Southern pioneer, and Carroll, Choctaw and Tallahatchie Counties advertiser. (Carrollton, Miss.) 1840-1842, 1841-06-05
but think it right that the bank shall first pay

the Stockholders of the bank shall first be
made to surrender their mortgaged property
TO raise the funds for the bank.
In answer TO the first, my only objection
is, that the bank is not now able to paw the
smallest portion of the debt She has neither
money, nor the means of raising il; nor can
she be expected to receive any, before her
circulation shall be gathered in. No man
will pay her money, when her own notes are
a legal tender at her counter. Nor can the
most sanguine calculator anticipate that her
circulation will be in, under any manage
ment, in less than two or three years. Must
the State, in the mean time, remain under pro-
test? Let it be remembered, that the bonds
are made by the State and endorsed by the
bank-not made BY the Bank and endorsed
by the State. To the holder of the bonds the
State is the principal debtor. This was inten-
ded by the charter, for the more ready and
advantageous sale of the bonds. The bank is
bound, indeed, to stand between the purchaser
and the state;-but with that the purchaser
has no concern. 1t is merely contract be-
tween the bank and state. The form of these
securities was evidently made with reference
to the law here and every where else--that
the maker of the bonds is the principal debtor
and the endorser but collaterally bound.
To the other class which have mentioned
the same answer applies, and with create:
force. And their notion is liable TO the further
objection, that the stockholders do not con-
slider themselves bound for the bonds that
have been sold. | shall not discuss the ques-
ton of their liability, because it is foreign 10
my subject. 1t is sufficient TO say, that the
opinion of the Bar is with them; and admit
ting them to be liable, there is no way that
can see, by which the holder of the bonds can
be turned over to sue them; nor do Isee in
what form of action he could proceed. In
truth, the only practicable method of fixing
the debt upon them, is by suits instituted by
the state. The state must first pay her bonds.
then look to the stockholders for indemnity.
Whether they are bound or not would thus be
fairly presented TO the consideration of the iu-
dietary.
Isee no advantage in distinguishing be-
tween legal and moral obligations in reference
to state contracts. The Chancery Court has
jurisdiction OF claims against the state, but
legislature that chooses to repudiate debt
can easily repeal the law which confers this
jurisdiction. And even without such an act,
the decree of the Chancellor will be unavail-
ing, without an appropriation by the legsla-
ture. The legal objection, therefore, amounts
edness by a state or nation.
Much has been said, and will be said, about
The hardship of making those pay who have
bad the benefit from the loan. 1t is not easy
to ascertain who they are that have not been
gamers by the bank. Every man that was
able to collect debt in Union Bank money
may consider himself a gamer. Every con-
tract of sale and purchase, liquidated by Union
Bank notes, derived its power OF 5enehtting
the parties from the existence of that Bank.
Every man engaged in business, who obtained
employment or custom from the stimulus of
those notes in the market, was gamer. Be-
sides all this, some nine or ten millions, at
least, of foreign debts, were paid by these notes
The stockholders received not dollar of the
funds-the directory that squandered the as.
sets was not elected by them. The institu-
ton was bankrupt before the first election by
the stockholders.
! Many persons are alarmed by the prospect
of heavy taxes 1t is not denied that $780,
900 a year in addition to the support of a Gov
eminent is heavy tax. But there is no &C.
casion to increase the taxation beyond the
present rate, to meetit all Let the legislature
provide for proper accountability in the col
! Letting officers, and the revenue under the
present taxation is ample. The public build
ings are finished-the danger of total loss from
deprecated notes is, presume, past--and a
plan of appointing and supervising collectors,
perfectly safe and practicable, can readily be
devised. Let the legislature provide that the
Police Court shall appoint collector, and re-
quire bond with good security-and let that
court have power to enter up judgment and
issue execution against him and his sureties, OH
the complaint of the Auditor that no settle
ment has been made, or that the full amount
has not been paid up. All this may be done
under the Constitution; and if done our Trea-
sury will be OVERLOOKING in one year.
A RESIDENT TAX PAYER.
COLLOQUY.
Soon after the revolutionary war, Capt. P,