New Orleans daily crescent., 1866-02-01
VOLUME XIV.

sttuton of 1864. 1t isalso in direct opposition tt
the settled policy of the State, as indicated in al
= past legislation. Itproposes to create monopolies
- = the effect of which must inevitably drive from
the factoragc business all private firms and indi
yiduas; and it creates invidious distinctions in
favor of corporations to be created under it,
Lastly it is uncalled for by any wants of the State
y and existing laws make ample provision for any
> factorage and provision business which ought to
; be encouraged. And further, its operation will be
injurious to all classes of the community except
; the corporators" In the article of the Constitu-
ton alluded to there were two significant points.
In the one the phrase ." by special laws y was en-
ploycd. BY this it was clearly intended that cor
porations should not be created either sngIy, or by
classes; for in the latter case it must be done "by
special laws as well asn individual cases; the only
difference being that there would in the former
case be fewer Especial laws" required, than if
the special laws" " were all confined to individual
corporations. The second clause of the article
OF the Constitution provides that the Legislature
shall provide "by general law" for the organiza
ton of all other corporations, with certain pro-
hbions. That is to say, it provides that the Or
ganization of all corporations shall be provided for
"by general law and no corporations, individ
ually or in classes, "by special laws In support
of this view, the gentleman read from the Revised
Statutes of 1856 on the subject. The leading idea
of this constitutional provision is that there shall
be no special laws to create corporations
either in particular classes, individually. This
bill authorizes any number of persons not less than
six to do certain things, and grants them certain
privileges to enable them to do so. So much for
the constitutional objection The second objcc
ton to this bill is that it is in direct opposition to
the settled policy of the State as declared in all
past legislation In support of this he referred
first to the law upon the subject passed in 1852
Among the purposes for which corporations were
| prohibited by that law were agriculture, mercan-
tile pursuits, manufacturing occupations, banking
| and stock jobbing. We then come to the law of
1855, in which, while provisions were made for in
| cooperating bodies for the purpose of public i'm
| provement, it yet made the same prohb-
| tons, He referred to the act of 1856,
limiting the power of the banks, to show
that objects of this character had been uni
formly prohibited. The third objection to the
bill that the bill would create monopolies
| drive away private factors and merchants, and
create invidous distinctions. If members would
refer to the bill they would that stockholders
under this bill would be liable only to the extent
Of the stock they subscribe, while private indi-
yiduals would be liable to the extent of their
whole possessions. That certainly was an invdi-
GUS distinction.
The gentleman was interrupted by the announce
ment Of message from the Governor, which was
received.
Mr.. Egan continued. He called attention to
difference between the English version and the
| French version of the law OF 1852. The latter lie
| showed, was more stringent than the other. The
fourth objection that the bill uncaled for,
unjustand injurious lie Conteuded that it must
I be impossible for stru ygling people to come
! into competition with this monopoly if it were
created. Capital was wanted and would come
here-would like water, find its evel-if let alone;
| but if these privileges were granted, it would not
come without them. But even if capital would
not come without our giving it this hold upon our
| yitas, he would not consent to it. Factorage,
under any circumstances, is tax on production
which it would be we'll if practicable, to abolish
| for the sake of the producer. With regard to the
provision that these corporations should be allowed
to engage in agriculture, he agreed that it would
prove only means of inducing the impoverished
planter to get means from them at the risk of
| finally to find his lands seized to make good the
advances. The risks of labor, overflow, failure of
crops and other conditions were very great at
the present time. And in case Of their occurring
who would expect these proverbalIy soulless
! corporations to have the same consideration for
planters that those who knew their responsibility
and with whom they had been accustomed to deal
| would have? These corporations would ask
securities in the shape of mortgages, and in case
| of failure would foreClose the more readily be-
cause authorized to enter into agricultural opera
tons themselves. In his Judgment this the
most formidable scheme to fasten an incorporated
| monopoly on the State ever attempted, and not
| one private factor could live under it. One iu
portan power which this bill would put in the hands
of the corporations would be- that the capitalists of
the North and East belonging to them, would be able
to control prices as they pleased, and to control
| the direction produce should take. In support of
the view that there no necessity to invite
capital hithcr at such cost, he said that within
the past few weeks bank with capital of $780,
900 had come, and an interest in it to the extent
of 100000 had been offered to our citizens
| There are representatives of capital from the
North here seeking investment. He wished this
to be encouraged, but not proposed. If
our mortgage system needs revision, let it be given
If our system of tact mortgages needs it, let that
be attended to- If it were necessary that where the
wife is interested in inviting capital hither, pro-
visions should be made to meet the case, so be it.
But let us not have this bill. The gentleman then
| lciefItu W the power acquired under m0nOp0neS
by the East India Company, and by the Hudson's
Bay Company, and held them up as a warning
If commercial circles were sounded it would be
found that they are opposed to all such measures.
After some further observations, the gentleman
said he would, in order to test the sense of the
Senate, move to lay the bill on the table; but in
order to allow of full discussion of it, he would
withhold the motion for the present.
Mr.. Kcnner replied at great length to the obsel-
vations of the gentleman He said he was under
the embarrassing condition of being opposed to
the views of the whole of the Judiciary Commit
tee of the Senate, who might certainly be sup.
posed to know what was unconstitutional. He
was also under the embarrassment caused by the
extraordinary course pursued by the Committee
towards the bill They had not merely killed it
| by declaring it unconstitutional, but they had
ely gone on to hang draw and quarter it besides,
| stick up its head a pole and exposed
its body and 3unctra n1enlbra to the hor
| liied gaze of the world. Ether the bill
WIS constitutional not. Why were the com
mittee not satisfied with their declaration that
| it was not constitutional? We're they afraid that
| ri uro1 matt hIn And thnu