Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1841-12-09

But surrundcd by other insiituihafs beyoa
uur CONTROL and placed IA oundiiHf We eaii9 eh'i'Y
prevent. becomes question 81 grave fsaasheia'ou'
whether the rzmirancnrs u the charters pi our own IN
stiutrus shall be ngdly enforced or further TIME lie az
lowed them 70 pfefafe iof resumPon As lhe Isi,on
~ SPEEDILY when the rcei hefeiaiore eAteNocp
90 them "a III eNpTe the question WILL Doubt. attract al
once the calm consideration Of the General Assembly
Ia arriving al a decision. due regard should be
had to the past well 10 the actual state OF things
the condition Of he Banks and the business o the cuun
Try The whole nation Is yet suffering iram the baneiu
effects of oven falinH ayoTauAtg, and then siar3bie
cuncomiiani a dIs5fdefed currency. Wild speculation
and cNtavagance the natural consequences oi the I'm
mcirsc accommodation afforded ty banks whose caPdiy
seems 10 have placed limits 10 the.f ISSUES
have been attended a. usual with painful re
action. Many 81 lhe state Governments to- have oOn-
rrbutcd small degree ~ tie embarrassment oi the
times by appropriations 10 works q Internal improvement
which could only b. met by contracting an iIniici>'
foreign debt winch has materially Affected tie siale n
our hngn exchanges II viii require tme 10 allat 'h'
agitation which las been produced Is these causes--
The lessons of experience they have taught. II Is TO be-
hoped will be remembered In the mean TIM, the re-
cup9ratiye energy If people VIII tend 10 restore
more healihfu condition Our Banks must feel the BE-
ncfcial effects of such change. and # pmdentF man
arrd may SIN place themselves IN unpft1hahle psi
iun II should be remembered that the Withdrawal
u tins State ii the capital supplied by the Bank Of the
United States has imposed upon State Banks the ne
ccsslty fJr a euent towards their debtors
than might otherwise have been required The accom-
modaton afforded the Commonwealth IN loans 10 meet
the public oSigenrles. has also contributed 10 prevent
that contraction ii tie circulation which IT should be
their object 10 effect nder existing circumstances, II
would expehi extend the relief offered by the
act the 9Th II March last, limited however. 10 pc
nond hch, while may afford due time for resump
On. viii preclude the idea OF future Indulgence hat
ever your wisdom may provide It is essentially imppr
the credit of the Banks themselves, 10 the inter
est Of the Commonwealth, and Ia the restoration Oi
sound currency, that should be taken that another
resumption be followed by another suspension u spc
clc payments.
II caunot be denied that the reckless Of many Of
the banks throughout the country and especially the late
bank Of the United States, has had the effect only of
weakening the public confidence IN all such institutions
bat Of cralnga strong prejudice against huse whose at
fairs have been pradenty managed. tn generally ad
mIttCd, that the whole banking system requires reform
But sound pJhdg dictates that no harsh violent RENE
dy should be res9rled Such restrictions should be i'm
posed experience has proved necessary, and such
sonabc indulgence should be extended the public in
cr'sts may require The forfeiture Of the charters Of
these institutions IN most OF the states viii greatly iac
tate the reform which much needed Its indspon
sable 10 their wholesome regulation thai the state should
possess sauiary control the ssue Of Their notes But
this control be- eicctua while the interests of the
state a stakeholder Identified with those Of the
banks. Whenever entire separation Of these lutcrcs
can be effected, the former Will be- more independent in
eNactng, and the latter cautious in avoiding penal
ties which may be incurred by violation of their char
tcrs this be true OF the state governments less
true when applied Ia the Federal Government To as
sucate that government equal partner with private
stockholders 10 detmc from and degrade its high and
responsible position There warrant IN the
cl"ra Constitution for the collection OF money from
the ma e 10 a loaned at interest through rrespons
Bile aocnts Ia irres, ns;c individuals. But II Is mat
Of history that the trainers % That ''strunen failed to
adopt any OF the propositions which were suhlH 10 III
Congress with the power Of creating corpJatlos
\,art
which have been entertained by large portion of
the American people, either upon the ground OF consu
onaity ar Il expediency should forbid the exercise by
Congress ofthe pow, TO ncorpOra BANK, or 10 estab
sh corporations either for fiscal any ether purposes
The opinion 10 be gaining ground that such a. IN
stltutlou not Indispensable regulator OF the
rcncy. and that the fiscal affairs of the nation may be
conveniently managed without It's agency The Conduct
Of the late bank Of the United States which has proved
rulnous 10 the country, and couptng and dsmora
1ng in It's influences. III all its notifications, is well cal
cuatcd strengthen this impression. An increased
cuatlon OF the precious metals is Indispensable 10 a sound
currency. 1oattan this object and to improve the
rency throughout tho union, II becomes the mpcrios
duty Of each member of the con,dcacy by proper cgu
atIons rpldy and porseycrngly enforced TO reform It's
banking institutions, aud 10 ensure speedy resumption of
specie payments on durable basis
The attention Of the Legislature is respectfully invited
the several acts OF Assembly, which direct that the
notes Of our State Banks shall be received IN aymcnt Of
taxes and dues 10 the Commonw calth, and which pre-
scribe the authority of the Executive in relation the
dcposltcs of the public revenue The Bank of Virginia
and the Farmers Bank of Virginia the repositories de
sgnatcd by law have both refused 10 receive general
dcpositc the notes OF the North western Bank of Virginia
and the Merchants and Mechanics Bank OF Wheeling.
They assign as the for this refusal. their inability
make any satisfactory arrangements with the w heel
inc Ranks Tor the redemption exchange OF their notes,
and the loss they must consequently encounter. The
failure the part ofthc dcposc banks 10 receive these
notes. and their depreciation the portion of the
States which may be partly attributable To that cause in
duccd an application the Executive from the sheriff OF
the county of Henrco either direct that the notes
should not be received payment of the public Dues
thai the places Of deposc of the public should
be changed nc correspondence on this subject Is here
with communicated Nhc;nCr ;'lo Executive has the
power direct theshcri1s to refuse the notes OF any :"
the State Banks payment Of taxes question about
which there difference of opinion. But after the
most mature deliberations think that far Interpretation
of the law coners the authority, and that the Executive
may prohibit by proclamation their reception Under
this interpretations should have hesated to exercise
this authority had been satisfied that such course was
demanded by due regard To the interests OF the Com
monw eath and that would have been consistent with
Justice to the Banks The difficulty in which the shc
ifs would be placed, by being required by law To receive
notes for taxes which, when rendered 10 the demsltt
banks would be refused has received due consideration
have also anXiousy weighed the probable loss the Com
monweath would sustain by the receipt by her oictr
of portion of the IN this deprecated paper;
loss aggravated, as it believed ii would be, by md
vidual purchases for payment into the Treasury. Blu
other considerations demanded attention. The state
ments which from time time had been furnished thr
department, exhibiting the condition OF the Wheeling
Banks afforded no reason to doubt its Soyency. Ihj