The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1844-12-20
GOTERNOR's MEsS.aGE.
CONCLUDED.

Acts OF incorporation are usually obtained unde
the pretence OF advancing the public interests, bu
the real object is too often merely to obtain an ex
emption from the responsibilities to which natura
persons are subjected, and cloak for fraud and de
ception. The only Legitimate purposes for whicl
acts OF incorporation can, in most cases. be sought
are simply to acquire the rights of suing and ben.
sued in corporate name, and taking, holding an,
conveying the title to property through the author
ity OF the representatives, Of the association These
objects can be fully and more conveniently attain
dby general law of joint stock partnerships, fol
the benefit OF all associations Of every description
which may have regular organization, and rec
ord thereof in the Recorders office in the county
in which located Such joint stock associations
would not be corporations, but they would possess
all the necessary and Legitimate advantages for the
transaction Of their company business, without the
special exemptions and exclusive privileges which
render corporations Objectionable and dangerous
The subject of the banks and the currency has
occupied no inconsderable share of the attention of
the Legislature Of this State for the last ten wears
and will probably continue to do so for manv wears
TO come. Itinvolves considerations Of paramount
Importance and difficulty, and either for good or
for evil, bearing directly and extensively upon the
various and complex interests of the community.
lhe diversity ofopinion on the subject, is not to
be wondered at Distinguished statesmen, in df.
ferent countries and ages, have differed on few SUBJ
jects more widely and more warmly than upon pa
per money and banking. Truth should be searched
by candid consideration of the views ON both
sides OF the subject In the adjustment of the ques-
ton, the great body of the people have common
interest, and certainly no one can be governed by
any other motive than desire to see settled n the
manner best cacua,ed to preserve the safety of our
Institutions, and advance the welfare and happiness
of the country.
Within the last three years majority of the
bank Charters in the State expired. In March,
1872, an act was passed designed to supercede the
necessity OF special charters, fixing, in general
law, the powers, liabilities, and terms for future
banks, and imposing rigid restrictions on the abuses
heretofore practiced in. banking. This law was al.
legged to be too severe, and, in February, 1913, it
was amended, and number of the prominent cit.
zens belonging to companies which had petitioned
The Legislature for renewal OF their charters
were authorized to organize and commence the
business OF banking They declined, however. to
engage IN business on the conditions imposed, on
account OF the unsettled state of public sentiment
on this subject, and with view of obtaining bank.
ing privileges at a subsequent period, upon terms
more in accordance with their own views.
Inc persons who desire to embark in the busi-
ness OF banking in this State are requiring ercl,
s'oe privileges and special exemptions from which
the rest OF community are Inhibited, and which
the people, who anxious to protect their rights
and preserve their Liberties, should fully under
stand and maturely consider before they confer
them, without the necessary safeguards and lin,ita.
tions.
lst II is claimed that the banks shall have their
usual power to issue their coporate promissory
notes to be made currency by the authority of laws
aud to substitute them for the circulating money of
the country
I'd. That, in order to give their promissorv notes
more the appearance and authority of actual money,
Is claimed, that they shall be received in payment
OF the public dues of every description, by the pos.
live sanction of the government
3D. 1t is claimed, that the banks shall have their
usual powerssto put out their capital on loans or
drcounts, at interest," and aso to lend out at inter
est their paper credits in the form of bank notes. and
lhusFeceIve an interest on their promssory notes,
instead OF paying an interest," does the rest of the
community.
4th. 1t is claimed, that they shall have the pow.
er to receive the funds of other persons on deposit
Tor which they pay no interest, but upon which
they are enabled to receive and profit, by loans
and otherwise.
9TH tits claimed, that they shall have the author
ty to deal and speculate in the exchanges and pub
ic stocks OF the country.
9th. That they shall have the authority to grant
'redits on their books, and transfer the amount OF
he creditfrom one person to another and to make
oans, without limitation to themselves, their Off
;ers, managers and favorites.
9TH. That they shall have the authority to take
tx per cent interest in advance, on their loans and
Scolnts, and thus be enabled to realize compound
interest instead of simple interest, to which the rest
t the community is restricted.
sth. That they shall be permitted to transact busl-
ess, through the Intervention Of brokers, according
o the underwritten code of "banking usage;'
whereby they are enabled to evade, with mpunity,
he inconvenient restrictions of law, and iniunc.
ions of integrity.
With these ample powers, banks can realize .
ompound interest on their capital, the chief part of
which, they usually lend out, also, on that portion
their deposits which they lend, and likewise, on
heir promissory notes which they issue, and lend
ut as money; and besides all this, they can have
heir profits arising from their specuIatlons in the
xchanges and the public stocks Of the country,
nd their illicit transactions through the interven-