Arkansas true Democrat., 1858-02-16


 cheaper circulating medium in our midst furnished by the banks. Experience proves that the better circulation is always driven ont by the more worthess-the more valuable bv the cheaper. And yet, sir, this paper circula- tlon, which Is su ject to such huctuation. not only drlves specie from our country, but the peo- Pe ol the United States annually lose more by the depreciation of this currency by suspensions and total failures, and defalcations, and the thousand other incidental abuses of banking. than would pay the entire expense of our gov ernnent. But let us came into the State of Tennessee and see esomething of what our own people have lost by their banks How much did they lose by the Fariners and Merchants bank at Memphis which is now utterly worth less! suppose, at the lowest calculation half million of dollars How much did they lose by the Central bank at Nashville whose charter you remember was stolen through the LeysIa- ture! At least quarter of million mnre.- How much did they lose by the Agricultural bank at Brownsville, owned by set of thieving Yankees? From seventy-fve to hundred thousand more. How much by the Miners and Manufacturers bank at Knoxville whose histo- ry believe Is similar to that of the Central bank? Twenty-Five thousand more I suppose would be a safe estimate. How much by the bank of East Tennessee at Knoxville, which was the most supendous swindle of all? sup. pose would fall far short of the truth in put tln9 down Its circulation at a half million of dollars. It Is impossible in fact, to ascertain what amount of circulation this mammoth 'wid-cat' had out, but from all I can learn feel safe in setting it down at half million.- How much have they lost by being compelled 10 submit to discounts or slaves on the paper of the suspended free banks and smaller stock banks? At least hundred thousand dollars more. Thus we see, sir, that the people of this State have within the last few years lost by their banks Tn aouI cash, one million, four hundred thousand dollars. This 1 think, sir is a low estimate In this estimate l have said noth- ing of the losses by the "shinplasters" of Kin cannon, Chatfin & Kirk, and others of that day. have confined myself to recent dates Nor have 1 made an estimate of the millins of dol a's that have been and will yet be lost in con- | sequence of the depreciation in the price of her property and products of the country induced by the present monetary pressure This-all tbls-ls but part of the cost of our banking sys- tens to the people. And yet we are told that we cannot get along without bankS-that they are commercial luxury with which no civiliz- ed people can dispense. Well sir if d luxury, l would say they rather an expensive one On! sir 1 wish could prevail upon our Legis- lators to consider the cost of this luxurv-I woul my voice could be heard bv every man within the limits of our proud Ssate-by the peope--the sovereigns of the lamd-that 1 | could induce them to stop and think and con slder the cost of this system to them, and that they might be persuaded never to send another man to this hall to make laws for them, who is not pledged against banks and bank influence Is it not miracle, Mr. Speaker, that with this Jripv voIS hurt hon this onarouc tay ,pon uS wa have ever attained unto the degree of prosperity we now enjoy? And oh! sir, had we but been free from this burthen, what people would we have been?
 But, Mr. Speaker, the gentleman from Shelby objected to that provision in the Senate's bill which prohibits banks from selling gold and silver at any price, and from selling exchange at greater premium than two per cent. Why, sir, these banks owe debts -thev refused to pay them-have suspended and why? Because, as they aege, they have not sufficient specie to redeem their circulation. And when this is so when they tell Us they have not sutli !. clent specie To redeem their circulation, shall authorise them to sell or dispose of what specie they have on hand? Would that be guarding, as we should, the interests of our constituents who hold their notes? No, sir, no.
 They have issued their notes promising to ] y holder presents them and demands payment and they refuse, have we the power to compel them to do so? or at least to see that they do not squander their effects until by legal proceeding they are forced into liquidation? If not, what is our boasted liberty worth? Where is the eff cacy of our free institutions? And exchange, | sir, IS but the representative of gold--thev ship their gold and check on 1t, and shall we allow them to refuse to pay their gold to the note- holder who is justly entiteld to it, and ship it to New York or Philadelphia and check on it at from five to ten per cent. premium as they are now doing? Why sir, in times of suspension, these banks fatten and grow rich, and if we al- low them to remain suspended and sell exchange | at these eXorblant prices they never will resume 1 and will ruin the merchants of the county who need and must have this exchange. If they will redeem their notes and furnish the com mercial interests with gold, they can perhaps get along--let us make them either pay their hon. est debts or furnish exchange at the very reason- able premium of two per cent. They can make it profitable to sell it at one ger cent, and was | lntavor of limiting them to one per cent. The | bank of Tennessee has been furnishing exchange at one per cent. prem, and, sir, so long as she had any to furnish at any price, Why, sir, the notes of the most Of these banks Is worth some- thing to-day, but if we allow them to go on sell ling gold and exchange at these eXorblant prices | their notes will soon be worthless in the III lrk ct for they will have disposed of all their specie wherewith to redeem their notes.
 Sir, without this provision the bill would be materially defectve--let us protect the rights of the note-holder, by prohibiting the banks from making way with their gold and silver, and thus postponing indefinitely the period of re- sumption.
 +l, 4l,. { any bank shall refuse to accept of its provisions as amendments to its charter the Attorney Gen era shall proceed against it to forfeiture of charter. This is the only means we have of compelling them to obey our law after shall have made it. Why, the law already requires that they shall be paying out specie, and yet they are every day violating and dsregarding 1t. If they disregard laws made by previous Legislatures, what more respect will they pay to tho se we may enact? We must retain this pro- vision in order to force obedience to our enact- ments. And, indeed so we'll am satisfied of the wisdom of this provision, that if this Legs- lature refuses to pass it, l am then prepared to vote for resolution directing the Attorney Geh- eral to have every one of them wound up.
 But bank advocates here say: eff you op- press the banks the banks will oppress the peo- ple,' or in other words, MT. Speaker their posi- ton is this: Let the Legislature take care of the banks, and the banks will take care of their constituents. Indeed, sir, when logically con- sdered the position of bank advocates every where is: Let the Legislature take care of the rich, and the rich will take care of the poor, or the poor may take care of themselves. Is it the roor man, sir, that gets bank accommodations: Are the great mass of the people accommodated by them? By no means. If poor man gets a note discounted at all it is thought the influence of some rich friend, or perhaps in order to enable him to pay debt he owes some rich man, and then he had as a matter of course to be ndors- ed by men of property. No, sir: the fact of the case is, that the poor are always the sufferers by the defauting, non paying banks, and while the banks are solvent they receive no accommoda- l tions whatever.
 Sir, am not in favor of returning at once to