The New York herald., 1869-05-27

State Jf New York. 10 order to avoid the restrictions
and limitations imposed by the act OF Congress con-
aey call the enabling act, passed by the Legislature
OF mat state for that purpose and In his letter OF
directors OF the National Mechanics' ana farmers
Bank OF Albany, an institution organized under the
ses OF Congress to provide national currency
secured by pledge or United States bonds, and "a
provide ! for the circulation and redemption
snsreoi, cnnsSo "a passed June 1864, claim 70 have
association, under the provisions OF an act passed
oy me Legislature OF the State OF New York, April
~, dS9, emitted An acI enabling national banking
assocatlons TO become State banking associations"
&c, anu thas by virtue OF such conversions they
az are apsovea from all allegiance and responsibility
ments OF the act OF Congress.
am OF the opinion that 1t is not within the power
to or diminish the powers, duties or liabilities
created In or conferred upon q banking association
established under an act Of Congress. The powers.
privileges and duties OF O corporate body are wholly
derived from the sovereignty which gave 1t exist
ence. The Legislature OF New York may und0ubt-
ration OF banking associations in that State; 6us
banking associations thus created are and dis
rvng their Existence rom the United states cannot
be merged or in any manner identified without the
authority OF congress. Any lawful contract which
private person or with another corporation may I'M.
d0ubtedly be made with corporation established
Authorized e by that State to enter INTO such con-
tract. On the dissolution Of a national banking as
sociation In the manner provided by the laws the
property OF such an association may be dis
posed OF by Its owners to any other parties
competent by the local law to receive such transfer.
far as the restrictlons liabilities and duties I'm
posed by act OF Congress upon the corporation
winding up its affairs Will admit. But IL seems to
me that t Is misuse OF language 10 say the national
banking association Is In any sense changed into
banking corporation created by the laws OF the State
or merged In 1t, and can perceive no power or au-
New York by which the property OF the national
corporation shall by act OF law, and Wlthont
an any CONVEYANCE OF transfer, be, be vested IN ana
ing association. The statutes of New York
may indeed provide for the creation OF corporation
clothed with the capacity to receive transfer OF
property In such manner as the Legislature Of that
State may determine, and as far as Its capacity to
receive Is concerned the Legislature OF that State
has full control over the subject; but the creation or
the capacity IN the new corporation Is an entirely
different hing from the attempt to transfer from the
mode OF action OF the national corporation depend
wholly upon the action OF the national Legislature.
am further OF the opinion that when national
banking association has taken the proper measures
for its own dissolution In conformity with Its arti-
cles OF association and under the provisions OF the
act OF Congress or June 8, 1864 such dissolution Is
not complete until the necessary action has been had
Tor the redemption Of Its circulating notes either by
the Comptroller OF the Currency, or by dcposittng
an amount OF Treasury notes with him adequate to
their redemption as provided by that act; and that
until these acts are completed the existence Of the
national banking association continues under the
law. It's capital cannot be lawfully distributed among
Its shareholders or transferred TO any other body or
corporation; that 1t remains under the supervision
OF the Comptroller Of the Currency in the manner
and to the extent prescribed by the act Of Congress-
to the same extent before It's liquidation CON-
menced that it is still required to make regular and
proper reports and returns OF Its condition to the
COMPTROLLER In the manner prescribed by the statute;
that II Is subject to the penalties which the statute
provides for failure TO make such returns that its
obligation to keep Its reserve OF lawful money
still continues; that Its directors must still
be the owners Of so much Of Its capital stock
to endanger the lien Of the United states upon
its assets by transfer Of them without other
consideration than the formation OF new banking
association by the same stockholders 1t follows,
a consequence, that whatever remedies the act OF
Congress gives for violation Of its provisions may
Whether such q remedy Is 10 be found In obtaining
decree Of forfeiture and the appointment Of re-
eever oy e eXact0m ana Goecon M 81 ~ ~
an act from which loss or danger to tine rights Of
he United States may be reasonably apprehend-
ed, VIII depend, OF course uponthe special iacts OF
the and upon the nature and extent Of the vio
lations of It's corporate duty, which the national
porate existence and iiquidate its affairs may be
found to commit. return herewith the papers
transmitted. have the honor to be, respectfully,
80 L. Il. HoAR, Attorney General.
TO Hon GEORGE 8. boutwell,, Secretary OF the
Treasury.
A. r. Corbm and bride, President GRANTS sister,
arrived to night and are stopping at the Executive
Mansion.
Henry d. Cooke entertained TO- night large party
at his house in Georgetown, including Secretaries
Fish and Boutwell, Secretary Fish gave large
diplomatic dinner party last evening.
Our Relations with Englani- Reported Policy
Of President Grant.
Washington May 2G correspondence OF Evening
POst.l
The rumors current here in regard to our relations
with Englapdto the effect that President Grant is
engaged i'll framing more energetic foreign policy
are considered by the best informed persons az
merely sensational. 1t Is true that General Butler
advises war policy and that Mr. Sumner is In favor
OF reopening negotiations with England: but Pres
dent Grant, Notwithstanding all the obstacles which
are thrown In his way by intriguing politicians, as
well as by threats Of Senatorial interference and
dictation, has taken the management OF this difficult
question into his own hands. In doing so he feels
that he Is carrying out the will OF the people and
that his course Will be approved by them.
IL Is ascerialned from the most trustworthy
established q precedent during the late war which
cannot be regarded otherwise than exceedingly
favorable TO the United States II IS therefore use.
less to ask England TO retrace her steps long
she considers herself In the right and with nothing
to fear from the United States in case she should 70
to war with any other Power. The President be-.
eves that these are matters which concern Eng
land rather Than the United States, but that
on the other hand, II England sees that she
was wrong, and that the same neutrality
principles she applied to the United States
would prove very disastrous II applied to herself
In future emergency then 1t Is or her to open
again the so-called Alabama matter and make pro-
positions for new negotiations. In this condition
the question stands fer the present and the President
sees no necessity whatever just now for pursuing
more energetic foreign policy IN reference 10
England.
In connection with this subject II has become
known that several cable dispatches were recently
sent to reading officials in England by Englishmen
here ana the answers thereto say that the bitter
feeling which at first existed after the receipt OF Mr.
summers speech Is beginning TO disappear, and II IA
anticipated here In official circles that the violent
excuemeut which has existed In England will soon
subsdc.
DEAF AND DUMB MUTE EXHIBITION.