Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1845-07-25

portion OF the stockholders invest all !ha, they
are worth in lis capita, while the olhers AXE but
little OF the stock; the company becomes nsol
vent; ali The capital and property Of those who
invested largely in the stock are swept awoy--and
then. upon The Individual liability principle, The
smaller stockholders would be compelled 10 make
good all The deficiency. This the Egin!an
says, would I've manifest injustice lis editors
must kave strange notions Of Justice To whom
would injustice thus be done2 As among tie
siofkhoi6e,s Memsircs, il might rot be just that
those who were 10 have smaller portion 81 the
Profits should be compelled 10 discharge the lar
ger part of The bruhcns; but that is a question
for the stockholders alone; The public al large
would have nothing 10 do with it. The compa-
ny being in deb; 20 larger amount lhan It's CAPT
tai and asset, will discharge, who is 10 ear the
lossl The 5totadolitrs or the oedI.orsp Com
mon sense would seem 10 answer "surcly those
who, by joining in he enterprise, wers inst!n.
mental III giving credit 10 The company-enablet
it, in 50 dr as they were concerned therein, 10 IN
cur deb,s, and enjoy The services and acquire the
property OF different persons; and, II il be bank
ing company, 70 put It's notes into circulation"
The creditors could not control the operations G.
The Company-ihc Stockholders could The Gre
di,ors Snew Eo,hing Of lis ability 10 discharge is
obieaons--hc Stockholders have the power to
obtain such Information. and are bound 10 acquire
IT, not only OUT OF regard 10 their own interest, but
i,r the sake OF public safely; vet, under all ,hesa
disadvantages, the Editors OF the VirgiLian, sa-
pient ard very jut gentlemen, would have Us
throw The losses upon The creditors, and suf Tho
Stockholders 10 20 SEQ. free have long known
lha, a darling primo pile OF Wing policy was The
protection oil capital especially into'po56!fd ca
pifal but have never known II IN any DINER
instance 50 insoleniy and urjusi!y maintained.
But the Virsinian declares that il wonld amt
hilatc AL chaners-llIat We would have no incoI-
poraIcd companies al all aEs cites the instance .!
the Carlisle Bank, in Pennsylvania, In support oi
Ibis position. One swallow makes not sum
mer" One Instance cannot settle general prn-
ciplr. Men take >tock in companies, with he ex-
peclaiion Of making profits. II il be profitable,
their property will be in no danger. il they 10
mol expect L will be profitable, ,hcy viii mol N
vest any part of their capital in il, therefore they
can lose nothing y man would he foolish, in
deed 10 take hundred dollars worth OF The stock
OF The Company, which he feared would fan,
merely 5ccs Use his other property would not be IL
! danger Ii the scheme be feasible, and there is
! reasonable expectation OF profit, capitalists viii
invest their surplus fiEds--iEey will No; be deter
red by a contingency which they 60 mol expe0
will ever occur. II the EiiiQr, OF Tie Virg,nian
won'i look 10 The example of South casolina, e.
STATE from which ttcy might learn some useful
lessons about ether things, ~ well "a hansinc,)
7 they viii find banks which have, ior years been
organized on Tic individual liability prircir!".
7 which are nov sound ard furnishing have never
/ Welded TO The laie commercial pressure and
/ whose money is now circulating IN this part ot
/ Virginia more readily and 70 4 larger amount.
than that Of our own Bank.
In conclusion would say that canno, but be
! lieve hat The adoption Il lhe principle OF int
vidual liability il all incorporated companies,
would be Just and safe 50 far IS The public Is con
cerned; whilst il wouh tereft those institutions
lhcmselyc>,hv increasing public confidence their
sovency and stability, thereby cnablingthcm 70 d
more business hRlSTlDES.
We have not sufficiently studied this import
ant Guesiion, nor 10 We know enough .! The *
perence ct similar institutions, 10 olm a cor
elusive opinion; bnr, as al present advised, "
arc inclined 70 think the principle a sound arl
aiuary one Eaqauc,.