The Yazoo Whig and political register. (Yazoo City, Miss.) 1840-1842, 1841-01-22

pay both principal and interest ID ihe event
|of the failure Of The Mississippi Rail Road
Company 70 pay the same punctnally The
bond holders have never assenled - transfer
The act
The following measures ID relation 20 The
The mississippi Union Bank will % doubt
be proposed;
Isl. Releasing The individual stockholdr
els. and milking TIA State Institution, bind
ing tie State for al The issues and liabilities
|of The Bank, and authorizing Tie lypotle-
Gallon Of more State Bonds, Of sale there's
Of FOR less Than their par value
2d, Realeasing the private stockholders,
placing the bank il liquidation, and impo-
Ising direct tax sufficient to pay The prin-
Icipal and interest of the Bonds, punctnally,
if indulgence cannot be obtained
Sd. Placing The Bank in liquidation for
the beneftof all concerned, and repudialing
the sale Of five millions az The Bonds ia tll0
year 1888, on account of fraud and illegally.
/ The ninth section Of lie seventh article of
the Constitution provides that No Law shall
ever be passed 10 raise loan Of money upon
the credit of the State, or 70 pledge The
faith Of the State ior.the payment or redemp-
ton Of any loan OF debt, unless such loan
be proposed in the Senate Or House Of Re-
representatives., and be agreed to By maiori-
q Of the members of each House, and en-
tered on their Journals, with The yeas and
nays taken thereon, and be referred 10 the
next succeeding Legislature, and be pub
lished for three months previous 10 the next
regular election, in three newspapers Of
this State; and unless majority Of each
branch of the Legislature 81 elected. after
such publication, shall agree 10, and pass
such law; and IN such case The yeas and
nays shall be taken, and entered on The
Journals Of such House. II isyery clear
THAI no Fundamental change can constitu-
ItionalIY be made IN The charter Of the
Bank without the action Of succeeding
Legislature, and the existing charter does
not authorize the hypothecation Of any State
Bonds, Or a sale a less than their par value.
liz cash. Bank charters are special gram.
of privileges, and being in deTogaiion 81
private rights, must be construed strictly
lgreat injury must result from further sale
lof State Bonds.
The power Of The Legislature to release
1.-THE private stockholders from their o5liga-
ltions, Is, at least, questionable; and.its pol
licy clearly wrong. They have generally
been favored il the distribution Of loans
land have controlled The Institution during
1.-The last year. The Directors elected b
them have denied the right Of the State &
require the Bank to resume specie pay,
lments Of TO go into liquidation and have
Through their President, indirectly charged
4 the members who voted for the Bond law 81
1.-THE last session, and the chosen Executive
lof the State who approved Il, with Willnl
Iyiolation Of the Constitution; and have ii.
sisted that none but STOCKHOLDERS were eli.
gible as Directors, on the part of the State.
h The best interests Of the stockholders,
creditors and debtors Of the Bank, and The
character Of the State demand liquidation
|of the affairs of the institutions.
twill be seen by the documents accom-
lpanying my annual message II Che yea
1889. that five millions Of Bonds were dis
!. lposed Of on The 18th Of August, 1888, foI
five millions Of dollars, payable in Eve equa
Iinstalments, on the FIRST day Of November
lS36, and on the FIRST days of January
March, May and July l639-interest &C
cFued on the Bonds from The day Of the con
. tract. The punctual performance Of tht
+ same was guaranteed 81 The Bank of ths
! United States, and the purchase was I'm
I ldoubtedly made on the accountof that Ia
I stitution, and the payments made with be
! funds The charter Of the Bank of %.
! United States contains the following clause
.sThe said Corporation shall not directly D
{ Indirectly deal Or trade il any thing excep
I bills of exchange gold 81 silver bullion, Of i
I the sale Of goods really and truly PLEDGE
Z llor money lent and not redeemed III du
3 time Of goods which shall be The proceed
: lof its lands neither shall II make any loar
to any foreign Prince Of State, unless pre-
s gionsly authorized 81 laW Ihe said Corpt
4 ration shall not be at Liberty tD purchase an
e stock whaieVer, except their own stool
Treasury notes, 81 public stocks created
s The Government Of the United States, or
n this Slate, for The construction and improve
menf Of roads. bridges. cana orinland nal
y igati0n, or other stocks which may be BOZ
3 iide pledged as security fer debts to q
y Bank. and not duly redeemed r Their
IS fore follows that the purchase by That Ins.
q tuition legal and u fraud gifts chatle
8 d have understood thai lle larger portion
those Bonds haye not been sold by tie Ban
4. lhnfare hyp0lhecaled with European Ban
IS els. ind loans obtained upon them. II Is
4 well settled principle Of laW, that where
s authority IS given 10 ali gent q sell 81 tim
IS no legal sale can he made except for cas-
Is Tho charter 81 ihe Mississippi Union Bal