Burlington free press. [volume] (Burlington, Vt.) 1827-1865, 1840-10-16

tence immense Indebtedness and liabilities have been
incurred, in the purchase of property, in investments
in manufacturing establishments and machinery and
in permanent and valuable improvements in the con-
don Of the country Would il be just, or humane
or honorable, for the government, which author
lied the establishment of banks aud gave them power
10 exert this influence the business of the commu
nifty, by encouraging liberal discounts in aid of these
enterprises at once to annhllate these institutions, or
what is equivalent, to dscredt their issues and thus
bring the property of the country to what is claimed
to he its real specie valu'? While thus unsetlng the
value Of property, and the relative condition Of our
whole population it must be remembered, that ndebt
edness cannot be reduced but on the contrary will
increased in the same ratio in which the price ofprop
" is reduced, and the means for payment cssened
The control of the whole property of the country
wold thus soon be placed in the hands of capitalists
and money lenders.
! would not be understood sbeng an advocate for
| nm irresponsible or unsafe banking system. But, be-
llevlng do that the facilities heretofore afforded BY
| banks and the credit system, have emnently contr
butcd foster and carry forward the great interests
Of our country, hold it to be our duty imperative
duty as conservators Of the public welfare to sustain
safe and efficient banking system as the best, if not
the only, means of securing aud promoting the pecu-
mary prosperity Of our constituents.
have hesitation in saying that banks have been
chartered with too great facility, and upon improper
| principles, in some sections of the Union; perhaps
TO some extent in this State. Much of the prejudice,
now existing against these institutions, has arisen
from this fact and from their improper management,
Where banks have been established upon solid capital
in places whose bona file business transactions need
ed accommodations from that capital, and where the
stock has been properly distributed and owned by cap
aliss seeking such an investment of their money, !
have heard but little or complaint. Indeed, il is
believed, that in the disastrous of the
last four years, such hanks instead of being liable to
the ccnsure so freely bestowed upon all banks-of
| crpplng and depressing communicative, uniform.
y, afforded more aid, and at more reasonable rate
than would have been obtained had The same amount
of capital been under the control of individuals.
| The danger and loss to community have arisen
from granting bank charters, where the active bust
ness of the country do not require Them and from hav-
them placed IN operation fictitious capital, managed
by borrowers instead of lenders, their accommodate
tons mcnopollzed by directors or their friends, and
embark IN hazardous, not TO say desperate specula-
tons While the business of the country remains
prosperous, the bills of the bank are rcdemmed and
ob''.1 credit but when reverse occurs and money
cannot be raised from the particular business in which
the borrowers engaged. the bank fails to meet its
| Liabilities and tho bholders must suffer the loss
for whenever nm examination takes place the notes
for loans and the capital stock Of the bank found
TO be Identical. The history of one Of these swind-
ling institutions would require but little vari alton 10
as the history Of every bank which has failed in
New England
Tho bUea,s between the banks and the PEOPLE