The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1860-02-04

The hank Note ke0enPssoW AseWs
We publish Ssiow The unanimous resoia-
tions of the Board Of Trade Of this city with
regard to the "Redemption Law Of the last
Legislature. They very briefly express the
general sentiment Of the commercial clauses,
aud the opinions Of such men are entitled to
the most resp<ctfaI confederation Of the Gen.
erai Assembly.
II is most true that an " irresponsible and
irredeemable currency 10 an incubus on the
prosperity and growth Of any community -
Such a currency we will most assn redly have
if the Legislature will only give way to the
solicitations Of those who ara ever exerting
their influence to remove the checks upon ex-
cesses ia banking, and to throw as many oh.
s,scies rs possible In the way Of the account
ability of the Banks. A paper currency not
easily convertible must be deprecated cur
rency. Ii the loss by its depreciation fell
upon the issVs,s Of such currency, il would
be just; bat that loss always falls upon
the innocent into whose hands, Ia the course
Of traffic, this currency finds its way Yet
even tho incon venience and the loss from
ordinary depreciation of such a currency are
not its greatest evils No such currency can
long exis, wiihou, inducing corruption and
fraud, and without ultimately involving the
public in the more serious Inconvenience and
losses which grow<out Of Bank failures and
the utter discrediting OF their paper. II may
be said that the public is secured by the
stock. deposited by the Stock Banks, so far rs
regards those Banks. Blu, that is only a COM
pleie protection of the man who may have
fhonsand dollars of the paper of such a Bank
The peopl, with smaller sums must submit to
shaves upon the five, ten, or twenty dollars
they may have; and, as has been already seen
these may be from five TO fifty per cent. But
there is another class besides the note holder
which has no protec,ion-that class is the de-
positors The excessive banking which may
be encouraged by the failure Of the State TO
provide the proper measures to ensure the
accountability Of the Banks may, and very
naturally, bring upon them that ruin which
will involve the entire loss Of all the depo.
sits in their custody.
1t is n poor consolation, therefore, to the
public afflicted by a loose and corrupt system
of banking. that the .:ofe holder is secure. The
public that could be satisfied with that would
exhibit the folly of the ostrich, who, hiding its
head imagines itself safe from its pursuers.-
The public wants a wise system of banking,
which furnishes a currency that is in good
credit and promptly convertible. If it is
promptly convertible it will be in good credit,
and if not promptly convertible it cannot be
in good credit. To say that discredited cur
rency is secured by stocks in the Capitol, will
not make it what it should be to meet the
wants of commemorative it should be to in
demnify the people for the important privi-
leges they have granted through their repre-
sentanves. The public only want reliable
Banks, well and properly guarded and re-
siricted-not unreliable Banks, issuing a cur
rency not in good credit and not readily avail
able-Banks thatmay be kept sound by whole
some restricton-not Banks that may by
the broad latitude given them, introduce
wild system Of overbanking that must involve
them in ruin and visit upon innocent persons
the losses of thousands and millions.
The Redemption Act" Of the last Legisla-
ture is certainly the mos efficient measure yet
devised to promote the conyertibiiity of the
paper currency, and the accountability of
the Banks themselves. It is not all that
the Legislature ought to do. The Banks
ought to be made to pay out none but their
own notes. Yet, the Redemption Law was
considerable stride in the path towards
tablishing the complete accountability of
Banks That measure was due to the people,
whose power had been used by their delegates
in granting the delicate trust Of banking privi-
leges to companies. 1t would be a wrong per-
petrated upon those whose favor has thus been
extended to the Banking corporators, to repeal
that act and subject them to the inconve-
nienees OF an inconyertible and deprecated
currency. We invite attention to resolutions
OF the Board OF Trade:
AT meeting Of the Directors OF the Beard Of
Trade. held on the I'd Of February. IT was cOnsid-
erred proper and 0pportune tn express the senti
meut Of the body of mer hants. upon the policy of
the existing Redemption Law
. Hesotred. UNANIMOUSLY, That ar irresponsible or
lrredcsmab'e currency is an incubus on the pros
rerity and growth of any community. and the only
true and safe bssis upon which banking be
tatlsaed. is that which makes Bank notes in al! re-
sppcts equivalent to coin.
That the present law equirIng the redemption of
the note OF the Interior Banks at the points where
they dfiit in the course OF trade, has had most
whole some effect upon the general currency of the
State, and the tendency of its repeal would be to
flood the state with 4 pTomscuous, unSound. and
Irredeemabie paper circulation. to the great injury
Il all the lpterests connected with trad..
That this Redemption Law would be far more eff
fecive aud beneficial, it all the Banks were forbid
den ny statute to pay out any notes Whatever ex
cent such they would redeem in gold at par at
their conn.ers.'' HORACE J.. KENT, Prest.
JOHN ii. CLAIBORNE, Secfy pro tenn.
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