Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1840-04-14

time loaned To the state To evad
condition Of the The State Government shoua nave
known that NV Lending tsef TO sid the Banks in deiraudng
the public that the risk Of being derauded se IN
u Ii is highly probable, alter having sofa i,seh 10 inc
Banks for that IT VIII be ehea.ea OUT OF e
Taxation in the instance il it had been boldly and man
f TO in that State and the banks been required to
would raised the credit OF the State abroad ana
her stocks the rank upon the list Instead Of the last
The fact that certain made for the payment
of the give capitalists much greater confidence
in her securities As it is the credit Of the State has seeh
dshonored and the government has sold itself TO broken
banks for the OF paying its expenses,
the threats against the banks when the legislature met Inc
Maryland adjourned without having passeu
any in relation to the banks The legislatures oil
Kentucky Indiana Illinois and Tennessee, have eeas
pension and of the states have the laws oce put "
force against them. .
In the State ofNew York, the session has been spent IN
fuitess ridiculous attempts to pass laws resusns M
discount bank notes Many laws have seen p''.u ~
Senate and others the house, but none nave D
houses II probable that real intention oil passing any Ia"
has existed on part of the leaders, except he one VIM"
proposed establishment of bank agency under ,e cn
State officers This originated with the clique oil BRO
kes in all street concentrating the moned
and nocal power the State On Saturday the Senate heh
in the proposition the Assembly requiring the Sc
era hanks safety fund and Free to receive each others notes
At mar for all due the bank and them Without waiting TO
send the bill back know whether the House would ecede
from their committee OF conference was proposed
nv Mr. Moseley, and the propositfn was careu hotwt
il was urged by several Senator's that as the mouse
eced. committee not yet in the
1ar order proceeding The design in this Is evidently to
bring the plan of great central resumption once and
,hus consolidate the power Of the wire puers The whole
arises rot idea that the public at large will
he by the proposed law but for the purpose OF
aezrandsng proud Spectators whose design
IL to faen upon the hearts blood OF the State.
s most prepostcrou suppose that matter OF bust
like that of buying selling bank can be governed
by laws made at Albany The law of supply and demand go
vrns the value paper much that OF Cotton or any
other article If bank at the west increase the supply oil It's
money and 20 provided for taking 1t out oil the mar
ke M value will depreciat proportion to the increased
until it may per cent in the mare-no law could
opsrate in such compel bank to take that paper "
debts ST. which Was only worth one NOT
an any law operate which would compel bank to increase
II, which would naturally be the case they were
copeed TO funds NewYork to redee their bills
The tine first instance have no night to make
any such law go into operation until the expiration oil the
Of the banks The operation OF the law would
in the first instance be very Injurious to trade, as would
compel all the banks the city withdraw their capital from
its usual occupation and apply to the redemption ofcouny
money solely.
The object to be Obtained which that of reducing the rate
of discount which the public have to country money ID
but only obtained through the operations
Of and the voluntary Of the city banks This
would country banks take OF their issues
their expense would out of the contingencies
business and be governed by the course OF trade
The only effect these different motions the legislature have
had thus far is prevent country banks from making
until ascertaned they will then
themselves accordingly In the mean time their bills have be-
come scarce city, which is the of the resent low
rate of discount which they taken Many OF the
banks continue issue their At notes in the western
States where they find nifty to force them off
The following copy of certificate of depose issued by
, the Bank Of America