Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1838-05-24

countries during 1897
Joint resolutions presented by Mr.. Wright
from the legislature of New York. instrucng the Sen
ators and Representatives from that State 10 support the
passage of law for the suppression of dueling They
were laid on the table and ordered 10 be printed
PLAN OF NATIONAL BANK.
Mr. CLAY of kentucky rose and stated that he wished
10 present petition conhded his care signed BY
number Of persons, praying for the establishment of
Bank of the United States. 1t similar several
other petitions which had been presented the Senate
or the House. during the session. praying for
the same object They afford evidence of deep and
returning conviction, among the people, of the utility OF
such an institution.
Whilst am up (continued Mr.. Clay with the per.
mission Of the Senate beg leave submit few OBJ
servaons upon this subject There is believe
that much honest misconception and some misrePre-
sentation prevail in regard which wish
1t had been supposed that those who DESTROYS Of
seeing Bank Of the United States established are
anxious that charter should be granted existing
State institution which has emaent individual at its
head and that this the sole object Of all their
tons Now wish for one, to say, thar have such
purpose in view l entertain fer that gentleman very
high respect believe him uncommonly able profound
" skilled in finance and truly patriotic. There il bat
other person, connected with the banking iDstitu
tioas OF the country in whose administration Of Bank
Of the United States should have equal confidence
with Mr. Bidde, and that is Albert Galatin, who.
glad learn advanced age, retains in full vigor
the faculties of his extraordinary mind. There may be
other citizens equally competent with those gentle
men, but do not know them. not acquainted with
their particular qualifications.
But il is for any existing State Bank any par
tcular individual its head that sm contending /
believe the establishment of Bank of the United States
is required by the common good Of the whole country;
and although might be willing, if it practicable
adopt existing Bank the basis of such insritu
tion under all circumstances think cxpedient
that a Bank. with power 10 tsbish branches be
created and chartered under the authority of Congress
My friends Jas far as know their opinens) and am
particularly attached to this that individual
this that existing Bank but principles the thing
itself the institution, wellorganzed Bank Of the
United States under the salutary operation OF which
the business Of the country had so greatly Prospered,
and had every reason 10 hope would again revive
and prosper. And presuming upon the indulgence Of
the Senate, will take the liberty TO suggest for
public consideration, Of those suitable conditions
and restrictions under which i appears TO that il
would be desirable establish new Bank
l. The capital to be exiravagantly large but, at
the time amply sufficient 10 enable IL to perform
the needfal financial duties for the Government; to
supply general curreacy of uniform value throughout
the Union and facilitate high practicable. the
of domestic exchange. suppose that about
fifty miliiens would answer all those purposes. The
stock might be divided between the Geaeral Govern
nent the States according their federal population,
and individual subscribers The portion assigned the
latter be distributed auction by private subscrp
uel.
? The corporation in the spirit Of q resolution re-
ceuy adoptea BY the General Assembly Of abe State
one Of whose Senators have the hsnor receive
ssch an organization blend. in fair proportions
public and private Interests And in order to exclude
the possibility of the exercise OF all foreign influence
nonresident foreigners to be prohibited net only from
any share in the administration of the corporation but
from holding directly indirectly, any portion Of
its stock. Although do not myself think this latter
restriction necessary, would make it, in Difference to
honest prejudises sincerely entertained and which no
practical ought estrely Ia disregard. The
bank would thus be- in It's origin, and continue, through
It's whole existence, genuine American instu.
tiea.
g. An adequate portion Of the capital be apart
in pr ductive stocks and plnced in permanent secury
beyond the reach ofthe corporation with the exception
OF the accrung profits those stocks sufficient TO pay
promptly in any contingency the amount OF all such
paper, under whatever form that the Bank shah put
fsrth part Of the general circulation. The bill or
note holders in other words the Of the commune
y ought be protected against the possibility Of the
failure the suspension of bank The supply Of the
circulating medium OF country is that faculty OF bank
the proprety Of the exercise Of which may be most
roverted. The dealings with bank OF those who OBJ
tsis discounts or make deposits are voluntary and ma
tuay advantageous and they are comparatively few in
number But the reception Of what s issued and used
part Of the circulating medium OF the country
sosrceya voluntary and thousands take whs have
other concern whatever with the bank. The many
ought be guarded and secured by the Of the le
gsative authority the vigilance ofthe few will
them against loss think this provision is desidera
tum in American banking, and the credit Of 6rst
enbodying il in Legislative act IA due TO the State Of
New YORK.
4 Perfect pubsity as the Of the bank q, all
tics neluding besides the usual heads Of nfcrnanen
the names OF every debtor the bank, whether as
drawer endorser, surety periodically exhibited and
eper public inspection that should be found in.
convenient the right be secured any citizen
certain at the bank the and Of the respoH
ability ef any Of its There is ssiy
40 throw any veil Of secrecy arosHd the ordinary
actions Of bank. Publicity will increase responsibility
repress favorts insure the negotiation Of good paper
and when individual insolvency unfortunately occurs
,lldeprive the bank Of undue advantages enjoyed
by the banks practically IN the distribution Of the effects
Of the insovent
3 A Iirnitasion OF the dividends authorize
more per cent TO be struck. This will check un.
due in the circulating mediurs and restrain
Improper extension Of business in the ADMINISTRATION Of
fhe Bank.
6. prospective reduction in the rate Of interest, so
an restrict the bank to SIX per cent SIMPLY or N
practicable 90 emily FIVE per cent. Banks now receive
al the rate Of near six per cent by demanding the pie
rest in advance, sad by charging for on additional
day. The reduction may be effected BY forsearng to
exact any bonus when the profits are likely 10 ex-
coed the prescrbes limit Of the dividends, by requr-
ing that the rate Of interest shall be lowered % that
they ehsll not pass that limit
7. A restriction upon the premium demanded upon
post notes and checks used for remittances that
the maximum should not be more than, say one and
half per cent between any two the remotest points
in the Union Although il may not be practicable 10
regulate foreign exchsage depending az il does upon
commercial causes not within the control Of apv one
Government think that Il ls otherwise with regard
10 domestic exchange
g. Eyery practicable provision against the exercise