The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1851-03-17

received at par in their business In year the largo
sum of seven thousand dollars. OF the truth Of thin
know nothing but We have reason to doubt it,
nor that there many houses among u.s. of extended
business who're expenses in this way fully equal tho
sum above mentioned These the circumstanceo
which induced many of our first business men to.
subscribe readily and simultaneously to the capta2
stock of the Bank of the Metropolis institution
the purpose OF which to relieve the New York public
from this oppressive tax the sinews of trade.
II we correctly informed 1t is the intention OF
the bank to receive the notes all the banks in this
State par rom positors and acting
the tactics Of the Suffolk Bank, Boston, to compel
those banks at the North Vest an elsewhere in tho
State not redeeming at par in this city to do 80,
by returning to them, at their own counters, large
quantities OF their notes, and demanding therefor
specie, or drafts New York This, the baxk here
could readily do to such of the country banks located
st any point easly reached by steamboat raroads
but whether 1t could be SO readily done where tho
country bank il located almost In the primeval wilder
away from OF the usual routes of travel in
another matter. We will not canvass this, how
ever. It could be done by those who never say
fail; and though We apprehend thst the oHicerc
and directors of the bank here, would expe-
rience much more trouble, and anxiety at the rska
from robbery &C., TO which their packages, JOLT
ng away in stage coaches, and in open wagons, would
be exposed than the country banks would feel At the
presentation of them for specie or Its equivalent at
their counters Yet, with this nothing to do.
They thc officers and directors) have It. and
here can be no doubt but that merchants would
experience great and satisfactory relief from their pro-
sent half per cent tax If the design of the projectors o
the Bank of tho Metropolis is promptly and energst
cally carried out. But here another question arises
would the relief be permanent? We think not.
Ever since the passage Of the present half per cent
exemption law, 1t has been, and is now, customary
or manufacturers and others who have laborersx
mechanics workmen In their employ, to buy
with current funds tie half per cent money o.
this State OF the brokers, receiving . prsmiuns
their current funds Of from forty to fifty cents
per hundred dollars. or, in other words getting tor
every thousand dollars of par money, one thousand
and four, one thousand and FIVE dollars In Wes-
term (somstimes they get time, instead of Q cash
premium,) wherewith to pay their employees. To
those paid, it is OF no consequence whether the
money be city, country; there Is not grocer or
shopkeeper, who does not gladly receive this
rent msney from them, 1t par, in exchange for his
groceries or other goods, knowing while receiving
it. that the bills in the most perfect man
by the deposit Of stocks, &C. So with the soun-
try merchant he gets discount ct his local bank at
home and, receiving the proceeds in draft THO
city, he comes here to purchase goods or to make pay
ments his Indebtedness Does he use the draft for
these purposes! No. He pursues the course Of the
city employer, and buys -" Western,n knowing full
well that the competition in trade Is such here that
no objection will be made to his half per cent money
and that 1t will be taken 1t par by any house With
whom be deals
But, suppose the Bank of the Metropolis to
have accomplished its intention. Of forcing al,
the country banks Of this State, to redeem at
par In this city. will the large employer, or
the country merchant, cease to take adyan-
tage of the opportunity to make four or five Per.
cent on every dsliar they pay out VIII there be no
uneurrent money left for them to buy, We think
there will be and that Of the worst and most unsafe
kinds. Our own secured notes, forced out Of crcu-
lston by the means last mentioned, will be replaces
by Eastern, New Jersey and Pennsylvania bank notep
here. At the West We shsn be flooded with Ohio
Michigan, Canada, and wild cstn money, in all it's
varieties, while we shall have monthly, perhaps
ofensr, explosions on the most approved Plainfsld
and susquebsnpsh County Bank plans, of banks
established without basis for the parpose OF asscin
the community The Bank Of the Metropolis having
conquered the banks in this State still finds it's an
tasonist, rising hydra headed outside our borders:
for every banh of circulation coerced here number.
viii spring into existence elsewhere without basis
capital OF any kind Will IL enter the contest. Will
ratempt, or has 1t the means to be- attempts to
be- even with Its t~o million OF dollars capital the
great regulator not only OF this State bat OF thu
adjoining ststesf
lne city OF new orh IA the commercial EN- porium-
the great heart OF this country Here center all kinds
OF money ell manner Of people and all sorts Of goods
and merchandise. The bank notes OF Kentucky or
Tennessee are here To get them home is costly and
this cost calculated and paid for In the shape Of dis
count Ours 10 q country Of magnificent distances,
and It s this which makes an possibility chime
ra-to think IF equszing the exchanges Will. the bal
snce Of exchange las IL is and always will bel 1, In
favor Of New York The principle Is the same pro-
portionat WHISTLER applied to New Orleans or Buff.
falo.
There stil remains In State, some twenty or
more, safety tun1 banks without shadow o. security
In case of failure to the bholders the safety fund
being e1hauttsd LIT supposs that the Bank OF tho
Metropolis has gsrnered up . lafge amount Of the
notes Of one Of these banks they me- they
are pretsnted will gay at the counter of the Lewis
County Bank; the very presentment causes failure;
tbs bills are worthless. tor the time beiag much OF
the capital Of the BANK OF the ae,ropo. locked up
in any event half or than half may be rsalred
Toes .nsue. on whom doe, the lo.s fail, The stock
holders Of the Bank Of the Metropolis would even
tUsy md out II sueh Is the rick in cases like this
in our own State how much greater would IL be wero
the notes presented TO a Ne~ Eosland New Jersey,
or Maryland banS where the billhodsrs have no pre-
ference over ether creditors!
The country merchant nov IL In the habit Of pro-
curing dseounts at home and paying cash to a GER
tain extent for bis purchses here then the country
bank perhaps, viii not discount Is IL will seek to
husband its resources TO meet Its redemptions 1t viii
have another for not discounting; II will not
desire to pay out its notes the certainty Of ther
being returned for specie A. fast railroads. Gao
bring them. II will rot renew Paper already discount
ed cra en,ues and the creditors Of the ants
the hssvest OF whom reside in this city, The saf-
ferersi or II the creditors reRew taxing the m.r-
chants paper payable at home they have to pay from
one to tive per cent for cosc ting f. vale they .bor
under lingering slspcion that 1t will not Be paid at
maturity
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