Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1856-02-19
lieut.. C"I. .. ;. Amy.
JANIS Lyons, Eae., Richmond, We.

For ihs E"7D,r'r.
BANKS AHD 3AEKlNG-THE WHOLE MATER IN
a Nut .HELL.
Our banking institutions uru a.saiisd: firstly, By in
teriial Improvement men, who wish II divert "a large
portion OF the capital now employed III banking 10
their OVID use. Secondly, by merchants, who buy
their goods Z. tho North, who Orc unwilling 10 pay
any difference in exchanges. AZ {" the ir-t
class they simply say :-"You have inonry-we
want II, aud intend to get iii we cab" This is oan
did. Lei us soc il the Legislature will enable them
10 succeed. -Arsufueu: ia Hsclea.. when resort IS had
simply 10 numbers or party. With This statement,
We dismiss the dr,, cla~s. Now, as u the second
clsss. They Aro 3 class %: gentlemen who buy none
Of the products Of tho State, hut purchase their goods
from our bittsre.t cnUiIiGs, the Northern fiua:lcs. en-.
abliug them to assaii our rights aadinsttu,inus These
worthy gentleman say to DIR millers and tobacco
manufacturers. aud other dea,ers in Virginia proiuc-
tinns, we want your drafts on the North q: as low u
figure as possible, for whatever You get above par
we lose, and rs We Contribute more Thy selling IAN
kee goods) TO the advancement vi the staie than you
do, iby purchasing tn. prniuco Of The coun;ry.) VS.
Will get up a ciamvr against tho Banks. 10 induce the
Legislature 10 cripple them and proven: thon from
dealing in exchanges, whiJh Will enable MS 10 get
your drafts al our own rates. This IS the secret OF
lbe whole matter.
Some Gentlemen srcm 10 think tia. the diforcuos
IN exchanges ID = loss to tbs State. No:,inS is moro
erroneous flour mil!ers, mdna:nclurersnaa other pro.
duce dealers make a profit by exchange, II cnlDles
them 70 p1y higher prices for produce. Which %!
t,,.c two classes, slouid IL, Legislature encourage !
We answer. neither: bu! Jay to the banks receive
WHAT Tuu piena"; pay "u; what you please. When Il IS
scr eeutto 10 both par;ieS: but you must pay al Just
demands in gold an silver, when required. This VIII
,nakr onr Banks reaiiy sPsci" paying Banks. Iii-
il all that is asked b. the committee 81 the Board ot
Truie. should q law DC pnrcCa preventing III" Bauks
from paying OFT ANY ";her ;hHn their own n"te''i'
vii! cu:npy: :LJ c;:y Banks either 70 d.scled!t t!ie
notes of country BaIEs by refusing to receive their
issues, or 10 return them immediately tar redemption
in specie. which, in tIm.s OF pressure would caus. d
suspension. Atop: tue iudepcndont State Stock SYSTEM
and il will cause three.tourths ct The present banking
car;tni Of rho Stat. - concentrate in soma Eastern CITY,
probably Richnloui, TO the injury OF oil the in:erIor
towns, as at lcnst thi' proportion OF the banking
cnpitul OF tho State 10 owned by those who would pre-
Tor Ia have their money invested In institutions DOING
business in n large commercial c;ty, rather than mn
Inland town. Moreover, it ia in :he power OF Banks,
iu large commercial cities, to opprcss such Banks Ms
they may choose, which ara lees favorabiy located.
This power is owing To the fact that a much larger
prvpoction Of their disruunts are always lett with
th.m in the form of deposits, combined with the ne-
cessarY flow nf country rapsr 10 the centre OF "om'
merce in times OF pressure. Cnttor tne present sSs-
TEN, il il not the interest OF tho mother Banks 10 OPP
pres. their branches; but shonld the Legislature pro-
hihit the city Banks from paying ont other than ;ilclr
own notes, i; will compel Them To return all such
notes for redemption IN specie. Whit effect snch a
course would have Oil the country Banks any one ~
all vrracI in banking may eaS.iy imagine. ii"d tins
proposed ~, form been the law OF the land during
IN. last twelve mouths, no, a single country Bank
could have discounted Il dollar. The Stale stock
Il INKS would havs been compelled 20 WIND up ara
forced To Sell their state securities 10 redeem their
Issues. LIST us have both systems. But they cannon
subsist together if the law compr!s lhetn to war on
each other. COMMITTEEMAN.