Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1858-03-18

profits Of the Bank as reported to the Legislators
5v Mr. Ledbetter was at the rate of over per cent
This was for the first eleven years, during which
time the branches at Athens, Columbia and CIarks-
vile substantially failed and were Withdrawn, but
we're afterwards restored. From July /, 1919, to
1858, the profits Of the Bank as given in reports
and tables for that period, averaged over per cent
per annum From the lst Of July, 1858, TO January
!. lg58-fcur wears and half-the profits as shown
in the tables averaged II per cent per annum. This
makes the profits for the entire period, average
per cent The argument then, which is used against
the increase Of eaptal-that the Bank has lost mon
ey-falls to the ground II has made money for
the State all the time.
There is one other objection to this proposition
which deserves brief notice. 1t is that idea which
is entertained by those who denOminate themselves
the lizards i'm other words, the idea OF an exelu
sive specie currency. The necessity Of something
else besdes gold and silver, to carry on the great
commercial affairs Of the country is, at this day, too
apparent TO need, a single word Of comment. We
know Of no country or people, except the barbsrous
tribes Of those portions Of the world unbessed with
civilization and enlightenment, where metallic cur
rency is the exclusive circulating medium 1t Is en-
tirely unnecessary TO 20 into defence Of legiti
mate and sound system Of banking. The opponents
of such needful regulation for trade and commerce,
constitute but small faction upon which it i; use
less to expend argument. The radical notion of an
exclusive hard money currency, is simply ridiculous
and absurd.
For several years past, let it be remembered, the
profits Of the Bank Of Tennessee have averaged ii
per cent upon The whole smOunt Of capita employed.
l. is SAFE to presume that it and will make 10
per cent upon its entire capital, which will enable
il to set apart per cent as q sinking fund, with
which 10 buy up State Bonds. If this sinking fund
is not diverted from this purpose, 1t WILL in fifteen
years nav of the entire State Indebtedness, which
Is now about four millions of dollars Now we
- &c fha Gfafa
of he debt with which she is buthened, in the man
uer proposed than TO resort TO direct Taxation The
latter alternative is inevitable, unless the other
mode is adopted. The whole subject resolves itself
into this Shall the means be afforded to relieve the
pressing wants of the people, and to pay of the in-
debtedness Of the State without resOrtng TO direct
taxation, or not?
Mr. POLK. Mr. Speaker, in addition to this argu-
ment, PROFOUND this question, and ask the house
to decide. VIII you increase the capital Of the
Bank Of Tennessee, so as to enable her to qUidate
the State debt within fifteen years. or will you re-
sort to direct taxation? l present the question to
every member; and sir, you in favor Of
adopting this means of paying the State debt CT
are you in favor Of direct taxation? You are ne
cessariy for the latter proposition when you vote
against this bill and if so want you to announce
the fact. If you are for pure specie circulation,
announce it, like men, that the people may under
stand IT, If you should kill this BILL predict that
hills, and over all the valleys Of the State and you
will see such distress never before has visited
If we may judge from the past what the future
will be IF we may judge from what the Bank Of
Tennessee will do from what has been done by that
institution under the superintendent Of that great
and good man. the honorable Cave Johnson, now at
its head we may safely anticipate that 1t will res
lie hereafter-as it has heretofore done under his
management-eleven per cent upon its capital If
that be So can we not reasonably estimate that it
will realize the same amount of profit for the next
fifteen years? But then as in the article just read,
if it make only ten per cent and set apart four per
cent. as sinking fund, in fifteen years our whole
state liability will be paid off. But if you do not
pass this bill; if you refuse this relief say now,
and predict that there will be q condition of things
/ in the State Of Tennessee that will make some
! politicians wilt before the end Of the next two
years.
made this distinction? Who is it that makes division
in the Democratic party to weaken and destroy it =?
Who is it that instead of fighting together against
the common enemy, are standing out and endeavor-
ing to create disturbance in our ranks Surely this
did not come from those dshominated Softs:" gen.
temen calling themselves Hards have done it. You,
sirs have done it you have authorized this dstinc
| ton and sent it abroad in the land. You sprung
the question Of Hards' and s. Soft" -Wherher
am a Hard or q Sofas though we could not differ
| upon currency question without mourning your
political communication. But, say this, that If
| the influences of the Democratic party are to De
conducted in this way, predict that in less than
two years the opposition will have their foot upon
our neck This / desire to avoid as a calamity des-
tructive Of the best interests Of the State, and
members who oppose this bill must bear the burden
of the consequences, the limit of which cannot be
measured.
Mr. ROWLES now renewed the demand for the
previous question, which was sustained BY the
] II ~, h Vrooffor viz
Shall the bill pass the third reading resulted
yeas "A, nays 40, as follows:
! Yeas-Messrs Anderson, Bate, Bayless, Beale,
Bentley, Bieknell, Davidson, DObson, Dunlap Estes,
Frazer, Cannon, Griffith, Hamilton, Holmes, Kee-
ney, King, Polk, Renshaw, Rewles, Smartt Sum-
mers, Turner OF Sumner, White Of Knox.
Nqys-Messrs Benton, Blackburn, Bradford, Bra
zelton Bullock, Caldwell, Cantrell, Carter of Hsr-
din, Cooper, Copeland Dsvie, Ewing Harvey, Ivie,
johnson, Lackey Lamb, Lloyd, Low, Mickey, New
man, Randolph, Roulston, Richardson, Roberts,
Rose, St. John, Saunders Sehmittou, Senter,
Shrewsbury, Stovall, Thompson, Turner of Sum
ner Williams, Wilson, White of Hamilton, Wood,
Vaughn, and Speaker DOnelson-40.
So the bill was rejected.
Mr. BULLOCK when his name was called, said,
that on former occasion, he had addressed the
House at length setting forth some exposition
of the CO. ditiOn Of the country He thought then,
that the Senate's bill was IN danger Of being killed
Oh. But he uu not desire 70 see II unC6I5OulOusly
disposed of He preferred it should be Kept before
the House and carefully examined. He had him
self examined the question, looking both to the
interests Of the country and the bank, and carefully
prepared a measure, which he believed to be the
only one to sustain the country and the bank-beng
himself unwilling TO create new State debt OF a
million and a quarter. That proposition was TO
withdraw branches TO curai that source of expense
which cripples the energies Of the bank; to give
the bank liberty to deal more in bills Of exchange
and permit the location of branches where capital
could be employed in purchasing bills with facility,
and where gold and silver could be obtained TO re-
plenish the vaults Of the bank, in order that she
may make something towards the e1tnguishment
of the State debt This bill Of his, the House Of
Representatives had unceremoniously disposed of,
by laying it on the table. And now, therefore, being
called upon to cast his vote upon this proposition
which he had hoped to see amended he must change
his former position of armed neutrality to that of
decided opposition. Seeing no adequate advantage
to result from it, he was constrained under the
circumstances, to vote against the bill.
Mr. NARIS paired off with Mr. NeWbern.
Mr. CARTER of Hardin, said:
Mr. Speaker: Being called upon now to cast nv
vote upon the proposition in the bill now before the
House to increase the capital Of the State Bank
would submit but remark or two explanatory of
my VOTE II cannot Mr. Speaker vote to increase the
capital of the State Bank. One and one quarter
million Of dollars by issuing bonds fthe State and
placing them in the market; already too many of
the bonds of the State Cutting the market, and
that at deprecated prices.
Mr. Speaker, cannot conceive how II will relieve
the people to increase our State Indebtedness for
the purpose of banking, and increasing the capital
of the State Bank. If 1 should vote for such a
measure, 1 certainly would prove Tecreant and I'M
faithful to the trust and confidence reposed in me
bymy constituents, when they expressly enjOined up
on me to increase ourSate indebtedness, and not to
extend 10 any project Of internal improvement any
further State aid-and to withhold it where the
provisions ofthe laws extending State aid have been
compiled with. Therefore in compliance with nv
duty, as enjOined upon me by my Constituents
cast my vote most cheerfully Bgainst the bill.
Mr. RICHARDSON said:
He was a bank man. He believed that Banks
were useful, proper, and necessary. He was the
friend and advocate of banks with proper charters
and had advocated upon all occasions, during this
discussion, the re chartered the Union and Planters
Banks upon the terms which had been presented
to the House. He was opposed now, andhad always
been opposed, to the policy Of the State banking on
its own means, and more than all was he opposed to
the policy of the State borrowing the money to bank
on He said that he had the whole history Of State
bankngin Tennessee, from the charter Of the first
bank in 1907 up to the charter of the Bank of Ten
nessee in 1887 and was prepared to show from the
oFC Gov A-NT