The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1875-01-25

ICorrespondence of the Richmond Dispatch.l
TIE CHANGERS BANK CHARTER APPLIED FOR
SOME OF ITS PROVISIONS.
DAhvILLE, VA, January %, 1878.
They have not been making much news
here in these last days, but the Changers
were in town yesterday and last night.
From what could learn infer that the re-
port ST the bank committee was one of the
principal items Of business amongst them.
This was adopted, and it was ordered that
application be made for charter tor bank,
which shall be established upon the plan re-
commended by the committee. The COM
mttrc consisted of W. L. Sutherlin, Az1riah
Graves, ii. Z. Hodges, A. G.. Walters, NJ Nj.
Millner. }. X. Winston. Stephen Neal, W. +.
Clark. \. c. Motley, Berjamin Fowler, j.
{. Williamson, and {. I. Sutherlin.
The committee recommend State bank
instead of national bank for the reasons
First. that the stockholders OF a state bank
are responsible for the bank only TO tbe
amount Of their stock, whereas the stock.
holders of national bank are responsible
for double the amount; second, that the
State bank, having no issue OF its own, is
responsible TO the depositors to the amount
OF the whole stock, which is not the case
with the national bank, since its whole capt.
til i, invested in Government bonds and the
bonds deposited in the Treasury Of the
United States TO secure its circulation, and
ouly small reserve Is required BY law TO be
held by the banks and, third, Il handsome III.
come may BE- expected for the stockholders OF
The Safe bank, because it will furnish the
largest amour. Of security to depoSitors, and
:" the profits Of bank very much depend
upon the character and eXten. OF its deposits
I;y way Of enabliDg the farmer to use land
III PAYMENT Of part Of his subscription TO
the capital stock of the bank and thus raj sing
larger capital stock than could be obtained
on cash basis, the committee advise that
subscriptions may be given as follows: One.
half in currency, payable in such instruments
a. may be required, and the balance either
in currency or in notes. running five years,
the interest Of which is TO be paid semi-an.
nualy at six per cent. per annum, which
notes are to be secured by real estate, the
title TO which is to be undoubted, and the
value Of which Is TO be double the amount OF
the note.
In explaining The advantages Of this ar
raugemeut for the landowner the committee
say: g. 1t may be reasonably expected that
tue profits of the bank, after il is well under
way, will not be less than eight per cent.
per annum, in which case the shareholder
VIII receive u net pTOuL ON ODe-0aN OF DIS
stock Of two per cent. per annum, which
will 20 great way towards paying his
taxes; and if the bank should be very sue
ccssiul his ne, profits would even more than
pay the entire tax on the land pledged for
the payment Of his note, while he would en-.
Joy AL the benefits from its use. He would
also have his certificate OF stock for the
amount, which would be valuable cOate-
raj Tor any temporary loan he might desire
to obtain. The farmer viii thus be able to
make his land yield Dim an income, retaining
the Use and contro! of it himself, and at the
same time convert ii into valuable security,
Which he can use IL cases OF emergency
In the mean time, should the farmer or
land owner desire to sell the land WHICH is
under mortgage he must provide for lifting
The mortgage, or for substituting the pur-
chaser for himself as debtor to the bank, and
secure for him the advantages of being to
the extent TO which the land is pledged 8
shareholder.
Besides doing general banking business,
1t is desired that The bank shall have power
TO loan money on real estate. To protect
the stockholders and the depositors the COM
mlltec recommend that DO money shall be
loaned on land security unless there be Sc
cured for the payment OF the loan lands
Which, in the opinion Of the directors, would
bring al IL cash Sale double the amount OF
The loan aud the committee would provide
Tor the directors that they shall never esti-
male LIE land at more than It's assessed value,