The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1840-12-24

her nonuIatiop. and in the development OF her
resources; nor in the intellectual and moral con-
dition OF people, need she fear comparlson
with much older communities, governed by an
ferent organic laws Under this Constitution,
the rights Of person and property have been full
" proiected all the great guarantees OF civl II
berry have been preserved, and IN the viclss-
tudes OF war and peace, the laws have IN gene
raj been promptly and vigorously enforced II
occasional and even fragrant exceptions, TO this
view of our history, are 10 be found, II VIII be
readily seen, that they We're oil short Duration,
and had not their origin IN the want OF Execu-
live power 10 prevent or control them. Aiter
an interval of forty years, the people OF the Unit
ed States have again agitated the subject OF
strong or restricted Executive action IN the re.
deral Government and again decided II, as they
did in lS00-furnishlng 10 the citizens OF ONO
another proud testimonial OF the excellence, IN
this particular, of the Constitution under which
he lives
PLANS OF BANKS.
have 10 suggest brief outline OF those plans
which appear TO embrace a preventive OF the
two great evils | have noticed-insolvency OF
the institutions and consequent loss TO the COM
munty-and unnatural expansions and contrac-
lions of the currency. The first is State Bank,
with convenient number of branches, at pro-
per points in the State, with a capital OF such
seem TO require. Each branch 10 own its own
stock as its own separate property; but to receive
its paper from common source, and be subject
10 the control of a parent board chosen by the
stockholders of all the branches. In this plan,
the whole capital employed in the State should
be bound for the redemption Of the notes Of
every branch; the parent board having power,
under proper limitations, TO control the bushes ,
of all the branches As the whole capital is 10
be pledged for the liabilities of each separate
branch, board representing the capital should
have full power TO protect it against the msma-
nagement Of those for whose conduct in this
scheme, it is made ultimately responsible. In
this plan, it is proposed to give the State pro-
portion Of the stock, not exceeding one-ffth of
the whole, which should be represented by a
corresponding vote in the election of officers.
The books Of all the institutions should be open
at all times to the inspection Of the parent board,
and subject also to the inspection at any and all
times OF the Legislature in such mode as il
shoald direct. The amount Of circulation at any
and all Of the branches, to bear proportion TO
their capital to be fixed by the Legislature in the
charter. Ii is especially desirable, that the char
ter should specify the cases, if any, on which
forfeiture of the charter should follow, and that
the facts in such cases should be found by trial,
in proper form, in the judicial courts of the State
In this scheme also, it would seem to be proper
10 make the notes of each branch receivable in
payment of debts at every branch in the State
TO withdraw from the directory all inducement
to extravagant and injudicious issues, and to put
an end to the practice, said to prevail to some
extent, of adopting improper methods TO avoid
the provision of law, which forbids the receipt
OF more than SIX per cent. per annum on loans,
II should be provided, that the amount of dlvi-
dends, when they exceed given per cent per
annum, should be paid into the State Treasury.
The second plan, which has been much the
4 A 4 \
be a great improvement on the existing system
embraces the proposition of re-chartering so ma
ny OF the present banks of the State, as shall be
thought necessary, and such of them only, as
on thorough examination shall be found to be in
sound and healthy condition
In this scheme, 1t is proposed to compel all
that shall receive charters to unite in the election
OF Board of Control each bank to be entitled
TO vote IN proportion to its capital. This board
who may or may not hold stock in any bank, as
the Legislature shall determine, to issue all pa
per, and 10 sign II by officers to be chosen by 1t
TO receive reports from each bank at stated peri
DDS, embracing all its transactions, verified by
the oaths Of its officers. Ii is proposed, also, to
vest the board with power to examine into the
affairs OF all the banks at stated periods, to be
fixed by law, and oftener if they deem it neces-
sary and to close the business of any bank,
when, in its judgment such bank had conducted
It's business IN such manner as to render il UNI
safe 10 permit Its further continuance and in all
such cases the assets OF such bank should be
transferred to the board for the purpose Of liqui-
dating all claims outstanding against it,
In this plan lis also proposed, to make the
capital of each bank, and all of them who shall
accept of charters, liable for the debts of every
other bank and to compel them TO receive the
notes of each other at all times in payment Of
debts, and 10 redeem each its proper proportion
OF the notes of any other that may suspend spe.
Gle payment, or be closed by the Board of Con.
troll
1t would also be salutary provision in this
scheme, to'limit the dividends TO stockholders
and bring into the Stale Treasury all the pro-
fits arising from the operations Of the banks
above such limitation; and also to limit in the
charter the amount of circulation as compared
with the capital of the several banks.
PROSPECTS or ONO
Our present position as member the Union.
compared with the past, cannot fail to awaken
IN the bosoms of our citizens proud and CRAFTY
ing reflections Our State occupies a command
ing position in the great valley west of the ALE
ghany mountains; a valley which, BY the esti-
mates OF those well informed, contains greater
quantity of productive soil than IS TO be found in
one body elsewhere on the surface of the globe
Though many parts of Ohio presents TO the eye
OF Western American what seems TO him a
crowded population, yet it is certain that, when
compared with ITS capacity to sustain and feed
ITS people no portion Of our territory has as yet
been filled. II we glance our eyes over the sta
tistics OF other parts Of the world, not more
fruitful in whatever contributes 10 the sustcnance
OF dense population and see 10 what extent
the productive powers of the earth may be car
rled, where population has long pressed upon
subsistence, we shall find that, in any portion of
OHIO compared with such. i as vet little better
than an untenanted aud uncutiva cd waste.