Nashville patriot. [volume] (Nashville, Tenn.) 1858-1860, 1859-05-28


the issuance of State bonds for millions of
dollars, create new mammoth State bank,
which sooner or later will follow the foot
steps of its illustrious predecessor, controlled
by legislative authorities, and eventually
windup lots upon the people.
Do you want examples? Look to Ala
bama, to our own State Institution, and to
every other bank that has ever been created
and controlled by legislative authority. One
solitary word is their history--"ruin."
Banks and the history of banks reach far
back into many centuries. They existed
with the Jews in the time or our Savior.
Wherefore then gavest not thou my
money into the bank, that at my coming l
might have required mine own with usury?"
In modern times banks are the landmarks
OF commerce, and as necessary to commerce
Is ships. arms and ammunition are to armies.
You might as well expect to carry on war
without armies as commerce without banks.
You could not mere readily dispense with
banks than you could with steamboats,, steam
ships. railroads. and telegraphs. They are
necessities Of the dqe-the coDcomitaDts of an
advanced stage of refinement, luxury, COM
merce, civilization. Show me a country
without them and wilfshow you country
OF no importance in the scale of nations, not
far removed from barbarism. Saying moth
ing of the mercantile operations of large
cities where millions changed hands by the
hour, we need look no farther than our own
city in the business season. when several
thousand bales of cotton and several hundred
thousand dollars change hands daily.
Under the present system, all this is done
quietly. safely, screly, economically between
the banks, the merchants and the people. II
we had to deal with gold and silver exclu-
sivcly, without banks. each leading house
would require hall dozen additional clerks,
h,I harS to,
tect them from loss. II merchants would be
thus incOnvenienced. what would become OF
the planter. who would receive ten, fifteen or
twenty thousand dollars in gold for his crop?
Where would he go with his gold? Who
would guard him? If he attempted to carry
it home would he not require a conductor or
guard like the carriers between Vera Cruz
and Mexico? When home. could he trust il
with his slaves and household Could he rest
or sleep with so much money in his house
How long before he would be murdered and
robbed? Verify, in a short time they would
call upon the rocks and mountains to hide
their treasure, and the Gods to hurl thunder
bolts at those who had afflicted them with
such dire calamities.
Whatever may be said of the general as
pect Of this question, there is local stand
point from which we in Memphis should look
at it. Many Of you, gentlemen. remember
Memphis before you had banks. You remem-
Der. then, the limited character of our trade,
how all the cotton received here at that time
passed on to New Orleans was sold there,
and the proceeds invested in New Orleans in
groceries and dry goods. You remember
what a poor share OF this trade Memphis re-
ceived. YOu remember that our commission
| merchants merely received the commissions
for. receiving and forwarding, and that the
whole country looked to New Orleans for
everything.
About the year 1885, banks came into ex-
| istence. At that time, our neigbbor Randolph,
above us, shipped more cotton than We did.
Aud our neighbor below us, Vicksburg, then
now, in the heart of the richest cotton
| country in the world, did fve-fold more bust
ness than Memphis, and was worth tive-told
| more in the value of property. But see how
all this has been changed. With the estab-
lisbmeut OF banks at Memphis, the business
changed. The cotton of the country (be-
cause of the facilities which banks offered)
was sold here-the proceeds invested here.
This gave rise to our trade. commerce, popu-
lation and wealth; and with the aid of rail
roads, has given us our present prominence
over all the cities in tue valley between st.
Louis and New Orleans, Randolph, for the
| want of bank facilities, lost her trade and has
| vanished. Vicksburg, once so great, so pow
erful and so promising. by an unwise system
of State policy, for the want OF banks. has
been anable TO control the trade which be-
longs to her, and has forfeited her preemi-
| nence-perha.,s forever.
If we in Memphis would see our trade Ian
| gnish. our prosperity vanished, and with il
| our population and wealth, we have only to
| follow rash councillors and we shall see it.
| If, on the other hand we would prosper. grow
great andf the world with our name and
| fame, we must go on we commenced. fol-
lowing only the safe and sane guards of ex
| perience.
/ am no extremist about banks, personally
have but little use for them. | know their
value, however l would give them liberal
charters--compel them to pay specie at their
counters at all times redeem !heir issues
| falling to do this, forfeit their charters. This
far we can go safely. anely-wisely.
Very respectfully, ROBERTSON TORI.