New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1857-11-27
SUSPENSION OF THE BANK ACT.


At late hour yesterday afternoon the commercial
public received the news that the Bank Charter Act
had been suspended. The Bank Is thus allo we'd by
Government " ssue an excess OF notes not defined In
value ard promise Is given that Bill Of Indemnify
will be introduced 10 the next session Of Parliament TO
tree the Bank from the consequences Of ts conduct,
hculd il be necessary to take advantage OF the per-
nns6n Of Government. On the merits Of this step
We will cay but little. may be consistent with the
axims Of political economy to regulate the issue Of
notes during ercnary times and thus 70 check rash
spe culation and the embsIkaton 10 business Of
destitute Of capital, while when an sctua deartn Of
money prevails the chief banking institution Of the
county may be allowed to extend its Issue OF notes
under public guarantee. But if such Is to De the
principle of monetary system the sooner II is EN-.
booed into law the better IL the batkis to exceed
s legal of notes a. often as lis rate OF discount
10 rtcesssry raised above certain point then an ct
of Parliament should establish the practice sound
ard iptelgible principles. The commercial Interests
Of the country should lot be subjected TO system by
which law is Obsyed as long rs obedience is easy,
ard temporarily swept away as often es pressure or
pspic eupeIveres. The houses which in lSi7 aod 10
1857 have stopped payment before the relaxation OF
the Law may well complain that, while they have been
Cruz he'd by the operation Of the Bank Charter Act,
others rot mere solvent or of higher standing than
Themselves have been saved by the Suspension of it,
Whether the Bank avsils tsef Of the privilege &C.
corded to ro the aston Of the law 10 the same
and thoee who, trusting 10 ts involabty, prudently
suspended their payments row find themselves placed
at disadvantage in respect TO those whom bodness
or coed fortune encouraged 70 hold on day or two
longer.
We can well imagine tina. only the representation
that great CONN ercal calsmtss were about 10 take
place has determined the Government " act 90 bold
part. How much rhey feel the importAnce of the step
s proved by what we have now To announce-thst il
hiss beer resolved 10 call Parliament together a. once
in oIdsro settle the questions raised by the present
css snd 10 register Ministers ard the Bank Drcc
tors that for which they are obliged 70 sp-
peal. Council Will, We uncerstsnd, be held next
hordsy, at which, probably, Parliament viii be sum-
moned to meet at the end Of fourteen days.
We may certainly prepare ourselves for violent a.
tack the English monetary system as established BY
the Bank Act Of 1884, All the theorists of eli the
seems the carcass of dead law. And, indeed, they
will have much that IL sus.oe and not little that
tue Oh their aide. The law q fair weather law
law for times Of steady trading and easy credit is
provisions are like the pastsboaxd dsfenses Of the
Chuese-srone 10 look a. painted with heavy rlesses
of store and guns Of enormous power bal in reality
weskress ard cham. Such will be the ressocing Of
ibe parissns Of Ineonveitbe paper or uncontrolled
bsrks. The defenders OF the existing system will on
the other hand have TO face the fact that the Act hiss
been twice Suspended in two successive pencs What
better proof il would seem ha. the Law does not pro-
vide for tina; very condition OF things in expectation Of
which it framed At this moment, when the pres
cure seems sb. nj 70 cease When the lndan muny 10
broken ana the American disasters drawing TO Close
vs have the act which has beer 20 often debated 90
tkDfuy defended, 20 uhhetatr sup ported by COM
meIeisl Of ali parties which committees have de-
Glazed perfect ard the House OF Commons sanctioned
sssD sad again for the second time set aside BY
the Goyslrmeh. 81 The earnest supplicaton of the
brsitss' eonmuIiy Yet, ss 20 the retention Of the
y'stspi lss We have lot tie slightest doub; lts