Warren telegraph. [volume] (Warren, R.I.) 1857-1861, 1857-10-03


The euabarrxssments, the Losses, the mortidca-
tion nd the disgrace Of a general bank suspension,
have ovsrtsksn the State Of Rhode Island We
srs plunged into all the evis Of deprecated cur
fsucy. The eolons who control the financial affairs
Of the city Of Providence, have resolved that the
banks Of that city dhal stop paying their debts
til It suits their convenience and In the space Of
hash of lightning, every bank In the State has
refused to redeem its liabilities! All that Rhode
Island bnpk win offer in exchange for ts own bills
Il the bills Of another Rhode Island bank which
does exactly the same thing. This Is ns though one
man, who is able to pay his debts but will not,
shouid offer to bis creditor note sgailst another
man who proclaims that he win treat him in the
same way precisely. This is az near redeeming
their obligations the banks of State pretend
to do now. The consequences are those which are
sure to follow such suicidal policy. Confidence
disappears, the value of real money rises, the rea-
tions Of debtor and creditor, and of buyer and SELL
er are thrown into confusion, our connection with
the rest Of mankind Is embarrassed, and the vici-
Gus example set by the banks influences individuals
into an avoidance Of their obligations. Those be-
low are quick to avail themselves OF the Of
those above, and how shall PORTS the oystermnn,
and ScRo0GINs, the tinker, be expected to pay
their debts with their scanty resources, so long
the directors of banks with large means, believing
that the cheapest way is not to pay, resore not to
pay-until they get ready Does any one per-
ceive, or think he perceives that it will be easier
for him to pay his notes some months after matu-
rity than on the day they are due He has the
example of the banks to sustain him In utterly re-
c,.:c 30. 1abk to E,I,
convenient The more able he is to make any rea-
sonable exertion or sacrifce-the more property he
has to enable him to meot his indebtedness-the
more perfect Is the resemblance between him and
the banks, when he cooly proclaims that inasmuch
rs he has other use for his funds, he will not devote
them to paying his debts for the present. For do
not the banks inform US that they are abundantly
able to pay everything, aud do we not believe
themi The same papers which in one column
discuss the suspension, contain in another column
advertisements Of dividends declared by the same
banks. 1t seems to as that there is an obvious inn
propriety, to say the least, in thus declaring reg
ular return to stockholders, while the great cond
tion upon which they hold their privileges is open
ly disregarded. What business have stockholders
to be paid, while the bill-hodefs remain unpaid
obligations according to most solemn promise,
they cannot accommodate their customers. They
cannot pay and lend too, so they had rather lend
now and pay at some other time. The old adage
that man should be just before he Is generous, is
deemed by them inspplcable to corporations. Is
because corporations are said to have no souls ="
How is il thar body of men will do that in an as
sociative capacity which they would scorn to do in
thoir Individual affairs =
What would be said Of the man who, if he had
notes to pay, should fail to pay them, alleging in
excnse that his customers had notes to pay aso
and he had rather lend them the money and let his
own creditors whistle for their pay He might he
thought very good natured, but he would certainly
be considered very unwise man in doing what he
had neither moral or legal right to do If he
was in default In the matter a trustee, he would
be censurable in the extreme. And prny what are
banks but trustees Of the public, when the great
privilege Of issuing bills to pass money is grant
ed to themi Can they hold this most important
trust subject to the whims Of Board of Directors
instead of subordinnting them to those great princ
pies which it is the solemn understanding shall
never be lost sight off
For every barrel of -four, every bale of cotton,
every pound of sugar. and every other article which
concerto us from any part Of the specie-paying
world, we must pay large per centage more than
we should II our own banks paid specie. When
the Rhode Island merchant goes abroad to purchase
goods, he must either pay high premium for spe
Gle funds to carry, or submit to big discount or
his Rhode Island money where he buys his goods
Of course he is compelled to sell at higher price
a.1 az. uok< ,,,,ck 1..so k1o1 Ia
higher cost Of living enters into the cost Of every
thing we cell, and thus the product Of the labor
our State goes forth into the markets of the worlt
under q heavy disadvantage, which must weigl
down its industry so long the suspension ccntin
ues. The financial doctors wLo have devised sucl
dose as THE as a remedy for hard times, had bet
ter abandon the profession instnntcr.
We ask those gentlemen how much the loss o
Rhode Island credit by the suspension will add t.
our facilities for present relief or future profit
Rhode leland now stands by herself in disgracefu
contrast with the other New England States. He
position is materially different from what il woul,
be If the suspension was general. Even the advo
Gates Of the suspension feel this, and their desir
that Boston and the rest of New England will sus
pend also, is loudly expressed. We hope they will
be disappointed. Fer, although misery is said Il
love company. and though cur local Inconvenience
might be diminished, far be II from us to wish th
evils of suspension to extend themselves over
larger field. This very day, in oil probability, wi
tell the story. The payments falling due to day ar
as heavy II not heavier than any other day in th
year, from circumstances familiar to many Of ou
readers. II Boton passes through this crisis saf
Iy, she will come forth from the ordeal with homo
and the supporters Of the Rhode Island suspensio
win realise even more than they do already, VIII
q monstrous mistake they have made.
Who are our companions in disgrace Not Be