Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1858-02-03
TENNESSEE LEGISLATURE.
HOUSE or REPRESENTATIVES.
TauasnAT, Jan. e, 1858.

(Bdabs and Baaking--Ia C07t7uafioH.)
Mr. BATE. Mr. Speaker, I an very properly rep.
resented by the gentleman from Haywood, as being
opposed to our system Of banking when first came
Into this Legislature. I am still opposed to our
banking system. knew that system is the greatest
enemy the State Of Tennessee has. know it breaks
down and destroys her prosperity which consists In
the products Of her labor and why It is the syren
that sings to our energies the song that luls but to
DESTROY raises the price Of produce and then over
Whelms the producer With the cheaper products Of
foreign labor. By legislating for banks you legis
late for foreigners circulating medium Is regu
lated by its relative value to everything else. A
paper circulating medium increases the cost Of the
products Of labor it dspaces absOFbs sends out Of
the country, metallic currency, and then brings
down upon US the cheaper products Of other coun-
tries and go the balance OF trade against US Reces
sarily follows.
Mr. Speaker, your banks have furnished all the
circulation they could You treat them rs though
heir paper was convertible No man will tell you
that the bank currency Of this State has circulated
as convertible paper Il never convertible paper
Il is secured paper-seeured upon the faith Of
means-the credit Of those persons who make their
notes and bills-who endorse noles and make bills,
and sell then TO the banks. Sir, I am opposed TO
the banks as much as the gentleman, or more: but
the banks are amongst us-upon us--snd the 0ues-
ton is, what shall we dol The gentleman would
say, 90 and make them pay their debts- How pas
He would say, you shall pay BY certain time; and
that means 20 Immediately, and sue, and collect
from every man that owes y0n. And he says in this
he s acting for the people. You for the people, sir
I deny it, 1 am for The people, and yea are not
Tousay to the banks, 90 and collect all the spscis
in the country and pay it over to the foreigner
You for the foreigner, and AN for The people Of
Tennessee. I am for sustaining the local currency
Of our banks and defending them from the response
billtes they have incurred, and which IS exhibited
10 every bank report. If you force them to sue,
whom do they susl How much is the indebtedness
Of people Of Tennessee to the banks Do you not
compel the banks the people Of TENNESSEE For
there is their resource. The means, the cred Of
the people constitute the faith upon which these
bank notes circulate and when you force them, they
must be permitted TO force all the people resulting IN
one convulsive system Of suing and har assmens ex
tending itself in every direction, entering into all
the relations Of society, paralyEng the arm Of in
dustry, breaking up the most prosperous and pFu-
dent business men, and bringing disaster and dis
may upon the needful enterprises in the State
And then, when they contract their circulation,
do you not know that that very circumstances will
increase the value Of their notes! Thus, sir, the
banks will become popular, and you will become
uupopular-snd all this, because Of the disasters
you are preparing TO bring upon the State by the
passage Of this bill.
Mr. Speaker with these facts and views before
me- have I not right to ehange-not my principles,
but my opinions with regard this question Of the
means of relief for the people l have no record
to make or 20 mar. will have nothing to do with
consistency in question Of this character. When
ever I am convinced Of my duty to ny people, will
do It. aud let reputation and consequences go to the
wind
Mr WILSON interposng. Mr. Speaker; Is the
gentleman opposed to this Legislature taking any
action with reference to the banks
Mr. BATE. 7 would preserve the local currency,
and wait until the exchanges shall pay the foreign
debt; and then, the interests of the banks them
selves Will compel them to resume. By pursuing
this course, you will furnish good local currency
and that will be all you can do. / am opposed to
any action as to resumption; leave that wholly 20
the banks.
Mr. WILSON then took the hoor, and referred TO
the experience Of the country in the bank suspen-
sons of 1887; which, with the exception Of brief
period Of resumption in the fall Of 1887, continued
Ia the State Of Mississippi till they were compelled
by law TO resume, in the winter Of iS4l-Z; AM
predicating his judgment upon this experience, he
alleged his belief that the stock banks in Tennes
zee, if let alone, never would resume at all. As
friend and advocate Of the Bank Of Tennessee, he
affirmed that that bank had never sold exchange at
q higher rate than one per cent. and that they
we're now furnishing every dollar they could com
msnd at that rate.
Mr. ST. JOHN spoke again.
Mr. CANTRELL. There we're Weighty objections
against the bill in his mind, and he had voted with
out hesitation to postpone till the first day Of July
It was only yesterday that he had got hold Of the
bill. There were provisions in it which he approved
But the first duty of representative IS, to provide
for the welfare Of the people. He considered that
we ought in some way, to reach the banks, but he
would not crush the people in order to get at them
He hoped the motion to postpone would prevail
MrSMARTT This Dill was the best that the
wisdom of this body could present. 1t combined
al the elements Of relief 10 the country, and all the
nessee which the best Of this General Assembly
had been able to bring TO bear upon the subject.
He did not like iin sll its provisions, but still as
whole it commended itself to his judgment There
were two restrictions in the bill to which he object
ed First the provision that requires The banks TO
cease paying out small notes before they are re-
uured to redeem them in specie and, secondly, that
provision which prevents the banks frem paying out
the notes of other States, before he general re-
sumption Of specie payments. These two restTic-
tons he was opposed 10, and had done every thing
he could against them. Objectionable as these
restrictions we're TO him and his constituents, he
felt bound to support the bill because il looked to
the future correction Of the errors in our Tennessee
banking system. He was not opposed 10 banks, a.
some gem Iemen represented themselves; but he want
ed banks based on gold and silver The restrio-
rions in this bill looked in that direction. One
thing more The Conference Committee had re
ported unanimously in favor Of the bill with their
mod ,6cafi ms.
Mr. BEALE interpreting Mr. Speaker: If the g n
eman will allow me- wish merely 10 say to him that
the report Of The Committee uuanim ous upon &
things before the Committee. l wish il 10 be dis
tiucily understood, that am not committed to the
BILL but only to the things before he Committee
Mr. SNARTT. l Withdraw anything as TO the
committal Of the gentleman; and, as his committee
notifications do not affect the bill materially, am
s III for it | an DESTROYS Of dispOsng Of this sub
jeot would like 10 see members take the respOn
sihity Of its passage 10 day. Our constituents are
claiming this action at our hands. And, though
the bill may operate oppressivey, in partial sense
and for 8 time. think it looks sufficiently 10 the
future good Of the State to deserve the liberation Of
Mr. VAUGHN Mr. Speaker: It is necessary
for me to make personal explanation. / voted
against this bill when it left the House and passed
to the Senate. But, yesterday, was appointed on
the Conference Committee, and conceived it to be
nv duty to act The matters before the Committee
are in the amendments reported. signed that re-
port. have consulted my constituents freely upon
The whole suhject-bankers and the community in
general; and they are in favor Of these amendments
l know represent my constituents when endorse
them am here to represent their will and l will
do it. though the heavens fall. There is one thing
in the original bill corrected in this report, that
desire to notice The 9TH section was calculated to
do Injustice TO the free banks Il restricted them,
TO the circulation Of their own paper,
while it permitted the State Bank and Its branches
to circulate each others paper. In the report Of
the Conference Committee they are all placed upon
ground the Of equality.
Mr. BAYLESS was for the present bill. he be-
lisved, that in the multitude Of councillors there
was safety.
Mr. BEALE next took the floor; but geve way
fOr-The Iecess till two o'clock, P. m.
HOUSE OF REPRESENTATIVES,.
THURSDAY, Jan. g. 1858.
EVENING SESSION.