Daily State sentinel. [volume] (Indianapolis, Ind.) 1861-1865, 1862-03-01

and unconstitutional That some of the States
omission is very likely. This was their tendency
forty Years ago. and but for the rise of Abolition
i'm there would have been no interruption Of this
tendency
what Constitutes specle Paymentsl
The stockholders of the Bank of the State
have valuable charter or special privileges
The consideration or compensation. therefore.
they claim to be the furnishing TO the people of
Indiana a sound circulating medium convertible
at the will OF the holder into gold or silver.
This is al the benefit, il benefit il be- that the
people of the State receive, or are promised, for
the extraordinary privileges it has conferred upon
this corporation. The charter states that "the
said bank shall not at any time suspend or refuse
payment. in gold or silrer. of any of its notes,
bills or obligations due or payable, nor of any
moneys received upon deposit" and il provides
that If any branch fails thus to meet its engage
ments, IL may be closed, as in case of insolvency
short time ago, in anticipation of the
present extraordinary condition of our pub.
lie and monetary affairs the officers of the
Bank published an Official pronunciamento
that it would not suspend specie payments
under any conceivable circumstances" Not
withstanding these restrictions in the charter
Of the Bank and the declaration of its off
GERS that it would, at all hazards, redeem
its promises to pay in gold and silver,
we understand that the Branch in this
city. and likewise Branches elsewhere, have
refused to pay coin for their issues and will only
redeem their circulation in United States Urea
sury notes. The contract of the bank Is with
the State. and not the Federal Government, so
that 10 cannot be effected by or take advantage
of the legislation of the latter. In ali cases
where there is an express agreement or Obligation
10 pay Indebtedness in gold or silver, Treasury
notes, even ii made legal tender by act of Con
gress. cannot be substituted for or made equiva-
lent 10 coin. The contract with the State is that
the said bank shall not at any time suspend or
refuse PAYMENT. in gold or silver, of any of its
notes. bids or obligations due or payable" There
can be no doubt room for equivocation as to
the meaning and intent of this clause in the char
ter. The Constitution also provides that all
bank notes shall be redeemabe in specie. Ii
says:
All bills or notes issued as money. shall be.
at nil times. redeemable in gold or silver: aud no
law shairbe passed sanctioning, directly indi-
recty, the suspension, by any bank or banking
company, of specie payments"
Such Is the bond. And we do not conceive
that any one will claim that Treasury notes, or
paper promises to pay of any description are
".sohi or silver"
The statements published by the bank repre-
sent 1t TO be in sound condition and abundantly
able To rs liabilities in the manuer provided
by the charter And il has not ONLY boosted of
It's ability 20 maintain the redemption OF IT, issues
VA gold or silver. but IL has officially announced
it won't suspend specie payments under any
conceivable circumstances But il appears that
some of the branches are either weak ut the
Knees, or else they regard profit more than hon
or. and for reason or the other are seeking n
suhieriuge 10 avoid both their charter obligations
aud voluntary pledges to the public. This ac-
tion OF some OF the branches Is not tO be wonder
ell At when the history the institution i remem
bered \ distinguished tinaneier and moraist of
our city said that the people of IudianA could not
eNttct much gOO1 irOm Institution that WAS
born W corruption. And although that gentle
man has since become large stakeholder in one
OF the branches, ne are inclined Ia believe that
bis judgment not NJ fault ia the opinion
which he hrSt expressed and that even the sal;
which he brought into the institution will not
save II from It's original faint.
We think now. as We have expressed ourselves
heretofore. from the double motive OF interest
and state PRIDE. the bank should be sustained in
the determination q expressed to maintain srecie
payments IN good faith. bat il il lovers it, own
standard u can not expect much il any sympathy
from the people Ii We have a hume currency
that = sound, and reieemable NJ the will ~ the
holder in gold silver. il i infinitely preferable
10 the eastern trash which now forms our circu-
lating medium. And il the Bank Of the State
furnishes as such currency. the business com
munty should drive al other from circulation.
IT, The Louisville Journal pronOunces the
effort OF Dir. NooRHEKs. ia the House OF Reore-
sentatives on the 20th Of February. "a most
seathng and eloquent speech against Abolition
ism. and that it .fully sustsins his brilliant rep