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MONDAY 14th JANUARY 1828.

The Senate met pursuant to adjournment.

Mr. Powell from the joint committee on enrolled bills reported as correctly enrolled, an act further to amend the charter of the Bank of the State of Alabama; which was accordingly signed by Mr. President.

Mr. Casey, from the special committee to which was referred so much of the Governors annual communication as relates to the failure of the Tombeckbe Bank to redeem its notes with specie submitted a report, on motion of Mr. Powell ordered that the report lie on the table.

Mr. Powell from the joint committee on enrolled bills reported as correctly enrolled and act to provide for reports of the decisions of the Supreme Court, an act to incorporate the Franklin Academy in the town of Russelville Franklin county; an act to authorize John Smith of Jefferson county to emancipate a certain slave therein named; an act to authorize the building a Jail in Morgan county; an act concerning the registration of deeds and patents; an act concerning the owners and keepers of mills and other water works in Limestone county, an act to amend an act entitled, an act to incorporate the school commissioners of the fourth township, eighth range, west from Huntsville, and for other purposes, an act regulating the duties at law and for other purposes, an act authorizing a lottery for the purpose of building an academy and Court House in the county of Henry, an act for the further relief of securities and an act to provide for the speedy collection of debts due the Bank of the state of Alabama in certain cases, all of  which were accordingly signed by Mr. President.

Mr. Moore presented the account of Enoch Bryant which was referred to the committee on accounts and claims.

Mr. Crabb from the committee of conference appointed on the subject matter of disagreement between the two Houses in relation to the amendment made by the House to the bill entitled; an act relative to the satisfaction of executions, reported, that the committee have had a meeting and have agreed to recommend to the two Houses that the said amendment by the House be amended by inserting after the words 'judgment creditors' in the second section the words 'in the courts of record of this State,' and that the amendment so amended be agreed to by the Senate; which was concurred in. Ordered that the Secretary acquaint the House of Representatives therewith.

A message from the House of Representatives by Mr. Tunstall their Cl'k.

Mr. President. The House of Representatives have passed bills which originated in the Senate entitled, an act to change the time of holding the county courts of Jefferson Henry and Dale counties: and have amended the same in the manner herewith shewn. In which they desire your concurrence.

An act regulating judicial proceedings; Joint resolution authorizing a further investment of University funds; an act better to regulate judicial proceedings; an act defining the liability of endorsers and for other purposes; and have amended the same by striking out all the preamble of the bill and substituting the accompanying amendment- In which they desire your concurrence.

They have also passed a bill entitled an act to authorize James Thompson and his associates to open a Turnpike road therein named, and have amended the third section of the bill in the manner herewith shewn - In which they ask your concurrence.


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They have passed bills which originated in their House entitled, an act to encourage the raising Volunteer companies in the county of Morgan, an act to provide compensation for a person to transcribe and arrange the records of the clerks office of the county court of the county of Dallas, an act explanatory of 11th and 24th sections of an act to reduce into one the several acts concerning roads, bridges, ferries, and highways approved January 12th 1827, an act providing for the payment of Solicitors for prosecuting to conviction slaves charged with capital offences; report and joint resolutions in relation to the boundary line between this State and Georgia an act to regulate the mode of organizing the Senate and House of Representatives at the commencement of each session; and, an act to provide for the payment of certain expenses therein mentioned. In  which they desire your concurrence.

They concur in the several amendments made by the Senate to bills entitled, an act to abolish and establish certain election precincts therein mentioned; an act relative to Volunteer companies in the militia of this State and for other purposes; an act to emancipate certain slaves therein named; and an act to alter the time of holding company courts martial. They have also passed bills which originated in their House entitled, an act to allow further time to the tax collector of Madison county to collect and pay over the taxes of that county for the year 1827. an act supplemental to an act to establish the dividing line between the counties of Tuscaloosa and Bibb according to the existing laws passed the present session and a joint resolution to provide for the safe keeping of the state furniture. In which they desire your concurrence.

Ordered, that the Senate concur in the amendments made by the House to bills entitled, an act to authorize James Thompson and his associates to open a turnpike road therein named; and an act to change the times of holding the county courts of Jefferson, Henry and Dale counties.

Ordered, that the Secretary acquaint the House of Representatives therewith.

A bill to be entitled an act supplemental to an act to establish the dividing line between the counties of Bibb and Tuscaloosa according to the existing laws, passed the present session, was read the first time and ordered to a second reading tomorrow; Ordered, that the committee on accounts and claims have leave to sit during the session of the Senate.

Mr. Hubbard moved that the Senate concur in the amendment made by the House of Representatives to the bill entitled, an act defining the liability of indorsers & for other purposes; which was lost.

Yeas

9

Nays

9.

The yeas and nays being desired, those who voted in the affirmative are messrs. Evans, Hubbard, Irwin, Jones, McCamey, Merriwether, Miller, Moore and Skinner.

Those who voted in the negative are, Mr. President, Ashe, Brown, Casey, Crabb, Earle, Powell, Shackleford and Sullivan - Ordered, that the senate disagree to said amendment and that the secretary acquaint the House of Representatives therewith.

A joint resolution for the preservation of the State House furniture was read. The rule requiring joint resolutions to be read on three several days being dispensed with the resolution was read the second time.

Mr. Casey moved to amend the joint resolution by striking out all after the word 'Resolved,' and to substitute another in lieu thereof; which was carried. The rule being further dispensed with the resolution was then read the third time and passed, ordered that the Secretary acquaint

X


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the House of Representatives therewith.

A bill entitled an act to encourage the raising of Volunteer companies in the county of Morgan was read, and the rule requiring bills to be read on three several days being dispensed with, the bill was read the second and third time and passed.-- Ordered that the secretary acquaint the House of Representatives therewith.

A bill entitled, an act explanatory of the 11th and 24th sections of an act to reduce into one the several acts concerning roads, bridges, ferries and highways, approved January the 12th 1827 was read, and the rule requiring bills to be read on three several days being dispensed with the bill was read the second time and laid on the table till this evening.

A bill entitled an act to provide compensation for a person to transcribe and arrange the records of the clerks office of the county court of the county of Dallas, was read, and the rule requiring bills to be read on three several days being dispensed with, the bill was read the second time.

Mr. Irwin, moved to amend the bill by inserting the county of Henry after 'Dallas' wherever it occurs in the bill; which was carried. The rule being further dispensed with the bill was read the third time as amended and passed. Ordered, that the secretary acquaint the House of Representatives therewith.

A bill entitled, an act providing for the payment of solicitors for prosecuting to conviction slaves charged with capital offences, was read, and the rule requiring bills to be read on three several days being dispensed with, the bill was read the second and third time and passed

Yeas

9

Nays

3.

The yeas and nays being desired, those who voted in the affirmative are Mr. President, Casey, Hubbard, Irwin, McCamey, Miller, Moore, Shackleford and Sullivan.

Those who voted in the negative are, messrs. Crabb, Evans and Jones. so the bill was passed. Ordered, that the Secretary acquaint the House of Representatives therewith.

A message from the Governor by Mr. Thornton.

Mr. President: The Governor did on the 12th inst. approve and sign an act to amend an act entitled, an act to divide the state into districts for electing Representatives to Congress, passed December 21st 1822 an act to declare Canoe creek in St. Clair county a public highway.

An an concerning the attendance of jurors: an act to organize and establish a circuit court in Dale county and to arrange the counties of the first, second and sixth judicial circuits: an act to repeal an act entitled an act to provide for the payment of petit jurors in certain counties therein named approved December 22d, 1826, so far as said act relates to the counties of Dallas, Marengo and Mobile, an act to provide for the translation and preservation of the Spanish records of this state an act to authorize and require the Secretary of State to procure and distribute to each county in this State one sets of weights and measures, and, an act to incorporate the town of Tuscaloosa and to repeal an act incorporating said town passed the 13th December 1819 and on this day (the 14th) an act further to amend the Charter of the Bank of the State of Alabama all of which originated in the Senate, and then the Senate adjourned at 3 o'clock this evening.

3 O'CLOCK  P. M. 14th JANUARY 1828.

The Senate met: - Mr. Casey from the joint committee to which was recommitted elected to examine the state and condition of the Bank submitted the following report.


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"The joint committee elected to examine the State Bank and to whom the report presented by said committee to both Houses was recommitted with instructions to revise that part of the report which relates to bad & doubtful debts, report, that they have had a meeting and no evidence being offered to cause a change in the opinion of the committee to the report first made it is reported back without amendment. Ordered, that the report of the committee be concurred in and that Five hundred copies thereof be printed for the use of the Senate.

The following is the Report of the committee:

The joint committee appointed by both branches of the General Assembly to examine the situation and condition of the Bank of the State of Alabama, respectfully report- That the paper annexed, marked (A) is an expose of the situation and condition of the Bank up to 21st December, 1827: the time at which the examination of the books of the bank, so far as they are connected with the funds of the institution, was completed.

The amount due the bank on the 21st December 1827, on notes discounted to individuals as will appear from statement A was five hundred and thirty five thousand, five hundred and twenty dollars (35,520)

By referring to the papers marked (A & B) it will be seen that the condition of the bank has greatly improved since the 21st Dec. last. The Cashier's statement marked B. shews the condition of the bank up to the 5th inst.

The amount of debts due the Bank on the 21st Dec. last, as is above stated, was five hundred and thirty five thousand five hundred and twenty dollars (5,35,520) By referring to the paper marked (B.) these debts on the 5th inst. amounted to only two hundred and eighty three thousand four hundred and forty four dollars (283,444) having been reduced by payments made since the 21st Dec. last, two hundred and fifty two thousand and seventy six dollars (252,076) while the available funds of the institution have been increased two hundred and fifty two thousand two hundred and ninety five dollars and sixty cents (252 295 60) by the purchase of bills of exchange and by paper of the other banks paid in, and at the same time the circulating paper of this bank has been diminished three thousand and twenty five dollars (30,25)

The committee think it proper here to submit a few remarks in relation to the means of the bank to redeem its paper now in circulation. It will be seen by reference to the paper marked (B) that the bank is liable for the sum of six hundred and thirty thousand two hundred and seventy four dollars, sixty and half cents (630,274,60 1/2,)  which sum is formed by the debts due to other banks, to individual depositors and its own notes in circulation.

The amount of cash on hand including Specie notes of other solvent banks, and bills of exchange is seven hundred and thirty nine thousand tow hundred & eighty dollars, twenty two and a half cents (739,203,22 1/2) leaving a surplus over the amount for which the bank is liable of one hundred and eight thousand nine hundred and thirty dollars: and sixty two cents (10,933,62)

From this statement it will be clearly seen, that the bank is in possession of the means of meeting and demands which may come against it, and of supplying its vaults with the necessary quantity of Specie.

Of the debts due from the bank the deposit account forms a considerable item, but on reference to paper marked B. it will be seen that out of the sum of one hundred and forty three thousand one hundred and ninety eight dollars and sixty and a half cents (143,198,60 1/2) the sum of thirty seven thousand and fifty eight dollars; eighty five one fourth cents (37,058,85 1/4) only is liable to be drawn by check on account of individuals, the balance of the deposits being to the credit of the Treasury and consisting of the ordinary revenue, the funds of the University the three per cent fund, and monies deposited by individuals as partial payments on notes due the bank.


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The committee have taken some pains to ascertain the situation of the debts due the bank, and from all the information they have been able to obtain they are of the opinion that the amount of debts which the bank will probably lose does not exceed four thousand dollars (4000) and the debts which we consider at all doubtful will not exceed thirteen thousand six hundred & seven dollars fifty cents (13,607.50) as will appear from the annexed statement marked C. your committee would not do justice to themselves were they not to express their satisfaction with the cautious and impartial manner in which the board of directors have discharged the trust reposed in the distribution of the funds of the institution to the several counties applying for the same all which is respectfully submitted.

T. CASEY, Chairman

JAMES JACKSON,

J. B. EARLE,

JNO. VINING, Chairman H. S.

GEORGE WEISINGER,

SAML. CRAIG.

  See the annexed report, (A B & C.)

A message from the House of Representatives by Mr. Ready.

Mr. President, the House of Representatives concur in the report of the committee of conference appointed on the disagreement of the two Houses in relation to the bill entitled, an act relative to the satisfaction of executions.

Mr. Crabb obtained leave to introduce a joint resolution specifying the time of convening in the future the General Assembly of the State of Alabama which was read, the rule requiring joint resolutions to be read on three several days being dispensed with, the resolution was read the second and third time forthwith.

Mr. McCamy moved that the resolution lie on the table 'till the 3rd Monday in November next, which was lost.-

Yeas

6,

Nays

12.

The yeas and nays being desired, those who voted in the affirmative are Messrs. Ashe, Brown, McCamy, Merriwether, Shackleford and Sullivan.

Those who voted in the negative are, Mr. President, Casey, Crabb, Earle, Evans, Hubbard, Irwin, Jones, Miller, Moore, Powell and Skinner.

Mr. Crabb moved to fill the blank in the resolution with the “first Monday in November next,” as the time for the meeting of the Legislature-

Yeas

11,

Nays

7.

The yeas and nays being desired, those who voted in the affirmative are Mr. President, Casey, Crabb, Earle, Hubbard, Irwin, Jones, Miller, Moore, Powell & Skinner.

Those who voted in the negative are Messrs. Ashe, Brown, Evans, McCamy, Merriwether, Shackleford and Sullivan.

Mr. Evans offered the following amendment. “And be it further Resolved, That the pay of the members of the General Assembly shall hereafter be two dollars per day.”

Mr. Casey moved to amend the amendment by striking out 'two dollars;' which was lost.

Mr. Shackleford moved that the resolution and amendment lie on the table till Thursday next; which was lost.

Yeas

7,

Nays

11.

The yeas and nays being desired, those who voted in the affirmative are Messrs. Ashe, Brown, Earle, Jones, McCamy, Shackleford and Sullivan.

Those who voted in the negative are, Mr. President, Casey, Crabb, Evans, Hubbard, Irwin, Merriwether, Miller, Moore, Powell and Skinner.

The question was then put on the adoption of Mr. Evan's amendment and determined in the negative-

Yeas

5,

Nays

13.

The yeas and nays being desired, those who voted in the affirmative are


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Messrs. Brown, Casey, Evans, Merriwether and Skinner.

Those who voted in the negative are, Mr. President, Ashe, Crabb, Earle, Hubbard, Irwin, Jones, McCamy, Miller, Moore, Powell, Shackleford of Sullivan.

The question was then put “Shall the resolution pass?” and determined in the negative. --

Yeas

8,

Nays

10.

The yeas and nays being desired, those who voted in the affirmative are, Mr. President, Crabb, Hubbard, Irwin, Miller ,Moore, Powell, Skinner.

Those who voted in the negative are, Messrs. Ashe, Brown, Casey, Earle, Evans, Jones, McCamy, Merriwether, Shackleford and Sullivan.

A message from the House of Representatives by Mr. Ready.

Mr. President the House of Representatives adhere to their amendment to the bill entitled, an act defining the Liability of endorsers and for other purposes. They have passed a Joint Memorial to the Congress of the United States praying that the states admitted into the Union since the last extension of the Federal Court system be admitted to a participation of its benefits, which originated in their House and in which they desire your concurrence. They concur in the amendments made by the Senate to bills entitled, an act to amend an at respecting bail in civil cases passed 9th Dec. 1823; An act to provide compensation for a person to transcribe and arrange the records of the clerks office of the county court of the county of Dallas; and, a Joint Resolution to provide for the safe keeping of the State House furniture.

Ordered, that the Senate adhere to their disagreement to the amendment made by the House of Representatives to the bill entitled an act defining the liability of endorsers, and for other purposes and that a committee of conference be appointed on the disagreement between the two Houses in relation to said amendment, whereupon Messrs. Crabb Earle and Jones were appointed the committee on the part of the Senate.

Ordered that the Secretary acquaint the House of Rep's therewith.

A bill entitled, an act to allow further time to the tax collector of Madison County to collect and pay over the taxes of that county for the years 1827, was read and the rule requiring bills to be read on three several days being dispensed with, the bill was read the second and third time and passed.

Ordered, that the Secretary acquaint the House of Rep's therewith.

A message from the House of Representatives by Mr. Ready.

Mr. President, the House of Representatives have passed a Joint Resolution to remove the injunction of secrecy imposed on the two Houses in relation to the report of the joint committee on the State Bank. In which they desire your concurrence.

The resolution mentioned in the foregoing message was read the second and third time and passed. Ordered, that the Secretary acquaint the House of Representatives therewith.

A joint memorial to the Congress of the United States praying that the States admitted into the Union since the last extension of the Federal circuit court system be admitted to a participation of its benefits, was read the first time and ordered to a second reading on Saturday next.

A bill entitled an act to provide for the payment of certain expenses therein named; and, report and joint resolution in relation to the boundary line between this State and Georgia were severally read the first time and the rule requiring bills &c. to be read on three several days being dispensed with, they were severally read the second and third time forthwith and passed. Ordered, that the Secretary acquaint the House of Representatives therewith.


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On motion of Mr. Casey, the bill entitled, an act making appropriations for the year 1828 was taken up. Mr. Casey moved to amend the bill by striking out 'eight hundred dollars' the amount appropriated to the State Architect for past services and to insert in lieu thereof “one thousand dollars,” which was carried.- The bill was then read the third time as amended and passed. Ordered, that the Secretary acquaint the House of Representatives therewith.

Mr. Casey called up the joint remonstrance on the subject of instructions lately given from the Treasury Department relative to the funds receivable for public lands. The amendment proposed to the special committee to the remonstrance was disagreed to. The question was then put, “shall the remonstrance pass?” and determined in the affirmative.- yeas 12 nays 3.

The yeas and nays being desired, those who voted in the affirmative are, messrs. Ashe, Casey, Crabb, Evans, Hubbard, Irwin, Jones, McCamy, Miller, Moore, Skinner and Sullivan.

Those who voted in the negative are, Mr. President, Brown, Earle.

Ordered that the Secretary acquaint the House of Representatives therewith.

A bill entitled an act to regulate the mode of organizing the Senate and House of Representatives as the commencement of each Session, was read and ordered to lie on the table.

Mr. Powell from the joint committee on Enrolled bills reported as correctly enrolled, an act regulating judicial proceedings; An act to authorize James Thompson and his associates to open a Turnpike road therein named; An act to change the time of holding the county courts of Jefferson, Henry and Dale counties; Joint resolution authorizing a further investment of University funds; and, An act better to regulate judicial proceedings; all of which were accordingly signed by Mr. President.

A joint resolution to authorize the erection of the State Capitol in Broad street, was read the third time and passed.

Ordered, that the Secretary acquaint the House of Representatives therewith.

A bill to be entitled, an act prescribing the mode of ascertaining the sense of the citizens of the State on the proposed amendment to the constitution of this State limiting the tenure of the Judges to seven years, was are the third time and passed.--

Yeas

12,

Nays

5.

The yeas and nays being desired, those who voted in the affirmative are, Messrs Ashe, Casey, Crabb, Evans, Hubbard, Irwin, Jones, McCamey, Miller, Moore, Skinner & Sullivan.

Those who voted in the negative are, Mr. President, Brown, Earle, Merriwether & Powell.

So the bill was passed. Ordered that the Secretary acquaint the House of Representatives therewith.

A bill to be entitled an act explanatory of the 11th and 24th sections of an act to reduce into one the several acts concerning Road Highways, Bridges and Ferries, approved 12th January 1827, was taken up, and the rule requiring bills to be read on three several days being further dispensed with, the bill was read the third time and passed.

Ordered, that the Secretary acquaint the House of Representatives therewith.

A bill to be entitled, an act for the relief of Charles Pearson tax collector of Lawrence County, was read the third time amended by way of ryder and passed.

Ordered, that the Secretary acquaint the House of Representatives therewith.

A bill to be entitled an act to amend an act providing for the erection of the State Capitol and for other purposes, was read the second time and ordered to a third reading tomorrow.

A bill entitled, an act giving further time for filing county claims, was read the second time and ordered to a third reading tomorrow.

A bill to be entitled, an act to divorce Jane Gholson from her husband John Gholson was read the third time and passed by the requisite majority.

Ordered, that the Secretary acquaint the House of Representatives therewith.

A bill entitled, an act to divorce Benjamin D. Hassell from his wife Mary Hassell was read the third time and ordered to lie on the table till Saturday next.

A bill entitled, an act to divorce Parthenia Coursey from her husband James Coursey; and, An act for the relief of Samuel Battles were severally read the second time and ordered to a third reading to-morrow.

A bill entitled, an act to divorce Thomas J. Snowden from Tabitha Snowden, was read the third time and ordered to lie on the table till to-morrow.

Mr. Brown from the committee on accounts and claims to which was referred the account of Ephraim Pharr Sheriff of Wilcox county for conveying Robert W. Andrews from the jail of Dallas county to Canton in Wilcox county in the year 1825, also the accounts of sundry persons concerned in the apprehending and trial of Elisha and Jesse Tidder re-


183

ported, that the accounts are not authenticated as required by law and are in other respects unreasonable and ought not be granted.

Mr. Evans moved to disagree to so much of the report as relates to the account of Ephraim Pharr which was carried. The remainder of the report was concurred in.

Mr. Brown from the same committee to which was referred a bill entitled, an act making appropriations for certain claims against the State, reported the same with sundry amendments- several of the amendments being concurred in-- The question was put on the concurring in the amendment made by the committee to the bill by striking out the allowance to the Sheriff of Lawrence county for conveying a prisoner from one county to another and determined in the negative.

Yeas

8.

Nays

9.

The yeas and nays being desired those who voted in the affirmative are Mr. President, Brown, Crabb, Earle, McCamey, Merriwether, Powell and Sullivan.

Those who voted in the negative are, messrs Ashe Casey Evans Hubbard Irwin Jones Miller Moore and Skinner- so the amendment was disagreed to. The remainder of the amendments proposed by the committee were concurred in, the bill was further amended and the rule requiring bills to be read on three several days being dispensed with, the bill was read the third time as amended and passed. Ordered, that the Secretary acquaint the House of Representatives therewith.

Mr. Casey called up the report of the special committee to which was referred so much of the Governor's message as relates to the failure of the Tombeckbe Bank to pay specie for its notes.

Mr. Casey then moved that the Senate concur in the report, and that the report and documents therein referred to be spread upon the Journals which was carried: - Report of the committee.

The select committee to whom was referred so much of his Excellency's the Governor's message as relates to the suspension of the Tombeckbe bank to redeem its notes with specie have had the same under consideration & beg leave to submit the following statements of facts. That in the spring of 1827 rumors were in circulation that the Tombeckbe bank was in doubtful circumstances, which occasioned the citizens generally to receive the paper with much caution. While this state of things existed, it was ascertained that the Mobile bank had come to the determination no longer to receive the Tombeckbe notes in payment of debts -- this determination on the part of the Mobile bank caused a considerable depression in the paper on the Tombeckbe bank. The President of the Tombeckbe bank, anxious it is supposed, to bolster up an institution on which so much depended and if possible to restore it to confidence wrote the following letter on or about the 21st of April 1827 to a friend, which was given to the public through the medium of the newspapers, (for a copy of which see note (A.) such intelligence coming from a gentleman of so high official standing, and who from his situation, must have been apprised of its ability to meet runs upon it, must readily be perceived had an influence in restoring it to confidence- so great was the reliance placed on his letters, that it was announced that the paper of that bank would be again taken in the Land Office in Huntsville. Your committee regret that this confidence lasted only for a short time: circumstances which occurred again began to lessen that confidence and it became necessary to write another letter, and on the 4th of May, the following letter was ad-


184

dressed to a friend and published in the papers of the day (see note B.) The confidence still reposed in the assertions of the President of the institution gave again credit to the paper, and it was received (tho' with reluctance) to the ordinary transactions of business. No one could then for a moment believe, that any gentleman would risk his reputation in the strong assertions made in his letters of the ability of the bank to redeem its paper, and that in so short a periods afterwards its doors were to be closed. In this however the public were unfortunately doomed to be disappointed. The doors were closed before the end of May or very shortly afterwards. The time when the Vaults were closed and payment for the notes denied, was peculiarly unfortunate to the citizens of this State, as it prevented many of them from availing themselves of the munificence of the General Government, in paying for their lands at the deduction allowed, which time would expire on the 4th of July following. The hard earnings, privations and toil, of very many of our citizens were laid up in this paper, to enable them to purchase their land; they rejoiced that the time was approaching when they could say that they had homes for their wives and children.    In this they were disappointed.   The paper was rejected in the land office and immediately declined from 30 to 50 per cent.  From the time of the suspension of specie payments the public daily expected the Directors would make an expose of the situation of the bank, it was however delayed until the 6th of July when the following expose was made, (see note C.) From this expose it is shewn that the sum for which the bank was liable; consisting of notes in circulation and individual deposits amounted to $549,650.24.

That the means in its power to pay the above sum, consisting of notes discounted and owing, of notes of other good banks on hand bills of exchange and specie, amounted to eight hundred and seven thousand, one hundred and eighty seven dollars and seventy five cents which after paying all its notes and deposits would leave a balance in favor of the bank of two hundred and fifty seven thousand five hundred and thirty seven  dollars and fifty one cents.

From the above statement your committee cannot perceive an excuse which can be made for the referral to redeem their notes, or for closing the vaults of the Bank.

In recurring to the reasons assigned by the Directors and comparing them with the statement of the President in his letters, it will be perceived, that the Directors state that runs were made upon this Bank, in a little more than two months, for a sum exceeding three hundred thousand dollars. These runs were of course made before the vaults were closed. In recurring to the letter of the President, of the 21st April, it will be seen that it had redeemed two hundred thousand dollars of its paper, in a few weeks previous to that date without finding it necessary to pay, out any specie, leaving only one hundred thousand dollars of the runs made after the 21st of April until payments were refused. The President also states, “The Tombeckbee Bank has at this moment a large amount of funds in both New York and New Orleans, and a larger amount of Specie than it has generally had on hand for several years,” and in addition to all this “one hundred thousand dollars becoming due from day to day in Mobile.”- It is an enquiry which will naturally be asked what disposition has been made of those funds? The statements made in the President and Cashiers correspondence (see note D) will shewn that they were called on from the 21st April until the closing of the vault for $147,034, and that they had specie, notes of other Banks, and negotiable paper on Mobile to the amount of $192,385, leaving $45,351, of these funds unexpended, which it is presumed is included in the statement made by order of the board and published on 6th July.- Your committee cannot perceive any grounds of excuse for the refusal to pay their notes, in any reasons assigned by the Directors that they had the deposits of the general government is true; but it is presumed they would not have made the arrangements to pay the United States, when they should direct, had the Bank not found it their interest so to do; and it is believed they had a standing deposit which was deemed an equivalent by the Bank for their risk and trouble. It is also said that the Bank made a loan to the state to give credit to the Treasury notes, that they did so will not be deemed, but that they did not seek their own interest in so


185

doing must be denied. A loan of four or five thousand dollars was negotiated by the Governor under a law passed by the Legislature in 1822- 3, for the purposes mentioned, two thirds of the amount loaned was left in Bank with an understanding that they should receive the Treasury notes and put them in circulation, but it is a fact not to be contradicted that they were to be returned to the Treasury in sheets uncut, the state paying interest on the loan, and the Bank having the use of the money, at the same time as will appear by the Treasurers certificate. Your committee do think proper to comment on each section of the reasons assigned, but they cannot overlook that part which promises a further statement, when the fate of certain drafts supposed to be doubtful could be obtained. This promise was made on the 6th of July last, why it has not been complied with your committee are unable to say, one thing, however, is certain; it has had the effect to keep the paper at its present depreciation. If any of the drafts were bad or doubtful your committee conceived it was due to the people, by those who had the management of the institution to make a statement so that those who hold the paper might be enabled to prevent the speculation on them. It will not, it is believed, be denied, that many persons have money deposited in different places, to purchase up the paper, whether they are apprised of the situation of the state of the Bank, your committee are unable to say. Your committee cannot conclude without expressing their astonishment at the transfer of individual notes to the government of the United States, to a large amount, thereby placing the government in a more favorable situation than other creditors; and denying to those who borrowed of the Bank the privilege of paying them in their own paper- The time when the transfer was made is also worthy of observation- It was made just before the present crop could be realized to afford means to those indebted to avail themselves of an opportunity to purchase of the paper of that Bank and take up their notes.- It is believed no other Bank has ever transferred individual notes under such circumstances. The Huntsville Bank refused to do so, when a demand was made and a suit threatened, and at no period of its history did the notes of that Bank sell at a discounts of fifty percent. ???dious as this Bank has been to the public, the people nor the General government have not sustained such a loss by it, as is likely to be sustained, by the mismanagement of the Tombeckbe Bank. Your committee regret that the time allowed them having only been appointed a day of two ago, (as the committee appointed at the commencement of the session had never taken the subject into consideration and being discharged there from) has been so short as not to enabled them to go into a more detailed examination but so far as they have been enabled to examine, the facts are respectfully submitted.

Be it therefore resolved by the Senate, that it is due to an injured community as well as to the Directory, and Stock-holders themselves to cause a statement to be made shewing the necessity of the suspension of payments for their notes, by the bank of Tombeckbe, and also of the situation of the debts and bills of exchange due to the said bank.

T. CASEY, Chairman of the select Committee.

NOTE (A.) 21st APRIL 1827.

I was surprised to find that any suspension of the Tombeckbe bank paper was entertained in any part of this State. A recurrence to facts might have prevented any suspicion. In one week in the last year the Tombeckbe bank redeemed two hundred and seven thousand dollars of its paper, and at a subsequent period in the same year it redeemed one hundred thousand dollars in one day. In a few weeks last past, it was redeemed nearly two hundred thousand dollars of its paper without finding it necessary to pay out any specie. The Tombeckbe bank has at this moment a large amount of funds in both New York and New Orleans, and a large amount of specie than it has generally had on hand for several years, and I will add a hundred thousand dollars in Mobile, becoming due from day to day- This bank scarcely ever puts out a dollar for which it cannot command a specie dollar. The facts ought at once to dissipate any unfavorable impression which may have been made in relation to the paper of the Tombeckbe bank, does not our present course result from a perfect conviction of our strength? could we have withstood the first impression if we had not a strength beyond public opinion.

NOTE (B) St. STEPHENS, MAY 4th 1827.

Y


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Dear Sir:- I understand that an unfavorable impression has been created in some of the Northern Counties of this State in relation to the Tombeckbe bank. This impression if there be such a one, is without any thing to justify it,   This bank pays specie for its notes, and has always done so. It deals exclusively in bills of Exchange and business paper, and you will readily perceive, has at all times the means of redeeming its paper. The Mobile bank wishes the Tombeckbe bank to redeem such of its notes as the former may have, as well on deposit as on its own account in Mobile. The Tombeckbe, refuses to lay itself under  any new obligation, or to redeem its notes at any other place than its Banking House in St. Stephens, according to the promise expressed upon the fact of the notes. Let me ask has not the Tombeckbe bank as much right to require the Mobile bank to redeem its notes in Mobile?

The course pursued by the Tombeckbe bank is an evidence of its strength and the results has shewn that it is entitled to the confidence of the community.

NOTE (C.)      EXPOSE.

The Tombeckbe bank having suspended specie payment, it is due to the public that the causes of that suspension should be known.

Runs were made upon this Bank in a little more than a month for an amount exceeding three hundred thousand dollars. These runs were made by inimical institutions, aided by a set of brokers who prey upon the vitals of the community.

This bank heretofore afforded a circulating medium to a large portion of the State, and enabled its citizens to pay for the lands purchased of the United States, without the aid of this bank there would have been many forfeitures, and many families would have been deprived of their home which they had improved with much toil, and upon which they had expended their last dollar. This bank has received and transferred to the bank of the United states for the benefit of the Treasury two millions four hundred and seventy seven thousand and seven hundred and sixty four dollars and forty five cents. These transfers were always made at the expense and risk of the bank- A large portion of this sum was transmitted to Georgia through a wilderness country and at an enormous expense.- This bank did not hesitate to give currency to the Treasury notes of this State, nor to make a loan for the redemption of there notes; in all this it did not seek its owns advantage only- It sought to promote the interest of the community, when it was the sole depository of the public monies in this State, it did not seek either with the public or private deposits to injure and break down other institutions. It was not its object to distress the community in order that those who by their situation had the facility of obtaining money might use it more profitably to themselves or oppressively to others, every effort was made to impair the confidence of the public in this bank, not only were runs made with every dollar of its paper, which could be obtained, but letters were sent to different parts of the State with a view to destroy the public confidence without which no bank can exist, destroy the confidence of the public in the bank of the United States and that institution would tumble into ruin. The efforts of those who wished to produce embarrassment and who desire profit from all public calamities have been successful. It is however sincerely hoped that the loss to the public will in this case be small and the evil of short duration. It is a calamity which the Board of


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Directors anxiously endeavored to divert. For the information of the community the present statement of the bank is published. Every proper exertion will be made to call in the funds of the bank, and those funds shall be faithfully applied to the payment of its debts. It is yet doubtful whether some of the drafts belonging to the bank will be paid- when the fate of those drafts shall be ascertained further information will be given to the public. State of the Bank

Bills discounted

$479,452 23

Real Estate

Owing from other Banks

  $4,279, 13

Drafts

$311,937 81

Notes of other solvent Banks

      3,417 00

Silver

      9,181 53

_________

$812, 455 39

Capitol Stock

   226,300 00

Individual Depositors

   200,676 24

Notes payable including those }

in the Land Offices }

   348,974 00

Surplus

     36,505 45

___________

$812,455 39

By order of the Board

(Signed)           JNO. B. HAZARD, Cashier.

NOTE (D.) ST. STEPHENS JULY 11th 1827.

Sir, I will be obliged to you to state from the Books of the Bank what was the amount of specie in the Tombeckbe bank at the time I investigated the affairs of the bank in April last in order to ascertain the ability of the bank to continue specie payments, the amount of the notes of other banks on hand at that time. The amount of negotiable paper belonging to the bank payable in Mobile, and the amount of payments made by the bank after that period, specifying the sum paid by checks upon New Orleans and the Norther Cities.

Be pleased to state whether the bank did or did not redeem two hundred and seven thousand dollars of its paper in one week last year, and subsequently one hundred thousand dollars; and also what kind of business the bank has transacted for considerable length of time.

You will oblige me by stating what opinion I expressed to you as to the ability of the bank to continue specie payments.

I am with great respect your ob't ser'vt.

(Signed)           WILLIAM CRAWFORD.

J. B. HAZARD, Esq. Cashier.

Tombeckbe Bank St. Stephens July 11th 1827.

Sir, I have received your letter of this date. The amount of specie on hand at the time you refer to was fifty seven thousand three hundred and fifty dollars. The amount of notes of other banks twenty seven thousand seven hundred and twenty five dollars and the amount of negotiable paper payable in Mobile one hundred and seven thousand three hundred and ten dollars.

The amount of my Drafts on Orleans since that period is fifty one thousand and sixty dollars and on the northern cities fifty five thousand nine hundred and seventy four dollars. These sums have been applied to the redemption of the notes of this bank not including upwards of for-


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ty thousand dollars of our notes which I have redeemed in Mobile, upwards of two hundred and nine thousand dollars of the notes of this institution were paid at the bank during a single week and one hundred thousand dollars at a subsequent time in one day during the last year.

The transaction of the bank for the last two years have been confined almost entirely to business paper and bills of Exchange.

I can recollect the substance of your remarks during the many conferences we had together on the subject of the affairs of the bank. The policy which you advocated was to curtail its business and to call in its notes.

I have a perfect recollection of your remarks on exhibiting to me a letter which you had written to a friend in Huntsville on the ability of the bank to continue specie payments; and you then gave it as your opinion that during the months of May and June, the bank could redeem three hundred thousand dollars of its notes, and that you did not believe calls in that amount would be made upon it and therefore considered it perfectly safe to state that the bank would be able to continue specie payments.

Respectfully yours,

JNO B. HAZARD, Cashier.

St. Stephens, July 12th 1827.

Dear sir, Enclosed you will receive a copy of a letter from me to the Cashier of the Tombeckbe bank, a copy of his answer, and a copy of the letter from me to D. Fariss & Co which I will be obliged to you to have published in the Alabama Sentinel.

I am with great respect your friend.

WM. CRAWFORD.

Col. J. B. HOGAN.

St. Stephens July 12th, 1827.

Gentlemen- Enclosed you will receive a copy of a letter from me to the Cashier of the Tombeckbe bank and his answer which together with the letter I will be obliged to you to publish in your paper. My letter to Col. Hogan published in your paper of the 18th of May from the Alabama Sentinel was written on the 21st of April in answer to one from him on the 6th of the same month and was predicated upon an examination of the state of the bank made by me a few days previously. My letter to a gentleman in Huntsville was written as well as I now recollect on the 3rd or 4th of May, on the 4th May the Tombeckbe bank had in its vaults fifty one thousand nine hundred and five dollars of specie. The amount of specie which the Tombeckbe bank had on the 21st of April, and, also on the 4th of May, exclusive of its specie funds in New Orleans and in the Northern Cities exceeded the amount with which it is understood the Branch of the United States Bank with a Capital of nearly half a million of dollars commenced business in this state.

The answer of the Cashier made from the books shews that there was in the statements heretofore published. I could have had no inducement to create an erroneous impression as to the ability of the Tombeckbe bank to continue specie payments. I had no money to put off and the bank was using every exertion to call in its notes- my only object was to give to the bank, that degree of confidence which I believe its situation warranted. If confidence had been reestablished some loss to the public and much inconvenience would have been avoided and an institution which has always acted with good faith and has been useful to the public would have been preserved.


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I am with great respect, your ob't Serv't

(Signed)           WM. CRAWFORD.

D. FARISS, & CO.

NOTE (E.) TREASURERS OFFICE, Tuscaloosa 14th Jany. 1828.

In reply to the inquiry of the select committee to which was referred that part of the Governor's message as relates to the suspension of specie payments of the Tombeckbe bank; whether most of the Treasury notes from said bank were not returned to the Treasury in sheets- I have to state that a portion of the Treasury notes have been returned into the Treasury in sheets as they were issued.

JOHN C. PERRY, State Treasurer.

And then the Senate adjourned till 7 o'clock this evening.

SEVEN O'CLOCK P. M. 14th Jan. 1828.

The Senate met. Mr. Hubbard from the committee on the judiciary to which was referred a bill entitled, an act to amend the law in relation to original attachments, reported the same without amendment, the bill was then read the third time and passed. Ordered, that the Secretary acquaint the House of Representatives therewith.

Mr. Hubbard called up the bill entitled, an act better to provide for the trial of the right of property and for other purposes the bill, was then read the third time and passed. Ordered that the Secretary acquaint the House of Representatives therewith.

A message from the House of Representatives by Mr. Tunstall their clerk.- Mr. President, the House of Representatives have passed a bill which originated in the Senate entitled, an act for the relief of Richard Corre, John Duncan jr. and Henry Center. They have passed a bill which originated in their House entitled, an act to alter the time of holding the county court of Franklin County, in  which they desire your concurrence. The bill entitled, an act to alter the time of holding the county courts of Franklin County was read and the rule requiring bills to be read on three several days being dispensed with, the bill was read the second time and ordered to lie on the table.

Mr. Casey offered the following resolution: Resolved, That a committee be appointed on the part of the Senate to act with such committee as may be appointed on the part of the House of Representatives to wait on His Excellency the Governor and inform him that the two Houses have gone through the business before them and will be ready to adjourn sine die on Tuesday the 15th instant it he has no further communications to make which was adopted, whereupon Messrs. Casey and Hubbard were appointed the committee on the part of the Senate.

Ordered, that the Secretary acquaint to House of Rep's therewith.

A message from the House of Representatives by Mr. Ready.

Mr. President the House of Representatives have passed a bill which originated in their House entitled an act to amend an act concerning the Town of Tuscumbia in which they desire your concurrence. The bill mentioned in the foregoing message was read, and the rule requiring to be read on three several days being dispensed with, the bill was read the second and third time and passed.

Ordered, that the Secretary acquaint the House of Rep's therewith.

Mr. Casey offered the following resolution: Resolved That a message be sent to the House of Representatives informing them that the Senate will be ready to adjourn sine die tomorrow at 11 o'clock A. M.  And then the Senate adjourned till half past 8 o'clock tomorrow morning.


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The following proceedings took place in the Senate on the 11th and 12th instant. The injunction of secrecy imposed upon the joint committee elected to examine and report the state and condition of the Bank of the State of Alabama being removed, the proceedings which took place in relation to the report, on Friday 11th instant were as follows:

Mr. Casey from the joint committee appointed by both Branches of the General Assembly to examine the situation and condition of the Bank of the State of Alabama having submitted a report (which will be found in the proceedings of the Senate of the 14th instant.)

Mr. Jackson offered the following resolution: Resolved, that this House have the power to correct or amend the report of any committee on being convinced that such report has been shewn by the minority to contain matter that should be corrected, which was adopted.

Mr. Jackson then moved to amend the report of the committee by striking out the words “at all.” where the report reads thus.- “The committee have taken some pains to ascertain the situation of the debts due the Bank, and from all the information they have been able to obtain they are of the opinion that the amount of debts which the bank bill probably loose does not exceed four thousand dollars and the debts which were considered “at all” doubtful will not exceed thirteen thousand six hundred and seven dollars, fifty cents as will appear from the amended statement marked C.” - which motion was carried.

The report was then concurred in as amended.

JANUARY 12th 1828.

The lobby being cleared and the doors closed. Mr. Hubbard moved to reconsider the vote of the Senate on concurring in the report of the joint committee elected to examine the State bank, which was carried.

Mr. Hubbard then moved to reconsider the vote on Mr. Jackson's motion to amend the report by striking out the words ‘at all;’ which was carried.