The Richmond palladium. [volume] (Richmond, Ind.) 1855-1875, 1856-02-21
/ FEBRUARY

ocratic creed Yet he himself when mem
Der of the Legislature. in 1884. uoted for the
charter Of the present State Bank Il Is
said he advocated the passage Of the bill II
one or more speeches
! He denounces some Of the provisions Of
! the charter Of the new bank as nonstrous.
and as conferring privileges aud powers which
no fair capitalists could desire. Yet, strange
as il NAV seem. the charter does not confer
upon the stockholders any powers or pririle-
yes which the stockholders OF the present
bank enjoy, and every one of the provisions
which he objects TO will be found in the char
ter of the present bank. except wherc some
of the privileges granted to them have been
curtailed.
He says the capital stock is exempt from
taxation for municipal purposesl So is the
capital stock of the present Bank. But the
real estate and other property of the Bank SIT
uatea aciktin any municipal corporation as tax
able for municipal purposes. and by the char
ter Of the present Bank 1t IS not. The capital
stock of the new Bank Is taxable for state and
county purposes in the same manner other
property. but the capital stock of the present
bank is not With what kind of face can one
who voted for these provisions in the charter
of the present bank object to those in the char
ter of the new bank,
! He says, .the right is given 70 issue post
notes, the most worthless Of all bank issues"
! The right is given precisely to the same ex-
tent and in exactly the same words. that it is
! given in the charter of the present bank as he
Uoted tor it.
/ He saws mo additional branch or branches
can be established, let the wants of the coun
/ try be what they may. wi-hou. the consent OF
taco thirds of the branches The charter of
the present bank provides, that additional
Branch shall be established without the con
sent Of al the Branches, and he potea for a.
( He complains that by the 9ist section the
/ Legislature cannot alter or amend tie charter
without the consent Of the Bank and Branches
This same section. in the same words, is in
the charter of the present Bank, and he vote7
for il.
! Ii such provisions a. these are oiions now,
/ were they any less SO in 1884? The only
reasonable mode OF explaining the very diff
! ferent impression they seem to have made upon
his exceilency then, is upon the supposition
that he was then thinking of another road TO
Washington City.
WHAT THE NEW BANK IS.
The new Bank OF the S.a.e Of Indiana is. in
reality a continuation of the present S-atc
Bank with change of stockholders, and Al
increase in the amount Of capital and number
of Branches. commensurate with the increased
wealth and population ot the Safe. The sys-
TEN upon which that Bank established,
has proved by the experience OF twenty years,
to be a most excellent Ii has worked
admirably, and has secured the confidence o:
the community 10 as great an extent as any
other banking system Itt sitv Cniuu
The new bank is established on precisely
the same system modified only 50 far as is re-
quired by the present constitution Of the
State. The greater part OF its charter, IN fact
all that part OF it granting banking powers,
prescribing the mode Of doing business. and
making provisions to give adequate security
to the holders OF the notes and It's creditors
generally. is taken word for word from the
charter of the present bank
1t is we'll known that the charter Of the
present State Bank will expire on the lst Of
January next, and that, after that date the
Bank cannot discount any paper, or do any
business but such as IS necessary to wind VI
its affairs 1t was obvious that the sudden
close of such an institution, without anything
being prepared 70 take It's place. would occa
sion serious embarrassments TO the business
and monetary interests Of the state; and hence
the propriety of granting tie charter for th'
new bank at the last session Of tie Lagisla
Gure There has been no more than sufficieu
time to make preparations to commence busl
ness after the charter OF the present bank shal
have expired.
The State will no longer be stockholder
being prohibited by the new Constitution
But every one who knows anything Of tn
suiect knows perfectly we'll that nothing !
added to the security or salty of such an in
ssitution bv the State being a stockholde.
It would be responsible in the same mamie
and to the same extent as other stockholders
-.
extent.
Il makes little or no difference 10 the credi
tors of the bank or TO the public at lar.e VII
are the stockholders No persons can
stockholders withou, paying their proportio
OF the capital. and the security OF the pab!i
consists ia the paid capital, and in the mltu'
! responsibility of the branches for al the deb:
ani liabilities Of each other.
L has been found by the workings OF III
present Bank, thai this nu.usl responsibility
) with the powers Of regulation and supervise
vested in a Central Board Ok Directors, is on
of the best and most effective securities 10 N
public that has ever been devised. l. com
pe!s each Branch TO keep a constant watc
over the proceedings Of all the others. and b
provisions OF the charter are such thai ii
almost matter OF impossibility, that any on
branch can get into q condition which woul
luNOtNe Io>eSS - an pSisots OtileE tual II
own stockholders. before the disorder of il
I affairs would Be discovered and the props
remedies applied
TAXING or THE STOCK.
The Governor is full of inii nation a. tn
manner in which the stock WAS taken Al tn
several Branches but. as usual. there al
scarcely any of his assertions lu relation to TIL
matter that are warranted BY the facts.
He says. in his letter TO the Pharos. Il.