Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1838-02-17

Of the L. States; in manner very different from thai
settlement and iundulion which were part OF Inc co.
paons of its charter; in manner very diietent 'o
that in which the business of greet national Institution
should have been finally closed. 1t is true, Inc nun
dual stockholders have become possessed, ny Gr"e.i
syeep OF all the property of The bank; and Inc Ch'eu
States have exchanged their shares OF stock ana the't
claim to dividends for quidatcd sum- secured ny 'ie
bonds of another corporation. But have lneSe opera.
lions relieved either party from thcir oogoun"s W .i'e
community? have they given 10 those possessed OF Tue
rnnsrv rqht 10 use it, in nifest contradiction 10 the
chae By which it created: have they gwen fano
,on direct or indirect, 10 an employment OF Inc co,Po
rae privilege and corporate property long a'er ti'e cI
Tor has expired for purposes not only unnecessary 10 me
settlement of its affairs, but calculated to postpone ana
,cia,d such settlement: have they absolVeh congress
from the duty, soemny Imposed upon It, OF examining
the proceedings done under color OF that c'afe'; VI"
o ius,Cy il in taking 10 redeem ana can
rel he obligations of institution ctPattu ABOVE ait
do they furnish it with excuse Tor suffering 'ie hae
credit and apparent authority 81 the u - 10 give 'ai"t
10 obligations in which they have no longer IN intctes"
OF all the powers and privileges OF banking ihalu
tops that which most widely affects the whole cohnu
ulv is the issue of bank notes; the authority by when
bev are issued the purposes for which thPy may u seu
the mode in which their Ultimate sovency and payment
are guaranteed, constitute Their character ana give t
orea,er or less circulation The notes OF the late Bank
of the United States were issued under the authority OF
Congress. They were made receivable from one enc OF
the continent the other, equivalent to god ma Sill
ver in the payment of the revenue lhe wIoe COM
muniv took them with confidence, because large por
ton Of the capital pledged for their redemption belong
I'd 10 the United States; because the issue OF them was
limited the duration of The charter; and because the
conduct Of those who issued and circulated mem WIS
nl,ced Immediately under the supervision of Congress-
From these causes the no.es Of the late Bank OF the u
States derived their extensive credit among the people;
and this credit thus derived, imposes upon congress Inc
corresponding obligation, to take care mat no ncI oil
omission of theirs shall misead The community when
III ti,nsp ppry I'm We
ed TO exist.
On the Sd Of March. 1896 when the charter of the
bank terminated the bank notes which 1t had issued
amounted 10 thirty four millions four hundred aud thirty
four thousand two hundred and seventy dollars and six
teen cents or these it had on hand thirteen millions
three hundred and twenty four thousand nine hundred
and seventeen dollars and nlncty-th'ee cents these
notes tins hand OF the expiration OF the charter II
was the obvious duty OF the bank Immediately to CANCEL
they were obligations originally issued under charter
which had expired they had been returned into the
bank they formed part Of its property 10 be collected
divided Yet The I'd of April following, The Stale
institution in It's first report TO the Legislature OF Tenn
syyuna declared the amount of its notes issued 10 he
thirty six millions six hundred and twenty thousand
four hundred and twenty dollars and sixteen cents; OF
which it had then hand, notes OF The Bank OF The U
States 10 the of sixteen millions seven hundred
and ninety four thousand hundred and thirteen
dollars and scventyone cents thus showing that The d.
reclors of the bank chartered by Congress. IN transfer
ling .a their money, goods and c!altels TO their rns
Tee had delivered the bank notes winch ought to have
been cancelled and which we're entirely unnecessary
for winding up the concerns Of the bank Perform
ing any OF the duties undertaken by that trustee
The practice thus adopted, OF keeping instead oil can
ceiling the notes issued under the authority OF The char
ter from Congress after that charter had expired, was
confined TO those thus improperly delivered by part
Of the stockholders 10 themselves, under The name OF
trustee Nearly two years have since elapsed ard yel
in the statement made by the bank to the Legislature
of Pennsylvania the 9th January, ls35, is this em
"SorEs issHcd Of Tie LATE BANK and 0r0Hfh's oS HHSp
SIS SDO5l7 7S" Thus when The two years in which
the affairs OF the bank to have been settled are
nearly expired, when The control (such as 1t is) mai
Congress may yet possess is almost at an end about SIX
teen millions OF dollars, in bank notes winch bear the
name Of the United Slalcs md actually MADE un-
der the authority of Congress- which, il put IN crcula
tron, will be naturally and reasonably considered by
those who take them as guaranteed by Congress- are
now in the exclusive possession OF banking institution
which has the power TO use them when ana lor what
purposes it pleases.
Even if it could be said that these bank notes would
not be used for purposes Of circulation and currency
even il it were certain that these evidences OF the la
bilily of the United States would not be put forth alter
thai liability at end ii The trustee VINO mas
obtained possession Of them had evnced determination
TO cancel them, the redeemed obligations OF con.
which ought TO be wound up without delay, st'' IL
is duty imposed upon Congress, who originally author
lied their issue, 10 that this is done to enforce, oy
law and not leave TO the discretion honesty OF any
individual or corporation, that which the whole Amer.
can people have right 10 look for at their hands.
But is not that duty absolutely forced upon them,
when those who have thus obtained possession OF these
uncanceed notes OF extinct corporation actually
use them for purposes of circulation and in defiance oil
the charter boldly issue them lawful currency and
for their own individual profit: Yet not only 10 This
the case They claim the legitimate right 10 use and
issue them. Tile trustee who receives and accepts Inc
property Of the late bank under the pledge to redeem
its no;es debts and obligations, unequivocay asserts
the right not merely to refuse 10 cancel the notes tor
the redemption of which funds have been conveyed,
but actually pay out these notes as other banks might
do who received Them in the ordinary transactions OF
trade s1he Bank Of The United States chartered by
the Stale of Pennsy lvanla has, IN the deliberate IAN
guage Of lis directors, ''done as other banks nave
done-paid out The notes Of the Bank OF the United
States as if there tie slightest similarity beweena
bank which receives by general transfer sixteen mil
lions of dollars in bank notes that had been regularly Is
sued and returned 10 the institution by which They were
made and those banks which receive the notes OF one
another in the ordinary course oil commercial deanG,
and pay them out the mode: as II there was The
least resemblance between the reissue OF bank notes oy
who had undertaken 10 redeem those notes. and
had received large and sufficient amount Of funds Tor
that object, and the bona fde pnymen. OF them ny
bank for the purpose of collecting their amount and
without any interest in them whatever, except as
common medium Of exchange. Between such pro.
ccedings there is no smilarty-nor can the one al
ford any justification TO the other. But IS not Inc
course pursued by this institution, which has recelV'
ed these notes for The purpose OF redeemIng them,
and now boldly reissues them, in all respects identical
with that of partner who, having funds OF an expired
partnership in his hands, for the purpose of settlement,
should use and reissue in violation Of all faith the notes
or obligations of his condng partner: Is not similar
to that Of an executor who voluntarily assumes the duty
Of winding up the estate oil deceased teslaor ana yet
sezes upon The property conhded 10 him IN mat uust
and applies it TO his personal benefit, and puts into cir
cua,un by himself and his agents, uncnncelled notes
found among the papers of the lestalor which had been
fully paid off and discharged:
Previously to the ls of July, 1897 the monthly slate
furnished 10 and published BY the Auditor Gene
raj of did not distinguish between the bu
siness Of the State Bank and that OF its trustee; between
the of the late aud present bank issued or in cir
culuton. The information that should thus have been
furnished cannot therefore, be obtained Tor the long IN
,eryal between The Sd of March, 1885, and the st Of