Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1858-02-04

vails with such healthy effect b the conduct Of u
Bank Of England and the banking institutions 9
Louisiana, BY requiring the banks 10 keep On han
One-third Of its liabilities in gold and silver, and
furnish monthly, orhsly early statements the con
dition Of the banks. This guarantee, am wilhn
to give 20 the people. am in favor Of compelling
the banks, BY grdaual liquidation, to withdraw al
! bills Of less deuoniusiOh than i've dollars; and
sir, ! believe thai he same result would obtain Il
this State that has obtained in other States, an,
| we would have q metallic currency supplying th
place Of The small bills. Again: many person.
who live By their daily labor, would thus have
currency which could never fail in their hands, an'
the humble classes Of society would, in my opinion
! find high security in such a provision. And, Nj
Speaker, am willing to place restrictions upon th'
! eKorbitant rates now charged up bills, and to in
corporate, as organic law heavy penalties for
violation Of such laW-saving the people from ex
! orbitant ezactions, and forcing the banks into
] legitimate business of discount and exchange, q
/ fair and remuneralive rates And am willing tC
afiK the personal lisblity clause upon sl those in
! sututions which have thrown themselves in the
| power Of the Legislature 1 an in favor Of such
measures, and might enumerste others, but do moi
eonsidr it necessary in the present aspect of this
| question before the House,
Mr. Speaker, if banks are permitted such extra.
ordinary privileges, as are claimed by some, then
sir insist that the people Of the State shall have
the amplest guarantee for the payment of INK is
sues. / an free to admit that there are many de-
fects existing by the operation Of Law which, ia this
day and hour, We have no power under the Consti-
tuition to correct We would in some instances be
forced to impair the obligation Of contracts and
interfere with vested rights To enact Law pos
ssssed Of such qualities, would be Qualification on
the part OF this Assembly. But / am willing 10
frret out these defects some Of which l have
already advor.ej TO, and give that relief which l
honestly believe the interests Of the country de-
mand. / an wiling TO do all can tor the benefit
OF the people, and remove wrongs when I have the
power.
Mr. Speaker, I have favored no positions Of
gradual liquidation Of the banks, by which timely
notice would not be given all parties. Again, take
occasion say that if all The States Of this Unioa
we're agreed 10 dispense with paper currency, and
there should be an determination Of circulating
banks all over the States, then would have hes
italion In declaring myself out and out hard mon
ey man-for the currency which is good at sunrise,
and good at sunset--a medium all around the world,
Of uHdoubted value.
Mr.. Speaker, the sense of the commercial and
trading world have declared gold aud silver the only
reliable and uufaltering measure Of commodiii s.
tue only sound currency. Aud why is this go! l
will stop to familiarze the reasons known to ALL
When banking institution is founded, upon what
basis does the charter prOeeed2 Upon a gold and
SILVER basis When confidence is lost in the reha-
bility that bass-when the banks ability to meet
her issues in gold and liver becomes doubtful,
forthwith panic seizes the land, and the kne Of the
bank is sounded All the laws Of the land look to
metal currency; aud until q change in the organic
law, no man can be forced to take bank paper in
payment Of debts. Nothing is recognized as money,
but gold and silver. Do such facts these make
powerful appeal against the redundant and iudis-
criminate creation Of paper money! 1t is singular
fact that the Legislature may fOist UTOn the country,
banks of circulation and yet not dollar Of indebt
edness can be paid with this paper. l can force no
man to take bank bills for my debt. Bank issues
are nothing but permissive promises, and not cur
rency, and they stand upon the same footing Of
pEOmissOry notes, only not half as secure in many
Instances as the bond of some solvent man: circu-
latng, by consent as money.
If experience proves that the convenience and
necessities Of man are such as to require banking
institutions, then declare it fixed principle in
legislation, that the nearer you bring such instu
tons to q specie basis consistent with the objects
Of their creation the safer will be the interests of
the people who forced 30 deal with such banks
Mr. Speaker but while these views are correct !
no man regards this question a local one. The |
great commercial interests Of the world woven /
and interviewer one with the other in the most del
ieate relations, and when great interest is made
to suffer corresponding shock is felt by all others.
Money, like water, seeks its level and is regulated
by supply and demand. and while banks exist in |
some States of the Union, do not see how Tennes-
see can escape the evil and concentrating influences
Of bank expansions and contracions She can not
draw line of decentralization around her borders,
and declare that bank bills of other States shall
circulate in this State. Such law would be Who'll
y imperative. 1t could never be enforced. Bank
bills circulate money by consent and not legal
our people trade with the sister States,
and a sale and exchange Of products is going at
III times, and our people are often compelled TO
,eive the money of neighboring States. We are
nv nd Inv int /
,sts and our people would be placed at Odds if her
medium were destroyed. Such, sir, are
ne effects OF this vicious system, ramifyiDg our
ntire country.
Mr. Speaker, look at the States of Mississippi
nd Texas. Deprived Of any circulation of their
wn, they have been dependant upon the neighbor
ug States. The circulation Of adjoining countries
las expelled the gold and silver, and supplied the
acuum and when the panic came upon the coun-
~, the issues Of banks were returned upon them,
nd TO day the pressure in these States in money
matters IS distressing to those people. Mississippi
an neTerreturu to banks. The experiences Of 1886
nd 1887 have left lessons to her people which must
utlive generation. She may, in the course Of
me, give TO her people the right to furnish ourren
3, instead Of depending upon Louisiana and other
tates. u
Mr. Speaker, such reforms as I have spoken of
D our currency, to prove blessing and benefit !
lust become general IN the country; aud do hope
hat the people will in time awake the Importance
such a step Then we may rejoice in the Angus
IN age.
Mr. Speaker, and now let US not be deceived in !
hat the country wants, in this her hour of atiic-
on The evil exists, and we must treat with care
lie disease, lest We JeOpardze the interest of those
e would benefit. To remove suddenly the afiie- I
ons Of life, requires wonder working miracles, f
must treat with caution the ailment. The coun-
y calls for relief-fOr security. The vampire has |
rown Pestilenee in the air, and the publication I
ust not be too violent The people have too long l
zen accustomed TO banks, to be suddenly deprived T
such facilities as they may afford. To make the \
INKS poWerless under law that we may pass will \
TO do anything but what is really required. Sir, T
admit that the banks have greater control over ]
than l wish they have it over the entire cOun- 7
y. It Is thing Of regret That control proceeds,
my mind upon different grounds than are COM 4
only assigned upon this hOor-it is founded in our
mnOn dependence upon the banks for currency, c
wing received and adopted the system, with its
re and defects. To destroy the banks is to injure
ID Cypress the People-to favor the banks too
UGH, Is to in1ict upon the country oppressive F
'ong, by creating power in q source, where it o.
Guild not exist We must pursue medium course, &
king care as far as We can to prevent recurrence
the evils now upon US. 9
Mr. Speaker, relief security is to be obtained
rushing the banks to preCipitste fall. We can
yer accomplish anything by indiscriminate abuse
d VlIlIhcatlOn Of the banks, and those who are
al ecu WIN the COuuuCL ana management OF buCn
stlutons. We are creating an unnecessary pre- ,,
dice, calculated to blind us in an attempt to do n
3tlce to the necessities Of the times. We should
member that to remove at one fell swoop, the in
jutlOns which have furnished US currency, and D
on which we all dependent Tor money, is to IS
press the people for whose benefit seeking p
assures. Who are they that are interested in this
per money: Surely tBe banks not alone Is Be
not the people who hold this money? Is 1t not the
Dple who have parted with labor or property, for
paper money? Is not this paper, money to them? W
rely the proposition is clear. How we to Sc
re the nOte-hVlder, if we destroy the banks? We
! never make the country easy and secure, by
liking down the banks suddenly. We should cur i
! the banks in their power TO do harm, and be n
etul We DO not place them in a condition, where N
y will be deprived OF the means Of payment.
penson is an evil; but them is evil incident Al
our detective system Of banking, and the causes
Ich produce suspension, are in a great degree NJ,
moved from The power of this Legislature. This
yls ure cannot fully declare period of entire Til
umptOn, without endangering every interest in p.
land. Sir, we may restrict and hamper the ~
ks, and prevent them from such wild and ex-
VACANT expansion. he banks will find ready Pa
aus OF providing Tor their interest under proper n