Letter from Governor A. B. Moore at the Executive Department in Montgomery, Alabama, to W. M. Smith, president of the Bank of Selma in Selma, Alabama.
Item
Identifier
RSG00248_f11_Q0000135301_Q0000135304
Title
Letter from Governor A. B. Moore at the Executive Department in Montgomery, Alabama, to W. M. Smith, president of the Bank of Selma in Selma, Alabama.
Rights
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Type
Text
Creator
Smith, W.M.
Date
1861 April 6
Description
The letter contains a clarification of an earlier communication regarding the sale and purchase of state bonds.
Format
letter
Place
Selma (Ala.)
Publisher
Alabama Department of Archives and History. (electronic version)
Contributor
Kendall Raines
transcription
Executive Department Montgomery, Ala. April 6th 1861
Mr W. M. Smith. Selma.
Dear Sir,
Your letter of the 4th inst has just been received - You misapprehend my ^letter of the 30 ult - I did not say that I would take any of the paper of the suspended Banks in payment for bonds either from suspended banks or others -
The law requires that the bonds shall be sold for specie or its equivalent - It is clear that the paper of the suspended banks is not equivalent to specie - I said that to you "we could probably use Commercial or Central Bank notes to a limited extent without loss" but did not say, and did not intend to say, that I would take any such notes in payment for bonds from any source whether banks or individuals - but supposed
that some cases might occur where the notes of suspend Banks might be used at per, or equiv -alent to specie - It was not my intention and is not, now to show any partiality to any one Bank over another, but to deal fairly and justly with them all - I deemed it bust just to the suspended Banks to say to you, that if any small amount of their notes could be used as equivalent to specie (which probably cannot be done) I should feel it due to them to give them this privelige - in consideration of the fact that they advanced two hundred thousand dollars ^in specie to the State under the Ordinance of the Convention to purchase provisions - The bonds which the suspended Banks are required to take is under an act of the Legislature, & upon which they can draw no interest until they resume specie payments - You see therefore, that these Banks out -side of the act legalizing the suspenson of specie payments
loaned to the State two hun dred thousand dollars in specie, & in addition to this, the Central Bank loaned to the state to pay the members of the Legislature & Convention & for other for the purpose of paying the members of the Convention and Legislature, & other appropriations one hundred thousand dollars - I only mention these facts to show you that these Banks are entitled to some credit for accommodations to the state
- Yet I have brought myself under no obligations to take their paper in payment for bonds - I have sold between two & three hundred thousand dollars worth of bonds, and no instance have I taken a dollar in suspended bank notes
I have contracted for about two hundred thousand dollars more for specie or its equivalent, & am satisfied I shall be able to disp -ose of as many bonds as it will be necessary to sell without diffi -culty - I would be happy to sell to the Selma Bank more of the bonds, & had expected to do so - but of course, if it does not
illicit the Bank to ^take them & pay such funds as the law requires, the state has no complaint to make - I wish again to impress on your mind that I did not say to you that I would take notes of the suspended ^Banks in payment of the bonds they are required to take - I will have all the bonds I design to sell ready in a few days - Should you desire to take any ^more of them let me know when you are ready
Very truly yours A. B. Moore
Letter to W. M Smith Pres Bk Selma April 6th 1861
Mr W. M. Smith. Selma.
Dear Sir,
Your letter of the 4th inst has just been received - You misapprehend my ^letter of the 30 ult - I did not say that I would take any of the paper of the suspended Banks in payment for bonds either from suspended banks or others -
The law requires that the bonds shall be sold for specie or its equivalent - It is clear that the paper of the suspended banks is not equivalent to specie - I said that to you "we could probably use Commercial or Central Bank notes to a limited extent without loss" but did not say, and did not intend to say, that I would take any such notes in payment for bonds from any source whether banks or individuals - but supposed
that some cases might occur where the notes of suspend Banks might be used at per, or equiv -alent to specie - It was not my intention and is not, now to show any partiality to any one Bank over another, but to deal fairly and justly with them all - I deemed it bust just to the suspended Banks to say to you, that if any small amount of their notes could be used as equivalent to specie (which probably cannot be done) I should feel it due to them to give them this privelige - in consideration of the fact that they advanced two hundred thousand dollars ^in specie to the State under the Ordinance of the Convention to purchase provisions - The bonds which the suspended Banks are required to take is under an act of the Legislature, & upon which they can draw no interest until they resume specie payments - You see therefore, that these Banks out -side of the act legalizing the suspenson of specie payments
loaned to the State two hun dred thousand dollars in specie, & in addition to this, the Central Bank loaned to the state to pay the members of the Legislature & Convention & for other for the purpose of paying the members of the Convention and Legislature, & other appropriations one hundred thousand dollars - I only mention these facts to show you that these Banks are entitled to some credit for accommodations to the state
- Yet I have brought myself under no obligations to take their paper in payment for bonds - I have sold between two & three hundred thousand dollars worth of bonds, and no instance have I taken a dollar in suspended bank notes
I have contracted for about two hundred thousand dollars more for specie or its equivalent, & am satisfied I shall be able to disp -ose of as many bonds as it will be necessary to sell without diffi -culty - I would be happy to sell to the Selma Bank more of the bonds, & had expected to do so - but of course, if it does not
illicit the Bank to ^take them & pay such funds as the law requires, the state has no complaint to make - I wish again to impress on your mind that I did not say to you that I would take notes of the suspended ^Banks in payment of the bonds they are required to take - I will have all the bonds I design to sell ready in a few days - Should you desire to take any ^more of them let me know when you are ready
Very truly yours A. B. Moore
Letter to W. M Smith Pres Bk Selma April 6th 1861
Subject
Moore, A. B. (Andrew Barry), 1807-1873;
Smith, Washington M.;
Bank of Selma (Selma, Ala.);
Governors--Alabama;
Alabama--Economic conditions;
Alabama--Politics and government--To 1865;
Banks and banking--Alabama;
State bonds--Alabama;
United States--History--Civil War, 1861-1865;
Selma (Ala.);
Dallas County (Ala.);
Montgomery (Ala.);
Montgomery County (Ala.);
Smith, Washington M.;
Bank of Selma (Selma, Ala.);
Governors--Alabama;
Alabama--Economic conditions;
Alabama--Politics and government--To 1865;
Banks and banking--Alabama;
State bonds--Alabama;
United States--History--Civil War, 1861-1865;
Selma (Ala.);
Dallas County (Ala.);
Montgomery (Ala.);
Montgomery County (Ala.);