Boon's Lick times. [volume] (Fayette, Mo.) 1840-1848, 1842-03-05


Illinois bonds, S369,996
Suspended debt, 6l,268
Real estate, 83,982
Bank stock, 1900
Illinois scrip, $40
S527,967
Beng a balance in favor of the Bank OF
one million four hundred and fiity-tour thou.
sand, and eighty-!our dolars-or, COM
parative balance Of one hundred and TWEEN
ty-four thousand dollars in favor of the
State Bank, when the capital, resources and
business OF each are compared with their
present published condition.
The immediate liabilities OF the State
Bank are S3,278,753. Its immediate re-
| sources, emitting the "billS discounted" are
S1.614, 9O6-showing deficiency of ST.
663,947.
The immediate liabilities of the Shaw
neetown Bank are 81 ,422,G79. Its imme-
are notwithstanding a deficiency of
1885, 52--or, a comparative balance Of
one hundred and seventy nine thousand
dollars in favor of Shawneetown, when
the capital of each are compared.
This state of fact proves both the Banks
to be in an ultimately safe condition-the
State Bank ultimately Sl24,OOO stronger
than the Shawneetown Bank, and the
Shawneetown Bank $4,000 nearer a
comparative ability to meet its immediate
liabilities.
Upon the entire exhaustion of the i'm
mediate liabilities of both institutions, the
State Bank would have circulation of
S ,663,947, and the Shawneetown Bank
$436, l52--amounting in alto So, 100000
or reduction of the present circulation to
the sum of Notwithstanding valuable
securities in their possession, to sustain this
circulation of S5,347,O97, being 81 ,25s,s33
more than two for one.
In this view Of the case, thus presented
from the official statements, the question
arose as to the solvency of the Banks
their ability to sustain a moderate and
competent circuation--to restore present
confidence-and thereby justify the COM
munity in attaching to the paper perma-
nent value. Solvency had been proved,
and with proper confidence on the part of
the community, none could doubt the abili-
ty of the Banks to sustain a circulation
which would supply all the prudent and
necessary wants of trade and commerce.
But confidence is gone--repudlatlon had
actually taken place--and the question of
restoration is the only one presented for
consideration.
lie did not know, he said, what charac-
ter of counsel would prevail at the Board
of the State Bank-hc was acquainted
with neither Of the directors or officers, and
could foresee none of the results. But if
the means of the Bank, and power of the
Directors were concentrated in him, he
could not doubt, and would hesitate not
one moment. Mercantile and Bank credit
were Of the same character, and in mo-
mcnts of excitement and panic must be
sustained at every hazard--and at this
crisis the State Bank was bound to act
upon this principle.
The ultimate means Of the Bank were
abundant, and prompt action upon her
| immediate resources would perform the
work Of restoration in less than thirty
days. In exchange running to maturity,
| Bank balances, and notes of other Banks
she had one million and eighty nine thou
sand dollars. This could be drawn upon,
and would at once retire that amount of
her paper. In addition, she had $526,O00
of coin, which could be shipped to New
York and drawn upon at profit of four
teen per cent, thereby retiring seven hun
dred thousand dollars morc--in all, $l,7s9-
600.
Does any man doubt--can there be a
doubt on the mind of any intelligent citi-
zen, as to the effect Of this action upon the
public judgment?
But if doubt--that great parent of
safety--still fingered among panic men and
croakers-the path of the Bank was plain
and sure. Her "bills discounted could be
forced to rapid maturity, and when this
was done, the holders of the remaining
$345OOO, would have a fund of more than
four millions on which to rely; three hun
dred and seventy three thousand of which
was "loans upon real estate" considered
by all as the highest grade of security.
This, therefore, was the true attitude OF
the Bank and the holders of her circula-
ton; and so long as the facts remained in
their present shape-disproved, and resting
IuDOn the integrity of an official statement