The Nevada journal., 1857-11-20

that portion Of it known for its morbit
morality and Miss Nancyism-has got &
hobby. Old times have revived. Sam
Brannan takes the place of Nick Biddle
aud his Bank the monster the Democrat
ic Hercules strangled. And what ser.
vile imitators of the hero of the Hermi.
tagc are springing up all around, thick
as toads after a rain storm, ready to re-
move all their deposits at least, from
Sam. Brannan's bank The cry OF
shinplasters is borne on the pind.-
knights Of the quill are Aourishing their
terrible instrument incontinently and
laying everybody low. Coupled with
the shinplastcr yell, comes the frantic
cry that the Constitution is invaded by
the Mormon Brannan. Men who have
not scrupled to forswear the Constitu-
ton, when convenience or cupidity die
tated, are the loudest of the pack.
The Constit ution, if construed strict
ly, as the majority party would have it
absolutely prohibits banks of every de-
scription. Sec. "a of Art. 4 allows as
sociations for the deposit of gold and
silver to be formed under general laws,
but prohibits such associations from
making. issuing, or putting in circu-
lation, any bill, check, ticket, certif
cate. promissory note, or Other pa
per, to circulate as money. The sue
ceeding section makes it obligatory up
on the Legislature to prohibit by law,
such associations or persons from exer-
cising the privileges of banking, or to
create paper to circulate as money
The privileges of banking are those of
creating a fund for loaning money, dis
counting bills and notes, receiving de-
posites, negotiating bills of exchange, ad-
vancing money on notes and collecting
the same. 1t is the duty of the Legis-
lature, to deprive the State Of the bene-
tit of such institutions as perform these
functions; or at least. to prohibit the
associations which may be formed I'M
der general laws for the deposit of gold
and silver" from issuing any bill, check,
ticket, or certificate as evidence of a
deposit, because after such evidence is
issued there is no power under heaven
which can prevent the person to whom
1t is issued to barter it away ACCOMPANY
led with proper order or endorsement,
substituting it in the place of money
A banking association can not prevent
its checks or certificates, especially OF
some kinds, from passing from hand to
hand in lieu of money after their issu-
ance. Their very object is to provide a
cheap and portable transfer of money
from one party toanother after the man
ner of bank bills. A banker may issue
certificates of deposit with no intention
oftheir becoming in any sense of the
term currency. Whether such certifi-
Gates become current depends upon the
option or necessities of the one to whom
they were issued, or those with whom
he has business relations. The Legisla-
ture can not prohibit the exchange of
one species of property for another. If
| choose to take Sam. Brannan's GER
tifcates properly transferred to me, in ex-
change for goods. the fault is not Bran
mans nor should he be made amenable
because his reputation is good in my
eyes.
Under ordinary circumstances it would
be impossible to keep bills from circula-
ton as money in this State. The bank
notes of New York, when brought to
California, can be put in circulation if
the necessities of the people require, and
our Constitution or laws can not reach
the invasion. Thus, we exclude bank.
ing capital from the State, losing the
taxes on the same, but are liable to all
the evils of paper currency, without
the State benefits.
Iowa, with a similar Constitution to
our own, is flooded with bills from the
banks of oher States, and were it not
for the peculiar nature of California,
producing an abundance of the precious
metals, she would not form an excep-
ton to the case of Iowa. Bills coming
to this State are snapped up greedily
and sent back, saving the percentage
on shipment of coin.
Sam Brannan starts out as a private
banker. like all men engaged in the
same line of business, but unlike all 9TH
ers he proposes to give security to his
depositors in the shape of a pledge of
Il l.