Weekly Indiana State sentinel. [volume] (Indianapolis [Ind.]) 1853-1861, 1855-02-10
Sketch of the Debate on the Free Bank Bill, in


bills of less denomination than ire dollars
which did not prevail
Mr.. Landers moved to so amend the bill as
to require deposit Of one hundred and forty
dollars worth of stocks, instead of one hun
bred and fifteen, as specified in the bill
Mr.. NewcOmb offered an amendment to
this, so as to require but one hundred AID
Twenty-Five
There were two objects, Mr. Newcomb
said, to be kept in view in creating banks
one, to have a safe systematic other, to es-
tablsh them in the confidence of the people.
We must look to both aud both, he thought,
would be reached by his amendment He
had shown it to the Chairman of the Bank
Committee (Mr. Hudson and it had received
his appreciation.
Mr.. Frazer-he had always taken the Chair
man for his guide in banking matters, but if it
true that he has consented to the passage
of Mr.NewcOmb's amendment, hecould depend
on him no longer, for be thought its adoption
would destroy the bill. 1t was unnecessarily
oppressive, and would force the specie paying
free banks to wind up. lie was no friend to
banks, and he detested those whose issues
were not secured to the bll-holder. He
would rather have no bank, than an irreSpon-
Sible one. But in securing these issues, we
may go too far, and unnecessarily Cypress the
banker.
Mr.. Hudson-the Committee, since the adj
jOurnment yesterday, had carefully deliberAted
on the proposition to increase the amount of
securities, and had come to the conclusion that
one hundred and fifteen was most ample. He
had said this morning that rather than have
the bill defeated, he would vote to increase it
to one hundred aud t,oenty ,fUe, but he could
not vote for it now. The Committee were
unanimous in their belief of the impropriety
of increasing it.
Mr.. BuSklrk said that, like Others, he felt
compelled to act in this matter, not as if it
was an original proposition to create new
system of banking, but as one to do what is
best under present circumstances. lie had
opposed the system when it was first cstab-
llshed he would bow endeavor to perfect the
bill, SO that if it did go into operation, it
should effect, for good, whatever the system
could do. lie believed the amendment OF Mr.
NcwcOmb ought to be adopted, and would
therefore vote for 1t, even it upon final action,
he should vote against the bill.
MIR. Walpole inquired what securities the
States of New York, Ohio and Wisconsin re-
quired in their general banking law ?
York and Ohio but one hundred dollars worth
OF bonds We're required Tor each hundred of
issues, and that lip Wisconsin Que hundred
dollars in bonds, aud twenty-five per cent ad-
ditional security, such Is provided for in
the 46 section OF the bill.
Mr. Clark of rippecdnoe expressed himself
satisfied with one hundred and fifteen in
connection with the other securities, although
he thought, at first, that one hundred aud
twenty-five ought TO have been required.
Mr. Mcllett said that the twenty five per
cent referred to in the 18th section was two
uncertain to be regarded. 1t simply required
the bank owners to show they had taxable
property, free from incumbance, and within
the limits OF this State, OF an amount equal
TO twenty-five per cent Of their circulation.
This property they might have Que day-not
the neXt-he preferred mortgage on real
esta e.
Mr.. Landers mt we'd to lay Mr.. Newcombs
amendment Oh the table-nOt so laid, Ayes
80, Noes 40.
Mr.. Meredith declared that he was now
opposed to the whole concern; that he had
received "A large number of letters this morn
ing calling upon him to oppose the bill; that
ninety mite OF every hundred Of his constit-
uentsy were against 1t, aud that no amend
ments could be made, which would restore
the system to the confidence OF the people.
But be wonld vote for perfecting the BILL and
to perfect it. 1t not necessary to vote an
increase in the bonds deposited rs securities.
The best of the present free banks are based
on 21s aud per cent stocks. and some now
at the greatest discount are secured by per
cent. stocks. Starke county bank was one
of hese; its bill were deprecated fifty per
cent. Confidence must exist-it is that which
sustains banks, aud if it is wan ing, the addi-
tionaI security of hfty per cent. would Lot
sustain bank. That confidence rests more
on the men engaged in banking, than in the
securities pledged.
Mr.. King of johnson denounced speeches
made for Buncombe merely. Responsibility
ought not to be avoi led by any one; nor ought
party schemes to enter into our deliberations
here 1t had been intimated that if the Flu
sionists would put their feet OH all banks,
they would triumph in the next election, be-
cause they would he aided by Democrats hos
tile to all banks But VIC must look to our
duties as representatives and what do we see?
Taxes have TO be paid in free bank currency
A large portion is now in the county treas
uries, and to destroy the system would impair
still further the value of the notes, because it
would be a declaration ON our part, that We
have no Co filencc in this currency. There
was much outcry by those who had nothing
to lose, but the farmers who now had this
money, demanded it to made gool-not b
be destroyed These are the men who we
are sent here to legislate for. As a security
the State bank system can give no more that
thirty three per cent, but the worst of the
present Free Banks has far greater security
that this. The people can see from our law,
whether the banks created by it, rest on a safe
basis, and when they that this is done
they will give it their confidence.
Mr.. Sturgis-ne was a member of the
Committee on Banks, and they had given the
whole subject most careful consideration.
He believed the bill was about right, and he
would oppose amendments. The smend-
meEt proposed would lock up too much capt.
tai in stocss, and SO much was not necessary
as a security to the bilholders. Ii future
depreciation Of stocks would be no gTeslter
than has been, The amount OF securities re-
quired by the bill would be sufficient.
The system 1t proposes to establish is OPP
posed to monopoly. As a Democrat he was
opposed to all bdnks-he was in favor of a
hard currency, but we were obliged now TO
have paper currency. He desired to make
it perfectly safe, aud the bill, he thought, did
this. Even the present currency had re-
suited in less loss to the people, than other
banks had occasioned.
Mr.. Gordon hoped that no effort would be
made to turn this into party question. What
the people demand of us is, that we should
put the currency on a safe footing The gen
tleman from Wayne, (Mr. Incredibly seems
to think that public confidence is the only
trn.. banking canital IL Wa vnrv ,rnnd In