Daily Richmond Whig. [volume] (Richmond, Va.) 1840-1842, 1841-01-13

Il ey imposed upon HIM, or should exercise u I'M
properly and contrary to their intention, could they
not interfere No one could contend that, in such
/ a case, there would be no remedy.
| The wisdom OF those who framed The Constitu
ton, vouehssfed very little power their Executive
They vested the powers Of the State in the Legisa-
| ture. IL is the mighty column OF political power,
that sustained and protected the common welfare,
| the public veal The Executive was the beautiful
capital, las pure If you choose, IN its texture as
monumental alabasier,) the tracery OF whose rich
and hgh-wrousht fIcl-work gives an aspect Of rare
perfection, of SURPRISING beauty to- that column.
without being necessary or increasing its strength.
The Executive has no immediate connt ciion with,
or responsibility TO, the people. The Legislature
held the power of State-was responsible for its ex-
ercise, and when it delegated any portion of that
power, still responsible for its exercise; and
could IL necessary, prevent its abuse; and " II
could reclaim IT, 1t could with equal propreiy ind-
cate il, wish the OF its exercise. IL is
clearly manifest that we did not infringe upon the
rights of the Executive by indicating wish as TO
/ the mode of exercising power granted by them.
MIR. ). said, that the gentleman from Richmond,
| took another position of more strength-that the
right to appoint four directors vested in the TX.
eeutye by the charter, and that any interference in
/ its exercise by the Legislature, would lie viola
ton OF the rights OF the private Stockholders, as
/ charters contracts. lie would not enter into
any argument to show that this provision OF the
charter, not part Of the contract with the
Stockholders He would coucede that they could
not reclaim the power of appointment, for argument
sake. The Legislature would still have the right
to interfere fully as is contemplated by the
! luton on the table. The State Is n stakeholder IN
this Bank and for the security Of its interests such,
claims the appointment Of four directors, and has
selected the Executive rs agent to appoint. The
Executive was onyo proxy of those interested, and
like all proxies, Gonrd TO consult the wishes OF the
parties nearly interested. The Leg Stature as hold
ing the power of the State, and representing the
interest of the State; bound TO preserve that IN
ercS has full power over and is in fact the owner
of the stock, and the Governor is its proxy. Every
proxy being only the organ OF the party interested,
IS bound to speak his views, and give effect To his
wishes And they as the parties nearly interested
| in the conduct oi the Bank, had a power and right
to indicate they opinions AMI their wishes as TO the
/ mode IN when this power, existing Tor their bene
| fit, shalt he exercised They have such power Ov-
or this stock that they could dispose of 1t at mo-
ment and yet according to the argument ofihe gen
tleman from Richmond, they could not indicate their
wishes and opinions as TO the best mode Of protect
Ing that stock from injury. Mr.. s said, he ought
he had shown conc usvely, that they had the pow
| cr TO do mo.c than TO examine into this subject
That had power 10 act for the protection of the
interest of the State, unto the full extent OF in
dlcaing 10 the Executive our WISHES for the remov-
al of DR.. Il. MIR. 5. said. that having ascer,aned
that they can do something more than examine, the
next question 10 Ue considered, Is, whether the eX-
| animation has solved any facts IN relation TO the
conduct Of tue bank, that called for and justified any
interference 10y them. lie believed that n case was
/ Committee, that demanded prompt and energetic
action by that House. They found by the report
OF the Committee that serious loss OF money had
befAllen the Blnk-a loss oil 10000 dollars which
was about one sixth of lis capital. The injury IN
hcied upon the general interests OF the community,
by the deTansed action OF the bank, consequent up
! on this enormous loss Of means, could not be so
silly calculated, but none could doubt that IL has
been considerable. By the report, they found the
further fact that this loss had been occasIoned, not
q "a hat. .trlH
ther DC torescen or prevented, but by the long coa
unued neglect OF the bylaws ofhe institution and OF
the acts OF the Legislature IN relation 10 these InSu
| tons Ac.s that their predecessors fonGy believed
would be all powerful 10 preserve healthy acton
in the banking system; and when they rested from
I the abour OF pertcclng these laws they their
| way rejoicing IN the pellet that they had done the
State some service. The stockholders, too when they
enacted Their bylaws, thereby devolvng upon their
StarIed agents specific duties, imagined, good, easy
men, that they had done enou h in their generation
| that they might sink in supine confidence behind
the mighty safeguards of their 'dear mones,' and
watch no more. The Legislature of Virginia, anC
the stockholders OF the bank had been equally wis,
IN their seneralions;-ihey hau both relied on pa
per safeguard, and both realized the strength OF pa
per restrictions.
Did no, this loss, and the gross disobedence, tn,
great hfst cause OF this loss, call upon them, trum-
pet-tOngued, TO arouse themselves TO aciionl Die
not their duty to their constituents compel them e
an effort TO devise means prevent the repetition O
such conduct by the bInkl By these reports, they
ascertaned that the bylaws Of the stockholders re-
quiscd the directors 10 make monthly examination,
into the condition Of the bank-thai they gave TO n,
president of the bank general super!n:endence ove
all the officers of the bank;-ihat a: meeting Of o.,
board IN February, 1912, orders were made dire Ct
ing quarterly examinations Of the conditions Of the
bank, and quarterly balancing Of all accounts on
| the books Of the bank. These were the me ans de
vstd by the stockholders to guard their interests
from injury. BY this report, they found that the
enacments OF the Legislature required the banks "a
make quarterly examinations and statements Of IT'S
condition The Legislature believed that the inter.
ests OF the stockholders, we'll the more general
interests Of the community, required the existence
and observance Of such checks upon the conduct OF
/ tile bank.
They found by the report the further facts, that
! the by-aws Of the stockholders had been ha-
hIiually dlsregardtd; that The orier Of February,
1899, was never acted upon; and ;6al from the &C
ceptance Of the new charter In May, 1885 to April
l9f0 the provisions OF the Legislature were utterly
/ disregqrded Why, the Legislature had as well
I present % the banks blank sheet Of paper as
/ these enac;mcnts. IL would be better; Il would
have saved the shame ct having the results Of their
labOriOus burdens treated Il they were the word.
Of folly. The wisdom Of these laws had been DO
we'd by the bitter fruits Of their disregard IN this
BY tie report, they found that the oVerdrlw-
my Of Green commenced in July 1855 and con-
tined to increase up 10 the final catastrophe in
April, 1870. All agreed, tbat n Observance OF the
bylaws, Of the order OF February 1891 or # the
laws Of uieir body would have discovered the fraud
IN is infancy, and have prevented tic enormous
loss.
For sixty yenrs, tdey have hid this blnking sys-
TEN IN the midst OF diem, growing with their growth
and Strengthening with their strength; and il vas
yet an anxousIy mooted question, whether the sys.
tenn was most profile Of good or evil.
Those who krs, opposed their creation caniended
that they would increase IN strength and power.
until, spurning and breaking AZ the restrictions tina.
legislative wisdom coud throw around them. IN the
forms Of charters and laws, giant rcnds the fiail
meshe' woge around las sleeping strength, they
would, to use the figure OF tie gentleman from Ac-
c"moc, bostrde these States Ike huge Colossus,
deiylng al law, and working their own will uncon.
trC..ed and uncOn'rOlIJ'e. He Ind cysr belieye
lhat The banking system could be so controlled by
well dgested TsstrrtiOns and checksas be sro1ed
OF ieir caplc ties foT evil and made pUworil y con-
duclve 20 the general prosperity Of the Slats;-he
had believed that legislative en1cl1gen,s would be
all.gufiicient-hC still believed that they would be
so, x the Legislature would firmly enforce an OBJ
sCfypncC q iHgW. b.; tho ficts DEVELOPED Ip the
report fhG COMMITTEE had startled his faith In the
virtue Of enlciment5 unc charters. The deliberate
and long continued ncg ect ~ ito requirements Of
The law by the Bank, looked something Ike fore.
shadHwng Of those events, ioretold rs before Ken.
toned. heTg was that deliberate disregard and
tisobedonce of those laws thath1d been relied upon
as The safeguards Of the People, from the unmea.u.
red evils oi unrcsirantd acton ~ those BaHks
The enormous loss Ofsjf 600 was the Crst fruits
ust they gathered from tbs neglect Of low. Their
cons ituCufs would have further taste nj the s,..I,