New-York daily tribune., 1857-10-17

take On dsposi. at par ths note. OF su esnk.
vhioh ars secured BY public stocks o. ne ossse ..t
that thew extend their lines OF discount 20 ~ sy Vs.
cnssomers 10 an smount which shall be deemed sum
c;an,-tbi, extension to continue for nx montns,
ordsr 70 give time to all to realize tner esess an
prepare for contraction, 10 Deg'n o. sV cr.ds
months and 10 be continued in regular weexy s.s
ton until at the end Of the time proposeo Ios G
hsss os AT hanks in the State shall be brought 70 Ine
ya,;o ~ on, in coir 10 erery Of cash idot'ss ue
banks then to resume specie payments, ana tne,e .s
Ter in sny case in which any bank shail e1oee1 uo
proposed cash liabilities easn Sd sna S St,sa 20 he
paid Immediately, without any allowance OF aeoac''n
whatever"
Here the Legislature i, grsvely urged to impose
on the Banks conditions calculated 70 Tumble sne
strongest with the weakest into common aousn
of insolvency. They are not merely to DO con-
strained to take the notes of every Free BANK ln
the State "a very different matter from taking them
by voluntary arrangement, terminabIe at pleasureb
without any provision for the redemption OF those
notes in any form by the issuing Banks, but
tbev ara 10 "extend their lines of discount to all
" solvent n customers to an amount which shall
"be deemed [by whom to be srte'ent ltor
"what l. this extension to continue ior SIX
80 months" before the expiring Of which term
the next Legislature would probably see abundant
reason for granting another act Of general nsoIv'
ency. How much bank notes, bank assets, or bank
stock would be really worth, under such legsla'
tive requirement every one will judge for himself
In our view, Bank which would avail itself OF
such an act, must be far gone indeed. We should
consider it's acceptance prima aes evidence THAI its
cafe required the interpositiOn Of receiver.
The mos. melancholy feature Of the above e1::
hibit is the clear evidence it affords that the pano
tic worship of the Specie Juggernaut is not yet
eItirpated. Our commercial disasters, the Wriser
supposes are traceabe to lack Of specie basis IN
the Banks Now, if Specie had been Gas it never
was) the actual basis of our Banks issues, they
must have been in bad way from the start, sn'e
they never had, nor pretended to have, one dollar
in specie for every four of their imminent lisbi'
ties And, on the other hand, if Specie were their
real basis, they must have been stronger week or
two ago than ever BEFORE since their Specie at thas
time bore larger proportion to their liabilities
than at any former period. Hewho does not know
that one Bank may be utterly insovent with specie
in vault equal to fifty per cent. of its liabilities,
while another may be perfe;tly sound and trust
worthy with its specie less than ten per cent OF
its liabilities, has yet to learn the A. b. C.s OF
currency and finance.
The goodness and availability Of q Banks loans
or discounts, and not the amount of ts specie de-
termine its solvensy or insolvency. If the Banks
of our City are weaker now than they were six
months ago, it is not because their specie has mean
time diminished, but because their loans have be-
come less secure and available, through the in
creased inability of the distant debtors Of our mer-
chants to respond to their requisitOns for
If the Legislature can devise and enact ways and
means by which our jobbers can "realize" the
amounts due them from retailers in Minnesota, Ne
braska and Arkansas, we go in for calling an Extra
Session right of; but we should prefer to see them
extract gallon or two Of blood from bushel Of
ruta bagas before undertaking the more difficult
feat above indicated.