166 



THE FARMERS' REGISTER. 



specie, or for it, by their opponents. We wouIJ 

 not give a cent to choose between this kind of 

 "specie-paying," and the most open, bold, and 

 fraudulent denial to pay a single dollar, on any 

 ground of claim whatever. 



It is one of the common arguments of the day, 

 which we may hear any where in the streets, and 

 which are as current as the banks' ^^ promise to 

 pay,'''' that " the bank has received on deposite all 

 sorts ofnotes— not only of all the branches in Vir- 

 ginia, but of the banks of North Carolina— and 

 that it would be monstrous, and most unreasona- 

 ble and unjust, to demand specie lor checks, drawn 

 for deposites so constituted." Now, in the first 

 place, the rule thus set up for the bunk, if good, 

 should work both ways. 11' North Carolina notes, 

 for example, are to be paid out to checks, because 

 euch. notes had been deposited, (Jby the hank''s 

 own rule, adopted for the bank's own benefit,) 

 either by the drawer, or by others, in ordinary 

 business, then it certainly would follow, that a de- 

 positor of specie, or of notes issued by the bank, 

 should rightfully draw specie, or these onl}^ specie 

 bringing notes, Tor his checks. Yet it is well known 

 that such would not be permitted, unless as a 

 matter of favor to the drawer, and a departure from 

 the rule of the bank's right. All checks, for mo- 

 ney previously and generally deposited, stand 

 (and of right ouiiht to stand) on equal footing ; 

 all deposites which the bank chooses to receive as 

 its own notes, are thereby made the same (as to 

 that bank) as its own notes ; and the bank is in 

 every sense bound to pay for them in its own legal 

 and proper currency. If the consequences were 

 likely to be inconvenient or injurious, and if the 

 practice had not been adopted for the special bene- 

 fit of the receiving bank, it would be very easy for 

 it to refuse to receive deposites in any notes ex- 

 cept such as it agreed to redeem in specie ; or, if 

 receiving them, to return them for payment to the 

 banks whence they issued. But this returning 

 foreign notes and receiving iheir own, is precisely 

 what the banks wish especially to avoid. 



But, in fact, (though it is not required to sustain 

 our position,) it is just as convenient and easy for a 

 bank to pay specie for deposites made in one kind 

 0^ paper, as another. Whether made in the notes 

 oftlie bank receiving the deposite,orol Noith Caro- 

 lina notes, it would not add a dollar to the bank's 

 stock of specie; nor would the payment diminish 

 that stock more in the one case than the oiher. If 

 then it be true, (as is alleged in defiance of the 

 banks,) that it would be " impossible for them to 

 pay specie fordeposites made in foreign notes," it is 

 equally true that it would be just as impossible 

 to pay them if every deposited note had been of 

 their own issue. We are very willing to admit the 

 impossibility in both the cases. 



As it presents a curious incident in the history 



of the progress of irresponsible banking in this 

 country, we will copy the notices of this bank, 

 (signed by the cashier,) under which it claims ex- 

 emption from paying checks, and seeks to avoid 

 all such demands. They are now stuck up at the 

 counter of the Branch Bank of Virginia ; and un- 

 der these, or some equally potent safeguards, the 

 like exemption from paying checks is maintained 

 by all other banks in Virginia. 



^^ Notice. 



"All deposites made in this office are to be con- 

 sidered as made in current bank notes." 

 Oct. IG, 1839. 



" In addition to the above notice, depositors are 

 further notified, that in order to avoid any difficulty 

 at the counter, they are required to make their 

 checks payable in current BAivjf notks." 



Feb. 11,. 1841. 



Thus, if this be indeed a "specie- paying bank," 

 (and if this is not, then there is certainly not one 

 in Virginia,) it is guarded at all points against 

 paying specie to any extent either injurious to the 

 bank, or beneficial to its creditors, or to the public 

 interest. 



First, all of its own notes (by some means, 

 whether designed or accidental, natural or super- 

 natural, it is not our business to establish) have 

 been taken out of the home circulation, and sub- 

 sUtuted by others issued by remote banks ; and, 

 therefore, readily as its own notes may be re- 

 deemed by the bank, there are almost none that 

 can be presented for redemption. 



Secondly, all deposites are rendered irredeema- 

 ble in specie, by virtue of the above notices; or 

 in any other currency than the worst paper money 

 which the bank may choose at any future time 

 to receive. 



, Thirdly, even if the bank authorities opposed no 

 such obstacles as are above slated to the making 

 payments in sjiecie, the fear of their enmity, and 

 the tremendous influence which they wield over the 

 trading community, would deter nearly every in- 

 dividual from claiming his just rights. 



And fourthly, lest all these safeguards should 

 prove too weak, the aid of new legislative enact- 

 ments will be called in, and of which the purport 

 and force are yet to be seen ; but which will cer- 

 tainly fail of their designed object, if they do not 

 secure the banks still more efJectually than now, 

 against all possible demands to pay their debts 

 and comply with their obligations. 



The three banks in Richmond, like the one 

 spoken of here, pay bills of their own issue only ; 

 and, siill more strictly, pay no checks, and have 

 paid none, (as a general rule,) since their pre- 

 tended resumption. It is only a matter of inference 

 that all the other banks and branches in Virginia 



