Liberty advocate. [volume] (Liberty, Miss.) 1835-1866, 1840-01-16

y Will ohNN INV W. 'Ae'N Pc '~"N ''f-~ -~
& in preparing for return to sound currency
+ and II is now quite certain that mol singl
\ bank in the Slate will be able for several years
/. to extend any facilities TO the trade and CON
! mcrce OF the country, or 10 loan money toIhos
: who are embarrassed. The salaries OF IN
/, numerous officers connected with these estab
D iisements, absorb much of their means. In
liabilities of the banksare not being reduced
) Their specie and available funds are quite IN
t considerable 1t becomes US now 10 decide whe
Their the continuance Of the system is beneficial
B to the stockholders and creditors of the Banks
or TO The country. In my last annual message,
gave my views at length, in relation 10 III,
power Of the Legislature to repeal Bank Char
tiers, and to enforce forfeiture in the Court!
I by information in the nature OF a quo warranto
aided by the auxiliary process of injunction
! My opinions on this question:, have been con
frmed by subsequent investigations.
The exercise of the repeating power, is no
in its nature, judicial. The same power thai
grants charters, is competent TO repeal them
Public policy and convenience authorizes their
creation, and if experience proves them TO be
detrimental, we are required to recall The priv
| ileges granted. Justice requires that tho pow
Nl VI SuluS anu OCIllS ouCus hiiu VI
their affairs, should be continued for reason.
able time Severe penalties should be impE
sed for banking, after the repeal of charter
The issuing of paper money, in con,ravcntion
of the repNlng act, could be effectually check
ed, by the Abrogalon Of all laws now in force,
making penal TO forge such paper. Tho ex-
s,Ing banks cannot be bolsterodup. Destitute
as they are Of credit and available means, it
would be folly in US to attempt 10 inluse vigor
and stability into their lleless forms. They
are powerless to do good, but capable of inhic
ling injuries irreparable. | trust that suits in
the courts to establish the forfeiture Of their
charters, will not be directed. The State
Treasury cannot afford the means ofemploying
sufficient number of able counsellors to aid in
prosecuting The various banks in the State.
The suits would not be decided in five years.
The assets Of the Banks in the mean time,
would be wasted, creditors plundcred, stock
holders delrauded, and debtors crushed. II
cannot perceive much difference in the princi-
plies on which the various banks have been
managed. Ali OF them are in effect, in state
oil suspension; many of hem have issued Post
Notes; several have been established in fraud,
and none Of them are now useful. Let us pur-
ouO PIlhNip'Vo anu loI tliO
welfare Of the whole State, rather than coun
enance temporary expedlents, which at last,
will prove detrimental. Many of the banks
ire transferring their paper, and IN some instan-
;es, no doubt it is done iraudulently, for the
purpose OF avoiding the necessity OF receiving
heir own paper in payment. This lnlqultous
course will not be borne. Should you coincide |
with me in the propriety OF repeating the varl-
,us bank charters in the State, or such Of them
Is have been established i'll fraud, or are inca
Fable of speedily resuming business on sound
principles, il will be necessary to prescribe the
conditions on which their affairs shall be
brought to close The interest of the stock
holders and creditors, no less than that Of the
iebtors OF the Banks, demand that a reason
lblc exrcntion should be given to all indebted
Who can give sufficient security. Much of the
lebt will certainly be lost, if suits in the courts
ire pressed. Many Of the contracts cannot
,e enforced on account of being tainted with
lsury and illegality, Forced sales Of property
ire as injurious in the main to the creditors, as
O the debtor. Equity demands that those ban
ing companies which have progressed in the
construction OF Rail Roads and aided in the ,
Improvement of the country, should be proiec-
rom the Roads Such undertakings were haz-
rdous. The Legislature cannot dvest them
If such property without making an aIequent
1t no doubt will be contended if we repeal our
Sank charters, hat the State will be deprived Il
{ a circulation, and that the exchanges of the 7
ountry cannot be carried on This argument !
more speclouS than solid. Our annual ex.
ort of fifteen millions OF dollars, will command !
sound currency. Money will then become !
standard OF value, and not used as an article In
traffic. The expenses of producing cotton !,
i'll be reduced al least fifty per cent, whereas, !
lie price in foreign markets will not be dimn- !,
he'd. Foreign creditors will be contented with !
smaller amount in good funds, than they now 4
iact in deprecated trash. sound currency !,
i'll soon restore the character Of the State. 4
hose who produce nothing who have long lived
the labor Of others will suffer. The honest !,
anter, the enterprisIng merchant and the la s
,rious mechanic will be benefited. IT.
1t is contended that if our banks are compel Il
d 10 cease issuing paper money, our State will
flooded with the circulation Of other States.
his argument can have no weight so long as
IT money continues to be deprecated more
ian that ofany other State in the Union The
lartered banking capital of the whole State
fity-six millions seven hundred and fifty :,
ousand dollars.
The following is statement given Of the Lii q
,iIities and resources Of all tho Banks in the d
ate: e
Liabilities, $62,84O365 90 ).
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