Glasgow weekly times. (Glasgow, Mo.) 1848-1861, 1857-11-05
THE BANK SUSPENSION.

All the banks IN missouri, except the Mecnan- |
ics' Bank, have suspended specie payments, and
strong efforts are being made in the Legislature,
and out Of it tclegaike the suspension. We pub
lish to-day the bill OF Mr., Henderson, and the
substitute Of Mr.. Brown, which bills have been
occupying the attention Of the Legislature for sew
eral days past, without coming to any definite con-
clusion, at last advices. We have read none of
the arguments, and do not know what has been
said for or against the proposition. The Banks
being in a state Of suspension, it may not be i'm
proper to examine the law for such cases made
and provided. In an ".Rctto prevent illegal Bank
ing, and the circulation Of deprecated paper cur
rsney, ,ciip this State" to be found ut page 2sb
Of the Revised Statutes, we find the following
provisions: ..I ..-ts... ., l1 ...H .srii.t
"SEcTIoN6 No corporation within the limits
Of this State, (the Bank of the State of Missouri
and its branches inclusive,) nor any money broker
or exchange dealer, shall pass receive, within
this Slate, any suspended or non-spece paying
bank notes, post notes, issued currency, ex-
ceptng as provided In the fourth section OF this
| act.o so -r .. ...... ..-f... .rff.f
| "SEcTIoN @. All contracts and transactions
whatever, made by any corporation, (the Bank of
the State of Missouri and its branches inclusive,)
or by any money-broker exchange dealer within
this State, founded upon loans or payments made
IN such prohibited notes or currency shall be null
and void, and of no force effect in any Court of
this State" t..-. .... -...~
"SEcTIoN 9. The charters Of all corporations
within the limits of this State the Bank Of the
Stale Of Missouri and its Branches inclusive, vio
lating evading any of the provisions Of this act
shall be forfeited for any such violation evasion;
and the fact Of the forfeiture, or any violation or
evasion of this act, or any part thereof, may be
pleaded in bar TO any suit brought BY them, end,
if denied, the trial Of the question of such forfeit
ure, violation evasion, shall be adjourned under
the direction of the Court, and change of venue
awarded upon the applica ion of the defendant, to
some county in which such corporation is not sit
uated.o .... &c.,.
SECTION 10. Any.money broker exchange, deal
| er, or any member or officer of any corporation
within the limits of this State, (the officers and
members OF the Bank of the State of Missouri in
cusive,) or any other person whatever, who shall
violate or evade any Of the provisions of this act,
| shall be fined in sum n5t less than one hundred
dollars for the first offence and shall be fined in a
sum not less than five hundred dollars for each
subsequent offence, TO be recovered by indictment,
| for the use of the State.D
The exception at the close of section 5, referring
to provision in section A, relates TO notes of less
denomination than five dollars, which are thereby
permitted to be bought taken and received by mon
ey brokers and exchange dealers, for the purpose
of sending them out Of the State.
The dificnltie. and penalties of this law are
thus recapitulated.-
/. In the first place. "the charters of all corpo-
rations within the limits Of this Staten which have
passed or received, or may pass or receive, "any
suspended or non-specie paying bank notes,'
'sshdH be forfeited.' Any corporation, therefore,
that has passed received any note of any of the
Banks of this city, since they suspended specie
payments, has forfeited its charter, and is liable
to be proceeded against at any moment, in Court,
to have the forfeiture judicially declared. Pr
2. A more extraordinary provision is that
which authorizes any person sued by any such
corporation, to take advantage Of the forfeiture
matter Of defense 10 the action. This could not
be done without express statutory authority; but
with such authority, may be done. Is it not in
some degree propable that it 1vil be done?
g. An equally extraordinary provision is that
which declares Gall contracts and transactions
whatever, to be null and void, and of no force or
effect in any Court in this State" which are
"founded upon loans or payments made in such
prohibited notes or currency;' that is, in ''sus-
pended or non-specie paying bank notes." Is
there any guaranty that such,a provision will not
be resorted TO, TO avoid contracts based trans
actions in the notes Of our own suspended Banks?
d. Money-brokers, exchange dealers ,'and mem
bers or officers OF any corporation, who shall ylo-
a.e these provisions, are liable 10 indictment and
fine ofnot less tn an 500 for the first offence, and
not less than $500 for each subsequent offence
That is any broker or officer of corporation who
has passed or received any note of any of the
suspended banks since their suspension, is liable
to these penalties. Can we feel assured that no
attempt will be made to inhlct the penalties?
If the provisions of this law be enforced against
the banks, their charters are forfeited. If thi:
law has been already repealed. then how is the
Constitution to be gotten over? The eighth arti.
! Gle Of the ronstithtionreads as follows 's8.
"The General Assembly shall have power to es
tablish such bank or banks as may be deemed ne
cessary for the interests Of the State, but every
bank so established shall be based upon a speci,
capital, and made liable TO redeem its issues il
gold or silver; provided, that the number Of bank
e chartered shall never exceed ten, and the aggre
gate amount Of capital shall never exceed twent,
millions of dollars" #'..'a.
Thus it will be seen, legaizng the suspension
a besides the provisions of the Banking law, ha
=. statutory and constitutional impediments, whic
the members Of the Legislature may get over, bu
how they are to do it, remains to be SEEN. How
ever desirable the Equalization may be great eau
ton should be observed that worse state Of af
/. fairs be not brought about. -. -