The Columbia Democrat. [volume] (Bloomsburg, Pa.) 1837-1850, 1840-01-25

them. Those who share the profits Of !
loaning their credit, should be willing 10
share the responsibility of making that ere.
dit good.
The foregoing recommendations and
suggestions, if adopted, would, in my opin-
ion, tend TO correct mos. of the abuses and
evils of our banking systemi strengthen
the banks themselves in the confidence of
the people, and secure the public against
loss and imposition. | will add, tlat |
think a total separation between the state
and banking institutions ough, to take place.
The association Of private individuals with
the state, in banking institutions, results al.
most entirely to the advantage Of the form
er. Whatever hopes might have been
founded on such association, by the legsla.
ture that the banks thus owned would be a,
all times ready 10 aid the commonwealth,
have been iIusorv. Although the state
owns 1850 shares Of stock in he PennsSl.
vania Bank 5233 shares in the Phiadel-
phia Bank, and 1908 shares in the FARM
ers' and Mechanics Bank, yet she has nYi
such share in the direction of either as 10
control any of the proceedings, and derives
no benefit from the partnership. Her cnp-
tai is used by her individual associates for
purposes Of private gain and speculation,
and the commonwealth. when she wants
money, is compelled TO look elsewhere. |
therefore recommend the passage of law
authorizing the sale of the sta,e's stock in
said banks, at such time, and in such
manner. as will yield the greatest amount
to the state, or if it be found that such sale
cannot be made without too great a sacri-
flee; owing to adverse circumstances or 9TH
er causes, that authority TO be given to
declare their charters annulled and TO divide
the assets among the state and ihe private
stockholders. The opinion is rapidly gain
ing ground in this country, that direct as
soclations, between governments and banks
is neither advantageous TO the parties con.
cerned, nor safe to the public, Our banks
so essentially depend on the fluctuations Of
trade and commerce with foreign nations.
and are so liable to be influenced by those
monetary convulsions and embarassmcnIs
in Europe, which operate with increased
force since the relations Of business have
become So intimate, and the c0mmunica.
tiun is rendered 80 easy by modern improve
ments on the ocean, as to form very i'm.
proper repositories for the money of the
people, and very insecure basis for the
public treasury.
The measure of establishing an indepcn.
dent treasury for the general government,
with such multiplied securities and guards
for the keeping of the public money, as
will render it safe and convUnicn. for the
use OF the government, has been imPara.
lively called for, and justified, by recent e..
vents. Public sentiment is setting in its
favor with unprecedented strength, and
there is every reason TO believe, that the lau-
dablO efforts of ths ?rcsidcu, Of the United
States on behalf Of it, win be successful
Among other reforms of our prCsen. bank
| ing system, do not conssder this as the
least. Il viii remove from the banks many
temptations 10 extend their business 10 an
unreasonable degree il will check foreign
importa,ions i. will save tic community
from tie manifold evils heretofore suffered
in consequence Of the governments with.
drawing from the banks large amounts Of
its funds therein deposited; and will place
all the banks on all equal footing, BY pre-
venting the exercise of tIa. paftiaity or in
diligence, which may very readily be used
to strengthen and uphold particular banks,
at the &azard of Gripping and breaking MP
Others. Under whatever aspect we view
il, it seems to be measure, boiI of wisdom
aud necessity, which sooner or later will
meet with universal assent.
also recommend that thorough investi-
CATION be made into the facts, whether ar
not any of the banks Of this commonwealth
have charged and taken illegal and usuri.
ous interest, either directly or through the
fiction Of bills Of exchange, or by setting a
palt portions of their funds, 10 be used by
committees or other persons for such pur.
poses. | have reason to believe that all or
some Of these things have been done BY Ger.
tain banks in the city of Philadelphia, And
if it should be asceriained on investigation,
that such is the case, recommend that the
charters of those banks, which have so ac-
ted be repeated, for this gross and uDjusii-
able violation Of this salutary law. have
also been informed, that certain banks in
the city of Philadelphia have neglected or
refreshed 10 observe the provisions of the
AID section of the act of 9Th April, 1898,
relative to the rotation and election of bank
directors. This law, ! regard as wise and
salutary, and if il should appear or inouirV