Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1859-11-11
The counser-Note sy.sem.

islature has believe, given universal satisfaction
to the people of the State. So evident were the ben
efts resulting from the system, and 50 unmstakable
were the indications of popular approval that while
the Democratic party in the last canvass. justly
pointed to its results as the highest testimony
in favor Of the correctness Of their policy,
the Opposition did not dare to take issue
with them on the question. Under the plea Of
giving relief to the people however, an attempt has
been made to repeal an Important portion of the law
of the last legislature in order 10 allow the Banks
10 pau ont the notes Of any specie paying Bank in the
State We are not aware that any body discovered
that the people needed such relief during the canvass
The Oppos ton, who are now almost unanimous IN
favor of the measure did not then feel the necessity
of it All parties seemed satisfied with the counter
note system. We have every reason to believe that
the people are satisfied with it still, and we see
nothing in the condition Of the country which de
mands its repeal or modification
There were grave reasons which influenced
the last Legislature to prohibit the Banks from
f,da,ng ont notes not redeemable at their eoui-
tiers. The Bank Of Tennessee had paid out the
notes Of the Bank of East Tennessee and tie
EXCHANGE Bank. The Union Bank had paid out the
notes of the Bank of America and Citizens Bank.
When the paper Of these institutions became worth
less the losses fell 1pon the people and not upon the
Union Bank and State Bank which had given it cur
reney.
1t was against such evils that the prohibition OF
the last Legislature wasntended to protect the com
munity. The repeal Of that prohibition will be fol-
loUed bv A recurrence OF those evils. We shall
again hear of arrangements among the Banks for
their mutual benefit. by which banking house in
the mountains will pay out the currency Of an m
stitution situated on the Mississippi The people
will be again afflicted with deprecated currency
which they can convert into specie only after the
delay. trouble and expense ola long jouTneyto some
Inaccessible point in another quarter Of the state
The consequence will be that the Banks may reap
another harvest of profits by forcing them either to
nav three per cent for exchange for specie or to
incur heavy expense in converting into specie the
notes which these very banks have paid out
Yet it is argued that this policy is intended not for
the benefit of the banks, but Of the people Is it
beneficial to the people to enable the Banks to place
in their hands an rredeemable circulation, and eX-
tort from them exorbtant prices Tor exchange: IS
1t beneficial to the people be compelled to travel
hundreds of miles to get specie on notes. when
some neighbcrng bank has forced into circulation
Is it thought that return to the policy which flood
ed Middle and West Tennessee with the worthless
paper of the Bank Of East Tennessee viii be benet-
cal to the people is II thought advantageous to
the community have such currency as that OF the
Citizens Bank Palmed off upon them, by solvent
Bank which is protected against losses by PricGte
Indemnity? When we can be convinced that these
things are beneficial 10 the people we may believe
that the reDeal Of the counternote system Will re-
dound to their good
But we are told that the Planters and Union
Bank will not observe the counter-note system and
we consequently ought not to force the Bank OF
Tennessee to observe it. If the counter note sys-
TEN is calculated as believe 20 protect the peo-
e and promote their interest il should be enforced,
wherever and whenever it can be done. The Demo-
cratic party is pledged to the people TO enforce It,
We went before the country in the last canvass
claiming credit. party, Tor the benefits OF the
system The people approved ii and elected a Demo
cratic Governor and Legislature pledged TO contln-
ne that policy We did tell Them. then. that we
would relax the law until the Planters ard Union
Bank accepted its provisions. Their refusal to 40
so was as well known then now. but the people
did not on that account demand an abandonment Of
the eountcr note system. Nor did the candidates OF
either party argue therefrom that pos;ponemento or
modification Of thelaw would be desirable.
TIE people never imagined that their representa-
tives would feel Fl necessary to repeal law which
had operated for their protection. because all the
banks yyould not observe it. They viii not apprcci-
ate perhaps, the force Of an argument which as
e.lmes that. because the Union and Planter Banks
avH persist in a policy that is injurious to the
country we must allew the Bank Of Tennessee 10
pursue that policy also. such an idea vas never
born of the plain common sense Of the masses It
was Matched in the quickening hothouse atmosphere
Of banks. It is device OF party which has al
WAYS cared more for the Interests OF capital than Of
labor Il is weak invention Of ID, enemy to dis
tract and divide tBe Democracy, and eStcGi she priv
ileges. and enlarge the profits Of their pet moRopo
lies. Let Us beware of the trick!