Glasgow weekly times. (Glasgow, Mo.) 1848-1861, 1851-01-09

claiming as now due, $l24,O26 At.
transmit, the nccount TO the legislature,
and recommend that the claims Of the
bank be investigated and settled upon
principles ofjustice, both to il and the
State. The items in the account, have
reference 10 money advanced, and in
,eres, upon bonds paid for the State,
and interest upon these advances. The
only question which have been able
TO discover, admitting of any contro.
versy, is whether the bank, as the fiscal
agen, of the State, will be allowed TO
charge interest upon advances made,
when al the same time, the money of
the State was in the bank--lsft there
for the purpose of meeting these de.
mands, and subject at all times TO their
payment.
] feeli il my duty 10 bring before the
legislature the subject Of re organiza.
ton of The Bank Of the State Of Mis-.
souri,, and to recommend such measures
as will entirely disconnect the State
from it, In taking this step, it is not
with view Of finding fault, or casting
eensure upon those who have hereto.
fore had the management of the bank,
bu, from the belief that there is an in.
herent defect in the system, under its
present organization, and a conviction
also of the impolicy of the State be.
coming banker. and that if The con.
nexion now existing between the State
and the bank continues, it will be apt
to prove prejudicial TO both.
The charter of the bank fixes it's cap.
ital stock al five millions of dollars, and
in compliance with a provision of the
constitution, one. half Of which is re-
served for the use Of the State. CT
this reserved stock, only soT2,263 &C
have been invested hy The State in her
own right, and 672,ee7 96 dors-,he
University and common school funds
have also been invested by the State
as stock in the bank. In reference 10
this, Il c State can only be looked upon
in the light of trustee responsible for
its management, and morally and equi
,ably bound to make it good, if any
portion Of it be lost.
Individuals own Of the stock Of the
bank is253,962 81. so that according tc
The charter, the control and manage
ment of the bank have been entirely
in the hands Of the State, or governed
by president and directory elected by
the legislature, or appointed by the ex'
Ia ha a.
hold the stock invested, and to be res
ponsible for that ofthe University and
common schools. and the disproportion
of the stock held by private individuals
continues as great as it is, il is not my
purpose TO recommend any change il
the management of the bank.
The knowledge derived from The ex.
pericnce Of our sister states, strength.
ened by my deliberately formed opin.
ion, in reference to our own bank, has
satisfied me that the State should never
invest its funds in any institution, the
object and aim of which is to deal in
money. In the selection of directors
by individual stockholders. the choice
is usually made upon personal knowl,
edge of The individual selected, or upon
information derived from those having
q like interest in the matter. But in
the selection of directors on the part OF
the State, il is impossible that either the
legislature or the executive, can have
the same means Of making a judicious
choice. They are often called on TO acl
knowing nothing of the individual
recommended for the station, other
than recommendations, which speak in
general terms of qualifications without
affording any test, by which TO discrim-
mate between the applicants. These
recommendations may also often pro.
coed from those who have no other
object in view, than that of advancing
their own interest. With a directory
thus selected, having no pecuniary in.
teresi in the bank to look after. and
most frequently engaged in other ac~
tive pursuits, their attention TO the du.
ties OF director must necessarily be
secondary in its character, and the
rights Of the State are often liable TO
suffer for want of more vigilant guar.
dian of its interest.
With the view, therefore, ofdiscon-
Meeting the State entirely fIom the
bank, | recommend that an act be
passed, authorizing the State to sell
the stock held in her own right, and 10
withdraw from the bank, as stock, the
University and common school funds.
the bonds Of The State are now out for
the amount of our State stock, or in
other words, we are now paying semi
annual interest upon borrowed money
to bank upon.
This stock should be sold upon such
terms as will pay the bonds, upon
which the loan was effected to pay for
it, and relieve the State fIoa any flu
ture liability for the bonds. OR interest
a. n. =. Ii