The Yazoo City Whig and political register. (Yazoo City, Miss.) 183?-1840, 1840-02-21
859,eOI 81
29O.759 90
6e,742 lI

species III tho pdyuloug Vi any OF us 0bllga-
tons, but in few instances received the
current rate of premium for gold in ex-
change for silver, and for the payment of
checks in gold, when silver was offered at
par The whole amount received for pre-
miums on gold while ii was deposit bank
of the United States, is S7S6 SO.
The largest dividend ever made by the
Bank, was twelve per cent on the amount Of
the capital stock; FIVE per cent, Of which
was the dividend Of the half year ending lst
January, 1887, and the remaining seven per
cent. paid out of the surplus profits, which
had been accumulating since the organiza-
ton of the Bank. The average dividends Of
the Bank since 1923, the year Of its ncorpo-
ration, is 80 per cent. per annum, only.
So far from the institution. having ssrecei-
ped great benefits trom the use of the COG
eTDHent dcpOsites,' they have proved iniu-
rious to its interest from the beginning. In |
consequence of the passage Of the distribu- |
ton law by Congress, and the increasing
demands of the Treasury department, il be-
came necessary to be prepared to pay gov
eminent drafts in all sections Of the country
upon short notice. The funds to be used
for this purpose were received at Pontotoc
in gold, silver and notes of banks in this and
other Statas. The specie could not be trans.
ported to the different points where funds
were needed by the Government, without
great delay and expence, and the paper mo-
ney of other Banks, in which a large amount
of the deposite was received, would not
have answered the purpose of the govern
ment, if it had been so transported. It was
therefore deemed necessary and proper, TO
invest the funds in merchantile bills on the
northern cities and New Orleans, and in
bank checks on those places, to mature At
short periods, which it was then believed.
would enable the bank to meet the drafts Of
the Treasury promptly, and at any place that
might be designated by the Secretary. But
the crisis of 1887, the near approach Of which
was anticipated by very few persons, pro-
duced the dishonor of nearly the Whols a.
mount of these bills and checks, which CON-
ing back protested, could only be settled by
incorporating them into the permanent line
lof discounts ofthe Bank, which swelled the
line of discounts nearly two million dollars.
But for this untoward circumstance, the
Bank would not have been indebted to the
government after the spring of 1887, nor
owed, at this moment, a dollar of foreign
debt. A large portion of these funds is now
due to the Bank by the planters of this state,
who have in nearly every case, given ample
= security for its payment; but it can only be
paid in small annual instalments, without
ruin to the debtors, and the bank has here
tofore consented to receive the payments in
this way, rather than resort to coercive mea-
suras.
Notwithstanding the unfortunate charac-
ter of this debt, the directors consider it as
Justly due the Government. and feel them
selves called upon to make large sacrifices
for its payment; and they are confident this
can be done, without materially inpairing
! the ability of the Bank to meet itsother en-
gagements. 1t is only necessary that the
Stockholders should forego their usual divi-
dends; and the debtors of the institution
should be willing TO make some sacrifices,
as we'll as the bank, to meet their honest en-
gagements.
1t may not be inappropriate for the Com
mittee to state, that so far as they have been
able to ascertain, only one individual who has
ever served as director or officer of this
Bank, has been interested in "land compa-
ny,o and he has not been a member of the
Board since 1887, when it was not known to
the directory that he was so interested, nor
have they any other evidence of it now than
what is afforded by common report. AL
though the officers of the Bank declined fur
nishing the Commissioner with a list of the
Bills receivable and securities they laid them
all before nim, one by one and he examined
them with careful attention, which is admit
ted in his report to the Executive, when he
refers to the circumstance Of finding many of
the same names largely indebted in other
Banks, which he has previously examined.
The Committee beg leave to assure the
honorable, the Legislature ofthe State, that
in all the examinations made of this bank, it
has been the design of the Directory, to af-
ford every information in its power, which
was not pfecluded by the lth aricle of the
! charter, which provides that 'ssaid inspector
shall not have the right of inspecting the pri-
vate account ofany individual of individuals,
or of any body corporate with said Bank"
By reference to the report Of the Commits
sioner appointed to examine the Bank in
1888, it will be seen that part of the infor-
nation now submitted, was furnished upon
that occasion. and published; and also several
statements not now included The Com
mittee would further solicit the attention of
the honorable Legislature, to that section Of
the Commissioners report, wherin no states
"they [the Agricultural Bank traffic in cotton
and real estate; they issue post notes, and
discounted Brandon Bank paper, when it was
only worth sixty-fiye cents in the dollar, and
charged the usual discounts as if it were
convertible into gold and silver; and then
Justify themselves on the ground that there
is nothing in the charter expressly forbidding
such acts, ''-and also to that section of the
4 Governors special message wherein he
states ssthe charter [ofthe Agricultural bank
| does not confer upon the Bank the power Of
dealing in stocks or cotton;n and refer to-
j the second section of the charter. wherein