Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1858-05-20

brings together associated capital" &c.-meaning
thereby, If meaning anything, that o charter Of in;
corporation confsrs nc privileges over those enjoy
ed by any private individual under the laws Of the
land, and that, therefore, IN incorporated Bank
assumes no higher obligation, nor more sacred
trusts to the State and people when 1t issues its
promises to pay, than any private man does. l
know this has been a popular Glamour with some
of the friends of the Banks who are ''not familiar
with the subject Of banking" and it strikes me
that these are made either without due reflection
or proper comprehension Of the nature and char
acter Of an incorporation. Is it so, now, that q
banking company derive from their charter, no
privileges and advantages more than every citizen
enjoys under the laws Of the land? Suppose o
private man makes his bills on demand, for ten
times the amount of his capital, which he man
ages to put into circulation, and when payment is
demanded which he is unable to meet, he is sued
for the amount Of his notes does be enjoy the
same privileges with o stockholder Of o Bank, which
is unable to pay her bills? Does the most
ignorant not know that his property is liable for
the last far.hing of principal and interest due ON
his notes? Does the most ignorant not know that
after all his tangible property is exhausted IN.
der the Sherif's hammer, that his body is yet
answerable for the debt, and may be iucacera.
ted in the four walls Of jail until he renders a
oobadu1a oF hfo ,pbo1o aotoka .fap0ih1a and iptoD.
gible, in satisfaction of his creditors demand 7
How stands the case with q stakeholder Of a char.
tered Bank A liability for more than double
the amount of his capital stock is imposed by the
charter Of no Bank in South Carolina. Let the
Sheriff then sell the chairs and tables of O banking
house for q liability of ST., 600, 900, incurred by q
Bank with a nominal capital Of $300,000 Let
him then sell $780, 900 worth Of the property Of
the stockholders-the extent oftheir liability on the
debt Of 5 1000, O00-by law, leaving q balance Of
$500, 900 unpaid, which may be in the pockets Of
the stockholders, and consequently q loss to that
extent, to the holders of the Bank bills. Can you
take the body of the Bank and compel her to dis.
gorge this $500, 900 by imprisonment The wri-
ter will bear in mind that there is difference be-
tween o corporate body and q corporeal body. A
gain, sthe charter does not give those bills their
value" and "you may issue twenty dollars to one,"
&c., says the writer. Is it true that the charter
gives no value to these bills-lends them no credit,
and gives no aid in making them current as
money! Very far from it. Can your notes offered
in payment Of my debts, if not objected to by my
creditor, be pleaded in our, Court as a legal ten
der? OF course not Are the bills Of an in
corporated Bank, not objected to when offered in
payment Of q debt, o legal tender? Most assured
ly they are. Are Tax Collectors required to receive
your notes in payment Of my taxes? Every one
knows they are not and dare not do 30. Are they
commanded to receive the bills of incorporated
Banks in payment thereof We all know that per-
haps every dollar Of taxes in the State is paid by
Bank notes. Is it true that an Act Of incorporation
confers no privileges! The assertion is idle and ab.
surd. Again. In addition to the value given to these
Bank bills by the laws Of the State, in recognizing
them as q sound currency for certain important
purposes, credit is given to Bank notes in another
point Of view. The Legislature when incorporating
Banks in this State has made provision in their
charters for compelling them 70 redeem their pa
per with coin at the will Of the holder, in order to
secure q sound currency to the country. 1t is
then the duty Of the Legislature to see to it that
the Banks faithfully comply with their obliga-
tons and believing, as we do, that the Legisla.
ture will perform their duty in the premises, it
does afford, in some sort, q guaranty that the bills
Of the Bank so incorporated, may be received as
q sound circulating medium. And tits not upon
our personal knowledge Of the responsibility Of the
stockholders, as the writer has 1t, that we take
these bills; for We receive and circulate the
notes Of Banks as freely as coin, without know
ing the name Of a single stockholder. Ssmuch
for the notion that q Bank charter is a small mat
ter, o mere "trammel." We have seen that high
privileges and immunities are conferred upon these
corporate bodies by their charters, and the OBJ
legation assumed by them to afford a sound cur
rency is off most solemn character. Fora faith
full discharge of their sacred trust, they should be
held to the ~strictest account. Have the Banks Of
South Carolina furnished this currency? Have
they confined their operations within the legiti-
mate scope of banking, and thus faithfully endea-
vored to meet their obligations to the State and
people? Let their suspensions, their sharpiny, sha-
wing, kiting, and usurious broking, an,we!
In the communication Of the writer, we find
these words: And coin is not always to be had,
and though the basis Of the circulating medium,
can never be SO abundant as to supply the wants
of the world" It strikes MI that this is q new
idea in political economy. By Whist method Of
computation could he ever have arrived at this
result !? How is it that all the gold, in the world
would be insufficient to buy all the valusbles 10
the world the yalus of which would be regulated
or measured precisely by this quantity Of gold,
were there no other circulating medium of 6cti-
tious value, such as Bank bills, 60? All property
has merely q relative value, and if coin were the
only circulating medium, the current price Of ev-
cry chattel would be measured by the quantity in
circulation. It is q gross mistake to suppose that
a suficiency Of gold and silver can not be afforded
to answer the commercial purposes Of the world.
One half or one decimal Of the quantity now e1-
listing would be amply sufficient. The nominal
value or prices Of merchandise would bsdecrsssed
in proportion to the diminution Of the gold, which
is the measure of values. It is true that o paper
currency is more convenient, easy Of Transporter
ton, and may very properly be used in the place
of coin. 1t is immaterial whether it be paper or
horn 90 that il be convertible into coin. But il is