The Democratic Whig. [volume] (Columbus, Miss.) 1842-1843, 1843-09-21

&e,-lhal ne proceeds thereof ahsll b a.
Piled % The payment of stock "a the Planters
Bank and that the faith 81 The State and thl
stock in sbid BANK held BIZ The STATE plajrss
for The redemption Of said bonds rsee acc
tons I I and 70 81 Get ofF'eb. Is3i
The hoods provided i1r BY this supplement,
Col act were made payable Coy order Of lbe
Directors Of the Planters Bank) to J. Dab.
field, Cashier Of the Phoenix Bank Of New
York and ty BIN endorsed to ths purchaser
twill Be obvious 70 the intelgout reader
that BY the supplemental acts above cited. the
form and amount Of bonds issued and sold ior
the purpose Of paying ior the sock dubscnbed
for by The Slate amounting 10 85O0,O00, were
TO be liked By the commissioners eppoiaied %
sfH he same, and that said commissioners ac-
led within the scope Of their authoTityin nlakina
them PAYABLE 70 and assigDabie By Saml Gus
line, and that Tie amount and f0rm Of the
bonds issued and sold for the purpose ofpay-
ing for the Sl.500,000 Of stock subscribed for
by the Stale, were 10 be fixed bV the Dir1-
tors efte Planters Bank, and thar said Direc.
tors acted within tho scope Of their authority
in making the same payable to J. Dalafeld
and asgignabe BY him. These positions being
admitted, it cannot be denied that the Planters
Bank is in no wise liable for the amount Of
S2,000,O00 Of bonds thus Issued and sold for
the benefit OF the State and for the purpose OF
enabling the State 10 pay for her stock in the
Planters Bank.
The only liability Of the Bank now is, that
ai:er being "Wound up and having paid al her
debts, the institution will be bound 10 pay to
the stale such proportion ofths surplus then re-
mrining as the State may by the charter be
entitled TO.
If any doubt remained respecting this con-
clusion. / would be removed by reference 10
The sih section ofthe supplemental act olls3l
which repeals 50 much Of the nh section Of
the original charter IS requires the bonds to
be made payable 10 the President, Directors,
g.. Co., Of the Planters Bank, thus abrogating
The only clause by which the Planters Bank
we're required to endorse tho bonds Of tie
State, twill DO remembered that BY the 1llh
section Of The original charter. The bank was
required 10 pay so much Of The interest on the
bonds as the dividend on the State slock might
be insufficient 10 pay. But on the 10Th Feb
ruary, 1859, law was passed transferring the
stock OF the State ia the Planters Bank to the
Mississippi Rail Road Bank relieving the for
mer bank Of this obligation and imposing i on
The latter. See sections and 4, Of act Of
1891
We nave been thus minute in tracing the
history Of Legislation in regard to the bonds,
commonly called the Planters Bank bonds, only
for the purpose Of refuting The objection often
urged By the "out and out regulators" that
these bonds were illegally or fraudulenty is.
sued, or hat any ae's TO Be performed By he
Bank iBars conditions precedsia 10 the issuduse
AMI sale Of said bonds the omission n perform
iohich has sroneraJedihs Sta's from Us liability.
We have fully accomplished tins intertioH, #
(as we believed We have aqes1estFaiad tn "a
eouudn and sale Of these bonds was contract
to which the bank was not any wise party;
they were execued BY the State under an act
passed bsf0rs the passage of the new con titu-
tion, and al a period when the action Of one
Legislature was sufficient TO pledge the faith Of
the State, and BY progiso in the new oonsti-
tuition all bonds executed or 70 be executed for
the purpose Of enabling the State 10 raise mo
ney sufficient to pav for her stock in The Plan.
ters' bank, are expressly excepted from the op'
eraiinn Of that clause Of the new constitution
which requires Tie action Of two successive
Legislatures
With these facts resting as they 40 not on
NAKED assertion but on history, we do not fear
the mist cunning articles ofthose demagogues
who are end,avoring by iusidious appeals TO
The most s0rdid passions OF human nature, 10
lure the people into course fatal 10 the repu-
tation and true interest Of the State. We
confidently oppose, with no other armour than
reasonand trath,these who having no other end
in view than their own personal aggrandize-
ment or the promotion Ct partizan interests,
are equally industrious and inscriptions in
circulating fllsehood and error. For their IN
blushing repudiation Of the bonds Of the State,
executed and sold 10 pay for the stock Of the
State in the Planier5 bank, they cen plead
neither an affected reverence for the constltu-
ton fbscause that instrument expressly author
ICES tho Legislature to pledge the faith OF the
State for thai purpess) nor any fraud or defal'
cation on the part Of the bank, because that in
siituuou is not liable for or a party to these
bonds Of the State, and moreover, ts Siais be-
ing the largest sIockholder in said bank and
having the appointment and control Of major
ity Of he Directory, you'd necessarily be the
principal IN any such fraud OF deialeation aud
could n0f araa herself Of her oDH tBr0Hg 10 de-
fence Of her own liability.
We will now proceed TO examine the hisio-
ry q the Union bank bonds, with the view Of
demonstrating the reasons on which the Siatea
liability to pay them is founded, and also Of re-
futing the most prominent objections urged a.
gainst their validity By the Regulators;
The hst branch Of this subject can be best
disposed ofby a summary statement Of hislori-
caIiacts
In 1881, a convention met at Jackson to form
a now constitution. They ultimately agreed in
the adoption Of the present constitution, after
having effected a much greater compromise Of
The conflicting opinions and feelings by which
the members ofthat body were almost equally
divided than they had any reason to expect
The conservative party in that body, at the
head Of whom stood John A, Quitman, recon-
mended and supported, against strong opposi-
tion, that clause Of the constitution By which
the power oflihe Legislature 70 pledge The faith
OF the State for the loan Of money Is restricted.
This restriction was strsnu0nsy opposed by
re ultra Democrats, al the had ofwhom was
D. w. Wright. as being aai-rePubiicaH; and
moreover, On The ground that the convention
were Dot authorized b abridgs the sovereign
powers Of the people BY any restriction what
ever, but only to declare the form and MODE 10
which those sovereign powers should be exer-
eised These objections we're mot BY tho
agreement that this restriction was not inieH-
ded to abridge he poser Of he people, but to
modify the exercise Of that power By theiFreP-
fesentaiive, in order to prateci them against
the hasiy and improgidont action ofthe Lcgis-
atuFe, By giving 70 them an opportunity o. re-
fleeing On The pTolfieiy and necessity Of piedg.
ing the faith Of the State for the loan OF mo.
ney and declaring their aisgpproual Of such