There seems to be a feeling in the minds of
the people, especially in the State of Mary
land, beyond that of any State I ever saw
that money is some sacred thing, which to
own is a sin, and which owning it is a greater
sin to lend to any other man at a price be-
yond that which the law may choose to fix
The legislators of Maryland have assumed to
decide that money under any circumstances
can never be fairly worth more than a certain
amount, and have made it a crime to ask more
than that amount for it. Here we have my
colleague (Mr. Thomas, ) not only fixing the
rate, but wanting to invalidate all contracts
whatever by which money is loaned at a
higher rate than six per cent. He is not even
content with the present condition of the
law; but actually wants to put into the con-
stitution of Maryland, an enactment which
would forever cripple all enterprise in Mary-
land, which would drive all money out of Ma-
ryland, put a stop to any man ever entering
into business in Maryland, who was no
already rich when he began the business, and
prevent any poor man in Maryland from ever
undertaking any business whatever,
I think one of the gentlemen from one of
the counties argued that the people in the
country were extremely indisposed to allow
this thing. Yet, I have been very credibly
informed, that one of the constituents of that
gentleman has been known to loan parties
money at three per cent, a month. That is
just the way this matter always operates
If a man has money, he always wants to get
all he can for it,
I think the question is a very simple one
to be looked at. If six or seven per cent,
interest is not unfair in New York, if the
State has thriven under it, if more people do
not break in New York than in Baltimore,
if the commercial community in New York
is as sound as in Baltimore, if capital is
driven from Maryland more than from New
York, then I ask gentleman to consider this
matter.
Mr. SANDS obtained the floor, but having
spoken once upon this question, the floor was
awarded to
Mr. STIRLING, who yielded to
Mr. SANDS, who said: I will not speak
more than five minutes. I should not have
risen now if I bad not felt myself necessitated
to do so from the criminations indulged in
by the gentleman from Baltimore city (Mr
Cushing) this morning. As I listened to him
this question first of all came up in my mind
Which of the two positions, that of superin
tendent of public instruction, or the rostrum
of the sanctum of the Rothschilds, ought
the gentleman to, occupy? He certainly
seemed to know all about finance, intricate
as the subject is, and delivered his views as if
they ought to be accepted here without ques-
tion. Now, I do not accept them. And
must Bay, that while he expressed them will |
his usual eloquence, he certainly manifested a
disregard of fact and of law, that in these
times is really refreshing. And he manifested
a sublime indifference to the facts and an
amount of indifference to the law which he
knew must be familiar to gentlemen upon
this floor, which was equally refreshing; for
he told you that in the great and prosperous
State of Pennsylvania, at a regular rate of six
per cent. interest, this matter of filing the
rate of interest was got around by a man
giving his note for a hundred dollars, and
taking seventy-five dollars for it.
Mr. CUSHING. Does the gentleman allege
that I made any such statement?
Mr. SANDS I think that was your argu-
ment.
Mr. CUSHING. Yon think wrongly, then.
Mr. SANDS. I appeal to the house if the
argument the gentleman used wars not that
the legal rate of interest was got around in
that way,
Mr. DANIEL. I stated that it was done in
that way in the case of a mortgage.
Mr. SANDS. That was the ground taken
by gentlemen who argue the pro side of this
question. Now, it is known to every gentle-
man that in that case the maker of the note
could plead want of consideration, and have
so much of the claim deducted as was usury.
Another gentleman goes so far as to say that
the court of appeals has decided either that
the constitution is unconstitutional, or that
they in their capacity of the court of appeals
of Maryland, can set the constitution aside.
Mr. DANIEL. They construed it to mean
differently from what the circuit court did.
Mr. SANDS. And the legislature did the
same thing, said the gentleman. Now, here
is the constitution as it stands :
"That the rate of interest in this State
shall not exceed six per cent. per annum, and
no higher rate shall be taken or demanded ;
and the legislature shall provide by law,
all necessary forfeitures and penalties against
usury."
That is, the constitution says plainly that
if six and one-tenth, or six and one-hun-
dredth per cent. is demanded and taken, then
that one-tenth or one-hundredth per cent. is
usury, and the legislature shall see that usury
is not practiced in this State. And yet, the
gentleman says, with this section standing
here in the constitution unrepealed, that the
court of appeals, the creature of that consti-
tution, has decided that this section is a thing
to be evaded by reason of commercial neces-
sity.
Mr. DANIEL. I did not say any such thing,
Mr. SANDS. My friend from Baltimore
city (Mr. Daniel,) drew a parallel between
the Bank of England and the money sharpers
of the great commercial city of this country,
as if he did not know that the Bank of Eng-
land was regulated by and under the control
of the government. I suppose then that an |
