from these profitable operations
because not share of the stock is held by any of her ci
Mississippi and Missouri are in the same condition
in relation 10 the branches Natchez and ST. Louis and
SUCH in greater less degree, is the condition every
western State The tendency Of the plan of taxation which
this act proposes, will be to place the whole United
IN the same relation to foreign countries which the
STATES bear TO the eastern When, by tax on resident
stockholders, the stock Of hsbank is made worth ten or
hDeen per cent foreigners than to residents most
Of IL will inevitably leave the country.
Thus will this provision in its practical effect deprive
the eastern as well as the southern and States
OF the means OF raising from the extension of
business and the great profits Of this institution will
make tho American people debtors to aliens in nearly the
IN Ia unts NJ f 80 1.,f