Newspaper Page Text
H. £IXi!iXS & CO., Proprietors.
Volume XVIII.
COLI HBH, Tl KMtAI. XOVEMBKR S. IKS'*.
The Staton.
Summer has passed with its dust find heat and
we are fast bordering onto old winter. The sighing
wiud no longer produces a grateful, eooling sensa
tion, but is invigorating and will soon become
chilling in its effects. These are the saddest days
of the year. The sun hides itself beneath hafcy
clouds—the trees are loosing leaf by leaf thoir
graceful foliage and all nature is being robbed of its
holiday’ ay pearanec.
While the winter is looked forward to W ith’ vis
ions of gayety stud eosji, comfortable fireside en
joyments at home by many ; there are those who
dread its approach as a season of destitution and
distress. Thtfn, in Uje midst of our own coip-fyrt
and happiness, let Christian charity and benevo
lence work deep into pur heari.-. and let there be
no Invites of wealth and pride to pass by unheed
ed the erics of suffering humanity.
The Fair at Klchmond, Va., a Failure.
‘•lt is a fact whieh cannot be denied,” says the
Richmond South of Wednesday lat, 4< that the
grand National Fair now in progress i* a In men ta
ble and unmitigated failure. The exhibit ion of
machinery-and stock nrinferiftr te any previously
ma.le in this city. Melancholy looking people
wander about the desolate grounds, with fin es
which indicate any thing but approbation. In con
sideration of the sum of fifty cents, the curious
arc allowed to enjoy the luxury of inhaling an
atmosphere laden with dust, and to exerciae their
ingenuity in finding objects to examine. 1 hisex
orbitant charge,'<f which \re have already spofecn
in terms of just reprobation, has operated to the
exdiudon of many who vv*wbl have virited the
grounds had tin* admittance fee been at its former
standard. Rut. while it has injures! the National
Fair, it has lienefitted large class of the commu
nity who are entitled to congratulation on the re
sult. Very many have absented tbentselves on
this account, and by *o doing have eeonoiWKNl
time, money and comfort, to say nothing of hav
ing avoided a bore of the first magnitude. The
amiable visage of BarnnmMs ahnu* wanting nrttve
gate-way to give the hist touch to the affaiv. I?
it not possible to secure the services of that pater
famitias of the humbug generation? or, if it be too
late for his actual, bodily presence to Ik* obtained,
cannot an effigy of the great thimble-rigger, be erec
ted Over the main entrance? It only lacks this
last embellishment, and we “respectfully submit \
that the omission should ut once be supplied.
Run. Joint 11. f mirrwood.
The Afhui ta fyelliy'uccr of the 30 th uL.. upon
the ui‘ an intimate friend ol tile above
named gentleman, contradicts the rumor ot his in
tention to resign the speaker’s Chair at the ap
proaching session of our Legislature. As the
name of Hon. John Mi Hedge, ot Augusta, has been
repeatedly mentioned in connexion with the con
templated vacancy, that gentleman has enjoyed a
fair opportunity to ascertain.Jthe regard in which, j
he is held by the Democratic press.
Mr. Breckinridge's Letter.
Iu another column, we give the letter of Mr.
Breckinridge to the Illinois Committee in relation j
to the re-election bf Mr. Douglas. It is cautiously J
worded and only prefers the election of Hr* Doug- j
las to a Republican.
JSir“A western publisher gave notice that he |
intended to spetfd fifty dollars for the purpose of
getting up anew head for the paper. Next day
ouo of his subscribers sent him the following note: j
-Don't do it. Better keep the money and buy a j
‘new head’ for the editor,”
The Richmond Enquirer, comes to us much en- j
larged and improved in its general appearance. .
The Enquirer is now in the 54th year of its exis- ■
tence. ‘
Mr. Walsh, in one of his late letters to the Jour- !
nal of Commerce, says: “We may suppose the j
Moslem pilgrimage to Mecca and Medina to be a :
prodigious physical as well as moral'nuisance. 01 !
the 200,000 devotees of the present yea*, a third at ‘
least have perished by maladies, not epidemic, but :
simply incident to their observances and modes of j
living during their sojourn in the holy cities. The ;
appearance of such of the survivors as returned by
Egypt is described in letters from Alexandria as
wretched in the extreme.”
Wm. F. S4MF*OJRI>. —The Enquirer j
contains the able letter of the lion. Wm. F. Sam- i
ford of Alabama to Him. Henry W. Hilliard. It j
is the best argument wo have ever read m favor
of re-opening the African Slave Trade* Our
views on this subject differ with the writer’s, but
we cannot withhold an expression of our admira
tion at the ability with which he discusses - the
question. *
Death- op a IV S. Officer. —The Charleston
papers record the death of Geo. S. \X heeler, of
the D. S. Revenue Service, cutter Wm. Aiken, in >
that city, Tuesday last. Lieut. ML was a native |
of Pennsylvania, and was attached to the late j
Japan Expedition.
Chess— Morphy and Staunton. —A letter has
been published from Mr. Morphy to Mr. Staunton,
iu which the young American repeats hisehallenge
to the English champion. “ Permit me.” he says
—anticipating certain objections—V* to repeat
what I have invariably declared in every chess
community I have hail the honor ot entering, that
I am not a professional player—that I never
wished to make any skill I possess the means ol pe
cuniary advancement—and that my earnest desire
is never to play for any stake but honor. My
friends in New Orleans, however, subscribed a
certain sum, without any countenance from me,
and that sum has been ready for you to meet a con
siderable time past. Since my arrival in Paris I
have been assured by numberous gentlemen that
the value of those stakes can he immediately in
creased to any amount: but, for myself personal -
ly, reputation is the only incentive J recognize.—
The matter of seconds cannot, certainly, offer any
difficulty, r had the pleasure of being first received
in London by the St. George’s Chess Club, of
which you are so distinguished a member; and
of those gentlemen ! request the honor of appoint
ing my second, to whom I give full authority in
settling all preliminaries.”
The Washington correspondent at’ U*e New
York Herald says that the Hon. John E. Ward
will probably be offered the Mission to China,
which is now vacant.
It is easy enough to prove anything when you
have, willing witnesses. An advocate in Balti
more recently opened for the defence by stating.
*• Wc expect to prove, may it please the Court, that
our client was not present wheif the murder-was
committed, but was in a distant part of the city.
If the prosecution proves his presence, wc shaft
prove that the deed was done in self-defence and
after gross provocation.”
That defence should be sufficient. 1
After a marriage ceremony had been per
formed in one of the churches in Alrien, Michi
gan, the bride, when receiving the congratulations
of her friends, shed tears, according to tfhe-estab
lished ridiculous custom; at sight of which the
groom followed suit with a copious shower of the
briny fluid. After his friends succeeded in calm
ing him, he said he couldn't help it, for he felt as
bad about it m ht did*
© v “ ,
WaSHinotom, Oct. 27, 1858.
There is no d6ubt but that- Admiral Kellett has
instructions from the British government to pre
vent filibustering expeditions into Central Ameri
ca. The indications are that the President will
shortly issue a proclamation with a view to prevent
the yidtalion of die neutrality laws.
The Secretary of “War Ims received a despatch
from Gen. Twiggs, confirming the heretofore pub
lished accounts of afigbt with the Indians in Tex
as. and will take immediate measures for increas
ing the militity force in that State.
The California mails via Tehuantepec were to
have left New Orleans to-day. The com pan}’ ex
pect’ to deliver them in San Francisco in sixteen
• lays.
The General Superintendent of the Pacific
‘wagon roads says the entire road from El Paso to
Fort Yuma has been greatly improved and short
ened during the postseason ; that the road through
Nebraska is probably completed, and that the Fort j
Kearney. South Pass and Honey Lake road is fin
ished from the South Pass to City Rooks.
Correspondence of the Baltimore Sun.
Washington,-Oct. 27. —The despatch from
Wnshingtonconeerning cabinet changes, Ac., is
utterly without foundation. No change is in con
templation. Neither is it true that Mr. Clay has
been recall**?! from Peru.
Some other Washington rumors sent through
by agents and correspondents ower tire telegraph
wires of late, ure also erroneous. The President’s
views and intentions on the subject of the tariff,
the Pacific Railroad, and Mexico, Central Ameri
ca, Ac., are not to he looked for in the daily “des
pat dies” from this city.
The British government hiss given formal notice
to.the United States government that they will in- j
terfero to prevent any further filibustering enter- j
prises, front the United States upon Nicaragua,
C'oi-ta Rica or any of the Central America States. I
This is no empty .declaration, but u positive and j
grave determination. To enforce it, the British j
government are about to send a strong fiect to thp i
port of Greytown, and alsoto San Juan del Bur. \
It is probable that some enterprises, of a character j
similar to that imputed to General Walker, are on j
foot,in regard to Nicaragua. Some mysterious i
movements from New York in the direction of I
Nicaragua can only be accounted for on this suik
position; and hence the interference of Great Britan
at this time. lon.
The Indian War in Oregon- Bailie n! Four Lake*
anu Defeat of (lit- Savage*, We.
St. Louis, Oct. 27, 1858.
The overland mail, which arrived last night,
brought letters to October 1, but no San Francisco
papers.
The Los Angeles 1 t unyard, of the 2d iust. is,
hand. It contains an account of a
battle at Four Lakes, Oregon, on the Ist of Sept.,
between three hundred troops, under Col. Wright,
uudfive hundred Indiana, iu which the Indians
were completely routed, with t.lie loss of seventeen
killed’and many wounded. The troops sustained
i no loss whatever.
The Oregon Si ale Legislature met at Salem on
the iJth of September, and adjourned sine die,
thus giviiig up the Siate organization until the
regular admission of Oregon into the Union by
Delasou Smith and L. F. Grover, who have been
elected to represent the State in the United States
Senate, were about leaving Portland for Washing
ton.
Several at tempts had been made to set fire to
Holland.
There is no California news of interest iu the
Los Angeles paper.
The Minnesota Election.
Chicago, Oct. 27, 1858.
| Tile Ft. Paul (Minnesota) Pioneer, of the 25th
j iust., states that definite returns from every part
of the State, excepting-one district, indicate that
I the Legislature will stand thus :—House, deuio
j crats. thirty-nine: republicans, forty. Senate, re
! publicans, fifteen ; democrats, twenty-one.
California Flection.
Official returns of the California election, held
Sept. 7th. areas follows :
| The entire vote cast for Judge of Sup. Ct. 80,797
| For A, 0. Baldwin idem.) .... 44,597
For J. Curry (anti-Leeomp. and rep.) 86,200
: Majority for Baldwin 8,397
j The entire vote east for Comptroller 79,518
| For A. R. Molongy 44.280
j For 1. 11. Daw ley- 27.761
; For L. C. Gunn. 7,477
Majority for Moloney over Dawley . 10,519
i Majority for Melonev over Gunn. . 5C,80.3
j Majority for Meloney over both . . 9.042
j From the counties of Colusa. Marin. Placer,
j San Bernardino, San Diego* Tulare ami \ 010, no
i returns have been made to the office of Secretary
! of State, of the votes cast for Members of Con
\ gross, owing it is presumed, to the refusal of the
i Boards of Canvassers of these counties to recog
j nize the legality thereof. This vote, however, is,
| with the exception of that east in Placer .and Yolo,
I unimportant : and in order to arrive at an approxi-
I nifttion of the entire vote of the State for Mem-
I bers of Coygrea#, we hero include the returns of
those counties for Comptroller ( Dawley and G unn:)
The votecofltforJ. C; McKibben,
as per table 32,098
The vote cast for Dawley in Coun
ties not returned 1,877
j Total for J. C. McKibben 33,975
j The vote east for Tracy 9,381
1 The vote cast for Gunn in Coun
ties not returned 420 9,801
Majority for McKibben over Tracy. 21,174
The entire vote cast for President in 1856 110,223
The entire vote cast for Governor in 1857. 93,363
The entire vote cast for Judge of the Su
preme Court in 1858 80,797
The Niearauga Question—A War Cloud.
It will be seen by extracts which we give else
where Irani the French and English journals, that
j a strong feeling of excitement has been awakened
j in France and England by informrtion received
there, to the effect that the United States had sent
i vessels of war to the waters of Nicarauga, to eo
| eree the government of that republic into a refusal
| to ratify the contract made with Mr. Felix Belly
j tor the opening of an interoceanic ship canal. —
That intelligence was also aggravated by a report
of anew filliHtistoring expedition being fitted out
by Walker against the Slates of Central America.
While entire faith scorns not to have been given to
this intelligence, the papers, nevertheless, improve
the occasion to read lectures to the United States
upon its national characteristic of annexation, and
to notify us that we need not take any open or se
cret means to possess ourselves of the Isthmus of
Nicaragua, inasmuch as the maritime nations of
Europe* would not for a moment tolerate such an
assumption on our part.
In connection with this subject we also find in
the French papers translations of the letters that
missed between our Minister, Mr. Lamar, and the
Nicaraguan Minister of Foreign Affairs, in relation
to the Belly contract. We give translations of
these documents. In the reply of Senor Cortez.
the Nicaraguan Minister, it is declared that that
government regards as null and void the two con
tracts made with American citizens for opening the
Isthmus route, and that the mission of Gen. Jerez
to Washington was to cause the principle of justice
to prevail with our government.
We are likewise informed that Mr. Lamar has
demanded from Nicaragua the sum of six millions
of dollars, As indemnification for loss of American
lives and property during the fillihusier war: that
he has formulated against Cpsta Rica a further de
mand of two millions on the like ground, and that
he purpose? making similar demands upon Salva-
dor and G uatomula.
Ifrherc be truth in these statements and mean
ing in these threats,the sooner we brush up our mil
itary and naval resources the better. We must
either withdraw *ur pretensions or prepawe to sus
tain them.—A. 1. Herald.
Central American Affair*.
Washington, Oct. 30.—Private intelligence re
ceived here states that <lcn. Lamar has succeeded
in getting suitable acknowledgements from Costa
Rica* in relation to ‘vexed questions which have
been pending.
The steamers which were destined for Lake Ni
caragua have gone up the ri\ er unmolested.
Washington, Oct. 30. —The usual proclama
tion of thf President against filibusters will be
promptly issued. Marcz presented an apology to
Cass from Martinez for offensive allegations
against the Union, in the date manifesto. Our
government have no controversy with I’ ranee in re
lation to Central America, but in relation to Eng
land, that subject is of a delicate nature.
The Kentucky and Indiana Imbroglio.
Lorisviu.*, Oct. 30.—. The difficulty growing
THK UNION OF THE STATES, AND THE SOVEREIGNTY OF THE STATES.
out of the arrest of Horace Bell, at New Albany,
Ind., has beeifinnicably settled, by the assurance
on the part wl'jhe Bradenbergers, that Bell could
j be released on bail.
Nicaragua—Gen. Lamar.
The French and Engßsh papers have been dis
cussing, iu a tone not very friendly or complimen
tary to this country, the present state of our re
lations with Nicaragua.
The Paris Presse of the 7h October says—
We received yesterday, under the soul of the
Consulate General of Nicaragua, a document pre
senting a rough view of the facts that have just
transpired in Nicaragua. We think it our duty to
publish the text of the correspondence which took
place between Mr. Mira beau Lamar, United States
j Minister and General Martinez. These tw o docu
ments have been sent to Paris by the governments
of Nicaragua and of Costa Rica. They demon
strate that the pretensions attributed to Mr. La
mar are far from buviug the violent and imperative
character which the London correspondence at
tributed to them. Still that does not prevent us
from considering that these pretensions deserve
in ail respects, the attention and surveillance of
European governments, which ought no longer
to lose sight of the extra diplomatic projects of the
American filibusters.
The Pres-;e then publishes the following corres
pondence:
The United States Minister to the Xucaraguun
Vi ulster of Foreign Affairs.
Uxitej* States Legation, Managua, j
August 11. 1858. [
’ To His Excellency the Minister of Foreign Affairs
| of the Republic of Nicaragua:
Sir —Assuming that’the annexed “publication
j made by the New York Herald of the 18th June
, last is llie true and authentic copy of a contract
concluded between Nicaragua and Mr. Felix Bel-
I !y, 1 must inform you that any public or private
! arrangement of your government with that gen
! tieman will not be recognised or assented to, so far
j us it contravenes the just rights which American
i citizens have acquired iu this country, and that
the liberal policy flowing from the treaty of Nov
ember last, in respect to the transit across the Isth
mus. will be constantly sustained. The interests
of Nicaragua, as well as those of all commercial
nations, evidently demand the maintenance of that
policy. As to the measures that my government
may deem it proper to take in this matter, 1 can
not say.
The contract of Mr. Belly is followed by a docu
ment sigyed hv President Mora, of Costa Iticu,
anil President Martinez, of Nicaragua, who appeal
to the European Powers against the United States
of America. 1 regret (“admit,” in the French
translation) that these two chief magistrates
should have seen fit to perform an act of distrust
towards my government, and towards its agents
in this country. But the gratuitous recriminations
contained iu that document, and the degree of at
tention to their insolent character, are matters for
the consideration of my government, not for mine.
I have the honor to be vour verv obedient serv’t
Ml U A BEAU LAMAR.
The Xiearaynan Minister if Foreign Affairs to
Mr. Lamar.
National Palace. Managua, 1
October i2, 1858. j
The Minister of Foreign Affairs of Nicaragua to
Hi? Excellency Mr. Mirabeati Lamar, Resident
Minister of the United States to Nicarguu:
Mr. Minister—-llis Excellency the General Pre
sident of the republic has taken note of the senti
ment* expressed in your communication of the
11th iust., and im? directed me to answer you in
the following terms:
The principle of the policy of Nicaragua, inter
nal a* well as external, is justice; and that justice
my government Stipulates for all, desires for all
and requires for the people whose destinies arc*
confided to it. Consequently, it cannot in any
way alienate the exercise of its rights. On the
contrary, it is determined to maintain inviolably
those right* that belong to the republic, with ail
the dignity that it possesses, and with all the
means at its disposal! From this his Excellency
the United States Minister ought to conclude that
my government has never then git t and does not
think to-day of interfering with the rights of the
citizens of North America, whose republic is at
peace with ours: and to give him a pledge of the
good relations which ought to subsist between
these two republics, I must inform him that the
treaties made with his countrymen in'reference
to the transit ure null and void—that of .Stebins,
because the transit has not been opened within
the time stipulated, the company being notorious
ly unable to fulfil its engagements. And as that
company has raised some litigious questions, my
government has sent General Jerez to Washing
ton that he may there obtain the triumph of that
principle of justice from which my government
has never departed. I have the honor to be your
Excellency’s verv humble servant.
ROSA LI 0 CORTEZ,
Minister of Foreign A Hairs of Nicaragua.
From Costa Klca.
We have the Cronica de Costa Rica to Sept. 25.
The National Congress was in session, and the pa
per? are filled with the usual annual documents.
The report of the Minister of the Treasury, Ac.,
states that the revenue last year amounted to $506,-
010, besides a forced loan of $49,212, which is a
falling off of $212,227 from the revenue of 1856.
The national debt now amounts to $300,000. Com
plete peace has reigned ?inec the expulsion of the
filibuster?. The Minister says that thus far, the
revenue of ISSS shows an improvement. The ar
my has been put upon a very firm footing in ex
pectation of another filibuster invasion ; and a de
cree has been approved declaring, that all future
invaders shall be treated a? pirates, i. e., shot as
soon as caught. The Minister of Foreign Rela
tions pays a high eulogium to Com. Paulding, and
says that the relations of the United States are sat
isfactory. A contract ha>* been made with a
French company to lay a submarine cable. The
contract was signed Aug. 6, the day after the land
ing at Trinity Bay.
There had been recently many audacious rob
beries in Costa Rica.
Gen. Mirabcau B. Lamar, the American Minis
ter. was formally received by tlie President of Cos
ta Rica on the 13th Sept. The Cronica says eve
ry facility will be given to him to treat if he so de
sires.
Herr Roodenbek, the Belgian Minister to Cen
tral America, hail concluded a treaty of commerce,
friendship. Ac., which was immediately ratified by
Congress.
Senor Zambrano, the Spanish Minister, had com
menced negotiations for a treaty ; but it being con
sidered desirable to negotiate a common treaty be
tween Spain and the Central American Union,
Senor Zambrano had retired to Madrid, whither
perhaps plenipotentiaries would be sent from all
the States.
Punta Arenas had, by decree, been raised to the
dignity of a city.
In order to promote the Union of the Central
American States under one government, the Costa
Rican Congress had authorized President Mora to
agree to a uniform system of currency, weights,
measures, <fcc., and to adopt a uniform tariff for toll
and other systems.
Nn iiiAoi a.—We have El Nacional dc Leon to
Sept. 18. The fifteenth of September, a general
national holiday, was celebrated with much spirit.
The new Constitution had been adopted with
many rejoicings.
The National Assembly’ had authorized Presi
dent Martinez to take steps to perfect the Central
American Union.
The Ministry bad been reconstructed as follows:
Foreign Affairs: I>. Pedro Zcladon.
Treasury: Dr. D. Jesus de la lloclia.
Government and War: D. Eduardo Castillo.
The Fair. —The exhibitors at the Fair Grounds
were busily engaged yesterday in arjjpnging their
articles so as they can present the best possible ap
pearance. Stock was being received all day. Ev
erything will be in readiness for exhibition to-day,
and we will endeavor to give a description of the
exhibition in to-morrow’s Advertiser. The 12
o’clock train yesterday brought about- four hun
dred visitors to town. The hotels and private
boarding houses ‘are filling rapidly. Everything
betokens a “stirring” week—provided the weather
is favorable. At this writing, however, (5 p. m.) it
betokens rain. We hope the “ signs” will fail in
this regard.— Monty. Advcrtfocr .
Good Sale or Negroes.—The Greensboro
(Ala.) Beacon, says:
Mr. John B. Williams, agent, sold a few days
ago. to Mr. Gideon E. Nelson, a lot of twenty
four negroes for $26,500 cash. The lot consisted
of one man and his wife and two children, and 10
boys and 10 girls—the ages of the boys and girls
ranging from 12 to 20. The age of the man about
22 years. One of the children is 9 years old, the
other 4 months.
TJeath > Hon. Robert RANtouL.— Hon.
Robert Rautoul died at his residence, in Bevarly,
Massachusetts, on Sunday, after a byief iUness, iu
tht 80th year of hi*
COLUMBUS, GEORGIA, MONDAY, NOVEMBER 8, 1858.
COLUMBUS, WEDNESDAY. NOVEMBER 3, Is,>B.
Texas.
A correspondent of the Journal of Commerce
estimates that, by the census of 1860, Texas will
be found t.o have a population closely approxima
ting one million. By the same authority we arc
informed that the people of that flourishing com
mon wealth are all astir with extensive projects of
internal improvement, and that within a very few
years, the facilities for transportation and inter
course w ill be possessed by her in an equal degree
with many of her older sisters. She has caught,
too. a full share of that spirit which, more tlmir
any other, is destined to distinguish American civ
ilization. in the latter half of the nineteenth centu
ry, from all the civilizations which have risen and
flourished in the ages which are passed—that of
providing instruction for the masses. She has
laid ‘the foundation for a State University on
;i large scale. She has, already,Three denomina
tional colleges in flourishing operation, and her
fund of public instruction is nearly adequate to
paying the tuition of every poor child in the State.
Wu rejoice in these flattering indications of her
future prosperity. With an extensive Gulf coast
—with rivers and railroads running thence into
the interior of the country, affording appropriate
means of exit for her productions to the markets of
the world, —with an immense area of soil of inex
haustible fertility, which, iu conjunction with her
climate, presents conditions more advantageous
for.the joint production of the cotton and cereal
crops than arc possessed by any portion of the
earth's surface, —with a population, hardy', adven
turous. brave, enlightened, we regard her present
progress and her future growth with intense in
terest. The relation which, by reason of her rap
id development, she is destined soon to sustain to
the institution of slavery, renders her an object of
especial regard to the Southern people. In the
articles of annexation, by which she became a
member of the confederacy, it was stipulated that
new States might be formed out of her territory to
the number of four, whenever, from the census re
turns, it should be ascertained that the population
of each entitled it to a representation in Congress,
in all probability we shall soon have an opportuni
ty of putting the sincerity of this pledge to a prac
tical test. In 1850, the great Webster declared
tha t such was the contract,and that he was prepared
to adhere to it. Abolitionism, however, has
achieved many triumphs and made much perma
nent advancement since his day, and unless the
experience of the recent past be a deceptive guide
to reason, we may confidently look for a repudia
tion of it by- the northern people. The new States
thus to be formed and admitted will naturally and
necessarily adopt the domestic polity and institu
tions of the South. If, as Mr. Webster affirmed,
slavery had been originally and perpetually ex
cluded from California by a decree of the Almighty;
if he could interpret the Divine Mind from the ge- j
ological formation of that country, and could de
duce the fiat of abolition from her mountain snows,
her deserts and her book of stone, with how much
more confidence can we adopt the conclusion that }
the same Supreme Authority has dedicated the torn- !
penile climate, the rich prairies, and the broad |
and fertile savannahs of Texas to the empire*of
slavery. Whatever use she may make of her po
sition, Texas undoubtedly holds in undeveloped
and embryonic existence the balance of power be
tween the abolition and slave interests. Her rapid
growth gives promise of the speedy trial of the
question whether another slave State shall ever be
admitted into the Union. If an affirmative decis
ion be pronounced, the South may yet regain her
lost strength in the national Legislature. If a ‘
negative response be given, perhaps, as an alter
nate to utter degradation, the South may do
something.
English Interference In Nicaragua.
In our article on the “Monroe Doctrine” (says
the Philadelphia we urged the im
perative necessity of our Government adopting
and applying this principle to the letter and spirit
with reference to the constant interference of
France and England in the affairs of Central Amer
icq. That such interference is being practised is
no longer a matter of doubt, nor con the motives
which prompt it be longer concealed. The Wash
ington States of the 27th, lias an article on this
subject, which affords the following important in
formation as to the doings of Great Britain in Cen
tral America. The States says;
We understand the State Department has receiv
es! official information that the British Government
will interfere with any emigration movement made
not only on the part of Americans towards Cen
tral America, but any attempt to colonize that re
gion. The British squadron has been ordered
from the West Indies to the Central American
coast, and Sir William Gore Oueley will start iu a
few days for the same scene of action.
#*****
If we allow any foreign influence or self-ap
pointed foreign protectorate, on any portion of
this North American continent, much more that
Isthmus which is to be the highway of the world,
do we not outrage the Monroe doctrine, whieh has
been accepted as one of the most important arti
cles of Democratic faith ? This Monroe doctrine
has been echoed and re-echoed time and again in
Democratic resolutions, from one end of the land to
the other, as embodying the best and most con
servative doctrine bv which the dignity of the na
tion can be preserved. Now is the time to act
on it.
*?***s***-
Experience shows us that the more we delay in
this matter the more danger do we carelessly sur
round it with. Let the South—let the North take
hold of the subject, grapple with it, and not let it
go until they have shaken the very life out of the
shams, pretexts, and dodgeries by which the Eng
lish and French are* seeking to hold Central Amer
ica.
What will those who are clamoring against an
American protectorate over Mexico and the Cen
tral American States say to such a protectorate as
that indicated by the States, will be likely to result
from British interference in the Isthmus States ?
American emigration is to be prohibited by British
guns, and all attempts to quietly and legitimately
colonize any portion of Central America, will meet
with the active and hostile prohibition of this for
eign protectorate. To the maturing of this plau,
Sir Wm. Gore Ousley has been devoting his time
iu this country: and now. when all ready, ho
departs for the scene of action, clothed with full
power to interfere with the affairs of Central Amer
ica in the way most damaging to the interests of
the United States in that quarter of the New
World.
Is this not a ease for the prompt and decided
application of the Monroe doctrine ? It certainly
is, if England is to be thwarted in her designs upon
the ]>eeoe aud prosperity of this Nation. We hare
said that no such interference should be tolerated.
Let this position be kept at all hazards, and the
country will respond with an unanimity that will
silenee all croaking upon the subject. England
must be checked in her designs upon the Central
American States, aud this can only be done by ap
plying the Monroe doctrine. Will that be done ?
Walker and Nicaragua Affairs.
Washington City, Oct. 27.—Gen. Wm. Wal
ker’s movementsisjattracting serious diplomatic [at
tention here. It is well known that he is well sup
plied with money and men: and it is equally well
known that officers in the British West India
Squadron have emphatic orders to intercept all
filbustcr movements or expeditions against Cen
tral America.
It is feared that in case Gen. Walker attempts
to laud any forces in Nicaragua he will be repul
sed by the British cruisers; and international ques
tions will then* arise between England and the
United State*.
Cotton Bales.—On a visit to the Cotton Press- j
os, Saturday, (says the Savannah RepuLliean,) j
we could but remark the inconvenience, danger j
and loss of time incurred by securing cotton bales
with hoop iron. It is more difficult to
unloose than rope; a hatchet is used to
knock it loose and the sparks occasionally fly off
iu such profusion that an iff flam able material like
cotton is in great danger of igniting. After the
hoops are taken off they are of very trifling value
anil the owner of the cotton is charged 48 cents
for new ropes. This must operate materially I
against the introduction of hoop iron for baling, i
and without these difficulties can be overcome we j
see uo other result but a return to the old plan of I
roping. If the bales were packed in the same j
screw, and all the same size, a serious obstacle
would be avoided, as the iron could then be cut
in proper lengths, and the claps placed readily
upon one end; but as at present, a bale of four
hundred pounds follows into the Press one of six
hundred pounds, or vice versa, and everything
has to stop, and ten or twelve hands be kept wai
ting until the iron is clipped to the right length.—
After the pressure is removed, and the strain
comes on the iron, there is great danger in stand
ing near, as it is frequently weak and flies apart
with such violence as would cause serious injury
to any one that may be within reach. Thismay |
appear incredible, but when doubters reflect that
the bale is reduced by the Press to one half the |
bulk given to it by the planter, it will not appear
so vfcry unreasonable. We noticed at. one Press |
that galvanized wire had been used, but hardly i
to any extent sufficient to test it.
Sydney Smith on Sunday Observances.—The
eccentric and sutyrical Sydney Smith was never
charged with being “unco-righteous.” Hut there
are veins of deep and noble luought in his papers,
which it were well ii'some who are quite ready to
command hi- wit and laxity of opinion on a few
subjects would resort to. Take the following im
pressive utterance as to the value and importance
of the Sabbath :
” 1 must suspect the virtue and suspect the reli
gion of that man who imagines he can attaiu-the
quality or the excellence, without submitting to
the rule? and practices by which the excellence I
ami the quality are found to be attained—who be
lieves he can be a good Christian without Sab
baths and without prayer, and reach the end with- ;
out submitting to the means: and means, remem
ber, not only sanctioned by the experience of men, j
but emanating from the will of God, reduced to a !
positive commandment, —one of the laws of the ,
pillar on which all Christian nations have found- :
cd their religious usages : and if we did not under- I
stand the reason of the law, what matter, if it is j
the law ? But who does not feel the reason of the ;
law ? Who would hesitate one moment for an 1
answer, if I were to ask him why the Sabbath was j
instituted? To stop that thoughtless, oblivious i
creature, man, in his headlong pursuit of pleasure \
and of wealth to tell him that his soul is immortal, j
that Christ came down upon earth for his redemp- j
lion, that the heavens above are spread out to re- j
ccive him : to stop him when he is acquiring, and i
lo tell him to look into his own soul ; to stop him 1
when he is enjoying, and to warn him of iris salva
tion ; to suspend his contracts, to arrest his j
schemes, to calm his emotions, to quell his ha- j
treds. to burst into his soul with the splendor of j
God’s truth; aud while he is making paltry ac- j
quisitions and panting after foolish pleasures, to 1
open to him the heavens and to show him the j
throne of God, aud to open to him the earth and !
to show him the depths of hell, and to broach to
him temperance, and righteousness, and judgment !
to come. ’
False Packing—Claims on Factors.
The New Orleans Crescent , of the 27th nit..
We alluded last week to the talk of false pack- !
ing nil pi airing of cotton. We bear of many com- j
plaints and many remarks that the swindlingand t
cheating is becoming a system. It is time that it j
should be checked. W give below an extract of!
a letter from the executive officer of the Merrimae
Manufacturing Company, one of the largest ami
best associations in New England. The letter and
complaint come through a resident house here of
the first character and respectability. From what
we learn, the invoice of cotton which turned out
these nineteen bales was purchased from five
or six different factors. There is no question but
what these parties are in honor bound to make
good the deficiency. It becomes the duty of every
factor to promptly meet this question, pay the re
clamation. and kick the swindling planters who
committed the frauds. Though the direct question
of false packing and fraud cannot be brought di
rectly home yet, where it can be proven that a
buyer has suffered, a factor is bound to make the
loss good, though he could not be com]wiled by law.
Law is one thing, justice and good faith another,
By reference to our financial column of yester
day morning, a decision given by the Chamber of
Commerce of this city, so long as twenty years
since, establises the correctness of the views in
which we indulge. MoreovcP, it behooves every
factor to nse his influence to check the infamous
system of plaiting at its threshold:
We have suffered much from false packing by
sand and water this last season, quite beyond any
former experience, also by plaiting cotton in a most
unusual and extraordinary degree. I suspect foul
play ot the presses. However that may be, there
is enough to show that unusual attention is neces
sary in sampling : for although water in the mid
dle may be difficult to ascertain, sand carefully
sifted in, and poor cotton, with a thin cover of ex
cellent quality outside, must certainly be discover
ed by a drawing of samples when one is forewarn
ed. You may be sure Ido not say too much of
these frauds, the evil is mostserious and is rapidly
on the increase i our waste is constantly increasing j
and will be especially large this year. I hear the |
same complaints in all quarters. If you can de-J
tect any frauds, I should wish the most stringent ,
example to be made of the offender, at all cost, on
m}* account.
The Vice-President for Douglas.
mr. Breckinridge’s letter.
•Versailles, Ivy., Oct. 4, 1858.
Dear Sir —l received this morning your letters
of the 28th and 29th ult., written as chairman of ;
the Democratic State committee of Illinois, also j
one from Mr. \\ Hickox, who informs me that he j
is a member of the same committee. My absence j
from home will account for the delay of this an- j
swer.
In these letters it is said that I am reported to !
have expressed a desire that Mr. Douglas shall de- |
feat Mr. Lincoln in their politest for a seat in the
Senate of the United States, and a willingness to j
visit Illinois and make public speeches in aid of
such result: and.if these reports are true. Jam i
invited to deliver addresses at certain points in the <
State.
The rumor of my readiness to visit Illinois and j
address the people in the present canvass is with- !
out foundation. 1 do not propose to leave Ken
tucky for the purpose of mingling m the political j
discussions in other States. The two or three !
speeches which I delivered recently in this State ‘
rested on peculiar grounds, which I need not now !
discuss.
The other rumor to which you refer is true. I I
have often, in conversation, expressed a wish that j
Mr. Douglas may succeed over his Republican j
competitor. .But it is due to candor to say, that j
this preference is not founded on his course at the j
late session of Congress, and would not exist if I j
supposed it would be construed as an indorsement
of the attitude whieh he then chose to assume to- ;
wards his party, or of all the positions he has ta- j
ken in the present canvass. It is hot necessary to i
enlarge on these things. I will only add. that my j
preference rests mainly on these considerations: j
that the Kansas question is practically ended— j
that Mr. Douglas, in recent speeches, has explicit- J
ly declared his adherence to the regular Demo- |
cratic party organization—that he seems to be the !
candidate of the Illinois Democracy, and the most |
formidable opponent in that State of the Republi- ;
can party, and that on more than one occasion du- ;
ring his public life he has defended the Union of I
the States and the rights of the States with fideli- j
ty, courage and great ability.
I have not desired to say anything upon this or |
any other subject about whieh a difference may be j
supposed to exist in our political family, but I did
not feel at liberty to decline an answer to the cour
teous letter of your committee.
With cordial wishes for the harmony of the Illi
nois Democracy, and the hope that your great and
growing State, which bus never yet given a sec
tional vote, may continue true to our constitution
al Union, I am, very respectfully,
Your obedient servarft,
John C. Breckinridge.
Hon. John Moore, Chairman of the Committee.
j2S?f*Morrissey says that his wife’s connections
are opposed to his continuing in the “profession.”
he intends to open a grog-shop and lead a respec
table and moral life in future 1
( OLI 4, 1858.
GOVE R NO R’SJd ESSAG E.
EXECUTIVE - DEPAT!TMEXT, T
Milleik*evij.i.e, i> Nov. - 3, - ISSB. J
FdJow-Citizens of the Senate
and House of Representatives:
It affords me much pleasure to be able to
itate that the financial conditiou of the coun
try is groatlyjmproved since the adjournment
of your last session. Previous to that time,
the commercial crisis, aggravated by a general
suspension of specie payment by the banks of
! many of the States, including most of the
, banks of this State, attended by distrust and
’ loss of confidence, had depressed the spirits
’ of our people, and seriously affected all the
j great interests of our State.
Banks and Banking.
On the 22d day of December last, both
branches of the General Assembly, passed, by
a constitutional majority, without Executive
sanction, an act entitled “an act to provide
against the forfeiture of the several bank char
ters in this State, on account of non-specie
payment for a given time, and for other pur
poses therein named.” This act made it the
duty of the Governor to withhold proceedings
under the act of 1640, lor the forfeiture of the
charters of such banks in this State as had
violated the law. and were in a state of sus
pension, until the 15th day of this present
month, or till the happening of certain contin
; gencies mentioned in the act.
In view, doubtless, of the great imposition
; practiced upon the people by the banks, in
taking from them usury under the name of ex
change, and otherwise, the usury laws of this
j State, so far as applicable to banks, were
, changed by the eighth and ninth sections of
said act; by which it is made illegal for any
| bank or bank agency, by itself, its officers or
agents, directly or indirectly, to loan money at
j a greater rate of interest than seven per cent.
| per annum, and at that rate only for a longer
|or shorter time; or to discount or purchase
i notes, papers, or evidences of debt, at a greater
discount than seven per cent, per annum.—
i And all notes, bills, drafts and contracts, of
‘ every sort whatever, taken for money loaned
I at a greater rate of interest than seven per
.tent M as well as all notes, papers, and evi
dences ot’ debt, discountedor purchased in vi
olation of said act, are declared to be utterly
j null and void, and irrecoverable in law.
The tenth section oi the act regulates the
per cent, which a bank may receive for ex
i change, when its ow n bills are tendered at its
j counter in payment therefor, by a citizen of
• this State.
; The sections containing these provisions
were doubtless inserted in the act for the pur-
pose of protecting the people against the usu
j rious and exorbitant exactions of the banks.
! And to prevent, as far as possible, violations
! of the act, in the particulars above referred to,
! it is enacted by the eleventh section, that.
| “The affidavit of bank officers to their annual
| and semi-annual reports, shall, in all cases,
j state that the bank of which they are officers
i has not, by itself, its officers or agents, in any
j particular, violated the provisions of this act.”
j And the twelfth section makes the offence per
j jury, should bank officers swear falsely in ma
i king their reports. By requiring of bank offi
’ vers the solemn guaranty of an oath, under
heavy penal sanctions, that the law has not
| been violated by them, the Legislature no
| doubt believed they had protected the people
| against such illegal practices in future.
I Although I withheld my sanction from the
act on account of other objectionable features
i in it, and on account of the doubts 1 entertain
i ed as to the constitutionality of portions of it,
I have no doubt but that such portions of the
as prohibit the taking of usury by the banks,
aud regulate the manner of making their an
nual and semi-annual reports, which apply
alike to all banks in the State, are both consti
tutional and expedient. Entertaining these
1 views, on the Ist day of June last I issued my
proclamation, calling on the banks to make
their returns according to law, and to comply
with said eleventh section of the act of ‘2*2d
December, 1357. As this act had been passed
by the Legislature mainly for the relief of the
suspended Imuks, and at the earnest solieita
tionsof their friends, I had reason, iu common
with all law-abiding citizens of the State, to
suppose that they would render cheerful obe
dience to all its requirements. It is with much
regret, however, that 1 have to state to the Le
gislature. that by far the greater number of the
banks whose suspension had been thus legal
ized, and whose charters had been so recently
relieved from liability lo forfeiture, in open vi- I
oiation of the statute passed for their relief, as
well as all the banks in the State which had
not suspended, either neglected, or openly re
fused to obey the law, and make their returns
as directed by the positive mandate of the
statute; thereby placing themselves in a posi
tion of defiance to the constitutional authori
ties of the State.
In this state of things I issued my proclama
tion, as required bylaw, publishing the names
of such delinquent banks, and notifying the
Treasurer of this State that their bills would
not be received in payment of taxes, or of any
debt due the State or the Central bank, until
they should comply with the laws and make
their returns as directed by the statutes; and
this they have hitherto neglected to do. It is
evident therefore, that the penalty of exclud
ing their bills from the Treasury, which is the
only penalty now’ prescribed by law lor a fail
ure to make their returns, is not sufficient to
compel obedience to the requirements of the
statutes. Doubtless some of the banks have
made more by taking usury, and by disregard
ing in other respects the act of 22d December
last, than they have lost by suffering the pres
ent penalty for not making returns in accord
ance with existing laws.
For the purpose of compelling these corpo
rations to yield obedience to the law in future,
I respectfully recommend that the penalty for
disobedience be increased, and in addition to
the penalty already prescribed, that a tax of
two per cent, a month upon the whole amount
of the capital stock mentioned in the charter
of each delinquent bank, be levied and col
lected in gold and silver, for the entire time
during which any such bank may in future re
main in a state of disobedience, and fail to
make its returns as directed by the statutes.
There can be no just reasons why wealthy
corporations should be permitted at their plea
sure to set ibe law at defiance, while individ
uals are compelled to suffer rigorous penalties
for its violation. The mandates of the law
should be obeyed as promplyand implicitly by
the most influential and wealthy as by the
poorest and most needy. This is republican
equality*and our people should be content
with nothing less.
No sooner had the act of 22d December.
1557, been passed, than the banks, forgetful of
their promises to expand their circulation, to
discount freely and relieve the country, re
fused to discount notes, however good, when
offered to them in a legitimate course of bank
ing business, or to extend accommodations to
any except perhaps to a favored few, such as
cotton buyers and other speculators. Mer
| chants and others, compelled to have Northern
: exchange, were generally unable to obtain it
| foi less than three percent. The price of cot
ton declined, and monetary distress became
; general throughout the State.
The banks having thus abused the generous
! confidence reposed in them by the Legislature,
’ continued to enjoy the benefits of the suspen
sion long alter the banks of the great cities of
the North and West had resumed specie pay
; raent, and until the just indignation of an in
; jured people, expressed through the public
press, by public meetings and otherwise, be
| came so prevalent that they felt compelled by
; fear of future consequences, to retrace their
i steps and curtail the speculation they other
! wise would have made out of the suspension.
‘■ They therefore prepared to resume on the Ist
! day of May last; thus admitting, by their re
! sumption six months in advance of the time
v fixed by the statute, that no such necessity as
j they represented to the Legislature ever did
exist for the passage of the act. A gentleman
I of great ability and worth, who is at the head
of one of the most important and influential
banks in the State, in his report of May last,
whale apologising for the suspension, ‘and re
; ferring to the fact that the Legislature had
given time till the 10th November, says: “Our
banks, impatient under the supposed odium of
suspension, resolved to resume on the Ist of
| the present month,” (May.) It is a fair infer
ence, therefore, that the banks would have
| continued the suspension till the time fixed by
| the act for them to resume, but for the pres
j .sure of public opinion, and their impatience
i “under the supposed odium of suspension
i Public opinion hating thus* compelled the
j banks to resume before the time fixed by the
] statute, and the crisis having passed, we, as
: rational men, should learn wisdom by experi
-1 once, and try to provide ag far as possible
against abuses of their privileges by these cor
porations in future.
• 1 presume it will not be denied by any one, I
that we have erred by a too liberal and un
guarded grant of corporate powers and privi
leges to moneyed monopolies. And it is be
lieved that a future extension of this policy
would soon enable these monopolies to con
trol the government of Georgia, and make the
people the subjects of their power. It is al
ready claimed by some, that they now* have
the power, by combinations and the free use j
of large sums of money, to control the politi- !
cal conventions and elections of our State,
and in this way to crush those who may have j
the independence to stand by the rights of the
people, in opposition to their aggressive power.
I trust tiiat the bold, independent and patriotic
people of Georgia may never be compelled to
bow the neck in subjection to the yoke thus
intended to be imposed by the corporate pow
ers of the Slate. Let it not be forgotten, how
ever, by those who have watched with anxi
ety the growing power of corporate influence
that the price of republican liberty is perpet
ual vigilance.
The monetary and commercial affairs of the
country must necessarily remain subject to
panics, under heavy pressures, at certain, if
not frequent intervals, as long as our present
bankiug system is continued with its enormous
powers and privileges, which have been en
larged and extended by legislative enactment,
chartering new banks from year to year. The
people should take this sebject into serious
consideration, and pronounce upon it a calm
and deliberate judgment. Every intelligent
person must admit that it is impossible for a
bank having a paper circulation three times as
large as the amount of its specie, to redeem
all its bills m specie on demand. Should all
its bills be presented for payment at any one
time, and the specie be demanded, it can then
redeem but one third of them. In that ease,
if the bank has sufficient assets, or property,
the other two-thirds may possibly not be an
ultimate loss, but payment must be delayed
till the money can be realized by a disposition
of those assets and property, which may not
he till the end of a lengthy and uncertain liti
gation. Jt is clear, therefore, that our present
paper currency is not a currency convertible,
at all times, into gold and silver upon presen
tation ; and that only one-third of it. should
payment be demanded on all at one time, can,
in the nature of things, be so convertible, so
long as the banks issue three dollars in paper
for one in coin.
In my judgment no paper currency is safe whieh
is not so regulated as to he at all times readily con
vertible into gold and silver. It is true, our peo
ple, by a sort of common consent, receive the bills
of the banks and use them as money though in re
ality they rest upon no solid specie basis. But
sad experience has taught us that such a circula
ting medium subjects the country to panic at the
first breath of distrust or suspicion, which may be
produced by the failure of u siugle bank having a
large circulation and extensive connections with
other banks, and may widen and extend to the
prostration of the credit of the whole country.—
Such a currency, having no solid specie basis, can
be available only so long as the community will
consent to receive promises to pay money in place
of money itself.
The people take from the bank their bills as mo
ney. The banks receive interest, aud often ex
change, upon them. When required to redeem
their bills in specie, they suspend, if they choose
to do so : and then, if an attempt is made to coerce
payment in specie, they resist it, holding a rod
over the people by threatening to make them pay
upon a specie basis debts contracted by them for
the bills of the bunks : notwithstanding those bills,
when they received them, rested on a basis of only
) one third specie. The high perogative of exercis
ing banking privileges, and of issuing their own
notes or bill? to be circulated as money, not rest
ing upon any solid specie basis, is secured to the
banks under our present system of legislation as an
exclusive right, while the exercise of similar priv
ileges upon like terms is denied to all individual
citizens of the State by stringent penal enact
ments.
The privilege of using their own notes as money,
gives to the favored few who enjoy it, immense ad
vantages over their fellow citizens, aud may often
enable tin* managers of these corporations to amass
great wealth by their high salaries and large prof
its. It may, however, be said, that many of the
stockholders are widows and orphans ; that the
stock is in the market for all, and at the divi
dends are not greater than the profits realized from
other investments. This may be admitted. In
deed, it seems in practice to be generally true,
that the corporate privileges do not result so much
to the benefit of the mass of stockholders as to the
benefit of the few who manage the corporation.—
To estimate correctly the profits made out of the
people by those engaged in banking, we must not
only count the dividends of seven, eight or ten per
cent distributed among the stockholders, but we
must also take into the account the banking houses,
real estate and other property purchased out of j
the profits of the bunk and held by the corporation, j
Besides, we should consider a reserved fund of 2, j
3 or 4 hundred thousand dollars, made up of ac
cumulated profits, and often kept back by our lar- |
ger banks and not distributed among the stock- !
holders, together with the high salaries of all the ;
officers of the bank, which must be paid before any
dividends are distributed. These sums though
made out of the people by the banks, are not
semi-annually divided among the stockholders.—
To these add all sums paid to attorneys, agents,
Ac., and all amounts lost by defaulting agents,
which, wile they cannot be set down as profits of
the corporation, since neither its officers proper
nor its stockholder? are benefit ted thereby, are still
sums of money, which under the workings of the
system, are drawn by the corporation from the
pockets of the people.
To all this add the large sums lost almost every
year, on account of broken banks, whose bills are
left worthless in the hands of the people, who
have paid full price for them as money. And take
into the account the further fact that the State,in
1848 and 1849, issued $515,000 of her bonds to
meet her liabilities on account of the Central
Bank. $240,000 of which are still outstanding.—
And that in 1855, she issued $48,500 of bonds to
pay her indebtedness on account of the Darien
bank, which arc still unpaid, making $288,500 of
bends on account of these two I. inks whi- h still
remain a portion of the public debt, the interest
upon which i? paid annually out of the taxes of
the people—and we may form some estimate of
the amounts which the people of Georgia have
paid and continue to pay in taxes, and suffer in
losses, to sustain the banking system.
Again, in many instances, those who control the
corporation may have great advantages in being I
able, if they choose, to obtain such accomraoda- i
tions as they may desire, by the use of its funds,
when a favorable opportunity for speculation oc
curs. The dividends paid to stockholders are there
fore no proper criterion by which to judge of the
advantages of the corporation to those who hold its
offices, and control aud manage its capital and its
operations : or of the sums lost by the people on
account of the workings of the system.
Thus far I have discussed this question upon the
supposition that the liabilities do not exceed three
dollars for every one of specie actually on hand in
the banks to meet and satisfy them. This suppo
sition is more favorable to many of the banks than
facts will justify. The law of their charters only
re* pi ires that their liabilities shall not exceed three
dollars for every one of capital stock actually paid
in. and not three dollars for every one of specie on
hand to meet those liabilities. As an illustration
of the error of our present legislation in incorpo
rating banks. suppose the amount of the capital
stock of the bank be limited by the charter to
$500,000, which is to he paid in, in gold and sil
ver, by the stockholders. The charter then pro
vides that the liabilities of the hank shall at no
time exceed three times the amount of the capital
stock actually paid in. The stockholders pay in
the $500,000 in gold and silver. The directors of
the bank may then, without any violation of the
letter of the charter, incur liabilities against the
bank to any amount that does not exceed $1,500, -
000 ; and that too, without any obligation on their
part to keep in their vaults the $500,000 actually
paid in. or a like sum. If they should take out
$400,000 of their specie and invest it in real estate
or other property, leaving but SIOO,OOO of specie
in the vaults, they may still contract debts to the
amount of a million and a half, and may point in
triumph to the language of their charter, and to
the fact that the $500,000 of capital stock was
once actually paid in, as their authority for so
doing.
This bank legislation of our State does not seem
to have been well understood by our people.—
They have generally believed that our banks, by
the letter of their charters, were required to have
on hand at all times an amount of specie one third
as large as the entire amount of their liabilities.
The banks have understood the matter very differ
ently, and have not only claimed, but exercised the
right when they regarded it their interest, to ex
tend their liabilities far beyond three dollars for
every one of specie actually on hand to meet those
liabilities. By examination of their returns made
to this Department in October, 1857, it will be
seen that at the time of the late suspension of our
banks in Augusta and Savannah, the liabilities of
one of them for bills in circulation and individual
PEYTON H. COLaUITT, I VlUtnrQ
JAMES W. WARREN, \ Edltors >
Number 44
deposits exceed thirteen dollars for every one dol
lar of both specie and bills of other banks which
it then had on hand. Another had only one dol
lar in specie in its vaults for every fifteen dollars
of its liabilities for bills in circulation and depos
its. Another had not one dollar in specie for every
seven ot liability for bills in circulation and de
posits. And another had only cute dollar in specie for
every eleven dollars of its liabilities of the charac
ter mentioned above. It is true these banks had
other assets, but those assets were not money.
! The question naturally suggests itself, how can
j s, tch a currency he convertible into gold and sil
| ver —the mmicy of the constitution—on demand
|or presentation ? How can a bank with fifteen
dollars of cash liabilities for every one dollar in
specie, or even of live dollars for one, pay its lia
bilities promptly on demand ? It is impossible.
Arid how can its bills bejustly considered safe as a
circulating medium, or as money, if it cannot re
deem them promptly on demand?
In considerat ion of all the imperfections and
abuses of our present banking system. I am of
opinion that we should do all in our power to bring
about its complete reformation, and if this be not
possible, wc should abandon it entirely. I am
the advocate of no harsh measure that would either
violate the legal rights of the present corporations,
(however unwisely they were granted,) or that
would bring distress upon the people, by a sudden
return from a paper to a specie currency. A re
formation so radical, if attempted, must be the
work of years. If the legislature would continu
ually refuse to charter any new bank, or to en
large the capita! stock of, or re-charter any bank
now in existence, the system would gradually work
itself out by efiiux of time; and we might, with
out any sudden -uock, return safely to the curren
cy of the cousiiiution, plant ourselves upon a firm
specie basis, and rid ourselves of a system against
which the great and good men who conducted the
revolution and i rmed our constitution intended to
guard tin ir posterity, when they declared in
the Constitution, that nothing but gold and silver
coin should be made a legal tender.
In two **t the States of this Union banks are
prohibited by c< institutional provision ; two others
have no bank- and another had but two small
banks, whose charters, it is said, have been forfeit-
ed by the late suspension. And 1 am informed
upon what l c* nsider reliable authority, that the
late commercial pressure was comparatively hut
little felt within the limits of those States.
Should our people determine, however, to con
tinue the present banking system, and to charter
new banks, in* reusing their number and thereby
increasing their power in the State, I wonld re
spectfully urge the importance of guarding ull
charters with much greater stringency in the fu
ture. Let the charter of each provide that the
entire liabilities of the bank shall, at no time, ex
ceed three dollars for every one of specie actually
in it- vaults aud bona fide the property of the
bank. >u pain of immediate forfeiture. Let the
simp), fact ol suspension of specie payment render
the charter absolutely null and void. Tills would
deter them from engaging in such wild specula
tions an over issues as compel them to suspend iu
case of pressure. Let provision be made that all
executions issued against the corporation may he
levied upon the property of any stockholder until
the - r. ditor he satisfied, leaving the stockholder to
his !e* ;il remedies against the rest of the stock
holders io enforce contribution among themselves.
Le. the bills of the banks in the hands of the peo
ple at the time ol suspension, bear interest from
that time till paid. And let the Legislature re
tain the right*, by express reservation in the char
ter, to alter, modify or repeal it at pleasure. In
my opinion it would be best for the Legislature to
refuse to grant a charter to any corporation for any
purpose whatever without retaining a similar pow”-
er. should its exercise be required by the interests
ot the .State or the public good. If the corporation
is unwilling to trust the people with this repealing
power, how much more should the people be un
willing to trust the corporation without it.
Prohibition of Small Bills.
Several of the States have already parsed laws
prohibiting the emission by their banks of small
Bills. I once entertained doubts whether our Le
gislature could do this without a violation of the
chartered privileges of the banks; but on more
mature reflection and careful examination, those
doubts arc- entirely removed from my wiud. I
therefore recommend the passage of a law prohib
iting the emission of small bills by the banks of
this State, and forbidding, under heavy penalties,
the circulation within this State of bills of a like
denomination issued by banks of other States.—
Such an act might prohibit the circulation of all
bills of a denomination under ten dollars, after
twelve months after the passage of the act, and
those of a denomination under twenty dollars in
six months thereafter, or at such other stated times
as might he thought best, so as not to embarrass
the business transactions of the country. The ef
fect of such a law would be to cause small bills to
he withdrawn from circulation, and as they must
be redeemed by the banks with specie, the specie
would go into circulation in their stead. This
| would ( arise gold and silver to take the place of
| hank bills in all the smaller business transactions.
| The laborer would then receive the price of his la
! bor in gold and silver, the farmer of small means
i would generally receive the price of his produce in
) gold and silver, which would remain goodhowev
| or much bank bills might depreciate.
Sab- Treasury System.
I also beg leave to call the attention of the Gen
eral Assembly to the propriety of establishing by
law a system for our State similar to the Sub-trea
sury system of the United States, the wisdom of
which has been fully demonstrated by the benefi
cial results of its practical operation. I earnestly
recommend the adoption of such a system. Let
all payments into the treasury, after a reasonable
time to l>e fixed by the Legislature, be made in
gold and silver, and let the State pay the interest
upon her public debt, the salaries of her officers,
the per diem of her Legislators, the money duethc
several counties for school purposes, together with
all her other liabilities, in gold and silver. 0-
course the system should go into operation graduf
ally. This, in connection with the prohibition of
the circulation of small bills, would keep out of
the hanks and in circulation among the people a
large amount of coin, placing the currency upon
a much more solid specie basis, making the people
more independent of banks, and enabling them to
withstand the shock with much less injury in case
of a commercial crisis and bank suspension. It is
believed that no serious inconvenience could result
to the tax payer from such a law, as the gold and
silver paid into the Treasury by those indebted to
the State, would be returned by the State in the
payment of her debts due to her creditors, and
would again go into circulation among the people.
Should any inconvenience be apprehended in the
I transportation of specie from the treasury to the
1 creditor, provision might be made authorizing cer
tificates of deposit to be issued, which might be
paid to the creditor, at his request, in place of the
coin. These certificates of deposit might be of
such denominations as the Legislature may pre
scribe, handsomely engraved upon steel plates,
which plates should be deposited in the Treasury
for safe keeping. Each certificate might be signed
by the Treasurer and countersigned by the Secre
tary of State, with the impression of the great seal
of the State stamped upon it, and a register of the
issue of each kept in the Treasury to prevent coun
terfeit. These certificates might be made payable
to the persou to whom they first issued, or to bear
er. They would supply the place of bank bills so
far as the conveniences of u paper currency are
concerned, while they would be subject to none of
the fluctuations of value and the uncertainties of
hank bills. They would be taken at the option
only of the creditor in place of gold and silver.—
The gold and silver, dollar for dollar, would, when
they were in circulation, remain in the vaults of
the Treasury to redeem them when returned to it.
These certificates, thus predicated upon coin in
the Treasury, dollar for dollar, would be receiva
ble in payment of taxes or of any debt due the
State. They would be a safe medium of exchange,
and would, to the amount of their issue, be a pa
per currency at all times convertible into gold aud
silver upon presentation at the Treasury. Each
dollar of paper would have for its basis a* dollar of
specie in the Treasury, and as the faith of the
State would be pledged for their redemption, it
would be impossible for any citizen to’sustain loss
upon them. They would boa currency at all times
and under all circumstances of uniform par value.
This would render the government of the State en
tirely independent of all banks and bank agencies,
and would in a very great degree destroy 4ke pow
er of the banks over the people, while it would
give the people gold and silver change in all their
small transactions, anil a paper curreuey perfectly
secure in many of their larger ones.
The suggestions made by the Secretary of the
Treasury of the United States. (Mr. Cobb.) hi his
late report to Cougress upon the subject of the es
tablishment of a Sub-Trcasnry system by the
States, similar to that of the United States, and
the prohibition of the circulation of bank bills un
der the denomination of twenty dollars, are, in my
judgment r fbunde*lin wisdom, and commend them
selves to the serious consideration of the Legisla
ture. The State of Ohio has already shown her
appreciation of the wisdom of these suggestions,
by transferring much of their substance to her
statute book, allowing sufficient time for the grad
ual inaugurationvf the system into practical ope
ration.