Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1858-01-30
SPEECH OF Mr.. NEWMAN.

| mbit the sale Of lottery tickets in this State
The ninth section Of the eleventh article % the
Constitution, shall be 50 amended as to read as fol-
SEC 9. The Legislature shall have no novsr N
issue the bonds Of the State for any purpose what
ever nor shall the credit Of the State be loaned or
gwen IN aid Of any person. association municipal-
ly OF corporation; only under the following terms
| ana condI1ons' to wit: The Legislature may con
tract debts to meet casual deficits or failures in the
revenue; but such deficit direct orcontngent singlv
or IN the aggregate, shall not at any time exceed
4OO,OOO dollars, and the money arising from loans
creating such debts shall be applied 10 the purposes
Tor which they were obtained to repay such debit
nor shall the Legislature authorize any debt to be
contracted on behalf Of the State except for the
above specified purposes, unless provisions be made
therein TO lay and collect annual tax sufficient TO
pay the interest stipulated, and to discharge the
debt within thirty years; shall such act take
effect until IL shall have been submitted to the peo
pie at general election, and shall have received
m8Jorityl0f all the votes cast for aud against it.
Provided that the Legislature may contract debts
/ by borrowing money to pay any part of the debt
Of the State without submission 10 the people, and
without making provisions in the act authorizing
the same for a tax TO discharge the debt so con-
tracted, or the interest thereon Provided further
that the State may contract debts to repel invasion
suppress instruction, or if hostities are threat
ened, to provide for the public defence.
Mr.. NEWMAN said:-
Mr.. Speaker: These resolutions are int pded IN
strike at and destroy two ruinous evis-the banking
institutions Of the State and wasteful expen diture
Of the public credit To check the issuance of
state bonds, and protect the people from the evil
effects Of log rolling-legislation. These, sir, are
the propositions presented for the consideration of
TINS honorable body. have no fears in sta ting nv
OBJECT and the end aimed 30 be attained by present
ing, passing and the final adoption Of these resolu
IONS Dy the people, as amendments to the Constitu-
ton.
The first proposition proposes to settle the ques-
ton Of banks. 1t leaves 20 the people to say
whether they viii have currency created and regu-
lated by these inttutions or not They will decide
against all Of them, In my opinion. l. for one de-
sire to see the whole banking system abolished:
TO strike down and destroy the evils Of paper cur
rency, which, IN al instances, has been based on
credit, and credit alone. For my part 1 desire
gold and silver alone, pure metallic currency, as
circulating medium, that every man may at all
times know the value thereof; that he may to-day
calculate what It will be worth tomorrow; and
these resolutions sir, propose to TO take one step in
the direction Of reform-''radcal reform" as the
S2ttS call It. They propose to grant no new char
iers, and to renew no old ones. By this mode no
new banking institutions can come into existence
The old charters expiring they will have to 90 to
The people for renewals, which will never be granted
Their civil eTistance having expired under the law
let them die by the law. This mode will be gradual
Jers Banks. Their charters expire in 1868 Let
them not be renewed, unless the people declare it
So and as they are suspended to-day, let them be
suspended forever. So too, sir, with the State
Bank, Her charter will expire in 1863 let it then
stop, be closed forever as, inmy opinion will be
the viii and wish of our constituents. All other
bank charters IN the State will share the same fate:
each expiring according to limitation and like /
winding thread from a ball, gradually will this /
whole system 20 out Of existence, leaving in It's
place currency that cannot fuctuate and the one /
intended by the trainers Of the COnsttution-purely
metallic in its character.
Now, siE, | would ask the friends of shinplsster
currency what benefits have the people derived by
this substitute. Have they grown better, WISER or
Weather, by making paper issues the circulating
medium, instead Of coIny 1 need not 20 out of
our own State to illustrate the proposition and
TO show that they have been ruinously swindled
by tins substitute. Take, Tor example the old
HIwassee Railroad and Banking Company which
once circulated with Us, and left outstanding
more than three hundred thousand dollars, in the
hands Of the hard working lab0ring men Of the
country; aud though her issues were redeemed long
years after, IN State bonds and the stock Of the
company, II was not until the whole Of 1t had fallen
INTO the hands Of hungry greedy, blOOd-sucking
SPECTATORS, who tatten on the industry Of the coun
ny, as camp-t0ll0wers hang around an army so /
hat after battle they may strip the dead and rob
he wounded. So stand these operators around the
wing, rob the poor aud steal from labor its hard
earnings, under the sanction Of law
Next IN order came the Farmers and Merchants
Sank OF Memphis, with seven hundred thousand
.olaTs In issues, and to-day they are in the hands
u the people. We're they a benefit or an injury to |
he country: Are hsr notes the representatives of
urreucy or printed illustrations Of fraud and cor
upton?
After this cane the Central Bank at Nashville,
'suing, emitting and paying out three hundred
thousand dollars Of promises TO pay, for the sole
beet Of demanding the honest and unsusPecting
low we'll did they succeed! Its paper in the hands
our constituents, alone can answer the question !
md We, that are down with the Bank phobia" !
ELL the people what TO do with this paper.
Then In order, again, We behold the Bank Of
jas. Tennessee; her issues flooded the country !
he amount, the number, and character Of her paper
REGULATION stands as hidden mysteries unravaled to
ny of her creditors. Every family have more or
5s of the medium Of these bankocrats the only use
nd purpose Of which now Is to point the moral Of
be past and keep the people waCbful of the future
Shall we continue sh Institutions is the vital t
Iestlan Of the times So far my voice and vote I
an go 1t Will be TO do away with the whole system,
'glTdlng 10 as a cheat and a fraud on the people.
hey have insured loss TO Tennessee Of over five T
lll0us Of dollars. Has this been benefit They {
ave been spoken of as evidences Of civilization. t
D they do away with the savage nature of man Q
re these gambhng-shOps the road TO enlight- S
lment. And their facilities to sWindle true test &
a nations advancement in the arts? Are these il
odcrn juggernauts necessary for people to be &
efficient IN science as some gentlemen tell us P
But, sir, are these losses TO Tennessee ALP Let i
look to the whole country. The following is a a
lief statement Of the losses by banks in our a
hole country: b
L5ssesh by bank failure ..... Sl0S SSj 72l
Losses bysuspcusOns Of specie pay d
mcnts by banks and consequent de- t
probation Of their notes very C
low ...... ....... 95O0O,OOO c
Loss by destruction Of bank notes f
by aocident.......................... 1921, 1882 u
Losses by counterfeit bank notes be- T.
yond loss in coin .................... 4444,444 I
Losses by fluctuations in bank cur s.
reucy affecting prices, extravagan- q
ccs in living, sacrifices on property, L
and boy only part of the other Incl v
dents 20 the banking system not com
putcd, at least mot haifthe amount 100000 900
sgrcgate computed 8G5,45l 497
ID for United States bank and others
since 1871 .......... -. 45,OOOO6O
40, 45l, 4g7
An accurate computation Of the losses occasoned Ct
the present failures of the banks would add q
gc.y 20 the statistics give above and probably VI
the depreciation Of the value of real estate; cot
D. farm produce s6cks and bank bills and all other NJ
ngs would amount 90 not less than three hundred 81
nifty millions. Add this amount TO former esti- 81
Ted losses resulting from paper money banks, and al
makes S5G5,+Il, 49,. This is probably below, HI
her than above the true test amount To this