Columbus Democrat., 1838-02-17
LIABILITIES.

Aggregate amount oil lIabl-
Ties l6,5u5,4oI " |
Surplus Of means over labl-
iues after returning the cap
itSl stock 10 stockholders S57,OV5 90 |
Surplus of means over habil-
ties not including capital
stock l3,4O5,AOI el
The proportion Of specie TO the Bank nots c'r-
cuauon is to lO 56-lI0. Altar deducung ifo'h
the amount Of the Bank note circulation OF tue
seventeen banks examined
which Is 5,2li'ESv
| The amount of Bank notes held
by the same banks lcumpos
ed nearly all o Mississippi
| Bank notes) which is 64a'ol'
The balance actually IN clrcua-
| ton is Z'oooiofo
| Upon settlement of bank ac-
counts there is balance IN
favor of the seventeen banks
examined OF ZSl'oS-
Upon cXamlnationl il will be found
that the amount OF discounts by
the banks examined dexceedsthelr
capital only by the sum of S2'oof''sa
Their circulation is about onc-iourth OF the cap
ital paid in.
The proportion Of specie to the amount OF o"-
culaion and deposites is 10 Is.
The striking disproporon between the cSsh
means and cash liabilities OF the banks al ullS
time, is no evidence of n want Of forecast OF IN
tegrty on the part oithe directory OF those lns'o'-
ions, but in most instances has been the resuH ol
causes beyond their control. The peculiarly OF
charter in many cases compelling the banks 10
loan one-half their cspltal upon notes OF long
time, twelve months and renewable, and the large
) sums expended by other banks upon rail roads
which they we're bound to complete within CIV
en- period, have, IN &great measure, createo 'h''
disparity Add NE amounts expended by u"st
banks which are compelled TO make rail- roads IL
their cash means, and will be seen that the sun
) will nearly equal their immediate liabilities
large proportion of the amount expended uPof
raul roads was paid IN specie. ms was paIlic
ularly tho case with the Commercial and ha'
Road Bank Of Vlck>burg.
The fact is palpabe that those banks ~h'cl
were compelled by their charters to loan WITHIN
few specified months one half their capnAl OF
long time, have been exceedingly crippled. III
Commercial bank of Manchester presents ,h
most striking example that institution was con
u PEELED to make its long loans in the three month
: Just prior to the Suspension Of specie payments
. when the demand for the precious metals was
a. great that nearly every dollar discounted va
rs presented in lew hours after the specie We IL
10 instance this bank because The long loans Vel
N made at that critical uncture. II Is true That Il
er Commercial Bank of Natchcz and the Comme
III cal Bank or Rodney made their long loans at Ii
lc same periods but their loans were made to tax
r 40 protested bills and relieve themselves IRON
g suspended debt, thus merely changing the cha
acter Of the security and not increasing their ca
liabilities.
o. In view ofthe foregoing facts we are not at {
n surprised at the relative proportion OF specie
b. circulation and deposities exhibited by tho
n banks which have dealt but little in exchang
j. have made long loans TO any very great eSieI
e. or expended much upon rail roads. II IS 'mpo
a. sibIc for bank with long paper only' athouI
ST. well secured, to meet notes or debts payable
OF demands. This can only be effected by she
paper payable upon given days hence 1t mig
Ks have been expected that banks which extensive
Ike purchase bills at thirty and sixty days would ha
90 exhibited a greater proportion OF specie 10 IN
nt- circulation and deposite. This no doubt tn
Is could have done had not nearly every bill p'
chased in the months of February, March, .
m April, heen thrown back upon them IN the lo
'de Of suspended debt by the failure OF 'ne comm
40. sion h,uses in New Orleans and Mobile
81 The securities to the as, cts ol IN" vaHo
ed. thanks examined BY the bosrd OF commIsson'
l'- are generally Of u character tishIy cred't&oie
ma the Judgment and prudence OF the officers oi th'
OF institutions. In commercial towns the bal
on have been guilty Of Iavortsm to commIss
'ral merchants. The liabilities OF some OF them
rs alarmingly enormous; but It is worthy OF REM
EN- that the directory acknowledge their reliance
De- be upon the planter as end"rser, allhoueh
ssh discount was made TO the merchant who LOAF
IN TO the planter. The liabilities OF the ofticer'
cen the banks IN many instances are much 100 q
po- to permit dsinterested discharge ol duty.
pe- In no instance have we been enabled to DISC
ase or any direct violation of charter, except IN
erys manner in which stock has been paid III, IN
ton, suspension Of specie payments, and the non-c'
Ives pliance with charter IN the establishments
pre- branches. Every bank examined, has, t
INKS greater or less extent, received the notes oi /
Ian viduals in payment Of stock, although 'helr Ct
ould ters require the payment 70 be made IN spec,
d TO the notes Of specie paying banks. lhe
ar- mercial Bank cf Nachez has not gwen as NJ
1stI- capital to her branches the character requ'
'anh Only a trihing sum has ever been preseh't
the banks for protest, although most Of them
subject by their charters TO the payment o; I"
J 90 and half per cent interest A people n
have borne more patiently their wrongs. \
did such spirit Of Gorbearance pervade com
nity as that which characterIzes our own. W.
! 96 ed down by the prosiratIon Of commercial CT
- overwhelmed by domestic and forelgn deb
cumulated during the rage of sPecuiatlng m
bank credits strained to their utmost tension
7 "a country flooded with currency that dep
aies with its increasing redundancy. still th
8 40 tonishing spectacle is presented Of whole p'
2 Sc quietly suffering these evils, paying formeft