Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1834-02-15

producing miscbic
unsuitable anticipation OF the legislation Of Congress.
But the Secretary thinks there other reasons Tor the
removal growing out OF the in which the affairs
OF The bank have been managed aud its money APPLIED
which would have made il his duty TO wiihIrayy a., de-
p"siles, at any period OF the chatter
~, mese reasons, thus arising from the alleged mis-
cohuuet oil the bank the first it, that many important
money transactions OF the bank are placed under the con-
uo' oi committee OF Exchange, of which committee
," VI Tue puohc directors, they are called is al
49, 70 DC member, instead ei being Transacted by
board ot seven directors
ms charge consists of parts; FIRST, tina, the dis
counts oil bills made by committee; and not by
quorum oil the board; second. that the public directors
arc not allowed 10 be o.! this cotnmittee.
FIRST is not alleged thai, ia the discounts Of bill, by
'hs committee, any ndscreton has been committed or
any loss incurred or that in thereof any
llehy TO me mercantile community has been withheld
or any duty OF the bank TO the Government VACATED
Inc ooec ion is, simply, that bills are discounted Nv
committee S"pposng this 10 he an irreguarlty or lie.
ssy, ~ me proceedings Of the board, how is it to be
80; ny Withdrawing the deposited What connex.
.n mere between the things. II is no, pretended
a n,s inoje CT discounng bi Is the depo
49, Is not pretended that il made the bank either
80 "o'e, OF less Wiling, 10 perform every OF its
duties 10 Government. How should the withdrawal of
Tue then, DO suggested by the discovery Of such
not able to perceive the least propre,y in APPLYING
he power OF removal, 10 a proceeding Of this kind
even eve II IT were admitted to be irregular or Illegal
But Is the practice Illegal believed to be not At all
unusual IL is believed be quite common in Lanks of
large business Tor bills of exchange, which are presented
every day, and almoS, every hour in the dav 10 bs die
counted either by committee of the dire ctors mr. by III.
PRESIDENT or even other officers acting under such gene
raj orders and instructions the directors at their Stated
meetings. prescribe large board Of directors cannot
assemble every day, perhaps otener. than twice
week bills oil exchange could only be discounted At
.sc peoGSa meetings, the business of exchange could
not 20 on WIN the prompude aud despatch SO important
10 commercial men in such transactions.
Inc committee suppose the truth of these remarks will
De al once admitted by all who have knowledge OF BUSH
| ness Of this kind. -
The general management and CONTROL the authority of
examining and supervising of contracting or enIarging
the amount OF daily discounts according to the state nj h
oank and OF giving other order c,ion ON the
JeG in remains with the directors, and is constantly
exercised oy Them They still manage the affairs of The
BANK IN the language OF the charter although thew NAV
eepu'e 10 committee the authority of inqurinv and ,,ecid
s poh 'e creuit Of persons whose names bills Of
offered ior discount and on the Of change
current at the day The legal que would be wheihcr6e
directors by rule orhy law may authorize small nun
oer oil their own board to discount bills The bank has
oeen advised that it might rigully this and if il be
ho clear mar this opinion is right, is certainly (sr from
clear that il wrong and in this state of tho nnesn ,h
genera pracce oil other banks, under similar provisions
~ er Quarters, may well relieve the directors from the
impntation of intentional misu anagement ~
IL, III all this, the bank has violated its cborter yb,
saaIc thing! ~ ~ '"'
But the other subject Of complaint, and that which
seems 10 be regarded the offensive part of this
regna on is that the public directors as they are called
were not allowed to be on this committee
IL may be observed, in the FIRST place that If tho dis;
counting OF bills of exchange by commitee ;ns,oaJ &C
whole board of directors be lega al il ,youI5 barIi b
ren"een legal by placing all of these public d.
rectos on the committee members But the Sccraary
seems TO suppose that there particular obiect in
ms exclusion oil these directors, if there had been
something wrong 10 be DONE therefore secrets 10 he
hP Dy 's committee IL is not easy what iounda-
non there can be for this opinion. All these discount.
arc matters OF record They appear every day in the
DOCKS oil The bank Every director on or of The com
mhtee' sees them, may them at pleasure There
Is no secrecy, nor any motives secrecy so far a,
his committee can perceive. Very' proper causes NAV
nave existed Tor aught that can have known by the
senate, Tor the omission of these particular from
@ committee Their services might have been
deehed more useful in other committees or however re-
III general character or however useful in other
parts OF the direction, they may have been esteemed m,
wen as others with the business OF foreign
ano uohesuc exchange And even if there were or arc
other causes Tor the OMISSION as tend less to nrove
me existence OF that harmony and respect which
IL Is so desirable should prevail in such board these
causes cannot furnish any Just ground for asserting ec
mat he business of exchange illegally conducted or
that The constitution OF the committee was proof of the
istsnce oil any motive not fit TO be avowed
But The Secretary entertains opinion respecting the
% n, anu uae: OF me directors appointed by the Pre-
II denominatedh hem "public Observation-Disclosures of the
Government" &c. - ~
by the charter ihe bank there be twenty five
urecos w hose, twenty to be chosen by the ind.
vidua' stockholders, and five appointed by the President
WIN the advice and consent Of the Senate AS The Go.
vernment owned fifth of the stock of the bank il ,s
Judged expeden TO place in the hands OF the President
ana Senate the appointment OF fifth of all the directors
but tney are not called public directors officers of
The Government, nor public agents Nor are they
ened SO lar as the committee perceive to either
Oh uesT expectations, any more than the other drec-
'N''' NC "hoio twenty-five directors Joint
gers oil joint fund.- each possessing precisely The same
powers, and charged with The duties as every
o!ner Ihey derive their appointments il is true from
uHereht origins, but when appointed their authority is
'he same lheFe Is not one word in the charter nmat.
ing IN the remotes manner, that the FIVE directors an
pointed by the President and Senate have anv narcoIr
duty, or the objects of any peculiar trust The char
Ter calls hem tGovernment directors not public direc
'o Dut simply The directors appointed by the President
ana senate. Ihey are placed in the direction TO consult
win Tue other directors for the good of the bank
anu 10 act with these others and vote with them ali
questions They what the law calls them directors
oil the bank, not agents oil the Government Thew arc
loint trustees with others, in joint interest If aDv Thing
Illegal or improper takes place board they are bound
10 Fesi'i IL by The duty which they the individual
stockholders, as much as by The duty they owe the Go
vernmeni; because they are agents of the indiviua
slockhoiuer and have the authority TO bind Them
oy their acts, as TO bind the Government: and in like
manner the duty of those directors who are appoint
ed by the Individual stockholders give notice as
Wen 10 Government 10 the stockholders if anv hing
illegal take place, be threatened All those direc,os
act ana vote together on the smallest we'll on the boh
est occasions; and by their joint votes bind the
ton, and bind both the Government and individual soc
holders 10 the extent OF their respective interests in the
corporation. " ~
II the directors appointed by the Preside n and Senate
mad been excluded by the charter from any par of e
power exercised by the others; if had been orlIden
ueh 10 interfere TO the same extent aud with the same
erect as the rest in the business of the hank
eIe nlshl ne some reason for suppong that uncom
mon character, character much of action al If
supervision and Inspections intended TO he couf,reJ
on them But they do interfere, and usy i'm all trans
actions OF The bank They DO and ac on all subjects
IKE Ihe other directors Being then possessed of This
common Character oil directors, and ENJOYING all its powers
to the fullest extent, the committee know no form of ar
gument, by which uncommon and extraordnarv cha
raceT TO be raised by constructions and superadod IN
he common character Of directors which thus already be-