Mississippi Democrat., 1846-05-06


November, 1885, to-wit, IN January, 1887.
The law was submitted to the people at
the next regular election in November,
1887, and by them approved. The first
section provides, that the capital shall CON
sist of fifteen millions five hundred thou
sand dollars, to be raised by loan. The
fourth section says, e" That the owners of
real estate situased in Mississippi, and who
are citizens thereof, shall be the only per-
sons entitled to Subscribe for stock; and,
that to secure the capital of said bank,
mortgage shall be given on property of
sufficient character, and Of an imperisha-
BILE nature"
The fifth section provides, that sin order
70 facilitate the bank in borrowing the ca
pital, the faith OF the State shall be pedg-
ed as security for the capital and interest,
and that bonds shall be issued for this pur-
pose" The seventh section enacts, that
" both The capital and interest of said bonds
shall he paid by the bank at the times
they shall severally fall due"
The eighth section enacts that to secure
the capital and interest of the bonds, the
subscribers Of stock in the bank shall be
bound to give mortgage, TO the satisfaction
OF the directors, on property, that is, land,
or land and saves-no- mortgage on slaves
alone to be received: and, when given on
land and slaves in connection, the value OF
the land 10 be three. .fourths OF the stock
secured by the mortgage. The properly
TO be valued 10y disinterested persons ap-
pointei for the purpose"
Section nineteen provides, that "one-
tenth OF the whole profits of said bank
shall belong to the State, and be paid into
the treasury of the same.' The thirtieth
declares that = the Governor of the State
Will, from time to time, execute to the
bank bonds, as provided for in the fifth Sec
ton, Pfoportioned in amount TO the sums
subscribed, and secured TO the satisfaction
OF the directors, as required by the charter
till the whole amount shall be furnished.
This charter came before the Legisla-
ture for the second time in January, 1888.
A i0nt select committee of both Houses
was raised, TO whom the charter was refer
red, with Instructions TO inquire and report
whether the same could be amended by the
Legislature, and become a constitutional
ta1C This was done with the view of hay
ing 1t State institution entirely. Tins
reader will bear in mind thai a Joint Sc
lect committee is the strongest and most
important one known to a legislative bo
dy. This committee reported on tile six
teenth of that month. The report was
unanimous, AMI unanimously received
We will refer the reader TO the following
strong language used ln that report: Z" Blu
as TO that portion of the charter which re
lates to the subscribers, or stockholders o
said Institution, it being the primary con
dition on which ihe faith of The State is L
be pledged, and, as such, constituting {
vital part Of ii, we have no power to change
the same, unless IL shall be again submit
ted to the people for their sanction, which
would have the tendency TO postpone, for
two years longer, It's consummatlon. Thu
| course, your committee believe, would bC
| directly at war with the wishes of ou
Constituents"
Thus, ii will be seen, that the very lie
gislature elected by the people, alter the
charter had been submitted TO them, re
ported against any alteration in its mos
essential feature-and thus they reported
because they had no power to alter Law
passed by the people at the ballot boxes
Having been Instructed to report in favo
of altering the charter, it is very clear tn
committee would have done so, if Their
had noL been insurmountable reasons t,
the contrary.
The people had consented that the fait
OF the State might be pledged, or, IN othe
words, that they lcouId become the SecurH
of the stockholders of the bank in borrow
ing the money, after the stock was take
by citizens Of the State, and amply secuI
ed by mortgage on property of an impe
rlshable nature.
!, The pIedging Of the faith Of the Stat
was 10 be subsequent 10 the securing Of tn
stock. The bonds were not to be issue
till this security was given to the people, i
order to guard against any possibility {
f their being taxed for the payment of then
The subscribing for the stock and secul
t ing it, was condition precedent TO thu
Of the people becoming the security of III
stockholders for the loan contemplated b
the charter. Every possible guaranty
given TO the people, and there is nothin
left 10 construction or implication.
The stock being amply secured by NOR
gage on property unincumbered, and OF a
} imperlshabIe nature, and the bank ber
bound for the payment of the princip
f and interest Of the bonds, the people we
: running no risk in Ioaning their name
r the bank. In addition, The section givir
y one-tenth of the profits to the State, b;
1 an influence in inducing the people
: sanction the charter when it was submit,
to them. They were told, that this won
S lessen their taxes. This was urged,