The Yazoo Democrat. (Yazoo City, Miss.) 1844-18??, 1845-10-15


Individual citizens, without their consent BY
al act subsequent 70 the granting Of the
charter, and the making Of such contracts.
/ If the Legislature can do this Il can pass a
law impairing tle obligation Of contracts
though prohibited BY the constitution Of our
State and Of the United States, and make
and alter contracts Of individuals at pleas
ure. Not one of lie banks Of the State
could pay their liabilities if they could col
lectall the debts due them By solvent per
sons, and from their past history we could
have no confidence or hope they would pay
their liabilities If they could. AS to bank
trustees or assignees, all experience proves,
that when bank goes into their hands, il
lis usually in too desperate i state ever to
recover and meet its liabilities. The high
salaries Of those trustees and assignees us.
ually allowed them, and Of the bank attor-
neys together with thoexpenses incidentt to
the trust or assignment forms burden which
inevitably brushes them. Indeed the trus-
tee feature in the amendment seems as
though it was intended 10 furnish fat sala.
ries for the old officers and attorneys Of the
banks-for it is hard To see how any re-
flecting man could have expected any ben
eft to result to the creditors Of the banks
from the appointment and agency of tus.
tees under the amendment. No such pow.
er is given or duty assigned them as to pay
creditors of the bank, even after they shall
have collected the debts. No provision is
made Oh this subject. And if power were
given them to make distribution amongst
creditors, what an enormous, dangerous
and corTuptng dscression would be given
them What wide door for speculation
and fraudi The salaries would be a stan
ding temptation to procrastinate final set
! Element Of the trust--a court Of chancery
would then have TO be resorted to-and
from the great number of creditors, the de-
lay would be great and the expense inn
naense- more than two thirds Of the credi-
tors would soon find their claims swallowed
up by litigation the result would be that
allofthe assets not consumed by the expen-
ses Of litigation would be bought up BY the
trustees. A richer Geld for speculation can
scarcely be imagined. The amendment is
very defective- 40 person Is designated to
whom the bond required Of the trustees is
TO be made payable.
ImPutations have been cast By the oppo-
nents on the advocates of the Briscoe Bill.
And it Is said that the debtors Of bank are
morally bound to pay even if thcy are le.
gally discharged and released after a judg.
ment Of forfeiture against the:bank. II is
difficult to understand what the legislature
has to do with the individual opinion Of the
people as TO their moral duties, as well
might it interfere with the freedom of reli-
gious opinion. These are matters for the
consideration Of individual citizens alone.
Ii is sid that these debtors got the notes
Of the bank when they were at par value
and bought lands, negroes, DC. with them.
Admit this to be true, yet perhaps this same
banks stockholders (for It is known to be
the history Of out Of / 0 Of all the banks
in the State) never paid cent Of their
stock in specie or in the notes of specie
paying banks as required by their charter
OF at least Payed no'more than was neces-
sary to put the bank in operation, and gave
their individual Promissory notes for the all
most entire amount oe their stock, in frau
dnlent violation Of their charter. This was
fraud upon the State, upon the borrower
and upon the public generally. The bor-
rOwers cannot in any event be said to have
received something for nothing, for the
notes either cost the bank nothing-or at
most not more than few cents each. the
cost Of paper and engraving them. And
the promissory notes Of debts collected by
every bank in the State, have amounted to
ten times as much as would have paid the
cost Of outfit incurred by every bank in the
State. The exorbitant prices given TO
property by the inflated issues Of their spe-
cie currency by the banks caused the bor-
rowers to pay four or five times as much as
the intrinsic or proper value Of the property
which they bought. Besides the people Of
our State as a community, and as individu-
ais have paid heaEis55 enough for the ruin
Gus effects of fraudulent banks. The banks
have entailed evil and injuries upon our
peo6le that cannot DO estimated in dana
ges. They have bankrupted individuals,
swallowed up private iortunes, corrupted
public morals and destroyed tie prosperity
and credit Of the State. Had che fiaud q
TIE non-payment Of stock been discovered
81 known whilst The borrowers had the
bank papers in their hands f would have
deDreciaisd 10 nothing But admitting il
the debtors were released b. judgment q
Forfeiture would Be getting something for
nothing. what thanks % he banks deserve.
who al the time were committing a traud I
Their aockbolders did noi eifs ihell issues
credit and currency, bot thar much SANDER