The Washington union., 1857-10-02
REFORM in THE RANKING SYSTEM.

are legalized and permission granted to set laws OF
their own seeking at further successful dehance-it
will not be for the want of earnest remonstranoe
the part of the democratic press. The following
timely and dispassionate suggestions appear in the
Pennsylyanian of last Wednesdays issue:
'The issuing of the governor proclamation convening
the Legislature at Harrisburg the 9th Of October for
the purpose of considering and adopting such measures of
relief as the present financial condition OF our city and
State may require has naturally and properly directed
public attention to examination of the whole subject
of banking system, with view OF ascertaning If
possible what guards and checks be engrated upon
it sufficient in strength and efficiency to prevent the pc
rodca recurrence of such of trouble and distress
those through which the commercial community are
passing The first suspension of specie payments by
banks, which occurred after the of 1872 at
buted to the prostraton of business and credit
quent upon that conflict The suspension of 1887 was
charged upon the policy pursued by President Jackson
against the Bank of the United States 1t is not pur
pose at the present time to discuss the thulness and
suiciency of the set forth why the
banks compelled to suspend specie payments at the
times mentioned The point to which public attention
should be calmly and dspassonaey directed in the pres
ent crisis is that the existing suspension has taken place
when all the elements of national wealth abundant
when the country is at peace with all the world when the
banks acting under law of their own seeking and
when the people and have been disposed to afford
these institutions every indulgence at all calculated to f
ciltate the full development of those of relief
which it alleged the banking system affords the bu-
sness community There has been hostile disposition
manifested towards these institutions. They have man
aged their affairs in their own way. They have is
sued the amount of notes thought proper by their
officers they have received depostes when and to what
amount they pleased they have extended shortened
their line of discounts without the interference ofany per-
son not directly identified with the system The whole
management of the banking system of city and State
has been and is in the hands Of its especial friends and
defenders and yet il has broken down. and carried with
it to great extent the credit of city, the character
of our State
1.-The question now is, what shall we do with the
banking system under which have been acting Is
there life and vitality enough remaining in it to form
basis upon which be safely erected superstructure
with the wants and wishes of the real bus
of the country Can it be perfected by guards and
checks? We indicated of those guards in arti
Gle of yesterday and urged the Legislature to consider
them in broad spirit without reference to any
considerations those egtmately attaching to the
real wants of business and commercial community
But if after thorough and searching examination of
present SYSTEM with all the aids which recent
urnishf after the banks have presented their own case
In its strongest aspect and the community has had time
deliberate upon and weigh the facts presented the
amount of evidence is sufccn to justify wise safe and
conservative in taking advance step towards
unmxed currency there should be no hesitation in adopt
ing such line of policy will gradually emancipate
trade from the selfimposed fecB by which it is now
shackled. ...... ....
s.We know and feel the responsibility of such STEP
and hence recommend coolness and caution But when
people afraid to look disasters in the face and apply
whatever remedy is necessary there is hope for the
future That reform of banking system is alb
solutey necessary all admit The extent of the RENE
dial is the only point in debate at present 1t
is not denied that whatever policy best calculated
throw into active circulation and keep in that condition.
the largest amount of gold and silver con is the that
should be adopted That nation people who produce
and sell in the nearest approximation to specie basis
can at all times command and hold the markets of the
word for the that they produce cheaper The
inevitable effects of paper currency are to initiate the
prices of all commodities to bloat trade manufactures
and commerce, and thus render the nation which uses
this character of circulating medium subject to all kinds
of financial revusons and disasters The experience of
all nations furnishes the basis for this assertion When
therefore, change in banking system is proposed, it
would be well to look most aentvey at those suggest
ed reforms which tend to the gradual withdrawal of SO
much of the paper currency of city and State as can
be removed without creating vacuum too large to be
Immediately filled by the precious metals. That such
reform can be perfected will deny. The entire
of the subteasuy system and the substitution
of gold and silver national currency is significant
fact that should not be overlooked by those who will be
called upon to deliberate with reference to this important
issue.
% In advance of the meeting of the legislature in
vite the attention of all classes of citizens to this
subject No man is justified in remaining welded to old
systems when experience is daily pouring flood of new
and unanswerable facts upon his pathway There is no
feeling in the community antagonstc to the banks at
this crisis On the contrary all seem disposed to treat
with leniency and consideration those institutions
whose legal existence depends upon patience and forbear
ance We have doubt the action of the legislature
will partake largely of this same spirit But it would
be criminal act to take advantage of the patient dspo
son manifested by suffering business community,
and allow the occasion to pass without naugurang
of the many reforms proposed by those of citizens
whose standing and position in the community enttle
their opinions and suggestions to great respect and
sderation Let there be full and frank interchange of
opinions upon this matter and then shall all be pre-
pared to look at whatever may be presented to
the legislature in a more intelligent light.
The Philadelphia Argus is even more emphatic
than the Pennsylvanan in its opposition to tho banks
and the banking system of Pennsylvania. After all
the enormous losses which the people of that State
have suffered by bank frauds and bank mismanage-
ment--to say nothing of their present embarrass-
ments from the same causes--we are not surprised
to see the following in that journal:
1t will be seen by notice in another column that
the democratic executive committee has called public
meeting to be held in Independence Square Monday
evening to oppose the legazng of the violations of law
by the banks which have suspended and forfeited their
charters All honor to the noble who have thus de-
termned to do their duty to the democracy at this crisis
in monetary affairs
"There will be such gathering on that occasion as
never held before in city Let voice go forth
which shall proclaim the rrevesibe decree that all vio
lations Of law shall meet their legitimate penalties. Let
the people out in their overwhelming strength and
give expression their opinion in thunder tones which
cannot be misunderstood. -
SHOCKING OocuRRESCE. copy the following from
the Morrisyille New York; Observer Of the Gath ut
Mrs Mary Mattson wife of w q, Mattson offs Smith.