Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1859-10-06
NUMBER 165.

check, which il sold to shs homs merchant st rrs
MUM Of one per cent. Which il repeated nrohihIf,
makes another item Of profit o. twelve per cent per
annum; add this to the items Of interest and ~
shauge originally taken from the bin snd Y
swels the proat' up1n tie actual e1pfll Of the bark
70 forty-7ight per cent.
Now. when The public psrt With these priviis7sss
by conferring them upon individuals. ne GOOD c ~
public is the sole object u be accomplished, accord
ing 70 the plain rule IA down by the Consitagio6
and the greatest care should be takeo at al timed
that this shsuld be secured; aud certainly il VII
not be commended that this cqn Be done By snythds
less taaa securing to tae people Convenient, s1ua
uniform. and convertible currency; sad III must
agree that the larger the specie basis in all bark
frcl which the people have over them for the p0t
pose Of checking their ex"esses. the souader and
more uniform. their currency, and consequently
the greater the probability Of heir promoting -.
public good: and surely the ecrporators esnnt
object to any restrictions and reservations nscess
~ to the accomplishment Of this object For tkeT
are bound, not only BY The plain letter and spitR
Of the Constitution, but by every consideration 81
sound policy public justice and common honesty,
to furnish to he community a currency As soiad,
uniform, and reliable IS the one which they dIs-
place; q currency which is ct least the reprsseats
tive Of ami nos the mere substitute for, specie.
oue vhiea Is At ali times convertible iaso eon a.
the will Of The holder.
But has such been the history Of banking undsf
the present system il Tennessee
They have, n many Instances, issued s. high -
four, six. eigh, and even ten dollars Of heir PspeE
for one il specie.
They have made their notes payable ct points us
most remote from the place Of putting them IN cir
cuat0n, for the purpose Of ressrding their return
upon the bank for payment. thus deFreeiatiagtasir
paper aad making it lees valuable - the holder.
They hsveexpanded and contracted AZ will cata-
H. in
and Ahesting the price Of every mans labor ard
property.
Ana not unfrequsntly, aetuated By spirit 81
selfish avsrics ami enpidity, they have Hoodee the
country with their circulation, by which they have
stimulated overtradiog-wild and reckless specula-
tions-habits of luxury aad extravaganza, aad ID
dueed thousands Of our population % abandon the
fruitful fields Of production for the more fascinat
ing yet more haz srdons fields OF speculation aad
when they nave reaped the full benef' Of large
business, and the bubble can be expanded no fsf-
ther public confidence becoming shocked, and the
country threatened with commercial reEulsiou =
one OF the legitimate fruits Of their eOndaot, they
have quietly closed their doors and said to tae
victims Of their policy We sZtend no farther az
eommodations; we have suspended, aud viii nos
even pay the notes you bold upon us- Thus
leaving IN the hands Of the people deprecated
aud irEsdeemable paper as tkeir only currency
the losses by the depreciation OF which, fall UPON
the industrial classes, who are usually tae q lee
holders; while the banks avail themselves Of he
depreciation by transmitting their available means
10 some one Of the nercial cities Of tie No n,
and charging iheir nose holders from to 10 per
cent premiun for exchange, or n other words
they 6rst dspreeiats heir OWa Psper By Refusing
70 pay it. and after having deprecated IT. they BUY
il IN at from to 10 per cent discount, paying for
II in check on New York Instead Of gold.
Now when banks redeem their paper in gold, you
can never be under the necessity Of paying higher
Il. foFo NJ FIR uur
any point within the Atlantic States For exchange
is always worth Just what it will cost 10 transmits
the geld 20 the place Of payment, and gold can Be
transmitted from Tennessee 10 any commercial
point within that limit ST a cost Of about Of enc
per. cent.
The country is now Just recovering from period
Of about ten months suspension CT specie pay
ments upon the part Of sl th9 banks in Tennessee,
in which every bank IN the State vas selling az
change at a premium Of from three to tea per cant,
except the Bank Of Tennessee, which furni- he'd
exchange to the extent Of her ability throuEhoat
the whole period Of suspension al 6 preEaisn %
ore per cent.
These are some Of the evils Of our present baHk-
ing system ind the practices Of cur most sqivens
banks, to say nothing OF Inc millions Of dollars
which have been lost 20 the people Of Teunssses ~
the failure aud insolvency. Of others, not sufficiently
guarded and ssrietsd; evils to which the COM
munity have been compelled to submit, because
these Corporations are clothed with, and fortified
bv irrepsslable charters, which enable them taz5
to outrage the public interest With impunity, and
to defy the whole people and the Legislative ta-
thoriiy Of the state For under the present sysens
when ycu have passed bank charter, asd The
eompany has ergsnizsd under it, il IS held BY tie
courts that there is power in TIE goverumenE 70
sb,lish. no poWer TO add single restriction or
safeguard hOWever necessary and Important fnrtasr
restrictions may be for tue security of the Interest,"
Of the public; and Whea the individual ciiizsn ap-
off ha far rel 4
may say to h:m, it IS clear t2As you are Uren I'D
and oppressrd By these institutions. bet thei are
eloIhed with vested rights under their charters over
which have no P9Wer, aud therefore, can gite
you no relief
Can institutions which engage in practices Ike
these, go selfish aud snfag1nlstio to The general
prosperity Of he country; institutions, WhOseoaly
object seems to have been the realization Of the
largest possible profits regardless Of the greet IN
Jury or ruin which they bring upon the halanci Of
the community, clothed with the pOser to 60 on In
their career Of reckless speculation, defying my
Legislative enactment iHteDdeA setO reform them as
TO protest the best interests Of the people for whose
baue6t they we q established, be s'deryasd srpc-
disnf for the pubic good - When 80 far from pro-
noting the pubic good, hey have, ua1er this IN
restricted system, been vampires upon the P1olio
iateres fatteniDg upon the misfortdnes Of the psO
pie hich heir own policy has produced.
That paper currency - convenience % ths
pubiie NO unpreiudicsd mind can deny. hut that il
il convenience, which, under our present system,
hes cost the people vastly more han is worJ is
equally clear. Aad the only means Of preserving
this eOpvenieuce so IS 70 make E beneficial % the
psoule is or radically reforming the whole sys,em,
and throwing around It such stringent Restrictions
and safsguaTtl5 as will secure uEiformity. and per
feet certainty as TO the convetibity CT ihs FaPsr
iuto coin at all times at the will Of the heller
And as q means Of accomplishing this, il i, in
ny opinion, indispensably necessary that uP9R The
=. hortn uos5a
to the people through their legislature the power 10
mo ify or abolish such chart r, VIXEN IN their opn-
/ ion the public interest demands it.
Indeed, to deprive the people ofths Powerio n
troll or abolish institutions created By their auter-
itv and alone for their benefit. is Inconsistent With
the great and fandsmsnta PrineiPle o. seA-gofesl
! ment
maintain that the people are at ali times capable
of Determining for themselves aud arethe best Jodg
es as to what will promote their oEn Interests That
they have a right 10 determine for themselves me
/ number and character Of banks they VIII have,
and 10 restrict and guard them, as the lights Of ex
| periszcs may prove 20 be necessary, and to abolish
them WHEN they fail to perform their functions fully
| and properly add cease 10 be public benefit And
for enc Legislature 10 fasten uponths State nun
Der Of banking institutions for period Of irty or
/ 6ftv wears the charters Of which cannot be ameud
| ed modified or repealed. usurpatiea Of lhs
rights Of future Legislatures, contrary 10 the Prin
ciples Of self government, and an Onlrsge upon me
| rights Of pOsterity
! IL is, in effect, denying TO those who shall esme
after as the rights which claim and exercise for
ourselves Aud not only for ourselves; for ~ this
policy we undertake to penetrate the dark a3t dis
Iant future and decide for successors, for me
next quarter OF half century, the character q n
sttutions which they shall have, Withholding hom
/ hem the power 10 mould OF modify them % suit
their necessities or congeniencs, or 20 protect them
! selves against the wrongs which they msy peEPe-
/ trate. or 70 abolish taPm, however PsrnisoUs aud
prsiudcial TO the pu5ic interest they may became;
thus denyiag to the people in the future the priyi-
lege Of probing BY the wholesome lessons taaght
I by the experience Of an entire generation. -
/ will never assume the responsibility Of denying
To the psope in the future, the right Of deciding
/ forthemselves as to the character OF institutions
which will she expedient for the public good"
aided as they viii be- in determining the question,
by the lights Of experience, and the fscis and cir
camsiances which tine win have developed
If the people Of the present day need aud desire
banks they have right 10 make such IS the Con-
stituliOn eoutemplatss, and - manage aud control
them fJr themselVss; cut taey have no rigat- t.
fOrestali the popular will and tie the hands OF their
SUCCESSORS. For the experience Of every nan
~ hf.a.f-