188 



THE FARMERS* REGISTER. 



The banks of Georgia resumed specie nayments on 

 the 1st — ^just in time to unite in the j2;eneral re-suspen- 

 sion — which news may be expected next. 



An injunction lias been served upon the Newbury- 

 port bank, to stop its operation. 



The act to permit the banks to emit small notes ($1 

 $2) passed on Tuesday. This would have been a 

 very bad measure, with specie payments existinj;-. But 

 unddr a suspension, we admit it to be proper and right. 

 The best and only redeeming feature of the law was 

 very nearly being struck out. This makes these notes 

 redeemable in specie at any branch bank, as well as 

 where issued. 



Saturday, February 20. 

 A report from the Secretary of the Treasury was 

 laid belbre the senate of United States on Februar)^ 

 12, "giving his views and calculations as to the losses 

 sustained by the government and people through the 

 Bank of the United States, and State Banks. He 

 estimated the fluctuations in Banlc currency, affecting 

 prices,- extravagance in living, sracrifices of property 

 &c. (not connected with his other computations) at 

 one hundred and fifty millions of dollars ! ! The ag- 

 gregate loss he computes at three hundred and sixty- 

 five millions, four hundred and ninety-seven dol- 

 lars!!!" 



We see that the newspapers of North Carolina and 

 Georgia are reporting, and professing to believe, that 

 the banks of Virginia are paying specie, and are ap- 

 plauding them highly for it. Their editors, or those 

 who speak in their names, are indeed " thankful for 

 small favors," and are perhaps the more ready to be- 

 lieve, or to report that the Vuginia banks are paying 

 specie, because they hope that the some belief, or 

 good report, will be extended to their banks. Most 

 commercial newspapers are as much under the control 

 of the merchants (if not directly of the banks) as the, 

 merchants are under the control of the batdcs — and 

 therefore few of their conductors dare to oll'end the 

 banks by telling any unpalatable truth, until it has 

 become notorious, and can no longer be held back 

 with any benefit. Therefore it is useless to expect to 

 learn from the newspapers whether the banks pay 

 specie, in remote towns from which we have no other 

 raep,ns for information. But we infer that the banks 

 of R-ichmond and of Petersburg are as much specie- 

 paying banks as any others in "the state (or perhaps 

 in the United States,) and there is certainly no bona 

 fide specie paying hsink there. The Virginia bank in 

 Petersburg, alone, pays its own notes, and tliose only. 

 And as scarcely any notes are in circulation in any 

 town where issued, it makes very little diiierence 

 whether these few (when presented) are paid, as at 

 this bank, or refused to be paid, as elsewhere. Checks 

 are not paid in specie, as a general rule, at any of the 

 banks, and specie change is very little more abundant 

 in circidation than before the so-called "resumption." 

 If such as these are indeed specie-paying banks, there 

 is but little difference between the paying and not 

 paying specie. It is admitted by the most thorough 

 bank partizans that when the northern banks stop 

 paying, ours must follow the example; and this is 

 urged as their all-sufficient excuse. If so, (and we 

 do not mean to deny it,) we have not to look to the 

 legislation of Virginia for improving our currency, 

 but to that of the northern states. Of course, while 

 the present banking system lasts, there is no possible 

 chance for a truly convertible paper currency. The 

 present shallow and empty pretence of specie-pay in" 

 made by or for any banlts that have but lately " resum*^ 

 ed" or pretended to resume, will not continue longer 

 ti.an the several legislatures shall pass the annual 

 ii-idemnifying law for the benefit and protection of the 

 banks. 



The teller of a specie-paying bank in Macon, Ga., 

 pays its notes in small silver, and weighs every se- 

 parate piece. In this manner, and by great industry. 



he paid out ,f30 the first day of resumption. A hold- 

 er of ^400 in notes of the bank, has engaged the 

 services of the teller for several weeks in advance. 

 This operation presents the very beau ideal of a mo- 

 dern convertible paper currency, and the bank which 

 has shown the way ought to be esteemed a model in- 

 sliiuiion. We recommend the example to all banks 

 that claim to pay specie, and desire to enjoy the repu- 

 tation at as little cost as possible. 



Saturday, February 27. 3841. 

 Most of the banks of Virginia still pretend to pay 

 specie, and, judging from the newspapers, most peo- 

 ple in and out of Virginia, either believe, or profess 

 to believe, in the truth of the pretension. We re[)eat 

 that there is not a. bona fide specie-paying bank in 

 "Virginia — and we predict that there never will be one, 

 while the present bankg and banking system last. It 

 is very easy to assert the contrary, anil very difficult 

 (for any but the bank authorities tliemselves) to prove 

 the trutli ; but as soon as the Virginia legislature shall 

 have passsed the annual act of plenary indulgence, for 

 all past and future banking delinquences, the truth 

 will be less hidden. In the present state, of things, 

 and under the despotic bank influence that prevails, 

 and the depraved moral sense which banks have in- 

 troduced, it IS more creditable and honored, as well as 

 more safe and profitable, for an individual or a news- 

 paper to tell falsehood to benefit the banks, rather 

 than truth to their disadvantage. 



The legislature of Pennsylvania have passed an act 

 suspending lor 40 days the existing legal penalties 

 incurred by their avowedly suspending banks. The 

 governor has not yet given his assent, but we presume 

 that he will ; and that the 40 tiays will be hereaiter ex- 

 tendeu to as much time as the banks may require. 



Ten years ago, the city of Philadelphia had, or 

 thought she had, more than fifty millions of active 

 bank capital. Now, of rea'ly available active cap- 

 ital, she lias only about five millions. All the rest is 

 either irrecoverably lost, or loaned to the state and 

 the United States Bank, so as to be entirely unavaila- 

 ble. Yet Philadelphia is going on with her business. 

 What a comment is this upon the notion that a 

 great amount of banking capital is essential to the 

 improvements of business ! — Jour. Com. 



Public opinion has changed very much within 

 twenty years. There is now no reverence for banks; 

 and a national bank would, as to public favor, rest on 

 a very sandy and constantly receding founrlation. 

 Men have learned to go alone. The merchant.9 

 and manufacturers do not now rest uprn the banks. A 

 most wonderful individuality and personal indepen- 

 dency have come into the community. The bank.^i 

 have broke or have been paid up until their loans are 

 no more than their capitals. They owe the commu- 

 nity as much as the community owe them. Afiairs 

 have assumed a natural, free-trade shape, almost with- 

 out our being conscious of the change. — lb. 



A letter from, Cinriimati, (in the St. Loiii^ Republi- 

 can) says the bills of the Bank of Gallipolis are not 

 worth one cent in the dollar, and probably never will 

 be. He adds: "I have this morning received a 

 circular from the new cashier stating that frauds to 

 an unknown but enormous extent have been practised 

 by the former officers, in putting out circulation with- 

 out the knowledge of the directors, and that even now 

 agents are supposed to be employed in that work. 

 The bank has slopped, and their assets are supposed 

 to be exhausted." 



United Slates Bank stock had fallen in London from 

 £14 6s. to £11 lOs. (about ^IH) a share, in conse- 

 quence of the news liom the United gtafes of the 

 intended resumption. How much more will it decline 

 when they hear of the actual issue ? 



A public meeting of the citizens of Augusta, Ga., 

 on the 13th, adopted a preamble and resolutions of 

 which the eisence is in the following: " Resolved that 



