The New York herald., 1845-02-27

ing capital OF $lO S70,OS9 The loans and discounts
these banks at that time amounted to sls6O5,662.
comparative statement of the banking moveme
in Ohio for two periods.
:, ONO BANKS, 7. 1887 AND ls4s.
Saa SMsy iss g ssss ssss sssss
Decrease IS SIS sa4s ssOsas ssoa sac sOso7l $3.50
This table shows an immense variation in the bank
operations Of that State In eight years there has bee
decrease in the discounts OF the banks Of than
teen millions OF dollars Twenty five banks have gone
OF existence and the bank capital has been reduced h
nearly eleven millions do 10 about three. This contI
ion in the banking system Of Ohio has been attended
serious embarrassmens, with wide spread ruin snd s
mense losses. According to the reports made within
past few months II appears that the operations Of the
from the prosperity that exists in all parts OF the Sate
think the people have all the banking privileges requ
The productions Of the state have RAPIDLY u
the limited operations Of the banks, and its resour
nave been more rapidly developed than when all spec
Of speculation ragged SO extensively.
The bill which has just passed the Legislative of OF
to increase the banking capita of the State, will do
20 bring ABOUT specuatons tn any thing else the Lei
lature have done Very few States in the Union have
iered severely frsm mismanaged banks as Ohio, \
the people cannot the experience OF the past in
minds be in favor Of such rapid and extensive incre
in banking, as this bill authorizes.
We published few days since extracts from memo
presented to the Legislature OF this State requesting
passage of law to compel the banks to make then
sues current in tais city or in Albany We have 81
winter by the com mittee on banks ia the lover hous
the Legislature of this State and 6nd many str
arguments against the passage OF any law requiring
banks to make their issues par In this city. The
extract from the report alluded to shows what
would be produced should the prayer of the petitioner
granted
"Our State is surrounded by institutions whose iss
are not and will not be made redecmable ia the city.
in direct and constant commercial intercourse
the Canadas, with the New England States, with
Jersey, with Ps nnsylvania with Ohio, and with tho
er States bordering on the great lakes On every 4
tier we are exposed to the introduction of the cure
OF those States-a currency that is beyond The
our laws, and whose intrinsic value is unknown to
community. The policy hereto pursued has prev
ed the general adoption, by the inhabitants Of this ST
of theo notes of these bordering States In the atte
to make our present circulation desirable,
take it away from cur own people altoge and Civ
its place one OF uncertain value and entirely beyond
control of our lawsn
We have laws statute books prohibiting the
culation of the issues Of foreign banks in this State
they are dead letter II these laws could be enfor
we should be able to obtain the passage of law
ing the issues of our State bankst be made par at
tain point We have in circulation in this city and
the Issues of every bank in the country and in the
das. Of not only the good banks bat Of the worst
plaster. wild cat banks in existence Should the is
Of the country banks Of this State be made par in
city, there would be demand for the issues Of b;
which were at discount and the bills OF our b,
would be exchanged for bills of foreign banks by
having large weekly payments to make to the labo
classes, and the mechanic would therefore be comp
to receive currency very much appreciated,
which he nightkbe obliged TO pay discount Of one
or three per cent II IL long established custom an
the master mechanics OF this city, to 60 into Wall
every Saturday with their current funds and exch,
them for other funds, which are at discount T
bills they pay out, for the amount they represent to
bills SO long as they will pass, the more profitable to
purchasers BY this operation many master mech;
make from $50 to $76 per week.
The circulation oil the Safety Fund and free banl
this State, n this city checks the circulation in
sure OF the issues OF foreign banks but the passage
Law compelling the issues Of our banks to be made
| rttr r. A.. IL
| amounts of foreign bank bills and give us curr,
more mixed and more deprecated, than we now
we should that OF two evils, reject the greater.
the passage of law compelling our banks to improv
value Of tner issues by making them par in this city
should be flooded with shinplaster currency it Is
, ths. the passage % Of such lazy would produce more
sage Of such law but this il sufficient 10 satsf
The report before alluded to, contains other argun
against the passage Of bill to redeem their notes
IN this city. We annex further extract.
"Cases are not unirequent OF combinations to des
banking institutions If for every dollar to be rede
two dollars must be provided, one at the counter
ty could any bank issue its notes ~ "While II wa
cumulating funds at home, Its notes might be COLI
for the very purpose OF destroying its credit by der
in New York, or rice persa Under this sy stem
bank would be in the power of any capitalist who sb
have an interest 10 subservc, passion to crafty
destruction He would gather its notes, and. ha
learnt where its resources most concentrated
ssnt them at the other place for pay mont and fai
obtain IL, publish the institution as bankrupt
The banks Of New England are not compelled BY
10 redeem their issues in Boston The Suffolk Bank
tenn is formed by n mutual agreement between the b
OF the N Il. States and the arrangement cen be broke
by any bank, should stempt be made to use il or
sively 30 long as the banks ad il for their mutual
rest to sustain this system they will do so but the
bound by no law or any other power should the
Of this State be compelled by law te adopt the New
land system CT redemption. there would be aIterns
but, under any abuse, the hanks would be COMPEL
must submit 10 it.
In 1888 there was law passed by the Legislstu
this State, providing for the redemption ofhe noeao
Safety Fund Banks In this CITY, On the 26.h of
tlat year. the redemption commenced and the
Bank, the Leather Manufacturers, Bank, and the
chaus' Exchange Bank we're appointed agents for
purpose. This system was enforced up to July, II
little more than two years, and throughout the who
that time the city was filled with all kinds OF Viii
shinpsster bills. and the paper circulation was
most worthless description As soon az that law
pealed the currency rapidly improved and event
became tolerahly good. When we surrounded
such banks as the Planheld Bank oi New Jersey, an
Lehigh county Bank Of Pa, 1t is highly importan
we should enforce what laws we have on our ST
books to prevent the circulation OF their issues with
limits
the Legislature Of that State on the lA,h inst in rel
to the proposed loan in aid Of the Canal He SAYS thl
landholders agree TO advance one million six hi,
thousand dollars to complete the Canal provided
levied under the authority OF the Legislature, no
session, and measures secured TO nav one half "
dividend on the LIST OF July 1876 o one hall of one Der
on the whole existing debt, w hc taking that whole
ing debtt amount TO eleven millions Of dollars,
mqure annually, cne hundred and ten thousand dc
That tho interest remain at one per cent until thu
day oi July, ls45. when dividend OF one per cent
annually, ." p2id mtsna ananailg two per cent.
the interest ahcniit ain to t.t cent until thu
day Of July, A. y 1870 ,Vhsn a ityri nd should be
OF one and halt per cent making annually thres
cent That the interest should renain at three per
illthe arst Of July, 1882 when dividend should be
Of two per cent making annually four per cent
Al trt