The Rodney telegraph. (Rodney, Miss.) 1838-1840, 1839-03-02


GOVERNORS VETO MESSAGE ON
TIE POST NOTE BILL.
To the Senate and
Honsc Of Representatives.:
have considered resolution Relative
to the issuance Of post. NOTES BY the Missis-
sippi Union Bank, and to the establishment
of its Branches aud bill TO be entitled
Gan act to. extend additional privileges to
the Mississippi Union Bank and for other
tive houses IN which they. originated for re-
consideration. It's always with great re
lnctance that interpose to prevent the pas
sage of laws involving mere questions of
expediency. In all cases where | believe
the policy doubtful, give the deliberate
acts of the two houses my official sanction |
! but when measures are proposed which will
| in my opinion, infct evils irreparable on the |
people of the State, cannot, without a de- |
rejection of duty, give them my official APP
pfRya. a
The resolution gives the discretion to the
Mississippi Union Bank TO issue post notes
not having longer time than twelve months |
to run, nor drawing a rate of interest more
than six per cent per annum nor less than
five per cent; and provides that no more
than six million should be issued. II the
Legislature deemed it advisable that such
issues should be made, law should have
been enacted making itIimperative on the
bank to issue them. The charter Of the
bank authorizes it to take interest at the rate
of seven per cent per annum on loans hav-
ing longer time than six months, to run,
and six per cent on loans payable at an ear
iier period. 1t will be remembered that the
state bonds bear an. interest of five. per cent,
and to be sold must be made payable in
Europe. The cost Of placing funds there
to pay the interest will, In all probability,
be fifteen per cent; and ifihe post notes are
made to bear six per cent interest the bank
will sustain. a heavy loss by issuing them.
The great objection however, to such paper
is, that it would inevitably be depreciated.
TIE bonds of the Planters Bank, issued
last year, guaranteed by the Bank of
the United States, and {if am not mista-
: ken,) bore interest at the rate of seven per
cent per annun, and were payable at The
North. Yet i was with difficulty that 6ylch
paper could be negotiated at par. Should
the contemplated Issues, like the old, be
> made payable at the counter Of the bank,
and bear five per cent interest, they would
soon depreciate twenty per cent. If made
8 to bear six per cent interest, they would he
at least fifteen per cent below par. The is
suance of paper so much deprecated would
= greatly aggravate the distresses of the coun-
ltry--procrastinate an entire return to spe.
Gle payments, and continue for long peri
ed the intoerable evils of a deprecated,
fiuctuatIng, inconvertible paper currency
v 1t also would have a tendency to proven,
!. the sale OF the residue Of the state bonds;
for capitalists would have little confidence
: in an institution which countenances such a
ruinous policy. No doubt the bonds could
b be sold if payment should be accepted in
! the post notes Of the bank, and learned
"Argument," no doubt, would be submitted,
showing such notes equivalent. to gold
and silver. No solvent man could safely
borrow money SO much deprecated as the
r contemplated post notes would inevitably
;. become. No business except shaving can
justify the borrowing of notes ten per cent
below par, and the payment OF seven per
S cent interest on such loans. The PolicyQi
y issuing s'post notes. will be eminently de-
structive to the planting interest. 1t will
) tend to continue the present exorbitant price
,, of all supplies necessary for their planta
J, tons, and the price Of our great staple will
i not be enhanced penny; for, as heretofore
= its value will be dependant on the price i
bears in foreign markets, where the curren
cy is sound. A sound currency would dc
&c more to relieve the embarrassment Of the
" country than any measure which can be
e adopted. 1t would soon bring down the
D; price of produce and the cost of growing
cotton to the old standard, and the planters
: Of the country would save annually fully
$, three million of dollars. This result woult
le be alike beneficial TO the planter, the mer
% chant and the mechanic. Spectators. ant
: spendthrifts alone would suffer. ssThos,
: who sow the wind must reap the whirl
re wind" Legislative relief may buoy then
to up for time, but they can never be sus
70 tanned except by the ruin of the productive
- classes of society. "The plundered plough
men and beggared yeomanfy of the land
u have meritorious claims on the Legislature
Us | can never sanction measures which | firm
I'd ~ believe will tax their labor to sustain thos
:, "who, by the sweat Of their brow, lido mol
earn their daily bread"
The delusive pretence that these meas
e ures are absolutely necessary to enableth
parent bank to establish her branches, ha
IN given them favor with the representatives I
the people.