Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1835-03-14

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failures were the more distressing and caamons as
they chiefly affected the industrious classes nd so,,,
swallowed upin am instant, III fruits of long life of
unrem'ttng and laborious cxeron Prices i,,stan,Iv
fclland thousands who but moment before co,s;,ly
cd themselves aiiluent, found they were destitute of all
real property and sunk, as ifby enchantncnt and with.
out fault of their own into the ubvss of povertv
Mr. Horncr, the accuracy of whose information cannot
he doubted, declared i'm the House of Comuo,,s H.,
the destruction of English Bank paper in SD and Isle
had given rise to universally Of wretchcdness and
misery, which had never been equaed except perhaps
oy the breaking of the Mississippi scheme in, France
The National Bank IF Ireland, in l7! was placed ON
The same footing the Bank of England as 10 specie
payments, &c. AT that time the dividend was ID mr.
ana me market price of its stock so per of the
cost IL had in circulation E62 9I7 in notes But ex
Panuea ana increased ITS business and circulation far be-
yond what prudence ought to have Dictated and i'm 1910
the notes in circulation amounted to e. l.y2 sC mon
capital OF I'll 100000 1t frequently divided s. and 10
per cent and in 1916 the market price of the stock was
up to 2li per cent ~ ""'
The course of this Bank gave announcement f,,J ac
tually created necessity in consequence of The cxnn
sion OF specie to the issuing of small notes and we are
assured, that Dublin and several other districts vcr.
supplied by paper currency issued for gradually
decreasing from Us TO Cd, and to 3D. IL is calc
lated by several persons. who gave evidence before
committee of the House of Commons in 1904 that abou,
tins time there were dispersed throughout roland COZ
ssners OF this paper money chiefly consisting motley
o1dy OF shopkeepers, merchants and petty of
all descriptions"
thus the situation of the currency was such that
ouncas were sold in England and Ireland for from o5
10 so shings IN paper money until the traffic was put
down by law; and the Exchanges between those com
uies una me continent OF Europe very generally
against the former.
In 1909 the Banks of Paris were consolidated into
great Bank called the National Bank Of France About
tins time seems the rage for National Banks and the
extension OF paper currency by far general
ms bank followed much the of lis nciph
bors OF England and Ireland IT extended the circula
ton OF notes by far too much and did business beyond
It's means In 1904, it divided more than I3 mr. cent
and the year following about IA Only per cent how
ever could go to the of the stock holders The ba
iahce was vested IN per cent. stocks fund of re-
serve In lsO6 heavy drain of specie to support the
Austrian war left France depend for cash mainly anon
he paper currency, which already much cxtcnd
ed The Bank necessarily became embarrassed and
was compelled to suspend specie payments Many fail
ures occurrcd-great distress and alarm cnsucd; and
the exchanges between Paris and otcr ,,r,s os ,l O.
uneh became unfavorablc to the former by II per cent
In tins year, QSO6D the Emperor Napoleon found il
necessary To strengthen and increase the power Of the
purse and TO unite IL 10 that of the sword Accordingly
" " decree, he recognized the Bank, and 'in
place OF fifteen directors its affairs were committed 10
uovesnos ana two deputy Governors, who be
appointed by the Emperor. AT the time It's capital
consisting OF $4,000 shares of 1000 francs each was in
creased to 10000 shares, 900000 600 francs" The
DiK mus organized and placed under the control of
the unprecedented by his great name and the mower
OF his sword re-nstated its credit and added much to
the far business the government bv rrnn
ing the facilities necessary 10 the success ~ The
schemes of Napoleon. The Bank, however even under
these advantages, was compelled, at time to adopt
inc expedent OF limiting the specie that should
be PAID out per day. TO sum- that had the effect of pro-
tcctng heavy runs. But this Bank never issued notes
OF SO small denomination as the Bank of England Ire
land and Scotand and consequently the circulation of
specie was much greater and that of much smaller
! wi En-
land Ireland, and Scotland and the United States wcr.
prostrated, and almost ruined by spurious Bank paper
inc currency OF France Was greatly improved Notes
were not issued for less than five hundred francs each
and the whole amount in circulation was only serear
millions cftraneS worth.
mus we that from ten twenty years before 1916
England, Ireland, and France were greatly afflicted Nv
the bad management of their Banks both national and
local And thousands but too well recollect the Affections
OF our own country during the same time
just at the time the statesmen Of England France
lne ruc mode OF correcting tine currency,
he restoration of specie, und the prohJiti0n of small
"oteS) our statesmen established United States Bank
WIN authority to issue small notes. for nelc c,rycacy:
sneee wh 'aG the enee G1 the restoration Of
Tor change. In Europe, are now issued merely nc
means OF granting commercial facilities, and not for u
currency The merchants have all the facilities ncccs-
sary to maintain the of these countries
They, and the Bankers have sustained high credit
SINCE and have enjoyed all the ADVANTAGES of FAVORABLE
exchanges between them and the u States Tbev have
also, hard-moaey curreacy.
The Improvement of our currency was effected not
by the influence OF the u. S. Bank, but by the strong
Probitoy acts of the States against uncarered banks
and private issucrs of paper. The Improvement how
ever is not sufficient yet to protect against the uc
uatons OF paper currency and the periods distress
whch nave always marked the progress of the system
Ia run we ought as speedily as possible to put out of
circulation small notes; perhaps all under twenty dol
lars; and their place would, at once, be supplied with
god: While we have great National Bank, exporting
sPec ana supplying its place with small notes dealing
IN exchanges aud raising and depressing them for pro-
nj the foundations of happiness aud prosperity may
be shaken from under in moment and tho boynes ~
our ancestors, those earned by long laborious and
| H.
honest iiie may be wrested from us by the Sheriff
Inc capacity OF this country to itself spe
ce currency, VIII be seen by reference the Tables
winch follow these remarks the coinage of gold and
the importation of specie
The dangers and corruptons of the u S Bank will be
seem also, by reference TO the table the subject OF
that Institution -
1t was known that General Jackson was opposed TO
re-charteIing the Bank of the IT, States after his
rst election to the Presidency but the officers of the
institution had about him or his opinions
as IL was very generally believed he would not run Sc
coma ume However, in the latter part Of the year 1890
began TO be believed he would certainly rn aoain and
this opinion fully confirmed in 1881 1t will be seen
from the annexed table the subject that from the list
OF January, 1881 to the I'd Of May 1892 only IA months
me loans &c, were increased .... S26 1895 ,gg3
Circulation OF notes increased ...... 1856 272
Funds in Europe, all withdrawn, ..... 23s7 3sI
oPccie diminished, ................. 2Sl7..90!!
This was the Summer of the long session Of Congsess
ana IN May, the scheme of recharering the Bank was
got up bill reported in the Senate about the first of
June passed about the LIST of July and the President
put his veto it the 10Th Of july 1892 The election
took place in the fall of the same year.
Inc Bank had run the commercial prosperity Of the
country 10 The highest expeeation-applied for re-
charer aud ut the very moment began to put the
chants ia leading strings by curailnents. Their plan
was cetotd, and Cen jackson reelected They pursued
ter course, and from the I'd Of May 1892 the Cd Of
august, 1853 Ga term of 10 monts when il was about
to be determined that the Dcposcs should be removed
and was freely spoken Of, the
Loans, &c were curtaied ............S Sc 267 70I
Circulation OF notes diminished, ........ .2d23O13
Funds sent {, Europe, .................2 O59,523
r., increase OF SPECIE $3.50
From the "a Of August 1888 TO tile LIST Of October 1884,
term OF ia months, including the removal Of the De-
psitestie long session Of Congressthe greatest panic
tins aIe