Lexington union. (Lexington, Miss.) 1838-18??, 1840-02-22


the Directory have borrowed about One.
TWELFTH of the whole capital Of the bank
and are liable in every capacity for more
than One,fM of The entire capital of the
Bank. The total liability Of the PREsI-
DENT Of the Bank, for his own liabilities
and that of his Commission House, is
t,ro hundred and t,relre thousand, three
hundred and scrcnty-eight dollars. The
liabilities of. B. MORGAN, another direc.
tor, is eighty thousand nine hundred and
tnenty fire dollars. The liability Of r..
M. WILLIAMSON, a director, is one hundred
and Mirty.sir thousand three hundred and
Mirty.onc dollars. The liability of JOHN
s. GooCH. another director, is t,co hundred
and tueatyt,ro thousand, three hundred
and eighty:tow dollars. Such has been
the individual use Of this Union Bank,
made for the sole benefit of the people Of
Mississippi! All the other directors have
obtained immense amounts.
The house Of Merritt. Jennings g. Co.,
in which Gov. Runnels is partner, is liza
BILE rs acceptor of bills to the amount Of
sixty six thousand dollars, and upward, o!
which twenty one thousand is suspended
and dishonored- we learn that bills Of
this house are continually returning pro-
tested.
Il. J. Jennings < Co. another house in
which we believe Mr. Runnels is partner,
is acceptor of bills to the amount OF TWEEN
ty one thousand dollars and more. Thus
have several Of the directors established
commission houses, and have made the
bill and cotton business of the bank a
means Of individual profit and speculation
10 an unwarrantabe amount.
The house of Hobson & Goock, con-
Germ of another director, is acceplor of
bills to The amount of seventy nine thou.
sand, nine hundred and two dollars, be-
tween thirty and forty thousand dollars of
which is dishonored and suspended as the
house has FAILED-tls probable that the
whole will be discredted!!
Several other mushroom commission
houses were also started in the state by
the friends and relations of the directory,
and have obtained immense accommoda
tons, a large portion of which is already
suspended, and will ia the end occasion
heavy losses to the bank.
The report shows probable amount of
losses on the ordinary discounts of the
band exceeding half million of dollars,
already ascertained; but it may be safely
calculated that, his is not ne-fourth OF
what will be found to be the ultimate loss.
The above loss does not include the loss
on cotton, which is already ascertained
TO be nearly one hundred and ninety thou.
sand dollars, and will, we have no doubt,
in the end, be more than double that sum.
The Committee say that, the present
liabilities Of the bank over the present re-
sources, exceed four million of dollars
They further state, that making the most
liberal calculation for the bank, and all
lowing for all probable collections the spe-
Gle liabilities of the bank in April and
May, when post notes fall due, will be at
least three million over the available means
of the bank!!! AT that time the bank
must suspend, as it is impossible that any
further NEGOTIATION of The bonds can be ef-
fected; it is therefore entirely ont of the
question for the bank to raise The necessa-
ry means.
The Committee recommended that the
bonds already issued and not sold, shall be
recalled and Cancelled, and those not
issued shall be withheld. A wise and sal
ntary suggestion.
Such is now the fate of this great relief
bank. 1t may be set down as utterly in
solvent, and the bonds dead loss to the
State. 1t is certain that the bank is not
now and never can be able to afford any
further facilities to the State. Its credit,
character and resources are alike destroy
ed. Unless energetic measures are taken
the State will secure nothing from the pre-
sent assets of the bank such as they are.
The sooner the bank is put in liquidation
the more the State will save from the
wreck; but # settlement of its affairs is
delayed, the State will be compelled to pay
every dollar of the five million bonds now
sold. In this state of things. it would not
only be folly but wickedness to negotiate
any more bonds for that bank. 1t is fas,
treading in the footsteps Of its illustyrious
predecessor, the great Brandon. Indeed
it NAV be safely said,hat, when the Bran
don Bank had arrived at the same age o
tho JInion R,nk lie affairs upra in q hot
ter condition than the latter institution
is at present. The general policy of thu
two institution has been the same. w
do trust that the Legislature will not per