The Yazoo Whig and political register. (Yazoo City, Miss.) 1840-1842, 1841-09-03

lin the consequences anticipated from lis in
corporation. A uniform currency was not
provided, exchanges were not provided, ex-
changes were not regulated, and little or
nothing was addedto the general circulation;
din 1920 its embarrassments had become
SO great thatthe Directors petiohed Congress
to repeal that article of the charter which
made its notes receivable every where in
payment of the public dues. II had, up to
that period, dealt TO but a very small extent
in exchanges, either foreign or domestic;
and as late as 1921 its operations in that line
amounted to little more than 81 900 600
per annum. a very rapid augmentation
soon after occurred, and in 1923 its dealing
lin exchanges amounted to upwards of $780,
100000, including the sales of its own drafts;
and all these immense transactions were
effected without the employment of extraor-
binary means. The currency Of the country
became sound, and the negotiations in the
Exchanges were carried on at the lowest pos
sible rates. The circulation was increased
10 more than $22 900 900, and the notes of
the bank were regarded as equal to specie
all over the country; thus showing, almost
conclusively, that it was the capacity 10 deal
in exchanges, and not in local discounts
which furnished these facilities and adVan-
tages. 1t may be remarked too, that notwith-
standing the immense transactions of the
bank in the purchase of exchange, the losses
Sustained were merely nominal; while in the
lime of discounts the suspended debt was
lenormous, and proved most disastrous to
the bank and the country. It's power Of
local discount has, proved to be fruitful
source of favositism and corruption, alike
destructive to the public morals and to the
general veal.
The capital invested in banks Of discount
in the United States, created by the States
lat this time exceeds $3.50 ,000, 900; and If
the. discounting of local paper could have
produced any beneficial effects, the United
States ought to possess the soundest curren-
cy in the world. But the reverse is lament
ably the fact.
is the measure, now under consideration
lof the Objectionable character to which have
Ialluded? Itis clearly so, unless BY the 10th
fundamental article of the nth section it is
made otherwise. The article is in the follow
ing words:
1.-THE directors of said corporation shall es-
tablish one competent Office of discount and
ldeposit in any State in which Ftwo thousand
lshares shall have been subscribed, or may
be held, whenever, upon application of the
Legislature of such State, Congress may, by
TORS may. also establish one or more compe-
tent Offices of discount and deposite in any
Territory. or District tof the United States,
and in. any State, with the assent of such
States and when established, the said Office
Tor Offices shall only be Withdrawn or remov.
led By the said directors, prior to the expira-
ton of this charter, with the previous as.
Isent of Congress-:
Provided, in respect to any State which
lshall not, at the first passage of this act, by
resolution or other usual legislative proceed
ling, Internationally assent or dissent to the
establishment of such office or offices within
lit, such assent of the said State shall be there's
after presumed: And provided nevertheless,
That whenever it shall become necessary
land proper, for carrying into execution any
J. of the powers granted by the Constitution,
10 establish an Office or offices in any of the
Estates whatever, and the establishment there
! of shall be directed by law. il shall be the
! iduty of the said directors to establish such
Office or Offices accordingly"
It will be seen that by this clause the div
lrectors are invested with the fullest power
to establish branch in any State which has
! yielded its assent, and, having once estab-
lished such branch, it shall not afterwards
/, lbe Withdrawn except BY order of Congress,
Such assent is to be implied, and to have the
force and sanction of an actually ex psessed
assent, ssprovided, in respect to any State
which shall not, at the first session Of the
! Legislature thereof held after the passage of
this act, by resolution or other usual pro-
ceeding, Internationally assent or dissent to
7 the establishment of such Office or Offices
within Il, such assent Of the said State shall
be thereafter presumed. The assentor dis
sent is to be expressed Internationally, at
: 1.-THE Afst session of the Legislature, 81 sone
!, formal legislative act; and, If not so express
! ed, lis assent is 70 be implied and the direcr
tors are lhereupon invested with power, at
such time afterwards BE Withdrawn, except
! BIZ resolve Of Congress. No matter bat
: may be the cause which may operate with
: the Legislature, which either prevents q
{ rom speaking, or addresses itself 70 lis WIS.,
DOM 70 jnduce DELAY, is assem- IS q &c iLlr
= lplied.- This iron rnle j. TO give 20 ! no cir.
: eumst ances-it is unbending and lnileNl0le.
3 Il is the language Of The mastel @ The yes-
sal
An unconditional answer ls claimed lortns
& wills and delay posiponeEnent, 81 incapaci-
g ~ io answer, produces IN implied assent
which Is ever afser irr8vocabie. Many O tha
Stale elections have already taken place
withor ant nowiedge on the part Of the
neonIe. fhat such question was 10 come up
S rhe yes may desire submission
ane Ton 10 their constituents prepar-
M rs final action upon il but this high
eoe denied. WhoteVar may be The
IS motives md ewe eni ertained 81 the Repre-
q heif shan e ancondii ionally express