The Wheeling daily register. [volume] (Wheeling, W. Va.) 1864-1878, 1873-09-30
affecting gegister.
THE BANKING RUsINEsS.

our own citizens. The furry among
the stock brokers has had wider re.
suits than it should have had if confn.
ed within its legitimate boundaries, and
in some cities has given rise to a most
unreasonable and unnecessary panic
among men who are ordinarily pos
sessed Of good common sense. Happl-
PLY this city has been thus far free
from the foolish excitement that has
been manifested elsewhere, and there
is good reason to hope that it will 80
continue. Orr banks are all thoroughly
solvent and are all doing business SIS
usual. They have lost nothing by the
eastern suspensions and no money in
their keeping is ir the slightest jeop-
ardy.
A little investigation will show this.
The 18th section of the National Bank
law makes individual stockholders in q
National Bank liable to depositors to
the amount OF their stock that is, II
the whole capital stock Of the bank
were consumed, the stockholders would
be Individually liable for a similar
amount. The stock of our National
Banks here is held by men who, in nine
cases out OF ten, are sbundant!y able
even if their bank stock were swept out
OF existence, to pay right over q second
time the par value of theirshares. Be-
side this there are very few of
our city banks, whose deposits equal
the amount OF their capital stock, so
that, even without this double liability,
and without counting the value OF the
securities they hold, they are abundant
" able to repay every dollar that has
been entrusted to their keeping.
Bankers, however, do NOT pay inter
est for the pleasure of being simply
the sustodians OF money. They do moi
receive deposits to lie idle in their
yaults. The necessities OF trade and
commerce, the prosecution Of the vaTi-
GUS industries that give employment to
our mechanics and keep the wheels o'
business moving, require that this
money be made productive. 1t must
be loaned ont upon approved security
and at specific rates and for definite
terms, and in this way the banks em-
ploy the funds ct their disposal and reep
prof: for themselves and confer
benefits upon the business community
The depositor who goes to bank to-
day and expects to receive IN paymen
of his check the Identical money NJ
gave to the cashier s;I months ago. II
not a whit less foolish than he wht
imacines that the strongest bank II
the world can pay at once in currenc,
the demands OF all its depositors. Ih
securities are there; the endorsed note
and the bonds are there; but the cur
rency is not and ought not 10 be il
the vaults If the bank has been doinl
its duty to it's stockholders and to tht
general public.
A consideration of these fundam enta
principles OF the banking business
may have some good effect at thi'
time.
A special dispatch from Manefeld
OHIO, to the Cincinnati Ea7uirsr which
we copy elsewhere, shows tha
the farmers and husines;
men OF that locality under
stand the matter perfectly. We
commend the resolutions as among The
most sensible We have seen. And not
the least worthy Of commendstion is
that IN which those who were present
resolved to increase rather than dimin-
ish their deposits in their local banks
and thus the more efectually guard
against the disaster oi run There
are no indications OF the necessity Of
any sdch action here. The banks all
appear to be amply fortified against
folly, but still it would not be amss il
our merchants and mechanics aud all
others having control OF money were to
jncresse their deposits of currency aud
thus make assurance double sure.
We are gratifsd to know that this mas
been the disposition o. our business
men ever since the stock-gambler'
panic began. The deposits in
our city banks have increas.
cd rather than diminished, snG
care has been exercised to draw from
them only go much currency as was
absolutely necessary for the require
meuts OF trade. AS a consequence the
banks are all in better condition to re.
sist "a run" than they have usually
been, and there have been no indica.
,ions here of the senseless panic tha
has forced banking institutions else
where to suspend. 1t is to be hoped
that the same good judgm EFT may b,
manifested by all, and in 'ew days ou
city will have deserved the credit o
having passed the financial crisis with
out alarm. It is distinction wortl
making some effort for.