Columbus Democrat. [volume] (Columbus, Miss.) 18??-18??, 1839-09-28

years renamed a. a depreciation o irnm twenty 10 ity
peg cent. The general suspension OF specie payIueuts
only accelerated the issue Of this spurious papcE and
but or the ialerpoS,on Of The Executive veto Of the
present Governor, would have added greatly TO the
number o. the hanks,
Ne, content With throwing out this Immense crcuia-
ton q deprecated papes the banks N tins State turned
merchants, and entered the wide held Of Traffic ami
speculation. They dealt N pFoysNns, IN negro cloth
ng m baggmg aud rope, and IN almost every arsiclc
OF merchandise sometimes openly, but more otiea
indirectly IN the name OF thclr agents The eonse-
quenec OF u.ls ua.hcmg was econ ict The banks mo.
nopohEed the market controlled prices and forced the
community to them, By The opafhiion Of a lew banks
on tha Mississippi uuer, the pfncs Of pork, eagging
and rope, and nearly every article Of provision were
doubled m very few months Of the first q thus
speculation Bur, IA order 10 enable the banks 20 deal
extensively 1t Was necessary io have more capital 10
purchase With, This was seriously felt m Msnssppl
where The banks were generally destitute OF actual
seans and capital To supply tliSwant The banks n
this state, under the auspices st the United States Rank
OF Pennsylvania that boastcd regulator OF the
cy entered the cotton market, and commenced the
most extensive spCculaohs the great sta pie Of the
South At hrst they purchased ON their own account,
paying the planter IN then deprecated paper. Ii was
soon seen that switer race Of plunder might be run,
THIS was effected by becoming factors, and shipping
The cotton for the planter at his own risk making him
large advance thereon, secured BY Ism IN good
note well endorsed BY his ncghbors. This advance
The banks made N their own deprecated paper. Now
the game went brayoy on. The banks had. by dclu.
ding the planter placed themselves in funds They
bad BOW good Mnds, the proceeds II the co,ton, 10
speculate upon, and immediately the directors and IA
'ontes OF the bank obtained the cotton proceeds, conn
mcnccd purchasing lands, negroes ond other property
toimmcnsc amounts II IS fact not ia be coptestet,
that nearly all the bank directors IN III Sals have
suddenly become possessed Of large estates; some OF
them own five hundred negroes, and many broad
acre, who short time since were N narrow cIcuni-
Stances aud not unlrCquently III absolute Indulgence
AMI m ratio 10 the worh,ssncss of the paper Of a
bank, rs the augmentation OF the wealth Of It's direct.
DRY.
The planters received the deprecated paper Of the
banks-gnve two prices for every thing they purchased
and cosoled themselves with the reelection. that al
though the money was deprecated, they had obtained
more q Il IN the shape Of an advance Their notes IN
the bank fell duc-wcre renewed sn no returns
rom the cotton but expected by the next arrival o
the Great Western Tic bank directors thought the
people early duped laughed in hclr sleeves and drank
their WINE.
After most determined opposition on the part Of
Nr oiop2 I'D the cotton corporations public eentt-
mcnt drove the banks to r-us;9 resumption Of spe.
cic payments, Specie payments and eDtcriyug ~
cotton would mol thrvo together but the inventive ge-
mus o these banks were not Al loss for an expedent
They commenced an extensive ssue of post notes,
with an enlarged operation IN cotton. The banks
thought, aud truly too that the ISSUE Il post notes was
virtual suspension OF specie payment, and did moi
have That ugly sound IN the ears OF the people, while
II would enable hcIn 10 carry On their nQutous ant
! fraudulent sPecuatons quite asac, Il not better
/ than nominal suspension Of apccic payments
The effect Of THIS policy war ioroioId aud soon exrc
! nettcd In short time there was IN circulation 4,
| convertible currency M,4ssipp cannot Se said a
Tins time 10 have any Thing but shn-p plaster rcdeem
able currency In ordinary circulation il IL very sci
dom that note payable and paid on demand can b.
met with Even those banks that expected TO refori
the currency, have fallen INTO these post notes ISSUES
aud embarked III the cotton speculation and their papc
NJ at discount 81 20 per cent. Such las been In
bad faith Of those, whore The public had garnorcd u
rs hope OF better things
The present season had opened The public eyes an I,
the Character ol cotton business by The banks. II
many instances TOO seasons had departed before Ia,
returns OF the first shipment were made By the banks
aud when they arrived tie amount Of the return ship
Inen was from twenty .fiye to ihiriy.fye dollars pc,
bale for coiton--that Tho planter could have sold 70
good money IN hand on the bank Of the river al iron
! hIly toscYcny hye dollars per bale Thus The pantc
has received twenty-five dollars IN deprecated mone
for that which he could have sold for fly dollars Il
good money he has lad out Of bis money Tor twelyt
months OF two years, and paid interest 10 the bank oI
an advance ol from fifty TO seyenty-hyc dollars No
10 tins all The planter ls now brng sued for the balanc,
Of The adyahce, and the bank win in all probabilt,
buy N hs property at shenff7s sale In many Instan
ces whore HE pante could have purchased up the de-
precatod paper an paid the banks IN its own money
he finds himself prccudcd by the bank having transfcrr
Ell hs noe such are the glories OF the credit avs
tenn N winch the wing party and The wing bank mel
delight, Such rs The system for opposing which III,
democrats have been denounced as sgrarans, and th,
| encinics ot commerce and civilization, Behold II
! beauties
circular has lately been issued by a combination 0
individuals IN fiS d the southern States, proposing
thai q combination Of The banks in those States shal
advance ON the shipment Of cotton twelve and hal
cents per pound The advance 10 be made in POS
notes payable a. such times and places as convention
Hof these fpeculators may hereafter determine a
more extensive scheme Of public plumber was never
perhap., projected ntbis country In an aye partica
larry fruitful IN such things hr plah s ccita,uly th,
climax OF adventurous speculation. Il presents TN
frame work Of bubble Ulsch swelEs far above the 70
maDcing genus Of tie famous John Law. What il
this proposition It's simply 10 advance 10 the plant
or. IN currency that must lepreciaie at most N
more than be can usually sell he cotton for in eoun
money IN hand. 1t amounts, ako to giving these bank
and their coepeculaors the Of the money from th
shipment Of the cotton until they are pleased 10 max
returns Of fae. II giyee the banks tho credit whic
attaches TO 50 large busnefs, as wel as the profits
factorsge. Thus the banks and then partners IN th
speculation possessing the entro control N the cotto
market, will hold IN their hands the fate Of the who
commerce and business Of al the South.
The management Of the cotton market Of Liyerpo
If already little else than the gambling the stock 9,
change. The frauds IN cotton sales are immense, an
Of daily occurrence II is not unfrcqucnt that false sal,
are returned, and It continually occurs, that large fa
tors gut the market particular days after the maj
her 81 the stock exchange, procure the cotton pu
chased IN on their own account, and then dispose Of
afterwards for their own advantage, when the mark
il more favorable. Without impugnng the motives
honesty Of the operators N this speculation, il e OBJ
that the scheme proposed rhcreases The opporur
tics Of fraud. At all events, il subjects the planter
the ,crtaIny oi mcagro returns, and the other evil
winch have attended shipments by the banks IN ii
State. When the planters viii adopt system Of se
ing their cotton for the cash IN hand they will fl
plpuiv ~ hivprs M their own door and be relieve