Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1840-03-21

forward to- The iredeemabe SYSTEM the head Of
which, United States and Girard Banksv is fast APP
preaching and the event will carry out Of exis
tence the banks the Southwestern section of the Union
seme the Southern States and toe United States
md rard Banks The last two institutions, by their
the Indignation Of Of the Philadelphia public
10 produce explosion This arises
from system of marKing checks, operation which has
been severely commented certain quarters nd
vii defended by the vena press of Philadelphia The of
che community however at last opened the merits Of
che and many which will bring the
rotten to An old merchant whoss
have Of Philadelphia his check the Grard Bank
recently which usual marked good and
fused With this check he endeavored his note at of
the other banks but refused and his note consequently
Yad In consequence of this, he has brought action
against the Gard Bank damages S2oOOo for the loss ofcred
sustained by the dshono ofhis note Many other suits of
similar nature have been instituted and the institutions will
find that they above either the law public
ION
The whole affairs of the United States are at
stand because United States Bank and the Grard Bank
will neither themselves allow others do The
country better situation external
commercial relations than Foreign exchanges indicate
all the ports with the exception Of Baltimore and Phae
pha that the balance is in favor The importaons thus
far scarcely larger than the and our
cotton CROP and sther produce settle
for goods which will be imported for consumption
during the canning The low state of prices guar
aniee that the imports will be small and the exports large
There is therefore, but very little prospect external de
mand for specie for many months. The domestic exchanges
disordered condition in all the States within the
influence Of the suspended banks These comprise the pro
dueng and importing States while in New New Eng
land the and importing States the banks pay
specie and exchange at There is apparently heavy
indeb eness from the South and West New York and New
England This out of the operations IT, s. Bank
last The North and East their goods and manuc-
lures the Philadelphia from whence
they were distributed through the Southern Western
tons The proceeds ofe production Of those sections passed
through the hands Of the agents the banks
and the Southern banks in their interest ap
nj. h.n sara. Ia L,.I. -.
iatons, and do not now exist The money for which
cotton sold in Europe has been invested in Vicksburg
and other stocks that vaueless consequently the
eastern debts cannot be paid until those stocks again n
ted and receive nominal value by general suspension or
that the proceeds of the banks
advance This cannot be DONE because post no
longer available, and bills payable demand would obge
them their debte The sound banks issue bills
payable dsmand because this would put the power of
the inolvent banks The whole business country at
stand STILL although all sections there large stock Of pro-
duce and merchandise.
In the eastern states there merchandise $4,000
south, cotton, tobacco, &c. ............ 3o,OosoOo
west, produce of all kinds ............ $4,000 900
Total Observation-Disclosures. SesoOOo 900
Thsvas amount is lying perfectly dead suffering
daily depreciaon the aboring and ell
trey out Of employ the merchants and traders daily failing
the currency point lower than for many and the
paying Banks within their Shells because the Phade
pha institutions they New York and
which they cannot Immediately for the that il il
due them by the u S. the Girard Bank who won't
can't pay, which the thing Were it not for this
circumstance general resumption would by making the cur
rency once uniform, instantly give life to the pro-
perty and the Banks could extend the currency SO per cent
without affecting the prices great degree.
The currency Of this State matter of very great interest
at this time One bill has passed the State Senate requiring all
the banks redeem their city New York at
half Of per discounts and appoint their own agents.
Mr. Lawrence has introduced in the House new bill which
requires that all the banks shall subscribe per cent of their
capital to constitute general Bank Fund This fund to be
employed for the redemption Of the bills of all the Banks in
New York at cent dis by Bank agency
IN the city Of ~ York. which shall also collect such
mercantile payable within the State may be left with
for that purpose This little variation the proposal
made time since for the employment Of the Bank
fand for that purpose. The bill doubt emanaes from the
Bank Of Commerce cq who already con-
troll OF the State they control the
finances through the Comptroller and the Fund Commission
They wish law which shall compel all the Banks Of the
State to keep deposite with them Of Of their cap
itai. This would be as follows:
Capital Of chartered Banks 81 900 600
Tree .................... 100000
Total capital. ACKNOWLEDGEMENT. Ssi 900 900
Deposit ell per cent .1s30,0OO
THIS would make very pretty speculation and give the
clique power which would be used with hand
added their control Of the State funds soon bring the
State Of New York to condition like that Of syvana If
the Bank Commerce has really design the mer
camille community beyond the aggrandise the clique
faat started it, why do they not this dull season employ
their capital in redeemng money their account
like the Suffolk Bank Of Boston Their design is 10 squeeze
the necessary capital country banks form Of