The New Orleans bulletin. [volume] (New Orleans [La.]) 1874-1876, 1875-03-20
COMMERCIAL MATTERS.


construction Of Mansard roofs of combustible
materials in that city under penalty of a fine
OF $50, and further sum Of SO for each day
OF the continuation of the violation of the or
-dinance. z
An Illinois granger is about leasing 500
acres of land in Monroe county, Mississippi,
upon which fifty Illinois families will settle
when the negotiations are completed.
The copper industry promises to be pros
porous this year. The price is remuneralve
and the stock on hand no greater than last
year, when it was 10 OG0, coo pounds. All that
is not needed at home can be exported to Eu-
rope which received NEST Of the 9,OOO,OO0
pounds exported last year.
The ship Semramis was recently chartered
at San Francisco to load wheat for Liverpool
at 45s, the lowest charter of the season. The
vessel has been in port nearly three months
There are others in the same fix, and some
others that have been there still longer
Some of them, it is said, would be glad to
get 45s now.
St. Louis is evincing its awakening enter
prise in more ways than one In addition to
its opening OF Cotton Exchange, new Mer-
chants Exchange and the bridge over the
Mississippi, It is now proposed to establish
a cotton mill for the consumption of its re-
ceipts and Stock Exchange for the conven-
fence of those who deal in its corporate
900, 900.
The tropical fruit trade is precarious It
IS said, last year, n oranges from the Medi-
terranean, 33 per cent persisted on the voyage /:
OF lemons, Il per cent; Of grapes, GO per
cent; OF tamarinds, 80 per cent; OF cantelopc
melons, So per cent. The loss on bananas
trom the West Indies averaged % per cent;
OF pineapples, 30 per cent; and of cocoanuts,
over 10 per cent. The loss on oranges from
ports in the West Indies was 45 per cent The
increase over that Of the same fruit from the
Mediterranean is due to careless methods of
picking and shipping. n. Y. bulletin.
An Important Usuvy Decision.
The Supreme Court of the State of Massa-
'ehusetts has recently decided usury plea in
defense Of claim held by national bank
adversely to the tenor of former decisions
OF the courts, and the effect must be to un-
settle the principles involved. The bank
sued the indorser Of bill Of exchange which
it had discounted. and the plea of The defense
was thet the bank had charged usnriou,
rate Of interest, which under the laws of New
Aork, in which State the bill OF exchange
was drawn. rendered the obligation voidable.
The plaintiff admitted the usury, but cllimed
the benefit of the lighter penalty of he ma
tonal bank laws, which prescribe as the
penalty of usury the forfeiture of Interest.
The court decided for the plaintiff, and ii
delivering his decision the presiding Judge
presented his view of the case az follows
The power of the government to create a
bank is supreme; from its nature it includes
the power to endow it with all such faculties
as are appropriate to accomplish its object.
1t is clear, as stated in Osborny United States
Bank, Wheat, 73S, that the faculty OF lend
ing and dealing in money is an appropriate
and necessary faculty for bank, and that
without it the bank would want the capacity
to perform its public functions in the most
efficient manner. The rate Of interest to be
charged for the use Of money is necessary
incident of loan, and the power in Congress
TO authorize bank to lend money involves
the power to fix the rate of interest and the
penalty for taking greater rate. If State
may fix the rate Of interest it may practically
destroy this faculty of the bank. The power
to create bank includes the power to fix the
limitations within which it may exercise its
functions and faculties, end TO determine the
causes for which, and the manner in which it
may be destroy ed.
The power vested in Congress is inconsis-
tent with power in any State or Territory to
affiX penalties upon the bank for taking I'M
lawful interest or for any other violation of
the act of Congress. We are of opinion that
it was within the constitutional power of
Congress to fix the rate of interest which a
national bank might take upon a loan of
money, and to determine the penalty to be
imposed for taking a greater rate; that such
power, when exercised by Congress, is exclu-
sive of State legislation; that the provision OF
the thirteenth section of the act of Congress
We are considering, imposing a penalty for
taking unlawful interest," applies as well to
banks established in States where rate
of interest is fixed by law as to banks
in States where no rate is fixed, and
therefore that the laws of New York impos-
ing penalties for taking usury do not apply
to national banks established within its
limits
1t was pointed out by the court that the de-
cision was contrary to that of the New York
Court of Appeals in tie First National Bank
Whitehall vs.. Lamb, 50 N. Y, 95, and Of the
Superior Court Of Ohio in First National Bank
of Columbus VS.. Clearinghouse, % Ohio
Statutes, 1872.
One effect of the adoption Of this principle |
is to establish an important discrimination |
between national and State banks, which the
Legislature can abolish, however, either by |
assimilating the penalties to those OF the Fed
eral laws, or, what would be better still, by |
abrogating the usury laws.
Heavy Failure.
The firm of John C. I'm Thurn Co., OF
London, which was announced by the cable to
have failed for SO, 600, 600, has been inter
ested in the East India and China trade for
many years. 1t was one of the most power
full houses on East India Avenue-a corridor
running the entire length Of the East India
house in Leadenhall street, London. This
building is in the immediate neighborhood OF
Mark Lane and Mincing Lane, the head
quarters OF the corn and colonial produce
markets, with which the firm has been closely
identified Within pistol-shot is the Bank
Of Eng! and the offices of the Rothschilds
Earrings, Gladstones, l. S. Morgan \ Co., and
the other large merchants The offices OF
NIessrs. John c. I'm Thurn Co., were most
the simple inscription OF the
firm 5 name on plate OF ground glass. mark
ing the headquarters of the house IN which
large banking business was also carried on
The business Of the house OF D. [. I'm
Thurn 4 Co. appears to have been of late
chiefly with Mexico, South America and the