Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1837-01-10
Richmond, Va, Tuesday, Jam. 10.
Kinks,

We think it our duty again call the attention of the
Legislature to the dangers OF an nordlate augmena
ton of Bank capital, ana .ne mnaP.1cauon OF sma'i
TO the BANKING capital Of Virginia. OF any other State,
| but upon the express condition that the Banks
sbonId not issue less than $40 notes for certain time,
and not les. than $50 notes uRer another period Unless
we come to that system in Virginia, shall be liable to
great dancers; and unless becomes general the State
Banks may yet blow up-great iun will be produced
and another National Bank may be fastened around our
necks
We shall finish Mr.. Benon's speech in next pa.
per-and we beg leave to recommend The developments
which it makes Of The dangers which are lowering
the Paper System in Eng land from her Banks of circu
n,ionTbe lessons which he reads from the glish
! Economists, (McCuoch, &c., most seasonabe and
thew are startling But this is not all The Globe of the
Gil, inst gives late and eporable accounts Of the
| new mnrket in England " Banks and bankers falling;
merchants aso and distress pervadng the manufacturing
districts Yet this appeared to be the prelude
general panic What followed, time alone disclose.
The disasters Of 1925 appear TO have been on The eve OF
again being experienced and attended with ul the Gala
mites which characterised those of that day The state
ments made in the English papers, show that they had
already commenced
"The Agricultural Bank of Ireland with twenty-s
branches distributed the whole country had stopped
payment This bank, which it is said has FIVE thousand
nnrluers was established only two years since The fol-
! lowing are the Comments of the London Courier
! ,Ibe Directors stale that they paid E537 900 for
notes and orders from the Sd of Oatobcr to the 18th Of
November and it is stated that there notes of this
hank still in circulation 10 the amount of no less than
SOOOG0 We cannot help thinking that this statement
must be much exaggerated; blu. if be true it is one
of the Migrant instances of trading and
issue that 10 be met with in the annals of oint
stock banking.
1T is not only Joint stock banks of few months ex-
sence which appear to be Frustrated by the pressue Of
the times but banks Of long Standing and enjoying
limited confidence have been obliged to succumb TO the
pressure In speaking Of the stoppnge Of payment by
the Caise Bank, an English paper says
"s No circumstance has for long time created so
great sensation at Carlisle the failure Of Ncssrs.
Fosters bank: The announcement has cast gloom on
the countenance Of every one. The firm has been
tabished for upwards Of fifty years, and perhaps no
bank in the kingdom has enjoyed larger degree Of
6dcnce The grea, bulk uf the principal tradesmen in
Carlisle had dealings with them, and their notes passed
freely gold throughoua very wide district Of the
northern counties.
"Here we are furnished with the evidence, Of ire
utabe character, that however reputable and durable
the cred,f banks issuing paper money may have been
there is nowadays no permanent security. Explosions
vii take place, and the raGespeope and aborng classes
are the sufferers.
ain addition the foregoing is stated, that the hank
of Messrs Ward Of Woolwch, and also the Belfast bank
had failed-l is Furthermore stated that the panic
extraordinary; and that East India BROKERS' and
large Baltic house, had failed; and in addition that
the Bank Of England may take place; in which case,
1t has specie enough TO meet it!-Here is depicted a
most melancholy state of things existing in England at
the latest dates from that country"
This is attributed in great degree to The extravagant
dealings of the Banks and the overssue OF Paper money
Let take warning from her exampe-as we'll from
our misma nugelnent. We are multiplying Banks,
extravagant degree, and permitting them throw
out smaller notes, 10 dspace the gold and silver This
Isl mad and mischevous policy ought to be corrected.
If we do add to the Banking capital let deprive them
of the power Of multiplying the small notes.i is almost
fearful 10 look at the present state of some of exist.
ing Banks-te quantity Of their specie hand, and the
mountains of paper which credited specie and their
circuation-ti even said, that The Bank Of the Uni.
ted States party i'll Philade phia counting with
hopes speedy aud general explosion of the Stale In
s,itulons-and then, We suppose we are 10 have this
powerful monster again rising upon us-Pause, pause
beware Of the smaller notes-let yrginiaset example
worthy nf imitation Ia. hex ssler States. -.- -