The Columbia Democrat. [volume] (Bloomsburg, Pa.) 1837-1850, 1837-12-16

specu atinr on the misfortune Of the times,
by flooding lie ,ntrv with an increased
and deprecated paper circulation. They
were at the same time encouraged TO hope
that If the proper course was pursued, the
measure into which thew had been COM
PEELED by necessity, worll, Ifno undue adj
vdntages were taken oft, not he punished
as a crime, bu, treated rs a misfortune.
1t is now my high qualification to he able
to announce 10 the Legislature, that not only
have our felIow-ritizens generally amply
sustained their old reputation for good faih
and orbe france in the trying crisis, but that
the portion of them connected with the
Banks, have realized all that was expected.
The report Of the Auditor General, when
laid before you, will show that there has
heen material decrease in the, amount of
notes il circulation, and an increase ofspe-
Gle since the suspension: Also that the debts
due 10 the Blnks lave been reduced, which
result must have been produced without
distress to the community, rs no complaints
of that kind have been made known: and
that private deposits, which are the hest
evidence Of public confidence, have suffered
vcrv little diminut0n.
Returns had been received on yesterday
from all the banks IN the State except the
Northampton Bank, the Lumbermans Bank
At Warren. the Honcsdale Bank, and the
Columbia Bridge company, the whole mum
bel in tie State being fifty.
Their circulation, specie discounts and
deposits, stood as follows in the beginning of
May and November 1887.
May. November.
Circulation, 81 ,O63. 543 05lI6.I64 ,539 81
Specie, 4,39I,O72 24l 690G,5lO SO
Discounts, 66,4O7,6l3 43 60, ,942,755 90
Deposits, l2,49I, ,O0s 1911, ,936,279 81
Hence it appears that there Las been
decrease of circulation, to The amount of
$4.S90 ,003,Si, or near one fourth, since
the suspeusion--ni discounts to the amount
of Sl6,46I, 1853 43--Or about one filth, and
Of deposits to the amount Of S557,72 81,
or about one-twentieth-and that specie
hls increased more than One-hali, or ST.
5l5 ,438 55. The returns yet 10 he receiv-
ed will not materially vary the result.
1t thus appears that the banks of Pennsyl-
vania are in "A much sounder condition than
before the suspensions; and that the resump-
ton OF specie payments so far as 1t de-
prnds on their situation and resources may
take place at any time. .......
Bat we must not rest content with the
contemplation OF this gratifying state OF
things. Though a favorable combination
of circumstances has for the present guar
dcl us from the extent Of injury to which
the occurrences OF the past year exposed
the Commonwealth, it is not the part OF
prudence again to r,lv on similar escape
from danger. Oar duty is, it possible, to
prevent its recurrence.
The Bqnk, have well sustained ther
selves through the crisis; but the Bank
sY8'en1 that could admit of sush crisis,
must he defective.
The fact that general suspension of pay
ment in gold and silver has taken place,
without producing general forfeiture of
the charters, though it was the evident il
tpn;i1n of the Legislature to prevent or pu .
ish such Il catastrophe by that penalty,
neither jusiihes the suspension, nor proves
that the penalty isunjust, II only SHOWS
ha a crisis has arisen not iores@en by the
Legislature of 1924, in which the iutli,tlon
of the penalty would be productive Of more
evil to the community than "A continuance
of the suspension. 1t is remarkable IN
stance Of the "riual repeal Of general
law of the land by the expressive, hut ST.
lent action of public necessity, by which
even the ferceness of party zeal has been
restrained. Orthe votes poIled at the late
general election, small majority were by
party one of whose prolessed principles
WAS OPPOSITION to Banks Ii is a fair suppo-
siion that this majority held since the sus-
pension, the same proportion oflhe bank
notes Of the State. 1t was therefore in their
power to have closed up and fhieited the
charter of every bank in the Commonwealth
except perhaps two or three. They have
not done so, and the reason is, that thor
oicn, and the public interest would have
thereby suffered. The public agents, both
Legislative and Executive, are therefore
bound to act on this plain inlimation OF the
public wish. And this construction the
Legislature are the most compelled 10 re-
spect, inasnluch as by the 10Th article of
the act Of 25th of March, 1924, no forIei-
ture can take place for mere suspension CA
cept at the desire and by the action OF the
people who are the note holders.
But though the Legislature may thus be
restrained by existing rights, from construo-