Fayetteville observer. [volume] (Fayetteville, Tenn.) 1850-1966, 1857-12-03
FAYETTEVILLE. TENN:
Thursday Morning, December s,lS57
BANKS AND BANKING.


movements made by the Legislature,
we copy it in full for the benefit Of
our readers. l. has passed the first
reading and ordered to be printed.
Before becoming law it will, we
think, be materially modified:
Dir. Wilson. from the joint COM
mittee on Banks and Banking, sub
mitted the report of majority Of
said committee, embracing the follow
ing bill. 1t did not, be said, meet
his own appreciation, nor that Of sew
eral other memb. rs Of the committee,
1t had been drawn by the committee
10 obedience to a resolution of the
House. 1t was an original bill On the
present suspensions Of th. banks, &c.
The committees bill [2l6l to,wit:
For the better regulation OF the Bank
of Tennessee and other banks du-
ring their suspensions, vas then read
and passed the first reading 1t is as
follows:
Whereas, By a general and nnex:
pected demand for gold and silver
in, entirely beyond the wants oil
commerce, the Bank of Tennessee
and other Banks of the State, in COM
mon with the oldest and strongest
Banks Of the Union, have been com.
PEELED to suspend specie payment
therefore,
BE it eaacted6y The General As
sembIy Of the State of Tennessee,
That all provisions of any and every
act Of the General Assembly of this
State, which subject the Bank of Ten
nessee, the Stock Banks or Free
Banks, to any penalty by way of for.
feiture OF charter, because Of a failure
to pay the liabilities of said Bank
OF Banks ia specis, on presentation
and all provisions of acts, which au
thorize or direct any proceedings by
any officer against said Banks, be
cause of the suspension of specie
paym .nts by the sam,. be, and the
sams are hereby susps nded until the
9Th day Of January, 1859. or unit
slch tims within said period. as. il
the jadgm mt of the directors of said
B.nks. or in pursuance of tn provis
ions of this act, said Banks shall re
deem their circulation in specie, upo +
the following terms and conditions
to-vit:
No Bank in this State shall declare
a dividend of profits, amongst its
stock holders while in suspended
condition.
lst. Should the Banks of New
Yo.k and New Orleans at ary time
during the spring or summer of 1858
resume specie payment, then the
Bank of Tennessee and other Banks
of this State, awaiting themselves OF
the provisions Of this act, are requir-
ed to resume in sixty days thereafter
No Bank in the State of Tennes
sec, above included, shall, after The
resumption Of specie payment, pay
oat any note of 4 less denomination
than FIVE dollars; and six months af.
ter such resumption. no Bank in the
State of Tennessee shall pay out any
note Of. a less denomination than ten
dollars; nor shall the Banks of this
State pay out any but their own
notes, or those Of their branches, OF
such of the notes of Banks of Ten
nessee as they are willing to receive.
and should any Bank violate this
condition by the issuance of a note Of
a less denomination, such Bank or
Banks shall forfeit to the State Of
Tennessee, the sum of one thousand
dollars for every offence; which said
forfeiture shall be recoverable by
action Of debt by the Attorney Gen
eral OF the district IN which such Of
seuce may be committed; and for the
services Of the Attorney General, he
shall be entitled to 5 per centum on
the amount by him collected.
SEC. 2. Whenever the Banks iu
Tennessee shall resume specie pay
m,ats, ths prieeipal Bank or Mo-
Their BinKs are hereby required to
s,edsem ia specie the notes Of said
Bank and lis branches.
SIC. 5. In order that the State
Bank of Tennessee may be enabled
to comply With the requirements of
the Aforesaid second section, the
Bank is hereby given the same con-
.rsl oyer her branches, in every re-