Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1857-01-16
REMARKS OF MR. Hy1.

the Peoples Bank. belong, sir TO a political partv
IN ms honse which Is largely in the majority. They
VIII De heio responsible tor the consumption of the
public time. was therefore, unwilne useless,v IN
protract this debate; but since the gentlemen from
Gui'ford and Henderson have consumed two days in
discussing the merits Of the bill, and defending it
as'nsi objections, not one of which has been urged
upon inns 1oor find it necessary to state the rea-
sons why the Committee on CURRENCY have recom
mended to the House that the bill do not pass
was surprised, sir, after the time consumed hv
oo'h gentlemen IN setting forth the great profits of
banking, and in descanting to the House upon the
lmProprle'y OF the States parting with h. great boon
anu portion OF her sovereignty without just anL ad-
equate compensation, to find in the charter which
hey so warmly advocated, that the Stale was re,tric-
TED to paltry tax on dividends equal tn the tax on
the interest OF money. And this, too, when The in-
sulutlons OF winch they complan-the old banks
were paying IN addition to this tax thirty cents on
every share OF the capital slock held by private ndi
vlduas; but, sir, as they have consented to amend
the charter IN this respect, will not dwell longer
upon it.
But, Mr.. Speaker there are TWO objects designed
20 efec'ed ty this charter, which are unusual in
acts oi similar character. 1he one s to enhance
the price OF railroad STOCK and The o,her 10 10 confer
the sovereign and profitable privilege of banking ex
clusVely on railroad stockholders. Now, sir con-
tend that 1t will not effect either ehject and ought
not to effect The latter.
There is law, Mr.. Speaker, whch regulates The
M
muta lie as the laws of gravitation It !, the law o
supply and demand-wt.n the supply is smaller than
lhe demand prices will rule high, when the demand
is less than the supply prices wil ,ule low-nor can
you begin tavoraby 10 effect prices until you create
demand equal to the supply To illustrate mi. hv
q FAMILIAR example: If there thousand bush
els OF wheat on the market and demand is created
Tor only hve hundred, it will not effect the price for
the reason that there wi" be two sellers for one buy
er, ana the competition created by the desire of each
seller mat ms wheat shall be portion of the five
hundred sold, Will rather carry prices below The nom.
lnal quotation than carry them up So here. with
many millions of railroad stock upon The market
The fictitious demand which the gentleman from
GuIlford would create by his bank bill could not en-
nance ITS value for there would be two sellers for
every nuyef OF STOCK; and the competition between
them, The anxiety 10 realise would in all probability
carry the price below the present nominal value,
rather than improve it.-Thus, it seems 10 me- Mir
Speaker, the bill must fail to effect one object intend
ed, VIZ: the enhancement of the price of railroad
stock
Nor will this bill confer this privilege Of banking
exclusively on the old railroad stockholders who
nave, we are told, made patriotic sacrifices in the
cause OF internal improvement, and ought to be fa-
vored bY the State. Money WILL sir seek investment
wherever 1t can proftably do so; and if this priv.
Iege Of banking held out hy this BILL is desitabe
and likely to be profitable, whoever has the money
VIII buy the stock necessary and enjoy the boom
so that, even the stockholdels of the old banks who
we ale told, have So long fattened uron bank divi.
dends may be the very recipients of the bounty in
Tended by The Peoples Bank to be conferred upon
those VIII have made sacrifices in the cause of inter
nal improvements
but, SIT, This monopoly of banking ought not, if il
could be, "reated. Gentlemen tell us about patriotic
sacIlhces IN The cause of internal improvement; but
SIT, those only make patriotic sacrifices for the cause
VINO vote large appropriations here without any per.
sonal interest in them, guided and incited by love
OF Inc State OF North Carolina, her prosperity and
her tame among her sisters. Ninety out of every
hundred OF those who subscribe TO these works of
Improvement DO so under the impulse of that univer-
sal passion, self-inte est, and ninety-nne out of
every h' nored, though they realize one cent
on 'neir STOCK investment, repaid by the enhanc-
td VaIle oil their properly, ten twenty, ffty, and
some one hundred fold. This, sir is the yery argu-
ment | have heard used by the friends of railroads ia
his hall and elsewhere, Lat if their whole stock
sh Ould be lost, the properI, holders voud he moro
than repaid by the enhanced value Of their property
and yet notwithstanding this admitted fact the gen
tleman from Guilford, and the gentle an from Hen.
derson, would make The stockholders of railroads a
privileged class, and confer upon them what they re-
gard as great and sovereign privilege, while the
constituents Of gentlemen of this House who have
never seen or herd of these works OF internal i'm
pr vement, except through The increased taxes
which the sheriff yearly collects are 10 be excluded
and set aside for lack of meritorious service If Mr.
Speaker, there IS any justice, popularity or reason in
auOH CouiSt, nave not Deen able 10 perceive 1t,
But sir, If as have been told, and it seems
agreed to on all hands, the State needs capital and
cannot q" without 1t, advise gentlemen to pass
SuPplemenal Dill, so that the bill should not
accomplish It's purpose, we may not be without the
requisite capital. am of those who believe il
you pass Inc OIL, II Will remain dead letter among
your laws; for sir, of all things, money the mos
CAUTIOUS, tImid and practical it despses theories
anu novelties, and enters only where experience AMI
proh point the way; it takes all tie chances and
never REJECTS one scheme to embrace a worse or one
OF a more doubtful Character
/ The bank of Cape Fear wis authorized bv the Le
gsla:ure OF 1854 and 55 10 increase its capital $500
O0O. Tie books of subscription were opened al
thirty three places in the State, and only $9l 9OI
was subscribed. Let us recollect that this is lh.
oldest bank In North Carolina chartered first il
1904, 1t survived all the financial difficulties creats
by the failure of the Bank of the United States ant
, having always been conducted with prudence an
proht, stands deservedfy high in public confidence.
lhe Bank of Wilmington, with an authorizes
capital OF SsOOOOO. has had actually subscribed but
Little over $5U0 000 that there is now with lhes
two banks, nearly 500, 900 of stock not taken.
! ask then, by what reasoning Upon unknown motive
OF human action can We expect the stock of the Pee
pies Bank to be taken, when, in addition to the OF
dnary payments of subscriaion, il is required that
y TURNER investment OF share of railroad stock
8 made Ii men refuse to invest hundred dollar
IN bank capital, unencumbered it natural or sens
BILE 10 suppose they will do 80, when you encumbe
the investment with the tax Of purchase of tw
shares of railroad stock, eonfessedly unproftab,
and required to be bought because it is Improbable
IN other words, will men purchase that which the
REJECT freely offered The question answers lisel
and shows If We rely upon this charter 10 increas
n the banking capital of the Stale. we lean upon
q broken reed.
Mr.. Speaker, such are some of the objections
that feature of the bill of The gentleman from Gui
e ford, which proposes TO connect bank and railroa
> stocks. There is another proposition in the bIl
,r which, to my mind, is hundred fold more obie
: tonabe. | REFER sir, to sections third and fiji