The Yazoo Whig and political register. (Yazoo City, Miss.) 1840-1842, 1841-10-22

although at the succeeding session Of the
Legislature after the sale of the bonds, the
liIlegaIitiy of the negotiation was agitated
in the Legislature, and spoken Of by the
Executive, no measures were taken to re-
pudiate the contract. Notwithstanding the
fact that portion Of the money had not
then been paid over to the bank, but the
managers Ofthe bank were permitted to re-
Iceve the mOnev for the benefit of the State
| say for the benefit Of the State because
the money was received and paid on the
Subscription Of the State stock and the State
would have been entitled to the profits had
lany accrued. And does any one doubt
that the State would have received them,
had the bank been we'll managed and pros
pered! The Legislature at the same ses-
sion adopted report on, the affairs Of the
bank, which was general appreciation of its
policy. Was not the course Of the State such
as to induce the bondholders to believe
that the State would abide By the contract;
land did not the reception Of the proceeds
OF the sale on the part of the agents of the
State, and the appropriation oft to the use
| OF the State, as pointed out by the charter.
without any objection on the part Of any Of
the State authorities, amount to a conir-
nation of itself? it appears 10 me that
there can be no doubt of it. think the
money was as much received to the use Of
the state as tho ithad been paid into the state
Treasury. If the State were to appoint an
agent to.negotiate a loan at four per cent
and it should be contracted for at five, and
the Stale received the money and used it,
could it be said that the State was not
bound TO pay? The law, as we'll as the
equity, is clearly against the ground which
has been assumed as a discharge Of the
State from this contract. The acts Of the
State upon every principal of law and fair
dealing, amount to confirmation of this
negotiation aud it is entirely too late for the
State, after the lapse Of three years. when
the speculation has resulted dsasterously
10 come and ask to be ahsolved on the
ground Of fraud With such plea in her
mouth, the Safe would not come into the
chancery Of common honesty with clean
hands, >
Mr.. Howard then examines the Consttu-
tional objection set up in this matter by the
Anti-bond payers, at length; and shows con-
cIusivey that it has no sort of legal support.
And on the subject of the ratification of
the sale being by but one Legislature, OBJ
Iserves:-
cit certainly cannot be true that the same
formality would be necessary 10 confirm a
void sale where authority in pursuance ofthe
Iconstitution had been given 10 make a sale,
as would be required to authorize a sale OF
any character in the first instance. The pro-
Ihibition of the constitution applies to the
grant Of the power by the Legislature and
not to its use afterwards. 1t is intended to
restrain the Legislature in making the grant,
and not the agents of the State in admins
Itering the grant after it has been conferred.
The restriction is confined to the authorize
ton of the loan, and not to the use of it after
it has been regularly authorized.
The loan was merely voidable, and not alb
Isolutply void, and there is no good reason
WHY it might not be ratified by ordinary gov
ernmental acts. AS general principle the
same formality is not required to confirm
voidable grants. as to pass them in the first
instance. Would it not then be q rank fraud
in the State, to receive this money and en-
Joy il three years, and then refuse to refund!
How could the bondhoder know that the
action Of two Legislatures was necessary to
confirm this contract! With what face could
the State refuse to refund, under any state OF
the legal question, after receiving the money!
The IIegality Of the negotiation would be
! a good reason for declining to receive the
F., money, but not for not paying after having
: enjoyed it. This would be an honest reason,
truly. for refusing to account for millions
which had been actually received!
The Constitution was made to control the
exercise of our own government, and not
: foreigners. If the administrators are false tC
t their oaths and violate the constitution, tina
d is the misfortune of the country, but Ough
d not to affect other parties who deal in gooC
c faith.
c 1t is matter of history, that three-fourths o
n the people Of this State rejoiced with an eX
q ceeding Joy, when the bonds were negotia
! ted. | doubt not that they would have con
> frmed the sale by direct vote, had the cues
: ZION been put to them. The people OF tn
Z State have not been loaded with the Uniol
Bank, contrary TO their wishes. It was on
/ Of those wild schemes about which men east
l. ly went mad. They swallowed the poison
(, with avidity. Neither the Executive or tn
lr Legislature would have been sustained in re
/. pudiating the negotiation and resembling tn
% contract. The hallucination was TOO lnvet
crate. A refusal to acknowledge the con
u tract therefore, at this late day, comes with
;. !, peculiarly i'll grace"
Here are Mr.. Howard's views upon tn
subject of putting the bank in liquidation,-
D. "The holders Of the bonds'have an eqitabl