The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1872-01-25
STATE DEPOSITORIES.

There are now nearly two millions Of dol
lars Of tho peoples money deposited in the
Banks of Richmond. We believe this fund
is distributed pretty nearly equally between
four banking institutions of which are
national banks, and one banking and insur-
auce company, under Virginia law. The ques-
ton Of the proper repositories has been dis
cussed deliberately in the Legislature, and vari
GUS propositions made as to the mode of ma
king the deposits.
There is view Of the question, which
does not seem to have presented itself to the
mind Of any one Of the debaters on the sub
ject. That is, that it is ia the power of the
Nationa: Banks to give the State some trou-
BILE, in drawing out the deposits. The Ma
| ioual Blnks exist under United States char
/ ers. aud are under the regulation, fundame :
tally, of United States laws. Suppose drat
If the Treasurer of Virginia was presented
and payment refused, and that the State was
to institute suit to enforce the payment
would not the trial Of the cause be thrown
| into Judge Undcrwood's Court for adjudca-
ton? And could not that Immaculate rep
resenta'iye Of the Judicial department of the
government sc arrange it, that an almost in
definite period Of time would be exhausted
before the money could be collected? This
is possible case.
Then these National Banks are owned
principally by foreign capitalists. The mon
ey coming from the people Of Virginia, is
used by these banks to add to the Golfers #
foreign money lenders. Now would it not be
safe, and wise. in accordance with justice to
our people, that the repositories of the States
money, should be selected from Virginia
Banking institutions existing by reason of
State charters, aud owned and operated by
Virginia capital for the benefit of Virginia
taxpayers? We regard this as practical
view Of the subject, and throw out the sugges.
ton to the members of the Legislature. as
one demanding at least respectful consider
alton. Where benefits can be bestowed, let
Virginia interests be the benefciaries We
have nothing to say against the responsible
ty of the National Banks. But where equal
security is given by State Institutions, we
think it would be but right and proper that
preference should be given them.
Since the above was written. we have no.
ticed a communication in the Richmond En-
qu,rer, to the effect, that each of the Bank
ing Institutions, where State deposits are
made, is entitled to receive 1925 600 aoithont
interest. and that per cent. is paid on all
deposits in ercsss of that sum. 1t is further
stated that these four institutions have made
at least seventy thousand dollars, annually,
out of the deposits The most remarkable
statement is. that the money is not loaned to
the citizens of Virginia, as the law requires,
but to spectators in New York, where now
is used at least one million dollars of Virgin
la money! This is really astonishing, and
requires the prompt attention of our legisla-
tors. 1t seems that Wall street brokers real
ly ovn Virginia and her people. That the
money wrung from the impoverished people of
Virginia, through the FAX gatherer, should
be loaned out TO New Yoak spectators, with
enormous profits to three or four Richmond
corporations. is an outrage upon the people
of this State, that should not be tolerated for
one moment. Every cent of theState's mon
ey should be Withdrawn from these deposito-
ries, and placed where, if it is to be loaned
ont, the people would get the bepeGt Of it,