The Ohio Democrat and Dover advertiser. [volume] (Canal Dover, Ohio) 1839-1840, 1839-12-13
evils which belong to the present sys-

evils which belong 10 the present sye-
ten.
Each stockholder should be rendered .
personalIy liable for his proportion of
the debts Of the bank, TO be estimated
according TO the amount Of stock owned
by him No bank should be permitted
TO extend it's liabilities, exclusive Of de-
posites, beyond three times the aniounl
Of specie in lie possssionEat the lime OF
such extension. Each bank should be
required TO redeem its notes in gold orr
silver while It had the means Of doing
so, or fiji su pend for the want of means
beyond limited time, in either case It
should be deemed a forfeiture cfcharter,
and visited with suitable penalties. All
notes of less denomination than .tlve
dollars should be carefully excluded
from circulation. Each bank should be
required to publish, at stated times, un-
der the oath Of the proper officer, true
statement, showing its conditions. The
directors should be prohibited from Dor
rowing money out Of their own bank.
No bank should be permitted TO issue
post notes for circulation. The banks
shouldbe prohibited, under severe pen"
Z alties from dealing in produce or mer-
chandize. or buying the issues Of other
: banks at a discount. While these res-'
}, trictions would remedy, TO greater ex~
tent. the evils which now exist 10 the
present system, they would in no way
operate against fair and Legitimate bank
ing, or prevent capitalists from reals
) zing a liberal profit on their bank invest
meGts. They would operate solely on
/, the fraudulent or reckless banker, and
guard the public against all loss. 1.-THE
t system of Independent banks should be
> adopted in Ohio with these principles
OF reform incorporated in it, with some
others Of minor Importance, and firmly
i adhered to, ! believe,it would in due
4 time command the entire confidence OF
. the community-be eb.irsly safe and SO
= cure to the public, and frrnls": -
9 circulation which would apFoximS. H
Il near uniformity and steadiness Of value,
d as can be hoped for under any paper
!, system which we can conveniently adopt.
!. This syslem could, be adopted in this
i State and carried into successful eper-
It alton without producing any sndden
shock in the business relations Of the
= community.
i All that 10 necessady to regulate the
exchanges OF the country, and -OriDe
= them down 10 the true point ls, to So
= cure a sound currency capable at al
'f times ofbeing converted lplo gold OF
: silver. Exchange is an order for th'
: payment of money in another place,
{ and should never much exceed the cos
o Of transporting specie to that place
s Whenever II is beyond this, it is toe
: high, ahd owing to some artificial cause
y Ii is obvious that if e.had perma-
Il nent and settled policy Of banking, and
). bank paprr was at all 'i",es conver'
Q lible into coin, that exchanges on the
9 eastern cities would ultimately settle
i down to something near the cos,.of tran
: sporting specie from this TO the desired
o point. This ought MOTTO exceed, erdi'
!. aarlIy, more than one per cent, and ls
b the true prnclple which must in time
regulate the exchanges OF this country.
I The banks 10 this State, judging from
e their last quarterly report are GENERALLY
IN sound condiiiou. Ii is highly cred
i table to them that they have, with d
few exceptions. continued 10 redeem
d their no,es on demand, while like IN
D s,ilulions elswhere, have been under
. the nece ssity OF suspendlng specie pays
: ments. ltNis much TO be regretted,
i however, that q few Of our banks deem.
: ed it advisable TO pursue different
=; course. Whether this was with vIsw
Of preventing specie from bsng taken
y ont of the State, or whether they we're
governed by other considerations, an
E unable 70 say. However correct theil
T motives may have been in saspendlue
specie payments, the effect on the cur
i rency is unfavorable. Il is much bet
e ter to lose a portion Of our specie for 9
5 time, than that public confidence shoulc
= be- destroyed 10 these institutions, ant
= The country l;IleG with deprecated cu'
Il rency, which mupl neeessarlly'take place
g when the hanks fail 10 redeem ,thei
n notes on demaud. Most, it not all III,
= suspended banks are however paying
g specie for their notes,
% In presenting my views ON the subJec
e Of the currency, and the Improvement Q
= our banking system, at this time, It j
10 done more with desire Of q eliciliog
: full investigation Of the subject, the
lr with an expectation that they will NEE
ls with the entire approbation Ola majorit
I'd ofyouF honorable body. On subIec
ID admitting Of many various and conflic
ting views, unanlmi,y csnnet be expec
D. ted. Believing, however, that the bel
p vjax, m arriva Al safB and eatisfact0f