judgment it is a question about us little un-
derstood as any question that can come before
bodies of this kind.
My objection to the amendment of the
gentleman from Baltimore city (Mr. Cush-
ing) is this: that it has the character
of special legislation, and the result he de-
sires is not reached by it. I am in favor
of the amendment of the gentleman from
Anne Arundel (Mr. Miller) because it makes
stockholders liable to the extent of their
stock. That is right; that is just. They
go into operation to make money; and I am
in favor of making them responsible, in order
to protect the interests of the community
that trust them. To that extent I am in fa-
vor of the article. But I am not in favor
Of adopting any provision which in its
effect upon the community will practically
produce a result which I claim to be unjust;
that is to say, which makes one person in the
State poorer in comparison with another from
the very hour the provision is passed.
Mr. SCHLEY. I rise to suggest a proposi-
tion to the gentleman from Baltimore city
(Mr. Cushing.) The object of his amend-
ment, as I understand it, is to prevent the ex-
tensive circulation of State paper money. In
other words, to aid the reform in the cur-
rency which is now taking place throughout
the land. I have always been of the opinion
that the States have no right to authorize the
emission of paper currency, and if the gen-
tleman's proposition went to that extent and
no farther, I would gladly support it. But I
think it goes beyond that, and proposes to
entirely destroy the banking system in the
State in its legitimate business of deposit and
discount. It looks to the total extinguish-
ment of the banking system within the State.
I therefore suggest to him to withdraw his
amendment, and adopt one which I will read ;
in these words. Lei the section stand as now
amended—with the words "subscribed for
and not paid in" stricken out; and insert af-
ter the words, "upon note, bill, or otherwise"
the following:
"And on the further condition, that said
charter, or renewal of such existing corpora-
tion, shall not authorize the issue of paper
money as a circulating medium so long as the
United States shall provide by law a national
paper currency."
That amendment would curtail, as speedily
as may be, and without great injury to vested
interests, the circulation of State bank paper,
and finally extinguish it. At the same time
it would not interfere with what financiers
call the legitimate business of banks, to wit:
discount and deposit; nor would it interfere
with the convenience that banking houses
afford the community. And again, such an
amendment leaves the security that was put
in the last Constitution, and which is emi-
nently desirable, and ought to be retained in
this; that is, the liability of stockholders to |
the amount of their respective shares for the
payment of the debts of the bank. It retains
that security to the public, and permits the
renewal of hank charters upon a different
basis. If the gentleman will consent to with-
draw his amendment, and adopt this which I
think he has in view, I will gladly place it at
his disposal.
Mr. CUSHING. If my colleague (Mr. Stir-
ling, ) upon whose suggestion my amendment
was modified, will consent, I will withdraw
my amendment.
Mr. STIRLING. I will consent, for there is
no difference between the two propositions,
except that this leaves the stockholders
liable.
The amendment of Mr. CUSHING was ac-
cordingly withdrawn.
Mr SCHLEY moved to amend by inserting
after the words "note, bill, or otherwise,"
the following:
"And on the further condition, that said
charter, or renewal of such existing corpora-
tion, shall not authorize the issue of paper
money as a circulating medium so long as the
United States shall provide by law a national
paper currency."
The section, if amended, would then read as
follows:
"The general assembly shall grant no
charter for banking purposes, or renew any
banking corporation now in existence, except
upon the condition that the stockholders shall
be liable to the amount of their respective
share or shares of stock in such banking in-
stitution for all its debts and liabilities upon
note, bill or otherwise; and on the farther
condition, that said charter, or renewal of
such existing corporation, shall not authorize
the issue of paper money as a circulating me-
dium so long as the United States shall pro-
vide by law a national paper currency. All
banks shall be open to inspection of their
books, papers and accounts under such regu-
lations as may be prescribed by law."
Mr. MILLER. The amendment offered by
the chairman of the committee (Mr. Schley)
is still open to the objection urged so ably by
the gentleman from Cecil (Mr. Pugh.) It
prohibits the legislature, after any banking
charter now in existence shall have expired,
from renewing that charter except upon the
condition that it shall not issue notes; per-
mitting the banks which have charters a long
time to run, the privilege of issuing notes
after other banks have ceased to have that
privilege.
The question was upon the amendment sub-
mitted by Mr. SCHLEY.
Upon that question Mr. PUGH called the
yeas and nays, which were ordered.
The question being then taken, by yeas
and nays, it resulted—yeas 28, nays 26—as
follows:
Yeas—Messrs. Goldsborough, President ;
Abbott, Annan, Audoun, Barron, Brooks, |
