Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1857-12-23


The amendment to the amendment was adopted;
and the amendment so amended was agreed to, on
division Of the House-afbrma;ve "a, negative 10.
Mr. DUNLAP now proposed bill in lieu of the
bill as amended. 1t is as follows;
"sEcT1oS l. Be 1t enacted SO That the act passed
Feb u, 1852, entitled can act to authorize and
regulate the business of banking" be so far re-
pealed that no person persons, association Of
| persons, shall hereafter establish bank under
its provisions: Provided, That nothing herein
shall be construed to interfere with or lessen
the rights privileges or liabilities Of those banks
already organized under said law.
SEc. 2 That all the banks in this State that have
suspended, shall resume specie payments or be
fore the 9Th day of January, 1852 and all penalties
for suspensions of specie payments which have or
may accrue against said banks according TO their
respective charters or the said act passed February
! r. 1852, shall be and the same are hereby sus
pen led until the 9Th day of January. 1858
Sec. 3 That no bank, agent of bank, broker, in
surance Office, savings institution, or any person
persons whatever acting under charter license
from his State, shall pay out the Issues or notes of
any other bauk other institution not incorporated
| by the State Of Tennessee, shall they pay o.
any note or bill of less denomination than five dol
ars, after the first day of July, 1858, any
bill of less denomination than ten dollars after
the 9Th day of January, 1859; and any violation If
this section shall subject the offending party fire
OF one thousand dollars for every onence-each
violation being separate oheuse-and il is hereby
made the duty Of the Attorney General to prosecute
! any person.. bank, broker association, who may
violate this section and for his services he shall be
! entiel TO FIVE per cent on the amount collected
''SEc 4. That every bank DESTROYS of receiving the
benefits OF the above act, shall file their with
The Secretary of State within sixty days after its
passage -wheTeupon This is declared to be part
! of their respective charters, far the is
applicable to them"
MIR DUNLAP Mr Speaker: In Offering this bill
80 bo hor fha s,,If, If
the House. whilst shall state some Of the reasons
which induce to offer it. The bill, as it comes
| from the Senate, witt no. answer the purpose for
which il was intended. Ii the Senate bill in
! tended as q proposition to punish the banks for
| having suspended specie payments-if it was iD-
tended to be bill for the purpose of crushing and
| winding up the banks and returning at once TO
! hard currency, then the bill is properly drawn for
that Is Just the effect the bill would have 1t would
| operate that way in my opinion, and l express 1t
after the most mature eousideration-it would pro
duce monetary disasters in this country such as
| have not been seen since 1887.
In the year 1887, when your Legislature deter
mined to relieve the country, what did they do? did
they pass a restriction bill? No sir: they char
tered another bank with capital of five Millions
that bank went into operation, partially, upon the
! deposit of 81 200, 0O0 which had been placed in
| the Union and Planters Bank-the Legislature
making these a part of the capital Of the present
| State Bank. But they did not require these banks
Immediately to pay to the State Bank the whole
of that |. 200OO No sir, but they provided chat
il should be paid in two annual payments and l
would say now give those banks the same opportu-
nifty 10 continue TO issue their currency in order 10
! relieve the community from the impending distress
| It is well known to all the mem ers of this House
| who are old enough TO be cOnversant with those
times that when this bank went into operation she
made her notes payable twelve months after date.
! What would be the consequence if all cur banks
| should comply with the conditions of that bill
| We have abundant crops but there is no money in
| the country. nee the suspensions, the banks
! have refused to extend their circulation. They
| have been contracting all the time-nOt knowing
what time you might pass law compelling them
to resume. What the community want, is money TO
pay their debts; and il it is The business OF the
banks TO extend their accommodations and put
of their notes into circulation, IN order to give
them power to pay; and venture the assertion,
that in ten days after The passage of the bill
have offered, your planters will be able to realize
ten dollars every bale Of their eOttiOn and,
at the same time, II you pass that Senates bill,
the further assertion, that in ten days, your
planters could get much for their cotton by
ten dollars q bale as they could sell for day.
Sir, feel for my COuntrymen; love my country,
aud love my parry. l have reflected much upon
this subject; and feel that if this bill is passed,
my parry will be opposed to my country, and that
my party and my country will both be ruined if
this bill is adopted.
lieve the country Can you do this by restricting
the banks? Will not gentlemen reflect! The Union
and Planters Banks must apply for renewal OF
their charters in four or five years. or 60 out of
existence. Then, they cannot be depended on FIR re-
lief But they have shown to the world whether they
have the dis position not Pass my bill, and theu
when they shall come to you for re-charter, it will
be time enough for you TO put your restrictions |
upon them; but do not now. Pass some law that !
Will enable the banks to extend their circulation,
ms cad OF contracting it.
Ii you pass this bill you force The State Bank TO l
collect her Two millions IN notes. Where Is the I
money TO come from to pay these notes! You force /
the Union Bank also, to collect in million OF
notes; and say again, where is the money 10 come
from that shall pay these nOtesf But, If you pass
my bill, and suspend the penalties which the banks /
have incurred you will give them an opportunity 4
to the relief Ot the country. But let these
bhnks know that they must come TO the require
men;s OF the Senates dill, and they will
another note-they will never buy another bill.
They Will give you geld and slver-but where is it
to come from! Where, but from forced sales Of the
property Of your peOpls The very moment you
pass my bill the banks can extend their accomOdl-
lions to The merchant, and The merchant in
duge the mech 4nIc aud the agricultural portion Of
the community, till they can IN Ike their second
crop, carry it INTO the market, and prevent the
necessity Vi any sacrifice Of their property. But
if you put upon The banks the restrictions of the
Senates' bid they cannot extend their accOmmHda-
tious, aud ruin aud distress Will be brought upon
the country, such We have neither seen nor
heard Of Tor the lat twenty years.
MIR Speaker, have seen a statement in one OF the
Charleston papers 10 this effect that in the year
1910, when ali the banks in the whole untry were
IL state OF suspension, one of the South Carolina
banks, located III that city, having then Sl,6JOUOO
OF circulation, and but so 900 in specie proceeded
to xpand her issues SoUOUUO more. She loaned
that $500, 900 TO the mercantile and agricultural
interests, and every dollar paid back at the
coming in OF the second crop, and this very bank,
also, was the first bank in Charleston to resume
specie payments. just so 1t would be now done by
the Union and Plan ers Banks under the prOvls-
ions Of my bill. Knowing that they would not be
required 10 redeem TIL } .nuary, 1859. they could
put their $4,000 INTO circulation, and they could
wait on the merchants, and be secure, that when
the time should come round, their money would he
returned in gold, and their debts paid without dis
tress ing the community.
remember, sir, when the Democracy voted down
the United States Bank, that monster with her ,
branches in every State, refused 10 loan to the mer
chants anu farmers, and curIailed her issues
year upwards Of forty millions. Our State banks
were thrown into state Of suspension. They would
not take anything but gold and silver from the I
planter, and what was the consequence? Why sir, !
the elections began to 60 over from the D Gratis
TO The Wings, anu iu 1910, party found trium-
phanJ majority against them. In view of this fact,
SIR invoke The House call the Union and Plan
the aid OF the state Bank, and so afford TO the
country the expected relief.
But now, If you should determine to come down /
at once to your standard of gold and silver, what
will be the consequence? Every man here must
feel assured, that instead of our present majority
in the Congress of the United States we shall be
without representative after the next election. l
assert it as my confident belief that in such an 2
event. we would have but one district left in Iennes-
;ee-the Lincoln distrct-that would be able 20 b
elect her member. Z
Mr. Speaker: love NY party, and love my coun
ry. have fought her battles IN field and council
Or forty years and hold that the prime PIES nf
ny party those upon which this Government :
ought always to be administered; but now | warn 2
yeutemen-as a democrat l warn you, not to force ;
he banks. | charge you, that destruction and ruin
o The best interests OF the country and the denun-
,atiOns Of your constituents will follow upon such
course; and they will turn you out and send men y
leTe in your places, who love their country better
han their party
Now sir, here is my bill in contrast with the Sen
ties BILL and it just presents TO the House this soil
airy question, you for bill Of relief? If you n
I in roFrv iDd ! o