Madison Whig advocate. [volume] (Canton, Miss.) 1839-1841, 1840-02-08

BANKs.-W hatever the privaling err
rors Of our legislature may be, we are
glad to perceive the former mania fol
banks and banking is effectually cured
The whole system upon which our coun.
ellis for the last few years have beer
acting Is unsound in its foundation, anC
we believe, has been most profigately
abused in its development. Charter up
on charter has been granted-bank upor
bank chartered, far beyond the legiti-
mate demand for currency, and the fair
acquisitions of trade. Almost every
neighborhood had its bank, and the cir
culating medium was predicated upon
the aggregate amount of property, in
stead Of its proper metallic basis and the
standard articles of traffic. Bodies with
out capital were incorporated, and in
stead of containing the surplus wealth
their members could not use, were based
merely upon the aggregate credit Of
their needy stockholders. Men aspired
to be bankers, not because they had, but
because they wanted money not that
they were able TO lend. but because they
wished to borrow; and became stockhol-
ders for the facilities they might WELD
in supplying their own necessities from
the aggregate credit of the firm, instead
Of applying their idle wealth to the pro-
motion of the enterprise and industry of
those whose capital was their labor
We are glad 10 see that error at least IS
exploded, and that all persons, of all
parties profess themselves in favor of
reform. For the attainment of this end,
Judge Guion. Of Warren county, intro
duced the following string of resolutions
which received the support of every
Wing in the House:
Resolved, By the Legislature of the
STATE Of Mississippi, That the banks OF
this State have committed acts which
would authorize the judicial forfeiture
of their charters; and the Legislature
ought upon pain of enforcing such for
fixtures, to carry into effect, the follow
ing measures of reform, to wit:
l. That hereafter it shall not be law
ful for any bank in this State, to issue any
note or bill for circulation, or in form in
tended for circulation, not payable on
demand.
t. g That all the banks in this State
shall be required TO resume specie pay
menis, on or before the first day of June,
1910, and that every bank which shall
not at or before that date, pay specie for
its Liabilities then due and presented al
its counter, and continue 10 do so, shall
De compelled to stop business, and wind
up Its affairs.
8. That all the banks in this State.
shall receive at par in payment OF all
debts due them, their own notes hereto
fore issued, whether payable on demand
or after date.
4. That hereafter, it shall be unlawful
for any bank 10 transfer its bills Teceisa-
bic, so as TO prevent the payment oi any
debt due to said bank, in its own notes.
s. That no bank shall hereafter pur-
chase or hold, or deal in any goods and
chattIes, lands and tenemenis, except tor
the securing Of debts. created in the le-
climate exercise of its powors. or for
the necessary banking houses,
fixtures and books, or for disposing oil
such property as they now hold.
6. That each and every bank IN this
State, shall at regular monthly periods,
furnish every other bank statement oil
its operations. including the names OF all
individuals responsible TO the bank. ell
Their as principal or security, and the
amount of such responsibility IL
z. That each and every bank shall
make to the Governor, regular quarterly
reports of lis affairs, containing state
ment OF all its resources and liabilities,
with complete list Of its debtors, and
the amount Of their3debis, which shall
Be verified by the oath or affirmation Of
the nYessdenf or cash ieY and be PUBLISH