Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1843-02-09

creditors, whilst other courts orer 10 .c:cign cred
tors: We ccnno, presume that these evils will not lie
most extensively suffered, by reference to the opera
ton Of the Stay Laws of 1908 and lSi! The ci.cum
stances OF the country entirely different Then
Virginia carried OH large share Of her import ard ex
port trade direct with England AID the continent o
Europe. There was, comparatively, liltle trade be-
tween this State and the Northern cities tr!pt Ia
New York was then regarded greater undertaking
than passage to London At this day. tile course
OF trade IL changed the Northern cities do almost all
the carrying trade for Virginia. The extension OF
steam boat navigation, the introduction Of iail roads
and canals, 1nd the immense expansion Of the credit
aystenl, have increased the trade tie North
ern cities aud Virgina, that there is now vast guam.
Gy more Of trade and Indebtedness between Virgin.
aud the Northern cities, than there is between any two
distant portions OF State. From these
Causes no man estimate the amount Of indebted
ness or the extent OF the evils which will os from Tie
passage Of this law.
Let Us look 10 the operation Of this law on the Banks
o! the Commonwealth. These institutions are already
IN low credit abroad from repeated suspensions oil spe-
Gle payments, and forced resumption Of recent date
they have III circulation millions Of notes,
and about two and halt millions of specie in their
vaults. The amount of debts due 10 them is over
fourteen millions Of dollars They are required undee
high penalties, 10 redeem all demands against them,
when presented, IN specie; yet they would mol have
power, under this law, to the payment Of one
dollar from hei! debtors earlier than eighteen months
They have been risdly and successfully curlaug
their accommodation debt for tic purpose of more free
ly discoun!ing BUSINESS paper the only proper and
legitimate facilities OF banking. Cut oil the resources
OF their debors by the passage Of Tins law, and their
accommodation debtors will not fear a protest; the
whole accommodation ceh and all the business paper
discounted for weak and doubtful merchants will al
"Ece become suspended debt, Stop the collection OF
merchants, and how many can meet their Bank debts
The whole mercantile character and credit OF your
State will be prosatcd By suits in The Federal Courts
and protests in the Banks. With The overthrow oil
mercantile credit the credit of your Banks will be de-.
preciaed at home and abroad and their solyeney i'm.
paired from the knowledge that their power to collect
through the Courts is taken away. Disastrous as ,is
measure will be the sovency Of the Banks liz re-
suits viii be still moro :unous 10 the country. a fcw
days past the Incndmcnt offered by the member from
pittsylvuna (Alr Kecnc 10 this bill, 'o legaze the
suspension Of specie payments with the exception OF
three supporters, was voted down by TIE unanimous
vote Of this House. That decisive vote settles The
question of another suspension. Specie payments
could only he maintained by the most fuinous cuta!s
of an already contracted currency They have in circu
laon now two and lafdoars IN notes for one dollar
specie. For every hundred thousand dollars in specie
drawn from them, they must contract their circulation
two hundred and fifty thousand dollars Of notes Ia
keep up the relative proportion of specie 10 notes in
circulation Take from them the power 10 collect their
debts, with this compulsory requirement 10 pay specie
and the consequences must be clearly oresecn. The
suits against the merchants in the Federal Courts viii
draw their notes 10 the Northern cities which will soon
be returned upon the Banks. Runs will continue and
increase upon hcm for specie, and their cutails Of the
circulation will be rapid and more rigd-,hc
money which is scarce in the country, will ba.
come scarce:, and property which ia low, viii fall
owcr-the merchants who depend upon banking NC
comnodaons 10 buy tobacco wheat, aud other staple
products will be driven from the market, and Tie pro.
ducc Of the country will be cnnrosscd by lew large
capitalists aud foreign agents, who need no aid from
Banks. Active competition will cease, and the obac
Gu and produce market will DC monopolizcd by few
large Dealers who would regulate prices 10 sui them.
selves. Produce would he lower, money would become
scarccr, from this and the regular cnrails of the
Banks. Property would continue 10 fall, the distress
and embarrassments of the country to increase, and
the law would bring in its train all the elements Of op
preston, instead OF relief Whatever tends TO weaken
the Banks, and impair their credit al this time, fall.
with its full force the merchant ofthc through
him the country merchant and lastly upon the plan
pr-or, it by the labor Of the planter that the wealth
of the country comes, and by Es means lis debts
ultimately paid. This measure, which pretends to al
ford relief 10 the planter, throws upon him the accu
mulaled burtlcus arising from the impaired credit
so!yency of the Banks-their runous but necessary
curtalsthe Frustrated mercantile characc. and credit
tho monopoly of the produce market-and oil the
various nsurances and higher profits charged by the
merchant for longer credits and greater uncertainty IN
collections. beg this House save my constituents
from any such relief.
There more general view, which lie wished 10
i
flow from loss OF confidence are too lightly estimated
whether considered in reference public credit or nd
vidual prosperity. The two ure most intimately and
inseparab!y connected, he should procec ed 20
show. Any course of legislation which repudatcs OF
evades the payment Of the interest and principal of tho
public debt, not confined in It's dclerrous effects
the embarrassment Of TIE public finances and degrade
ton Of the public faith but spreads its depressing
1uence the private credit and individual prosperity
Of the whole community. Tie attacks upon private
ryo3, NJ hyn ,r Ior,
the uilment of private contracts have equally
tensve and injurious operation. The money lender
does not lock solely 10 the nJiiy Of the public o.
private debtor to pay his debts but also 10 the ,ciin
ness to pay. lie watches closely, too to whether
tho Legislature, from corrupt motive OF desire avoid
responsibility, will eyadc the laying Of taxes TO pay
the public debt empower the private debtor toeyaie
and postpone his private contracts The State Of Mis-
slssppl declined the payment Of portion Of her public
debt, and her bonds fell in market TO ninety per cent
discount The States Of Indiana, Illinois, and PENNEY.
vania, evaded the levying of taxes, promptly 10
their interest, and their bonds fell from fifty eighty
per ceis discount. These last Stat did moi repudiae
deny the obligation Of their debts On the con.
trary, they "expessy resolved that every consider.
alton of morality md good faith required lhe payment
but they cYadcd tho responsibility Of laying necessary
taxes account of the pecunary distress of the PEG
pie; and alconfdence in the willingness Of the Slatesto
pay entirely lost. The last gsature of Virginia
adopting this un"ise policy Of cvading the odum
of increased taxes, borrowed three hundred and fly
thousand dollars from the Banks Of This Stale
to pay the nerest on the public debt evying an nsg.
nfcant tax on some small subjects, under The p:ctexi
of supplying the deficiency Of The Treasury This
fest ndisposition to meet Tie interest upon the public
deb: promptly ard efficiently, depressed our State
stocks twenty five per cent in market Our citizens
hold four and hal: millions of dollars Of Virginia Stale
stock BY declining to lay taxes, that property de-
pressed more than milan Of dollars Hal The
taxes been laid and provision made for The paymcn, o
the interest punctuay and certainly these stocks would
have kept up at their par value Notwithstanding Tie
pecunary distress here, they NIGH. haze been sold IN
foreign markets, might have supplied cur banks with
SPECIE merchants with credit turned tie balance Of
trade in our favor, and gone far toward. speedy
soration Of confidence and credits Of public and private
prosperity. or this there be doubt: for The fou.
and half millions of State stocks held By our citizens
is greater sum than the entire tobacco crop Of VIZ.
gina is worth ~ The present yearor cqul! to forty
five thousand hos.heads Of tobacco, at one hundred
dollars per hogshesd Raise them even now 10 their
par value, BY wise and prudent legislation, and throw
them upon the foreign market IN MD OF our small! and
Inferior tobacco crop, to turn the balance Of trade ia
our favor; the influx Of money and cTed,, our home