The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1856-1888, 1860-08-09

a stimulus 10 trade, &c, for a time, but expert
ence showed that such stimulus was always fol-
lowed by q corresponding depression felt sure
that the effect of it. passage would be injurious
10 the prosperity and true interest Of the country
had no objection - the men, but the system. By
and BY, when they had their kite well uP-tor
they were linked with the Government, and II
was a kite-dying arrangement between them
(y0u take my Exchequer Bills, and Will legalIze
your paper)-and there was a demand for sn
amount Of specie, the bank would be unprepared
To pay cash, but would pay EHchequer Bills aud
what were they worth in London. Paris or Wall
street what other recourse was left them but 70
suspend specie payments. He would rather
20 10 MS grave. than see that day arrive in this
land Of q good sound hard money currency. We
were not in a :. pilikia for money why then
introduce q fictitious capital of the kind proposed ?
Mr.. VIM. L. Green. the President, then sug-
gest-d that a motion should be made. thar would
express the sense Of the meeting, as TO whether
or 10. a bank Of issue, was necessary or desirable
in this community.
The following resolution vas then offered by
Mr.. c.. {. Harris, and duly seconded. He had
had the matter under consideration in former
years, when Mr.. Dana contemplated a bank here.
Resoirel-That in the opinion Of this Chamber. =
bank u issue, if started upon q proper basis, and
properly Conducted, would be advantageous TO the
Interests Oi the community.
Debate was then opened on the resolution.
B. F. Snow objected to the Government prescrib-
ing 10 the community what paper they should
receive.
Mr.. Cartwright had the same objection to urge.
was opposed to the = legal tender" clause, did
not care how much paper Bishop & Co. issued,
/ =, 1yDuy ~ Sr.I i-S,, vr.S ,,aIa Hapau1aur IN tho
personal credit of the Bankers, and it was at the
option Of the community - take OF refuse it.
Mr.. Harris spoke in favor of his resolution.
II would appear that almost everybody was in
favor oea bank Of issue of some sort. it was very
inconvenient to carry cash about YOU when
travelling about the country. If the bank refuse
to cash their bills, the Charter Will be revoked
com5a5ted Mr.. WAREHOUSES; idea that the Gov
eminent would suspend specie payment, Gn the
event Of being called upon to redeem the securities
as per the Act,) the Minister Of Finance had no
such powers such an AZ: would have to emanate
from the Legislature. Capt. Snow here remarked
that whether the Government had or had not the
Poeer, the fact that they had not the specie to pay
when demand was made, ,could constitute the Act.
. Take Bank Bills or take Erctequer Bills, for
neither the bank nor the Government have the
spsie, would be the answer to the n pplicant.
Mr.. Waterhouse was opposed to, and would
vote against a bank of issue did not think it
conducive to the prosperity of the kingdom if
it was established, would like to see 5000, 600
Of specie in its vault. The present Bankers were
fine and careful men but they were not infalli-
bic. and not exempt from reyerses.
Mr.. Aldrich asked that the discussion be con-
fined TO the merits of the case.
Mr.. Snow did not think anybody got up banks
to benefit the community, but themselves; did
not like the Government to compel him to take
the bank money.
Mr.. Bishop here said that as the : legal tender
clause, appearing TO be that which met with the
particular disapprobation Of the Chamber and
the community, they were willing, and would
pledge themselves to a withdrawal of that clause
from the Act, and at the same time he denied
that there was any agreement between them and
the government. 1t was not a government
measure.
Mr.. Castle would like 10 know more about the
matter, and the reason trhy a bank Of issue tCOuld
De advantageous.
Mr.. Cartwright thought a bank issuing paper
here, would simply tend to initiate business, en-
larged on that point. and thought the loss (when
it did Gomez would fall on the small people and
not upon the bank. 1t seemed to him that this
was got up for the purpose Of building up sugar
plantations. u favorite scheme with some,)
thought such projects should not be entered into
by small capitalists.
Messrs. Harris and Aldrich followed. who
combarted the idea Of loss and bankruptcy ad-
vanced. Mr.. Aldrich stated that it would benefit
young planters with moderate capital in getting
under way. Sugar planting was a. safe rs any
other enterprise. There was at present no way
in which a planter could borrow FIVE or ten thou
sand dollars, if needed to improve his plantation.
Spoke of the necessity Of furnishing means, to
develop the resources Of the country expected
by means Of the proposed issue TO lower the rate
of interest, and with u low rate he thought there
was room and opportunity enough for the success
of 100 more sugar plantations. 1t was now
almost impossible for u man from the other
islands, 10 come here and borrow the money he
needed, even on the best security.
Mr.. W. l.. Green thought that everybody
would acknowledge that banking was good, if
properly conducted it must be admitted, how
ever. that banks increased the means, and even if
they broke they would leave the improvements
behind them advanced this more, however, as a
- western wild cat sentiment, than his own So
Der views.
Mr.. Montgomery thought that what had bene-
tilted and did benefit other countries, would also
benefit us. Should We sit still, or make some eff
20 help ourselves out Of the impending de-
We all know that a man may come
up from any other island, with a trunk tun Of
title deeds, and Yet not be able to borrow s., goo
o improve his land. If banks of issue contribute
o remedy the defects, then let US try them if
hey are subject to abuse, let us guard against
UGH abuses.
Mr.. Dimond thought there was money enough
10 lend upon good securiti-5; a plantation
ould not prosper that was carried on with bor-
owed money.