Liberty advocate., 1839-01-24
EXTRACT FROM
r11E GOVERNORS MESSAGE

EAIRAO rhO4n
THE GOVERNORS MESSAGE.
~ posolntion in relation 10 the Revenue
rh;e ne STATE approved May 10th, 1887, will
VIZ vour early attention--the reasons for
;"o ;,s massage have in great. measure ceased,
md ~, the paper of those banks that have ialled
AZ a1r rssume cannot, any longer, be taken with
"ofs,v Should the resolution continue in force,
%n noner of worthless banks, alone, will be paid
VIZ ",n rI r,be Treasury, by the Tax collectors and
i."onnot be used in payment Of the charges on
,bo Treasury. suggest the proprlety OF au-
marrying the institution of suits on all notes in
%o Treasury, on Banks which do not redeem
.hor I ssues in specie. If the salaries Of the
"nhl;c officers are considered to be too high,
,ibev should be reduced, but It'll gross injustice
W W" INV the creditors Of the State in funds so
much mh depreciated as the notes ofseveral of our
Incorporated Banks.
The State debt now amounts to the sum of
es8q335 80, deposited by the General Gov.
srument, and which is liable, at any time, 10
berecalIed-two he millions of dollars in six per
cent. bonds, sold by the State to pay for stock
10 that amount in the Planters Bank, and five
millions Of fdolars in five per cent. bonds, sold
10 take stock to that amount in the Mississippi
Union Bank, amounting in all to the sum Of Sc
ven million three hundred and oighty-two thou
sand three hundred and thirty-ive dollars and
thirty cents-and the annual interest on that
sum (most of it payable in Europe) amounts
,othe sum of three hundred and seventy thou
sand dollars TO preserve the honor Of the
State unsullied, and her credit unimpared, it is
Of the last Importance that the interest should
be punctually paid, at the places designated,
and ample funds provided for the redemption
Of the principal-t is usually much easier to
borrow and spend money than TO provide the
means Of payment.
Nv recorded votes on the Journals of the
Senate, as we'll as my speeches, during the can
vass preceding my election TO the office now
occupy, show that | never was in favor o.
pedging the faith ofthe State for Banking ,pur
noses, but, inasmuch as the question had DeeL
onq before the people and had twice received
their sanction, signed the charter OF the Mis-
sissippi Union Bank, having no constitutions
scruples.
Soon after the managers were elected, wa
called on to pay two and half per cent on th'
States subscription of five million of dollars II
cash. This declined doing-the correspon
pondence herewith transmitted will show m!
reasons for pursuing that course.
On the day the books were opened at Jack
son, subscribed for fifty thousand shares o
stock in the bank, and executed bonds for nv
million Of dollars, as soon as they were prepar
ed for my official signature; and delivered ther
to the managers of the bank. The document
herewith submitted will place you in posses
sion ofthe instructions ofthe Mississippi Uno
Bank, to the commissioners appointed to negt
tate the bonds and the terms Of the sale. In
charter Of the bank provides that the bond
shall not be sold for less than their par value
They we're dated on the fifth, sixth, seventh
eighth, and ninth days Of June, A. ID. 1881
and payable in twelve and twenty years irot
The fifth day of February, 1888, and sold
Nicholas Bddle, esq, on the eighteenth DAY
August, 1888, for five million of dollars, lawl'
money Of the U. States, payable in five equi
lnstalments Of one million Of dollars each, 0
The first day of November one thousand eigl
hundred and thirty-eight, and on the first day
orJanuary, March, May and July in the yet
one thousand eight hundred and thlrth-nlne'-
The bonds bear interest from the date therec
and the bank has already paid one hundr'
thousand dollars interest thereon. lnasmuc
as the bonds were sold on credit and lntere
accrued from their date, it IS certain that tht
were sold for less than their par value. II
bank has heretofore paid interest on the su
Of five millions of dollars for the use oil one m
lion, and will have to pay interest on mo
money than it has received until the first dt
ofJuly next. The Commissioners in the sa
OF the bonds exceeded their instructions, but
doubt obtained as much for them as could ha
been had at the time Of the sale. An anXIo
desire to place the bank into speedy oPcrati
was certainly commendable, but At me Sat
time no violation of the charter shouId ma
been sanctioned,
The report ofthe Auditor Of Public Accour
on the Planters Bank, of the speclai cO'i'i'
sloner on the Agricultural Bank, oi 'ne ca
commissioners Of the State OF MlsslsslPP''
gether with the statement furnished Dy
Mississippi Union Bank, are herewlh tfa'
mltted. These documents will challenge y,
early and deliberate attention-they snow
whole bank movement Of the State. Inc
dcnee reported proves that all the banks ~
exceeded their powers-that several OF ll'
were established in fraud, and that the prosp
ity and welfare of the State demand the
sage Of such laws as will in future COM
them to the Legitimate purposes OF their or
ton. am not opposed to we'll regulated
honestly conducted State banks IN many
poets they arc highly uselul--they iacllll
exchange operations, enable the industrl
ana enterprislng merchant to carry on MS