The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-10-14


the presidep, snd directory or me prncipa Saox 70
Gated at Nashville, absolute ntro Of Au me branches
shrepsboui shs SAFE eaiabishir; s'nd o. contra
power al the city OF Nashville, wnah according ID
ineir yexs OF the business aud wants OF the oonny
could expand and ccnirsot tho MorlaioI s pleasure
,hs sprc circulation CT BANKS In this State on the nn OF
yssusrv 1857 IN ronnd numbers Wa oixas milNos dol
ar Is eco 0o0) A bank, with me cspariy 70 furnish
e'ghi mNcrs or Circulation, must Dc unoe' ne conot Of
festpcy vhict cent al regency must always 70
or ess ex ert be eratd b. toe td iesces which
surround H. ho Sspal o. the Bank Of Iennes
see, and confer these additions Powess up =" ~
sbe state each Of which would De more 90 npesn 70
ucge Of nscess lea and convenience 70 ne Saoun
the circulation reqntd than any orsc'ofy couia w .
II tanks are &c be c,nnued for ias purpose Of making
snd uLs pspS, Toa. ~, 20 c mn ~, o aus
owp bspspg Arcommodse pE ami ell the circulation
rtued by ranks IL co n Ct these oomm srcai divisions
shorld be ace rel sema6e al the counter y the bank
Were tssued ind the principal commercial point Ia
each diviuon For instance 10 supp ae sst rennesse
% oon,tltuo one dissos lei o.. VOC o,Salsans me
redt enable 81 the OF shs oaux where s1ed,
ard ~hssever pont may be deemed the ,ncs. CONNER
cal sont In that dvii!ou. And 10 with tbs m'ads sna
iy sions that State requiring each those
prorps po'a to make arrangements With tie cnoc no
nasssd pssepa he 90 npsrcis boundary ia xaica is
srat An arrangement By the banSa upon pfi cpsi o.
tns Kind wnnid exut powerful ard sfatar? ianaoncs
10 rsLirg the bank pare Uniform In vsuo Erd quantity,
when Into ccula Ion oy eaon Of the 90 numerical
eTs rs Ad Al The saoo limo iesvo e.oh 70 de:sr ne
secerfdfaA IN FeEsfu 70 nJCommp
cations IN zach commercial tivtsion.
have stated the circulation Of banks IN tas State
the LIST Jsousry 1857. vas eight ni'nous o. DOL ara
ISi aGt ,hAs the en amount OF spece Ia s the
banks great AID small, ~ih which thls esat millions OF
bank paper oe redeemed, Ia sonnd nnmoers uas
mIiors Of doArs Tina pa's statement Of tolls faot
nuss CoLcu,ir to s.i inds which familiar with
the opers Of bankr, TIA. eight millions o. bank pa ser
res,ug upon mDiols Of speoe, cannot oe sustained
whene hele Ia pressure or dersrgemens OF tbs mo
crcaia ion in paper amounting four dollars FOR
In specie. csoDo sford sound sDd uniform currency
circulation watch aed fro two to eight mil
1ns or dollars the iuteyes. and cundsy o. the banks
may sssses never DO made uniform in quantity or
value Oh! the whole COUNTRY must be subjected to Toe 10
dmnnon OF prices for oil the products OF the
cauny ost in proportion their bank accommodations
are expand. ooctrscied. Tns stse OF things bad
enorgh whes srcush, oou, by al the banks, but
fer such upnn any enc Institution, whether DO
sse bsI or ether wise, embracing separate and dsnss
commercial oivsocs 10 controlled by directory ia tue
ely of Nashville, state of things which hope will
be sbou, lac repro enlasyes Of the peopo
In REQ msndrg 70 your consideration the osrissy OF
winding mp The Bank 81 Tenaessee Sill DO Inferred
or Understood BY any uAs am IN favor OF the oreA.
hon coniinrAp OF seek or free banks. would
p favor Of winding them all up II Is practi
cab and cons tent With the commercial, Agricultural kui
ancsl of the country TO do believing ~
that the whole backing stam In the Uuited States
founded error and that all bAQkS having Their origin
IN such syete ut reces srily contain toe
cenruc.on. aad general rule win ssoner
ster resu in ruin add fraud prod uong grsk injury In al
the buSress transactions and morals OF the community
requh time and the exercise OF sound discretion The
work has TO DO oommsn ed and We had ~ well sci the
example by ncpe witt the Bank or Tennessee,
stan.y and sseaey progressng until tnsre shs not DO
bank inlorpol alton left the State Tbs beng once 40
compSh d here hoping that similar policy ~ be pur
sued ana carried out by all the Surrounding States tue
vacuum created By their Withdrawal viii be supplied BY
the ospitsss furnishing exchange for the Commercial
OF the community, and money In the proper OF
the term sfcient purcnase eli the surplus produc Of
the country. This Will follow naturally and stAlny
ssssT WI find ~ level or The surrounding atmosphere
al nd iuu ynru ri An
The strongest objection nov urged TO the wind
ing up Of the Bank Of Teunessee is, that 1t IL
neces. sry . fiscal agent for the SAts, u receive
and disburse the ssmc, 70 pay the int
rest the Slate bonds that have been Issued may
ara reduced to practical test % have any force or
so y 10 ~bAtever. worh m ~ respectfully srggest
that Al the duties now performed ~ The Bank Of rnnessee
ncai agent In receiving and Disturbing the Of
the State paying the pteress upon Sase bonds DO
performed BY the Comptroller Treasurer the nnanN
safety ana q far ess expense tIan II no costa 70 oaYTy
The machinery Of lee Bank Of II nnessee
matter o. great inpo :.Dos 70 NC people Of ION
Icy have recommended All ,uld % adopted, the debt
which accrued under The acts Of 1885, and AaS, ,ud
gay 10 The gAern Cities except bonds
loaned 10 railroad companies and w,n therefore need
Other han MAI Il The sics Of The ss.s rrssaarsr
Under the Of ,e6i-2, By which the STATE credit
ioaSed 10 various railroad Companies, provision was made
tina, the interest sccrunG e bonds loaned should be
paid into he Sank OF Tennessee, fifteen dys before
csme DE In New York Surely any President OF railroad
company having the ray The interest the bonds
ssu ed 10 bis rcsc could afseen days by buy
Ing exchange from bank broker by shipping csin,
vsDs'er the amount 70 Nss York. any other point u
the picn This 10 oen dome row, many OF the roads
have Bsued bonds VIII Oh endorsed by the STATE and
The nerss. has been promptly met wthoal sny sgsacy
manufacturers most necessarily frequent pay meats
70 make In the Northern and Southe States These pay
made BY purchssing exchsuse from banks or
broAer and 20 long capital employed 10 any pursuit
which equires the Transmission OF money from pon.
another pay for articles purchased there surely viii
be- In the absence Of al bask s, exchange brob
or factors read, 10 srpply any demand fnr exchange
In 20 event can there be any necessity for nscAi sges
other ibap the treasurer State Comptroller, Both OF
these officers sno aid be vel quail led for the important
posit ney occupy, and competent 10 manage the
finances OF the STATE Sank n eseeut Cashier Toe
T ana eu.russ 10 him he roccvnS and
tho entire funds ~ The sale
Il mar be said tns, bank bstcr able than the tres
10 toll The condition OF oher banks and would not
receive the or such banks votld likely become
solvent such An Argument ~ould emily prove that
former etaurs had chartered corp lions for banking
yurpcses. without ssq srcenl indemnity prood
the soisnolssx In sAnspg banking Pryi egss TO CON-
psy me p,ope 70 expect o. taeir eprcse .s
uvss that they sbard be fully proccet from fraud Ia the
cfouisioo OF suy bank notes n the Legislature would
grant 70 bsssrG privileges ,xcep' When the noehalder
secure hyond any posfibe cnnilr gnncy, would be
simply dschsy sre duty which The eieclys have rixni
70 ermabd " taeu feprtssn aiives.
usikeo, nsry o. the tsrn Chartered BY >ssAlure
have en't failed, and ms pxt 10 circulation by
n snem oil prove W be Almost worthless 10 ths
noshoittr an or the opinion that this evil might have
tssp prevented 81 the tine the charters obtaincd
and am cisary o. the opinion thai you have the power
fuard sGaasl any for her fraud vhl n possibly be
piaclse6 ~ any ef The banks cnafered provious
Liislaisre viii certainly no, be commended that any
former Les1sirys OF your hsr6 Tie p,wey
70 oofsec sty evil, or prevent frs-d from bong pr
tssc on ne people you represent
Our STATE, very propery, requires security or all liz
tcsrs Ia ing charge Of Of the State moncy or pro-
perry divoul 10 lure security OF each other In their
daily money transactions, and there rcasoa why
corporation, csacred ny IL easuro, with the prv
Ia o. issuing ns,ss checks and bits ~ credit should
BE required give ample luriy 70 the Dote no der The
Integrity and business capacity Of bank oaosys Ia often
tbs rrrcps capital o. bAnss Past expert tsughi
hal this asufcient sus snty 70 The holder
ihsi he viii he rsie when ne pre- ents 70 q bank o
iaue becomes, therefore, nsiter Of fra impor
FOR the safety Of the funcs OF N. STATE the o. The
reope and Tor the property o. al brarahts Of Industry
that In granting charters OF incor gorstoa, vhen SPECIAL
priyueses qua sntied 20 the e. credit snoud
be gwen such corporation Until IL deprived n all 90 sor
70 90 injury Tcannos the necessity OF Safe crtas