Boon's Lick times. [volume] (Fayette, Mo.) 1840-1848, 1842-11-26

gradually, but certainly, recover from their
present embarrassment and All would 'ul-
~ realize the truth Of that axiom in politi.
cal economy--productio is the only true
source Of wealth.
When the State has extended to the ciii
zen protection of person, Of property and
of reputation, The enforcement OF contracts
and the redress of injuries, it has fulfilled
its chef duties. Let these purposes be ac.
compished, the imposition OF heavy and
unnecessary burdens upon the people, ami
an improper Interference with their CON
tracts, avoided: lei our citizens exercise
forLearance, the one towards The other, and
continue in the practice of industry anG
economy, and we will soon witness deIiv
erance from all e,nbarrassments.
Within the last two years, "A species Of
banking, unknown to the consli ution and
laws. and in derogaion of both, has sprung
into existence in tins State, which, if per.
United to continue, must infl,ct upon the
country all the evils incident to, and lnsep.
cradle from, such a circulation.
The trainers ui the Constitution believed
that they had eif'clually prohibited, within
the State, the establishment of more than
one bank aud its branches, and the LegiSla
lure doubtless supposed they had sufficient.
| y guarded the currency from debaSempnt
| by imposing penalties for the issue ol any
paper, designed us a circulating medium.
except such us was authorized 10y law. Bu'
contrary TO these slutarr provisions, and
regardless thereof, certain cities, towns and
county courts, usurping the prerogatlve o.
| RI 4 Sl.it h..uf q
the power of giving a currency TO the State
ii currency founded upon their credit
alone, and of denominations as low as IA
single dollar.
The power OF establishing banks, and all
ihorizing the issue Of IL paper currency, has
been regarded, hitherto. us pertaining alone
to the sovereignty OF the Sta'e, but it seems
now to be considered, by those regardless
of the laws and of the constitution, as incl
dent to the sovereignty Of county courts
md town corporations.
Ii the General Assembly is inclined to IA
vor this species of banking, they viii. Al
east. so guard lis exercise as to protect thu
people from inp"sllnn, and the currency
| rom debaSemeut. 1t is believed. however,
nat such gross nsurpa ion u! power and
>iolanon at law will find no favor with the
representatives of an enlightened conslltu-
~ncy. and tina, they will provide such re-
mrdies and impose such sanctiol.s us will
rtlec uaIIy suppress the evil.
Intimately connected with this subject
are the banking powers assumed and exer.
cised by Ger ain incorporated companies
incorporated for very different purposes
their chief business, for Il lew years past
has been to receive, upon deposl,e, the pa
per OF suspended banks, and discount there
on. Such, indeed, has been the extent o
their banking operations, and so potent ,he
influence, as to enable them to control to
= great extent, the whole currency OF tn
State. Situated in our commercial empo
rum, and being the chief repositories, what
, ever they received upon deposite, the me-
chants Of the city would receive from III
merchants of the interior, the merchants G
interior from the farmers Of the country, an
the farmers from the purchasers o. heir pr,
, duce, Exercising this influence, and adopt
ing the paper OF suspended banks as tn
standard OF value, they caused nearly tn
whole currency of the State TO consist o
. deprecated paper, and kept II IN circulation
until, by the explosion of the banks who's
naper they had received and circulated, tn
people lost thousands, perhaps millions, o
dollars.
For the purpose of preserving inviulal
the Constitution, and keeping such ncoI
4 porated companies within the powers gram
" ed them. the popular branch of the Legi'
:, ature, after most rigid scrutiny into the
!; management, at the last session passed
Hlll eiiectuaIly to suppress their illegal banl
, ing, which, if i, had become n law, wouI
, doubtless nave saved the citizens OF tn
y State from IA large portion OF the heav
=, losses that have fallen upon them by tn
:, recent depreciation OF the paper OF the
= lnoIs banks. Owing, however, to the lat
period at which it passed the House, an
the consequent want OF time for its du
consideration, the Senate was induced I
, refer the bill To the presen, General Assem-
bly,. 1t is hoped that the subj ect - ii he n
: vived, and our citizens relieved from I'll
evils OF such illegal and pernicious practice
i regret /" say that, in the lntroGuclio
md circulation OF deprecated paper, III
!, Bank of the State OF Missouri is NOT wi,I
y .'ut blame. Having, in the tail Of 1889. an
II some sacrili %, returned to The principlf
Of legitimate banking. and having been su
aimed therein by the House OF Represent,
ives, who, Ivy resolutions adopted with bl
two dissenting voices, declared that II
! uank ought not to receive or pay out tt
, paper OF any suspended bank, the return
hat institution, in the spring Of l84l,
the reception OF deprecated paper in pa,
A lnlf