Fayetteville observer. [volume] (Fayetteville, Tenn.) 1850-1966, 1857-10-15

Of the State, wheu jodiciously and !
economically appropriated,
For foil and more detailed state
ment ofthe indebtedness OF the State,
aud the true condition OF the Treas.
ury, most respectfully refer you to
the reports by the Comptroller and
Treasurer.
By an act passed on the 9th day
of February, 1855, it was provided
that after paying the interest on the
Bonds of the State, issued for stock
in tho Union Bank, the balance of
the dividends and bonus shall be yes-
ted by the Governor aud Comptroller
in six per cent. Bonds of the State.
1t was, also, made the duty of the
Governor aud Comptroller to cancel
the Bonds purchased With the pro-
eeeds Of the dividends OF State Stock
and bonds of the Union Bank, until
the amount shall equal the sum
paid out of the Treasury, for the
redemption of the Union Bank Bonds.
Under the provision of this law,
there has been paid over to the
Governor and Comptroller, of the
bonus and dividends of the Union
Bank, one hundred and fifty-seven
thousand one hundred and five dol
lars and niuety.two cents-(Sl57,-
l59 go Of this amount, there has
been vested one hundred and FIVE
thousand one hundred and three
dollars and fourteen cents, (S105,-
l0S l4) to six per cent Bonds of
the State, leaving a credit on the
books Of the Bank in favor OF this
fund of ninety-two dollars and seven
! ty-eight cents. The Bonds which
have been cancelled are on deposit in
the Bank of Tennessee.
1t is also provided by the second
section of said act that the dividends
arising from the School Fund Stock
in the Union and Planters Bank,
shall be paid over to the order of the
Governor and Comptroller at six
per cent. Bonds of the State. 1t is
further made the duty of the Gov.
! ernor and Comptroller to deposit the
Bonds purchased with the dividends
from the School Fund Stock in the
Union and Planters Banks, in the
! Bank of Tennessee, and take the re-
ceipt of the President of the Bank
for the same. There has been paid
of the dividends, arising from the
School Fund Stock, in the Union and
Planters Banks, upon the Govern
or and Comptroller's order, the sum
lof fifty-nine thousand dollars, (S59,-
O00) which sum has been vested in
six per cent. State Bonds and the re-
ceipt oil the President of the Banl,
'Hof Tennessee taken for the same.
/ AS it will become your duty to
lappoint a Committee to examine the
accounts of the Comptroller and
! Treasurer, / would, therefore, suggest
that you direct the same Committee
to examine and report as to the a.
mount received and discussed under
the law referred to.
BANKS.
1 In my first two Biennial Messages
to the Legislatures of 1854 and
! 1906. | submitted for their con-
sideration The propriety of putting
/ the Bank of Tennessee and its bran.
ches in gradual course OF liquida.
{ ton; to which Messages you are re.
ferred for the reasons and arguments
which induced these recommended
tons. These views were followed up
and sustained by the President and
Directors of the Bank, in their report
made to the Legislature Of 1866
The President and Directors, after
having had the Bank two years un.
4 der their control, closely observing
it in all its practical operations con.
nected with the finances of the Treas
Dry. together with the monetary af
fairs of the State, with great unani-
nifty of opinion recommended that il
4 would be better for the State and the
people generally to wind up the
Bank, or to place it in a gradual
course of liquidation; and in their
report present the following -irrefrag-
Eible facts and arguments in support
! Of their recommendations, to which
ask your earnest attention:
'The creation Of so many new Banks
at the last session of the Legislature
/ in addition to those that existed
before, produce so much COMPETE
ton between them as will, in all pro
bability,reduce the business and prof.