The Middlebury people's press. [volume] (Middlebury, Vt.) 1841-1843, 1841-12-21

SIeo' ioon was paSSeu Dy the Legislature OF
1887, advertised in three newspapers for three
months prior to the next State election, and
approved by the yeas and nays of majority
of the Legislature, then elected, to wit, that of
1898. So that the bill to establish the Union
Bank and borrow seventeen millions and
half, was deliberately approved by two success.
sive locofoco legislatures, and intermediately
by the people of Mississippi, TO whom it was
thus distinctly submitted.
The Bank and Loan bill having been thus
approved, the Legislature proceeded to pass
supplementary act, authorising the governor Of
the State to subscribe for fifty thousand shares
of its stock, to be paid for out of the proceeds
OF the State bonds, as above authorised. The
managers of the Bank were authorised 10 ap-
point three Commissioners to sell this five mil
lion ofstatc stocks where and when they should
think proper, but not under par. The Com
missoners, thus authorized, proceeded to sell
the bonds IN Philadelphia, taking therefore at
par bills on Philadelphia having some time to
run. These bills were worth money in Mis-
sisslppi, were paid into the bank as cash, and
out by the Bank as cash. They formed most
acceptable medium Of remittance to the East.
were paid promptly when due, and were doubt
less worth more than cash in Mississippi when
~ -NVNoOy Stiu uOuDl mat DOtN the
original purchasers and the present holders of
these bonds have paid more than they are worth
for them-far more than they could be sold for
if they were fully acknowledged by the State.
Thus stand the facts, then: The people of
Mississippi authorized the borrowing of seven
teen and a half millions of dollars, on the cred.
it of the State, as basis for banking opera.
tons, whereby their general and pressing Pc
ON mis- ehoulb ha
suance of that law seven millions of bonds
have been issued on the faith and credit
of the State, and the full value realized there
for. Ifthere has been irreguariiy in the is
sue-lf the. su Elementary act was not author.
sed by the former act-it has been wholly the
fault of the agents Of the state, either directly
chosen by the people, or created by those who
were so chosen. The money has been spent
precisely as the people intended it should be-
( loaned out among them. Doubtless many a.
mong them have failed to secure so large Il
share of it as they expected and desired but
can that inyalidate the contract II strikes ia
that we never knew an instance of pleading
the baby act to avoid the payment Of an hon.
est debt, where the pretext was more hmsv
than in this case.
The Argus lays emphasis on the fact that
the bonds were purchased by Nicholas Biddle,
and that The United States Bank guaranteed
the payment. What does this matterl The
question is, Sought Mississippi to payl and
the fact that Mr.. Biddle or the Bank was tho
original purchaser can hardly he a valid de.
fence in law, however it may be in Loco-Fo,
coism. And rs it is manifest that the purcha.
sers undoubtedly believed that they were deal.
ing with men who had right to sell, and that
the bonds are now held by foreign capitalists.
who have paid far more for them than they are
worth. it seems 10 us that the talk of the Argus
about the Bank, cotton speculations, stock
gamblers. &c is very poor excuse for DELHI
crate villany.
Just look at this matter: Here are five
millions of the bonds of the state of Mississippi,
issued under the explicit authority of her Leg.
Islature, executed by her governor, and now
undoubtedly in the hands of innocent and un-
suspicious holders These holders say to tho
State, ''Pay us the interest on your bonds -
The Wings without exception respond, "Tbe
debt was unwisely constructed, but ii is NOR.
ally binding, and we must pay it," Locofoco-
ism steps forward and says, mo, we will never
pay cent oft. You have on our bonds the
endorsement OF itco broken and insoirent banks
Loos 10 hen." Is not this adding insult 10
injury.
The Argus asks, "Why are not the denunci.
atoms of the Tribune poured out on the man
ayers of the Union Bank 2" Because their
guilt or innocence is nothing compared with
the spectacle Of a state repudatlng its debts -
They may have acted dishonesty and they
have certainly been guilty of lending the mon.
ey of the bank TO those who cannot repay it,
and who, by voting the anti-bond ticket, have
shown themselves as insolvent in morals as in
money. If they have exceeded their authori-
ty, if they have acted dishonesty, let the state
punish them most signally. She has courts
and laws, and prosecutors and prisons. Bullet
her at the same time set an example of honesty
herself. and not send men daily TO the peuiten.
tiary for acting on her own principles.
The assertion OF the Argus, that ''the strug-
gle on one side has been to screen the direc-
tors, stockholders and borrowers of the Union
Bank" if it refer to US, is mean fa!sehood.-
We have said no word intended to screen
them. We have no objection 10 see every ons
of them in the pententiary, who in any sense
deserves it. Our only solictude is for American
credit and American honor.
The Argus says that the people of Missis-
sippi "were deluded with the syren song that
the Union Bank and its stockholders would
not only paw all the moneys borrowed on thu
credit of the State, but that they would supply
the State Treasury with loans and dividends to
large amounts besides. Certainly; every body
was to be made rich by the operation, and trhilc
it was thus promising, the scheme was very
popular-just as in creating the State banks
Of Alabama, illinois and Administrations OF
which has ever been Whig-based upon tho
credit Of the State. But the speculation has
turned out an India-rubber one, and now Lo-
cofocoism coolly turns round and says "Mess-
rs. holders four bonds, collect your pay out