Columbus Democrat. [volume] (Columbus, Miss.) 18??-18??, 1841-07-24

ding this shall krSt present historical sketch Of
the b,a OF law ehMleung the M'ssissl?pi Union |
Bank, aad the act supplemental thereto. By 10.
ference 70 the original act charteriag said BsEkt
W,l be ioued that The act passed, and VII. appto.
we'd oe the 2lsi DAY Of January. A. ID. 1887, and
was again Iepassed and approved, on the 5h day
# January, \. p. 1888, and that The supplement
Ny act thereto was passed and approved on the
5lh day OF the same mouth, ior HE first aud onl,
uu'e; the supplemental act never having bsea
reieued TO The next succeeding Legislature. lor
ls Legislative action, rs required by The 9th sec.
ton ctthe seventh article Of the Constitution Of
MssisVppi.
now, Mr.. President, propose TO refer To some Of
the prominent provisions III the orgnal charter Of
the Mss sslppl Jnon Bank, and the act supplement
,sl thereto The ith section Of The urgina charter
pledges the faith Of the State, lor q loan OF fifteen
millions five hundred thousand dollars and pre-
SC bes toe ,Tm OF the bondS, aud requires that they
shall be signed BY the Governor OF the STATE, and
eouu,erslencd BY tie Shtc Treasurer aud be payu-
bic to he Missl>sIp Union Bauk, The 7th srrlvn
provides 'that 9th the capital and interest Of the
St,te bondsshel &c paid By tic bank nj The time
they srveraty ali due winch shows that the
bank Is drst TO he la bic and that tie State IA merely
the accommodation drawer Of the bonds ar in other
words nlsre guaraElor ut the ultimate payment
of the deaf created by tie negotiation OF said bonds
| If The bank should tsil 10 pay the same The oth
section tu secure aud protect the State from la
bbty on It's pledge of faRh. provides that the stock
holjers shah execute mortgages on property, equal
IN vaIue Mt least, to the amount OF their respective
suck, and defines the property SUBJECT TO he mor-
I gagged. The l0lh section gives The Stale the tlght
10 appoint i've directors, on tie part OF the State,
! And lie Ith section. as an additional Involvement
and consideration 10 the Stale 70 pledge her Iath,
requires that the stockholders shall pay, IN cash.
$40 on each share, amounting IN the aggregate on
the who, stock Ia Sl5,5000o0. The I4th section
reaares the Governor of the State, " hen five thou.
sand shares OF stock are subscribed, Professionally 10
appoint thirteen directors. Tie l1th section, pres.
crhesihe qualfca tons OF The directors OF sald bank
The 9th section provides, further eonsldera.
ton for the pledge OF the faith OF the State besides
a voice IN the directory that the Sinte shall have
one tenth ot the nett profits Of the bank The 29tl
section, requires llal the bonds OF the stockholders
for the amount OF Their stock and also their mort
pages to secure the payment OF the stock, and bind
the property contained IN the mortgages, aud alst
the bonds Of the stockholders iof the redemption o
the STATE honda, shall be deposited III the said Un
Ion Bank to secure the Reimbursement Of the capita
and interest ;hus adding the bonds OF each stock
holder. and making each sockhoder personally
responsible out Of his private property, for any de
Gcicncy that may exist in the property by hin, mort
Rnged-~and is, therefore, an additional protection
and indemnity 10 the State for its pledge Of faith
The 30th section provides that nt soon rs the d.
reclofc nte appointed tprovisonaly rs provided !
section lllh, lhev shah elect President and not
D " the Governor Of the State Of the same, aud tina
The Governor Of tho State shall then, Land rot beIuf
/ a. lyNF Ia az 1ul I'M "a Tina.
bonds Of he state, IN amount propOroned TO III
sums subscribed and secured Ia ~" -rttsi".ter'
The directors as REQUIRED by the charter-unt
aI3 500 GOO OF bonds Of the State be furnished
The 3lst SECTION gives the State standing &C
J comoda non Of $500 600 And lhs first section Of III
supplementary act. provides, that The Governor {
, the State shall subscribe for S5000,000 fifty thou
, sand shares Of The stock ~ sad bank, on hehall Z
the State 50 soon as books OF subscription are open
ed, TO he paid or out Of HE proceeds OF the bond
to be executed for ~ said original ctartcr.-Ahd
- may here be remarked that other portions oI III
! supplemental ACT alters amends, aud even repea'
J PROVISIONS, sections or paris oil sections OF The ef
= gHsI charter
(; | shall now, Mr., President, refer TO some lcv
facts that will not without reference appear tn
records 81 thl' question but which strictly ormn pal
and parcel "a he transaction and must have Their du
and mora POM Of view, Thr 6Bt fact s TINT ID
+ GOV eruor Of the State, under The provisions oil til
= inst section ol satd supplemental act, shortly ale
g the MASSAGE Of the same and before there was an
n other subscription subscribed Tor, on behalf Of III
II State. fliy thousand shares OF te capital stock
Il the Mississippi Uaion Bank and shortly thereafter
=. and before there WIS any subscription for stock
sad bank other dian that nl the Slnle soy, IN III
= first OF he summer Of 1883, the Governor Of III
u Stale executsd btnd,; The name Of the State, Il
e Al 600 GOO payable 10 the Mississippi Union Banl
e winch bonds were, by The Governor Of HE Sai
!. delivered 10 the ten managers elected by the Legt
. ature Of 1883, under the provisions OF the IN
, secllon Of HE original charter Ct said bank, % I'll
! managers oi the subscriptions Tor STOCK III SAID ban
instead Of tie provisional directory, 10 be appope
" by The Governor Of the State, uhder the provision
e IL The l4lh section Of said original charter; andehl
d said managers (who we're not directors and VIII
a could not be directors for want OF the 1uaIhcato
!. required by the l7th sectipnd OF said Original cha
- ter. moi he,ng Stockholders, and pot having thrt
shares Of ne stock olsaid banks appointed tire
. eommr sioners TO negotiate or sell SAID bonds an
l. that said commissioners IN tic month Of Angus
W 1898 did sell said bonds to Nchoas Bidde, EsC
,e If Philadelphia or, most probably to The Unite
Fl States Bank Of PENNSYLVANIA, 10, md through III
RI name 81 Nicholas Bdde, for the purpose Of ehecun
:. some subtcrluge. will state here this addlnon'
fact. which The record connected with this Irrsac
- lion shows, which IL, that, at The time sad bond
u we're delivered TO sand managers, that there wa
= not any other stockholders than the STATE, ~ III
N Mississippi Union Bank; that no provisonsy d.
Dr. rectofy had been appointed by Tie Governor OF 70
nt State as required by the l4lh section oil sad or
! oinal charter, and that no bonds and mortgages I
!. SECURE The individual stock, was deposited ~ sai
:, Union Bank, as required by tie provisions OF tb
a. 3Oth section OF said original charter, and belor
C which lime, no bends were to he executed unde
b. The said original charer-See section Wth OF I'll
n original charter OF SAID bank.
10 Now Mr.. Presidenf, from the premises that hay
10 laid down. | think can be fairly deduced and itoi
Il which intend 10 deduce these concusions-lsi,t h'
in the act supplementary to the charter oil The Mss
:. eppi Union Bans. IS unconstitutional ana Vo'o-@'
y I'M the bonds executed by The Governor Of tn
u seat. .nd aold he The commissioners appointed b