Dayton daily empire. [volume] (Dayton [Ohio]) 1850-1865, 1860-01-24
nnnks nnd nnnkInR.

u
The law Of 1851 is.as far AZ it goes, a very good
Law. / presume II found It's origin 10 the belief
that, situated as we are, banks Of issue we're a
necessary evil, spd the Legislature accepted its
existence and guarded sgainst It's increase ms
much AZ human foresight could. We were
ovsrrun with the currency from the Eattern
States, and from SOME States in the West, parN
t~ioularly Indiana, aud some sort of remedy vas
necessary. A majority OF our ~law.mukers
thought thsl by having banks Of our own
with their paper as we'll secured as was possi-
bic, and with stringent restrictions, would
drive out the deprecated "lampblsek and rags
las Old Bullion used to term it-from other
regions. The very provision in this law, that
banks organized and doing business under IL,
should not pay out the paper of any banks out
Of the State. though they may receive It, shows
that | am correct in thus judging Of the mos
tive Of the Legislature in enacliag this law.
But from another section Of this act Of 1851
l gather the impression that that very Legi'la-
turc was aware Of the great danger Of a paper
currency, aud MS inimioal TO it as | am, IL
provides that banks claiming It's benefits should
end their e~xistencs in 1879. and hat after 1860
the Legislature may prohibit the issuing and
circulating Of notes under Eve dollars The
reason Of this Is obvious. II. after the pres
snt year, all one. two and three dollar notes
are withdrhwn from circulation, 10 their stead
specie to that amount will come out. In 1866
the charter Of the State Bank will expire and
their notes will be Withdrawn for cancellation,
and for that amount an equal amount Of specie
ought to pour into the lap Of the public and
into the channels Of trade. Thus, by the year
1874, when, by the express limitation Of tho
act of 1851, all the other banks will expire. the
people Of The State Of Ohio will have gradually
returned to a sound hard money currency, and
without any violent disturbance Of the financial
concerns Of trade. This seems to have been
the object OF that law Of 1851, and it ought to
be- strictly carried out. The present Legislas
lure is empowered to take the iucipient steps
aud it should take them by prohibiting all
banks, acting under this law Of 1851, to issue
or circulate any notes Of less denomination
than five dollars after the list Of January, 1851.
| am aware Of the argument that may be
opposed to a hard money currency in Ohio,
while other States surrounding ps persist in
legalizinR the manufacture Of paper money -
And | am also aware that what | said in the
beginning Of this communication, that banks
Of issue were, under such circumstance, a
necessary evil, 3" may be brought up in support
OF their continuance. | cCncode, that AZ soon
as our paper currency ceasps to have a legal
existence the banks Of other States will strive
to have theirs to take It's place to get hold Of
the specie now in The vaults Of our own bank
ing institutions. and to throw upon our people
the loss Of the depreciation Of their paper. |
coDeede, AZ | have stated before, that our Leg
~islature of 1851 thought their banking law an
efficient measure to couutcract that purpose -
But | do not agree with them in that regard. /
think there is a still better and still more ofi>
cient measure 10 prevent our State with being
overlooked with that paper trash in the shape
Of notes, and which. though yet uutried, would
most certainly secure that end. This measure
would be, in my opinion, to repeal all law'
which make it u penal offence 10 our State Ia
forge or counterfeit. or 10 utter aud circulal,
forged and couuterfei,ed bank notes. Up tC
1872 the notes Of the banks Of our State should
he excepted, after that the repeal should bl
general. The effect would be that The making
or passing, within the State of Ohio. Of copn.
,erfeit notes Of banks of other States. would n,
longer be n punishable offence by tbs laws q
Ohio. I admit that this would be n novel pro,
ceediny. it's results could nevertheless be bnI
beneficial for the people, H. would. in The mos
COMPLETE manner, prevent the general eirculs
ton Of bank notes from Other States: for m,
people KNOWN, that ANYBODY NAV counterfeit
these paper issues without fear of ineurrin,
any penalty for il, would at once altopelber re-
fuse to take them. ALWAYS spspieious of holm,
imposed upon. As we would have no lepalize,
paper money In Ohio. after 1873. mo- inteyss,
would be ieopardized by it. and # any banke
we're still 10 take such MONEY! he would do /
at his own risk.
Some oyer,scrunulous individu,ls mas ma,
hans think. that by ndoptiny such , conrss
Ohio would violate the requirements of comi,,
70 H.. ohso,yed bstv..r. ,ha s,.,.s ~ 90,
= ,ha, ,hon nbio wonld ooon,.,omI,1 80,
.oyn,s,Ci,.,s .ooin., om,h.u.m..I -"
Law ,rd ,bov won,d ovo,,nn an -:
g.. iii mai, 60. anI IL -.
o.nsa ~ oomnl.tn, This aHn.,,.a -
-, A.. ~, LA a..a A-
- =: "
$50 r "'"
'PV" ' P'DP' faf' VIC "o"eJ