Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1859-05-28
SATURDAY MORNING, MAY 2s, 1853.
Col. NetherIand and the Ranks.


Some years ago the Union Bank was guilty Of a
great outrage upon the rights and interests CT the
State. Col. NKTHERLASD then member of the
Legislature was appointed one of eommitteeto re-
pert to the Legislature what action should be taken
by that body; in which report subsequently made,
Col. NETHERLAND says "Such conduct Jas that
Of the Union Bsnk between individuals, would be
stigmatised fraudulent, and only be explain
ed in the present instance by the G5sH established
fact that corporations in their aggregate capacity,
will upon their joint responsibility, frequently COM
NIT scts which, individuals, they rould blush TO
juStyy." And yet the people of Tennessee find
Col. NETHERLAND before them to-day as the can
didats Of this same Unicn Bank for the office of
GoVsrnOr-the bank espOusing his cause and he es-
pousing the cause Of the Bank.
Col. NETHERIAND is urging upon the people Of
Tennessee the re-chsrtsr reincorporation of the
foreign stockholders ofthe Onions Planters Banks
for another period of thirty years 1t is highly i'm
portant that the people Of Tennessee should under
stand the nature Of the charter, under which, as
proven by Col. NETHERLAND himself they have the
power to commit, with impunity, acts which be-
tween individuals would be stgmaiised as frauda-
lent, and which individuals they would blush to
justify.
Whatever we may say of those institutions it is
not our purpose to reflect in any wise upon their
officers. An act of incorporation is one thing and
the employees Of that incorporation another. That
the Union aud Planters Banks have given more than
ordinary satisfaction in their management fer some
years past is matter Of credit 10 the officers who
have presided them, and TO- the charters upon
which these institutions founded We are free 20 say
that TO the extent Of own information few more
liable bank officers to DO found than those who
control the Union and Planters Banks of this city
But this may not be so another twelve months Butt
hrieftime may until these institutions will be
found in such hands as controlled the Union Bank
when, as charged by Col NETuEELAED, it was guilt
Of conduct towards the State that bet Ween dvdu-
ais would be sigmstized as fraudulent" and com
mittsd acts, which, as individuals, they would
"blush to justify"
But experience has shown that, even in the hands
Of the reputable citizens, the privileges Of in
corporations will be used to the very farthest extent
warranted by the most liberal construction of the
act Of incorporation, regardless Of the public good.
Banks are but individuals, with all the avarice !
and self shness common 10 humanity, stimulated by
an employment calculated to strengthen those in
hrmies and relieved seemingly of personal respOn-
sibility by their corporate capacity.
Private corporations-Whichin invariably imply the |
right to exercise privileges that are not permitted
in common to sIl-sre only authorized by the Con- |
stitutiOn for the "public gOOd;' and yet who does
not know that the practice Of the world has been
manage all such institutions first fer pirate good,
and for the public injury, whenever the public
and private interests conflict. Let us have an il
lustrstion:
1t was TO the private interest of the Union Bank
but recently to enter int an agreement with the
Citizens Bank at Meuphis-when the condition Of
the last mentioned institution was doubtful one,
and it was diff ,ult to get the people to receive
and circulate her notes-to aid N restoring conf
dence in the Citizens Bank, and in order that that
Bank might keep out its issues among the people.
The interest which the Union Bank had was pri-
vats interest, based upon private considerations.
The means resorted 10 advertisement made
by the Union Bank that the notes Of the Citizens
Bank would be taken al her counter, thus pla-
cling them upon g par with her own notes.
The effect was that the notes Of the Citizens
Bank were again received as readily by the farmer
for his produce and by the mechanic for his labor
rs the notes Ofthe Union Bank, as the public we're
assured that they would both be taken on deposit
or in payment Of debt at the same counter But,
the Citizens Bank failed and its
nOteholders lost from 80 to 60 per on the dol
sr-noiWithstanding the farmer and mechanic
we're left with its one, two and three dollar bills in
their pockets, unable to get them off-the Union
Bank was secure. She lost nothing. Every
paper rag which she held upon the Citizens' Bank
n ndnd itv of viii h.
public knew nothing security, too, in which tho
public did not share. The laboring man who had ?
AIKEN the Citizens Bank bill upon the credit which
he Union Bank had given it, might have pleaded
with the last mentioned institution for lifetime to
have shared the loss with him, aud it would not
have been done. The officers of banks are elected
10 guard the interest Of their stockholders The
Legislature is elected to take of The interests Of
he public. Il follows, therefore, that the ONLY
means of promoting the public good is to grant to 81
no privileges which may be used Z, P
advance private interests at the peoples expense
md to reserve to the sovereign people the right at a
IL times to abolish, through their Legislature. A Il
peculstve Incorporation that is being used to their &C
rejudice. ID
In this connection, desire to invite the attain CO
ion of the public to some of the provisions contain ca
in the charters Of the UnOnsn Planters Bgnks "a
hitch Col NETHERLAYD is in favor Of re-e1aclng co
or another term Of thirty years.
The 9TH section OF the 1Ith article Of the Consti- n
ltion Of Tennessee provides, that NC
"The Legislature shall fix the rate Of interest J.
ID the rate established shall be EQUAL and UNIFORM tn
roEghOHt the STATE" on
The Legislature has fixed the rate OF interest at We
per cent. II farmer sells his whes., or his rel
gs or his cotton, or his corn and takes note ds
the purchaser be can only six per cent fac
the end Of the law, though he mag have cor lar
.eted for eight. How is it with the Uoion and &c,
anters Banksi Art. XL Of the Union Banks cor
after, and the same article of the Planters rep