The Jeffersonian. [volume] (Stroudsburg, Pa.) 1853-1911, 1875-01-14
NO. 33.


change that would be radical, and the
New Constitution was made to embody the
reforms. Special legislation bequeathed to
the State legacy of wrongs that have been
fruitful of injustice, and some of whose
injurious effects upon the peace and pros
perity of the Commonwealth will be per-
petuated to posterity, and if the New Consti-
tuition had no other merit than to conflne
this kind of legislation to its proper limits.
it would secure the allegiance and duty Of
ottr citizens. The ready acquieserce Of our
4 people in accepting the provisions og :E,e
New Constitution, and the absence of alt
contest on the part of corporations, many
of whom were jealous of Its restrictions. arc
a gratifying illustration of loyalty to the
! best interests of the State The libli,
sentiment that demanded and obtained
these reforms must now take care that new
or worse disorders do not creep into our
political system
A few suggestions will be pardoned con-
cerning anther habit of our citizens which,
fear, will Danish integrity from office,
! unless corrected
Every well organized government very
properly provides against betrayal of trusts,
or abuse OF power by its Representatives.
The public has right to expect honesty,
diligence and conscientious discharge of
duty from those whom it distinguishes b.
election or appointment, but Oil the contrary.
are not Its servants when they fulfill thcsa
essentials, entitled to confidence and prote,.
ton from detraction and abuse Men of
character shrink from contact with public
employment, because it involves suspicion.
m.strast and SANDER. TO parity Office, We
must dignity not degrade it. Respect for
law Will not be increased by holding np
those who administer it to public contempt.
The propricty and justice of Official acts
shold be examined with more candor. and
honOst people ought not to take their
opinions on trust, but fairly and dispas-
slonately investigate for themselves. Good
citizenship requires that we should
scrutenize closely the antecedents, character
and fitness of candidates for Office, and if
they possess the Necessary qualifications,
and are elected, it talike exacts of us that W.
should give them a constant and trustfui
support while IL the public service
BANKS, SAVINGS FUNDS AND TRUST COM
We have in. the State ore huafred and
ninety-Iiipe National banks, whose capital
is about So 100000; and one hundred
and seventeen State banks and savings
institutions, whose capital actually paid in,
as per Auditor Generals report of 1874,
was $3.50, ,16S So, IN al three hundred
and sixteen banks add savings Institutions,
with an aggregate capital of 10000. 900
For the proper regulation of National
banks We are dependent upon the National
government. For the regulation OF State
banks, savings funds and trust compadies
the State government is responsible to its
people, and as it is probable bill for the
enactment of a general law, in compliance
! with the provisions of the new Constitution.
for the organization of banks NAV come be-
fore you at this session. | invite YOUR special
consideration thereto. In my last annual
message | called attention the the vicious
practice that had grown up in the State, of
| incorporating banks, savings and trust
companies without fixing proper and def
mite limitations to their powers and privi-
leges and providing for their enforcement.
In the enactment of a general law. whereby
they can be organized with limit, it is of
the highest Importance to the business
interests of the people, and the material
development of the State that their powers
and privileges be clearly defined and any
violation thereof should subject them To-
proper penalties or the forfeiture OF their
charters
The charters of these State banks and
institutions were mostly granted within
the past few years, and many of them
possess powers and privileges which should
never have been conferred. The Auditor
Generals report of 1874, shows they had
over S23,000,000 of deposits Some of
them are averaging SO, $50, $50 and $40
Of deposits for each dollar of capital stock
paid in; depeysding, in some instances,
almost entirely upon their deposits for
/ banking facilities. These are obtained by
Offering usually six per cent interest. and
loaned back to the community in which
they are borrowed at higher rates of interest.
These banks and savings institutions act
as ''middlemen" between the lender and
the borrower, resulting in the rates of
interest advancing wherever they are
established. That these banks and institil-
tions, with rare exceptions, charge interest
greatly in excess of legal rates is notorious,
that excessive rates of interest enrich the.
few and inpoverish the many, is oqaally-
undeniable, and the public welfare demands
that policy so injurious should be avoided.
The large majority of these State institu-
tious are styled Savings Banks; with few
exceptions, their resemblance to properly
| regulated savings banks exist only IN n,,,n
Savings banks, propevly organized, are.
managed for thu benefit ef their depositors
the nature of their Investments prescribed
by law, and the use of their deposits for
general discounting purposes, usually pro-
hibited institutions of the latter character
are highly beneficial, and should not be
eoniounded with those who seek deposits
! for oaneral discnrntinm and hnuL;,.o. ,..r