The times. [volume] (Richmond, Va.) 1890-1903, 1894-12-02

rightful scope OF paper currency, yet ~
Is entirely conceivable that the trainers
OF the Constitution might. IL they had
chosen. have confined money and currency
10 those limits. The case remains. then, as
we stated IL on Tuesday-one In when
Judges have made a state OF law without
Offering any authority whatever for H.
in direct antagonlsm 20 the terms OF the
Constitution, and in enormous detrinen,
to the interests Of the American people
II IS little outside OF the present us
cuselon TO answer the arguments OF Mr'
Webster. that Judge Story quotes. that
the Constitution intends TO forbid the
States TO charter banks OF ISSUE anu ;.
is prohtlees. too. perhaps. the Sla'e' 10
such banks when the Constltu'io"
framed: the Constitution says nv
about them: IL declares that All
not granted away by II are reoei'eu ~
the States The Supreme court VI ,'o
limited States decided In lS@'' even 'uueo
Story agreeing TO II. that the otateo H"u
The r,ght m charter such banks, ana IL
no. hoan the practice of every state III
tha UrIoo TO charter them, from 'he
foundation of the Government Ior"aiu'
I, is TOO late, therefore, TO attack 'ne
rie,bt even II IT could have been SUI
ceesfIlly done long ago. But The Aiiiien
hoIonqs TO the school which THINKS no
c,,,ostion is settled until II is settled right
l., and II will, therefore. examine Mr.
Webeters argument 10 see JuS'
there is in IT that IS sound.
The substance of his argument 10
that If there is any power to issue paper
10 &c derived
the Constitutional grant or power "
coin money and regulate the Value 'heie-
OF. THIS is a power conferred upo"
Congress. But right to put these IN
struments into circulation might deieat'
counteract or impair the power 10 cum
money and regulate the value thereoi'
and it is impossible TO impute 10 the
Constitution an intention to cIothe the
General Government with an express
mower. leaving TO the States announcer
mower the exercise of which might WhOl-
ly defeat that which was expressly
granted to the General Government
Now, we absolutely deny Mr.. "eo-
sters first proposition. The right OF the
States TO charter banks of issue Is Whol-
ly separate and apart from the power
granted Congress 10 coin money ana
regulate the value thereof. 1t existed
before the Constitution was frameu
and was being actually exercised at the
moment the Constitution was framed
The Constitution expressly declares mat
the rights not granted away by the
States are reserved to them, and TINS
pre-existing right is not granted away
utnT
tuition forbidding the States to continue
It's exercise. 1t is not, therefore, ue-
rived from the power to coin money ana
regulate the value thereof. 1t antedAten
that provision and there is nothing IN
its continued exercise in any way IN
consistent with that provision having
its fullest scope. There may be any
number of the notes Of State banks
they may have the widest possible cir
culation, and yet 1t may be Impossible
for them either TO defeat, cOunteract or
impede the fullest circulation Of the
metallic money. The States are forbid
den to coin money or to make anything
legal tender except gold and silver.
The notes of their banks must be then
PAYABLE in that metallic money which
has been regulated by the General Gov
eminent. This being so there can be no
possible interference between the two.
The idea OF the Constitution then Is
that the only money of the country Is
to be gold and silver, coined by the
United States, while every agency in
each State that that State chooses
| to allow TO put out paper
promises TO pay that money may
| do so. but these promises must all be
payable in that coin which the General
Government has provided. In this way
our financial establishment must al
ways be sound, AMI every individual.
and every collection of individuals, will
be left the fullest possible opportunity
to better his or their condition by max
ing all the use that is possible Of his
or their credit.
We would like Mr.. Wise to turn his
attention to the following question, and
we should be glad to have his views
upon 1t. lie will certainly admit that
the Constitution intends 10 allow every
individual citizen of a State the right to
issue his promissory notes to pay coin
on demand, and as many OF them as he
chooses to issue. He certainly will not
claim that it intends to confer upon the
Government of the United States au-
thority to forbid these citizens to issue
these notes. Where, then, will he find an
authority in the Constitution for the
General Government to forbid State
corporation to issue these notes?
What clause in the Constitution gives
the Government an authority over state
corporations that is not given TO 1t
over a States citizen?
We cannot pass from this branch OF
the case without a word upon what Mr..
Webster says of the right Of Congress TO
charter a bank. The right does not
necessarily turn upon the power to coin
money and regulate the value thereof.
When the validity of the charter of the
bank Of the United States was attacked
before the Supreme Court of the United
States, in Mccullough VS.. Maryland,
Chief Justice Marshall. in delivering the
opinion of the court, pointed out that the
Constitution conferred upon Congress au-
thority to make "all laws which shall
be necessary and proper for carrying into
execution" all the powers expressly con-
ferred upon the Government.
Now the whole attack upon the validi-
~ of the banks charter rested upon the
proposition that Congress was not au-
thorized to charter an incorporated COM
pany. But the court pointed out that 1t
WAS eXpresSly authorized 70 carry the