Rutland herald. [volume] (Rutland, Vt.) 1823-1847, 1838-05-29

I l Nte0 10 correct " mo oftu tuppor'0 NhN
~ho ere DESTROYS of sccinr = Bank Of he United
States established are anxious tina, a charter should
be granted TO an existing State iosii,o,ion, which
has an eminent individual at its head. and ihs, this
~ss the sole object Of oil their exertions. Now ]
wish for one, TO say. ,hs, ! have no such purpose
In view. ] entertain for that gentleman very high
respect. ] believe HIM u~ncommonly able. pro
foundly skilled In finance. AID truly patriotic. There
is bu, che other person, connected with the bank
ing institutions Of the country, ~ ahuse sdmlnis-
ttetion of a Bsbk OF the United States | should
have equal confidence with Mr. Biddlc, and that is
Albert Gallatin, who, | am glad TO learn, at an ad-
vnnced age, retains, in fu,l v,ror, the faculties Of
hs extraordinary mind. There may be other cit,
zens equally conpe,cn, with those two gentlemen
but | DO not know them, OF am not acquainted with
their particular qualifications.
But II is not for any existing State Bank. or q
ny particular indivldsal at lis head. that | am con
tending. ! believe the establishment Of q Bank OF
the United States is required by the common good
of The whole county and although might be
willing, Il II were practicable, to adopt an existing
bank "A the basis of such an institution, onder oil
neir bank, with power to establish branches. be
created and chartered under the authority of Con
gress. My friends las far as know their opin-
ions) aud am not particularly attached 10 this o.
that individual, TO this or that existing bank, but to
principles, 10 the thing Itself, 10 the institution, to
n well organized Bank Of the United States under
the salntaiy operation Of which the buflness of the
country had so greatly prosPered, end We had eve.
ry reason to hope would again revive ant prosper.
And, presuming upor the indulgence of the Sen
ate, will now take the liberty TO suggest, for pub
lie consideration, some of those suitable conditions
and restrictions under which it appears To me that
It would be desirable to establish u new bank.
i. The capital not to be extraVagnntly largo,
but, at the same lime. amply sufficient TO ennble II
TO perform The nccdiul financial duties for the Go
vernmcnt To supply a general currency OF UNI
form value throughout the Union and to facilitate,
ms nigh as practicable, the equalization of domes-
tic exchange. suppose that about fifty millions
would answer oil those rurposcs.-The stock might
be divided among the General Government, the
States, according TO their federal population, and
individual subscribers. The portion assigned to
the latter TO be distributed a; auction or by private
subscription.
2. The corporation, in the spirit Of a resolution
recently adopted by the General Assembly of the
State, one Of whose Senators | have the honor 10
be, TO receive such an orgonizatlon as 10 blend, IN
fair proportions, public and private control and con.
time in public and private interests. And, IN or
der to exclude the possibility of the exercise Of
all foreign influence, non resident foreigners to he
prohibited not only from any share IN the admins
tralion of the corporation, but from holding, direct
ly or Indirectly. any portion of its stock. Altho'
do not my self think this latter restriction uecessa
ry, I would make it, in Difference to honest preJu-
dices, sincerely entertained, and which no procll-
cal statesman ought entirely 10 disregard. The
bank would thus be, in it's origin, and continue
throughout its whole existence, a genuine Ameri-
can institution.
3. An adequate portion Of the capital TO be sci
apart in productive stocks, and placed in 2crman-
-ent security, beyond the reach Of the corporation,
(wiih the exception of The accfuiRg profits on those
stocks,) sufficient to pay promptly, in any contin-
gency, the amount o. all such paper, under what
ever form, that the bank shall pot forth as a part
of the general circulation. The bill or note hol.
ders, in other words. the mass Of the community,
ough, 10 be protected against the possibility Of the
failure or the suspension Of a bank. Tie supply
Of the circulating medium Of a country is that fac.
uliy of a bank, the ~propreiy Of the exercise OF
which may be most controvcrted. The dealings
with a bank OF those who obtain discounts,o or make
deposites, are voluntary and mutually sdvantage-
Gus, and they are comparatively few in lumber.
But the reception of what is issued and used as a
part Of the circulating medium of the country is
scarcely a voluntary act, and thousands take il
who have no other concern whatever with the
bank. The many ought to be guarded and secu--
ed by the care of the legislative authority the
vigilance Of the few will secure hem against loss.
l think this provision is a disideratum in our Amer
icon banking, and the credit Of the first embodying
1t in Legislative act is due to tho State Of New
York.
4. Perfect publicity us to the state Of the bank
at all times, including, besides the usual heads Of
Information, the names Of every debtor to the bank,
whether as drawer, endorser, or surety, periodical
ly exhibited, and open to public inspection or, if
that should be found ;nconVenien., The righi 20 be
secured to any clt!Zen 10 ascertain at the bnnk The
nature and extent Of the responsibility of any of
Ius customers. There is no necessity 20 throw a.
ny veil Of secrecy around the ordinary transactions
Of a bank. Publicity will increase responsibility
reprees fayoritism. insure the negotiation Of good
paper, oud. when individual Insolvency oniorrunajc-
y occurs, wIll deprive The bank of undue aGvanta-
ges now enjoyed by bank practically in the distn-
button Of the effects 81 The .nsolyent.
3. 4 Limitation Of the dividends 50 as rot to au.
thorise more Than 49, per cent. to be struck. Tlis
will check undue pxuangions in tho cttcut.t,,