We can
judge, therefore, whether it be probable that its capital can be all
called in, and the circulation of its bills withdrawn, in three years
and nine months, by any discretion or prudence in management, without
producing distress. The bank has discounted liberally, in compliance
with the wants of the community. The amount due to it on loans and
discounts, in certain large divisions of the country, is great; so
great, that I do not perceive how any man can believe that it can be
paid, within the time now limited, without distress. Let us look at
known facts. Thirty millions of the capital of the bank are now out, on
loans and discounts, in the States on the Mississippi and its waters;
ten millions of which are loaned on the discount of bills of exchange,
foreign and domestic, and twenty millions on promissory notes. Now, Sir,
how is it possible that this vast amount can be collected in so short a
period without suffering, by any management whatever? We are to
remember, that, when the collection of this debt begins, at that same
time the existing medium of payment, that is, the circulation of the
bills of the bank, will begin also to be restrained and withdrawn; and
thus the means of payment must be limited just when the necessity of
making payment becomes pressing. The whole debt is to be paid, and
within the same time the whole circulation withdrawn.
The local banks, where there are such, will be able to afford little
assistance; because they themselves will feel a full share of the
pressure.
Pages:
904
905
906
907
908
909
910
911
912
913
914
915
916
917
918
919
920
921
922
923
924
925
926
927
928