A VINDICATION OF THE …
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A VINDICATION OF THE BANK OF Credit

Projected in Boston from the Aspersions OF Paul Dudley, Esqr. IN A LETTER By him directed to John Burril Esqr. Late Speaker to the House of Representa­tives for the Province of the Massachu­setts-Bay in New-England.

Printed in the Year 1714.

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A VINDICATION OF THE Bank of Credit, &c. To John Burril, Esqr.

SIR.

MR. Attorney General, by his Letter of the Twenty Second of October last past to your Self, as Speaker to the House of Representatives for this Province, having most unaccountably, with an uncommon Freedom, taken upon him to In­sult and Arraign a Considerable Company of Gentlemen Merchants, &c. (as he is pleased to stile them) Projectors of the Bank of Cre­dit, and call them to the Bar of that Honoura­ble House, Charging them with the many High Crimes and Misdemeanours following.

First, That they are openly carrying on their Bank with utmost Vigour and Expediti­on, in Contempt of an Order of Council; and indeed affirming, that the Government [Page 2] have nothing to do with them in that Affair: And that they look upon themselves very Well and sufficient to carry it on without ma­king any Application to the General Assem­bly. Vide Page 3, 4.

Secondly, That their Bank is Pandora's Box, Page 4.

Thirdly, That their Projection is just Ripe for Execution, which will more or less affect, invalidate and break in upon the Prerogative of the Crown, several Acts of Parliament, the Constitution and Laws of this Province, the Estates and Liberties of the People; and that not only for the present, but succeeding Generations. Page 4, 7, 15.

Fourthly, That their Projection is a thing Intolerable, Unreasonable and Unjust, not found­ed in Commutative Justice, and Common Honesty; and must unavoidably prove a great Snare and Mischief to People that want Money to pay their Debts, or otherwise for whose ease and advantage the Bank is Projected. Page 16, 17, 18.

Fifthly, That the Business of the Projectors is in one day to be Masters of One Hundred and Fifty Thousand Pounds, without any Risque, or any other Charge o [...] Trouble, than the Writing and Signing a few pieces of Paper, to Accept Six Thousand Pounds Interest per Annum; whereby they would immediately have the profits of other Mens Estates, and [Page 3] finally the Estates themselves, without a valu­able Consideration. Page 17, 18.

Sixthly, That their Projection will be in ef­fect the setting up an Absolute, Independent Government, which like a Fire in the Bowels, will Burn up and Consume the whole Body. Page 14.

These Articles being Intermixed and Cloath­ed with so many Invective Sarcasms, Oppro­brious Language and Undue Reflections, the Gentlemen Concerned hold themselves Obli­ged in Justice to themselves, and the Truth, and in Honour to your self; that you and every one else may be Undeceived, and that the whole Matter may be set in its true light, do Affirm and Declare,

That two or three Gentlemen in the Town of Boston, discoursing of the Difficulties that Trade laboured under, for want of a Medium of Exchange, the Silver being sent Home for England, and the Bills of Credit on the seve­ral Provinces daily Called in by the Funds on which they were Emitted; thought it proper to consult some other Friends, and to Meet together, and Consider of a suitable Remedy for the present and growing Inconveniencies and Difficulties. At which time some were desired to Commit their thoughts to Writing, in order to be considered of at a Second Meet­ing, which was accordingly done; And after several Meetings, agreed on a Land Security, [Page 4] as a Fund for Bills and Notes to be Circulated; and Minutes then drawn up, for the Regulating and Carrying on that Affair, but all with an intire dependance upon on the Government for their Favour and Countenance in promoting it, and furnishing them with all such necessary Powers as might enable them to carry it on with safety to them­selves, and the Possessors of their Bills or Notes. And therefore immediately they de­sired some of the Gentlemen to wait upon His Excellency the Governour for his Advice, Favour, Countenance and Direction in their Projection; who accordingly the very next Morning before they had taken a fair Copy of their Minutes, waited on His Excellency; so careful were they of paying all due Respects to Government, who were well Received by him, and Encouraged to proceed. And at the same time their Scheme being first laid before his Excellency; his thoughts were desired, whether it was practicable for the Publick to come into a Fund themselves, to which he was pleased to Answer, No, by no means; The Country is greatly Indebted already, and if such a thing were proposed, any Landed Man might come into the General Court, and enter his Protest against it; Neither would it be safe for that a Governours Fingers could not be kept out of it. And there then being fur­ther discourse about the power of the Govern­ment [Page 5] to Lend at Interest on the Publick Cre­dit; He Replied, That what the Govern­ment could not do wisely, equitably and safely they could not do; and that the Me­thod that they had Projected for Relief in that Affair, he well approved of; withal ad­ding, that he would be the first Person that would take out Three Hundred Pounds of their Bills to promote their Credit, and en­couraged them to proceed to take Subscrip­tions, in order to lay it before the General Assembly for their Allowance; and that he would do all that lay in his power to pro­mote it; assuring them that he would Write Home in their favour, by setting forth the Necessity of such a Projection: And direct­ed them to wait upon Mr. Secretary Ad­dington for his Advice, which they did, who was of Opinion that the Government would not Raise Money or Bills to Let out upon Loan. They then, and at sundry other times consulted him about their Scheme, committed it to him to peruse, correct, al­ter, amend and frame as he should think fit, which he accordingly did. Whereas if the Projectors had been discouraged in their so early Attempts, it might have prevented a­ny further proceedings: And the said Scheme was laid before the General Court at their Sessions in February last past, together with a Petition, Subscribed by most of the Underta­kers [Page 6] of that Affair, for the granting them such necessary Powers, as they should think meet to carry on the same.

Sir,

The foregoing being Matter of Fact, and the exact steps taken by the Gentlemen con­cerned in the Projection of the Bank. It cannot be so much as imagined, that the Au­thor of the Letter, his Post and near Relation to the Governour Considered, should be igno­rant thereof. However it fully proves that part of his Letter respecting their Slight, Neg­lect and Contempt of the Authority and Govern­ment to be a designed Misrepresentation, and therefore Abusive of the Gentlemen concern­ed; some of whom on several accounts are Superiour to him.

Now Sir, If you will please to Consider his Argument, whereby he would seem and pre­tend to prove his Charge of Contempt, &c. you will find it as Unfair and [...] his Charge, which is that which you must [...] have seen ‘in the Publick News-Paper, or an Order of the Governour and Council passed upon the Occasion of the Projection of the Bank of Credit; whereby the Projectors were directed to proceed no further to that Affair, until the next Session of the General Assembly; that so the whole Government might be of Advice in a Matter of that Weight and Consequence. Notwithstanding [Page 7] all which, I am loth to say, in Contempt of it, the persons concerned are openly carrying on their Bank with utmost Vigour and Ex­pedition, and supposing, and indeed affirming that the Government have nothing to do with them in that Affair.’

Is not this a bold and wilful Misrepresenta­tion of the Matter? Whenas the Order of Council, which the Government Ordered to be Printed in the Weekly News-Letter, is in the Words following.

At a Council Held at the Council-Chamber in Boston, upon Fryday the Twentieth of August, 1714.

Upon Reading a Memorial, Presented by the Queens Attorney General, setting forth that upon good Information, a certain Number of Gen­tlemen, and Merchants are Projecting a Bank of Credit as they call it, designing speedily to Make and Emit a quantity of Bills to a great Value; which is a Matter of Importance, and will neces­sarily be of General Influence.

Ordered, That the Projectors or Undertakers of any such Bank do not proceed to Print the said Scheme, or put the same on Publick Re­cord, Make or Emit any of their Notes or Bills, until they have laid their Proposals before the General Assembly of this Her Majesties Province; who are always ready to Countenance [Page 8] and Encourage any Proposals that may be of be­nefit and advantage for the Publick; or for the promoting and encouraging of Trade amongst Her Majesties Good Subjects of this Province; And that this Order be Printed in the Weekly News-Letter. Isaac Addington, Secr.

Now by what Words in this Order can Mr. Attorney support his Argument, to prove the Projectors Contempt and Insinuated Disobedience, which as it did not forbid their proceeding a­ny further in that Affair, but rather encourage and direct them to compleat their Subscripti­ons, and perfect their Scheme, so as it might be fit to lay before the General Assembly; so was it punctually complied with, in that the Projectors neither Printed their Scheme, or put the same upon Publick Record, Made, or Emitted any of their Notes or Bills; but Re­considered and New-Modelled their Scheme, and took many more Subscriptions, and so far perfected it, as to lay it before the General Assembly, which they did at their last October Sessions; hoping for their Countenance and Authority, for that because a certain number of the Gentlemen concerned were appointed to attend his Excellency with the present Scheme, which they carried to him on the Morning of the Day they presented another of the same to the House of Representatives, who then freely declared, that he would fa­vour [Page 9] the Design, if the House of Representa­tives and Council would come into it, and that the Publicks Raising of Bills to Let out, to him had its dark sides; for that if any Per­son should borrow of the Publick Bills, and Mortgage his Estate for payment, and fail of making payment, whereby the Estate so Mort­gaged should become forfeit, the Estate so forfeited would belong to the Crown; and if he were their Governour, he should think himself obliged to lay his Hands upon it, till the Kings Pleasure could be had, who would have the intire disposition thereof.

And now after so fair a Gloss and false Comment upon the Order of the Governour and Council, and the Actions of the Project­ors in Conformity thereto in the very begin­ning of the Letter; what can be expected but the like Arguments throughout. And indeed here you may see Ex Ungue Leonem. Is not this too much like prevaricating talk in a bad Cause. Wherefore it is now to be Noted, that notwithstanding the Gentlemen concern­ed, had made several Alterations in their Pro­jection▪ obliging every one that Subscribed thereto, to give good real Security, to the full value of their several Subscriptions, to Lie as a Fund or Security, to answer all the Notes or Bills Issued from the Bank; and to make good all Deficiencies, whereby the Possessors or Borrowers of the Bills or Notes were in no [Page 10] danger of being wronged, with some other Amendments: The want of which Security in the first Projection, is one of the most popu­lar Arguments Mr. Attorney hath made use of to cry down the same. Now he being well Informed of these Alterations before he Pub­lished; Nay, before he delivered and sent his Letter to you, whereby he certainly knew his short Abstract of the Projection, and his Form of the Bills, with his Addition of an Eschutch­eon, and consequently all the fine Structure he builds thereon, to be but upon a sandy Foun­dation; tho' he would have the Honourable House of Representatives believe it.

And then he does in effect tell you, that the Projectors of the Bank have of their own heads formed themselves into a Company, by a Constitution of their own making, and Erect­ing of themselves into a Body Politick and Cor­porate to all Intents and Purposes in the Law; and then calls in the Prerogative and the Ho­nour of the Government to his Aid and As­sistance. It's true, they have by a Constitution of their own making, formed themselves into a Company and Co-partnership, and that they take for granted they well might do without the least affront to the Crown, or this Govern­ment, or else had never attempted it; for what's more common and usual then for Mer­chants and others to enter into Partnership, make their Rules, and oblige themselves to [Page 11] the due observation of them. And does this make them a Body Politick, and Corporate to all intents and purposes in the Law, or en­croach upon the Prerogative, or dishonour this Government? What is it then the Projectors have done, that makes them such a Body Politick as Mr. Attorney pretends they are. Certainly no man but one in Eutopia could make such an Interpretation of their Articles as he has done. The Projectors, as he right­ly observes, do not pretend to Incorporate, or make themselves a Body Politick; neither does his partial description of a Corporation, which he says is my Lord Cooks, with all the &crs. he has put into it prove they have.

We agree with him, that all Bodies Politick are derived from the King as their Original Fountain; but it does not thence follow, that all Banks of Credit and Companies are, for that there have been such as never were Incorpora­ted: And does not the Sword Blade Compa­ny in London, continue even unto this day, to Emit their Notes to a very great Value by Trustees, and not Incorporated as a Bank of Credit; so that their Emitting Notes or Bills is not in England accounted a thing intolerable, Unreasonable and Unjust, and absolutely incon­sistent with the Honour, the Power and Wis­dom of that Government, nor to suffer a Num­ber of their own People to set up an Absolute Independent Government, which like a Fire in [Page 12] their Bowels, would burn up & consume their whole Body. But Mr. Attorney it seems is wiser, & sees further into the Matter, than the Government of England doth. And then a­gain to prove the Erecting this Bank a Breach of Law, he brings in an Act of Parliament, made in the Sixth Year of the Reign of Queen ANNE, to wit, that during the Continuance of the Bank of England, it shall not be lawful for a­ny Body Politick or Corporate, other than the said Company of the Bank, or for other Partners exceed­ing six in England to Borrow or Owe any Sum on Bill or Note, payable on demand, or at any time less than six Months from the Borrowing thereof. Now it is to be observed, that this Law does not make any Number of Partners to be a Bo­dy Politick or Corporate, for their being in Partnership; Neither doth it forbid any six, or any other Number of Partners to Borrow or Owe any Sum on Bill or Note, payable at any time longer than six Months from the Borrow­ing. Most certainly that Law was made in favour of the Bank of England; So that even in England it self before that Act had its force, it was lawful there for any Body Politick or Corporate, or Partners to Borrow or Owe any Sum on Bill or Note, &c. And therefore will be Lawful again at the determination of that Bank. Then why may it not lawfully be done here, since that Act no ways affects this Province; For can Mr. Attorney ima­gine [Page 13] that setting up a Bank of Credit in New-England, would in the least measure, prejudice the Bank of England: However, tho' he says he will not trouble himself to Argue how far this Projection would be a Breach upon the Bank of England; yet tells you, page 12. That certainly if the same Fact committed in England, by a Number exceeding six would be a Breach of Law; much more may we suppose it forbidden and made Unlawful for an hundred to do it here. Certainly, this is a fine and accurate Mode of Reasoning and Pungent Argument.

Because our Law forbids us Building of Wooden Houses in Boston, therefore we must not Erect one in Lynn, or the Province of Main.

As to what he says of the Projection not being founded in Commutative Justice and Com­mon Honesty, and that he can't see the Reaso­nableness and Justice of it, betwixt the Sub­scribers and Borrowers; and therefore must unavoidably prove a great Snare and Mischief to those that want Money, &c. To make a shew of the Proof thereof, he Argues from his own false Abstract of the Projection, so that he disputing Ex non Concessis; all he draws from thence, together with his Hypothesis, grounded thereon, must needs fall of it self, & come to nothing. And it is plain, his design was only to amuse the People, but more particularly the House of Representatives: Now since the [Page 14] Projection obliges every Subscriber to Mort­gage a Real Estate, of the full value of what he Subscribes for, to make a sufficient Fund for the Credit of their Notes and Bills; as likewise to Answer all Deficiencies arising by any defect or default of the Projectors in the aforesaid Scheme; Whereby the Borrowers or Possessors of the Notes or Bills are sure to have Justice done them; and all concern­ed with them, in case the Bank should come to an end, even then will the last Posses­sors of their Bills or Notes have good Secu­rity to depend on: Notwithstanding all the Objector hath said, or possibly can say: They still having their Credit and Value from the Intrinsick Value of the Bank, and not from what his Bubbled Borrowers give them, as he groundlesly asserts. He must needs suppose the House to be asleep, and so to need awa­kening, as page 5. when he asserts, page 19. that by the Tenour of the Bills you see, they are only obliged to Accept of them for the Redemption of Pawns and Mortgages: When in his Reciting the Tenour of the Bill, page 7. He owns that we oblige our selves to Accept the same in ALL PAYMENTS according to Covenant made by us on Publick Record, &c. Which how directly he Contradicts himself, & endeavours to Mislead the House, we leave you and the World to judge: Nor would the Projectors have the Profits of other Mens E­states, [Page 15] much less the Estates themselves with­out a valuable Consideration, nor make them­selves Masters of any Estates but their own, which they willingly Deposit and Mortgage for a General Benefit for the Loan and Credit whereof it's as lawful for them to take Interest, as it is for Mr. Attorney for his Bills of Credit on the Province. The Bank Bills having a bet­ter and more certain Security than the Publick Loan Bills, and more easily obtained, in Case that late Act should be Repealed: And for that Reason his Argument against the Private Bank is of far greater strength and force a­gainst the Publick Bank.

Mr. Attorney is pleased often to put you in mind, that this Prejection breaks in upon, and Invalidates the Constitution of this Province, page 4. 15. The Act of Parliament of late made Referring to Money in the Plantations, designing thereby to awaken the Government upon this great occasion, to Exert their proper Power, and not suffer the Projection to proceed, but by some proper Act, and Publick Order, to declare against, and forbid it, lest thereby the Constitution of the Government of the Province be broke in upon, and endangered: Because we are a Dependent Government, and must in all things Conform our selves to the Laws of Great Britain, and Instructions of the Crown, and therefore must expect to give an Account of all our Matters.

Now if the suffering of this Private Bank to be [Page 16] Erected, is such an Encroachment upon the Prerogative, and a breach of the Law of Eng­land, as to endanger the loss of our Charter, & the Liberties and Estates of the People, which to prevent, Mr. Attorney tells you, was the very Consideration that principally deter­mined him at that time so freely to Commu­nicate his Thoughts to your self in that Mat­ter; with the several other fine flourishes and plausible Insinuations, whereby he would in­duce you to believe that in all this Affair that he hath sincerely aimed at the Publick Good, and effectually to prevent any Attempts that might be made against our Liberties and Privi­ledges, which no doubt he is intirely fond of, & always was vigilant & industrious to maintain and defend. If he has sincerely given you his Opinion respecting the Private Bank, and the direful effects of it, with what sort of sincerity did he when he says he had the Honour to be of an Extraordinary Committee Raised for that purpose, give it as his Opinion, that considering the demand as to the Taxes, & the great occa­sion of the People, as to their Trade, it might be convenient to Make and Issue out a further quantity of the Publick Bills of Credit: And now in his Letter spend so much time, and take such pains, and argue to persuade the General Court to set up a Bank of Credit themselves, Emit their Bills, and take Interest for the same. Is it not as possible for the Government to Erect, [Page 17] Set up and Establish things contrary to the Law, as for a Number of Private Persons; and does not the Law of England which he saith would be broke in upon, by Erecting a Private Bank, much more respect a Corporation than Private Persons; and which he himself readily grants it doth. Is not this then one effectual way to endanger the Constitution of the Go­vernment, the utter Ruin & Loss of the Charter, & the many Liberties we hold & enjoy thereby. For if a Number of private Persons break in upon the Law of England, they may be several­ly punished therefor; But if a Corporation or Government like Ours, Set up and Enact things contrary to the Law of England, doubt­less the way to punish them would be by Loss of their Charter and Priviledges granted there­by. So that upon the whole Matter, whether his Letter was not rather to Lull you asleep if possibly he could, that then he might bring you into the Practice of such things, which hereafter you, and all of us might have suffi­cient Reason to lament and be grieved for, but when too late; than in the least measure to awaken the Government that they might be upon their Guard against any Attempts to un­dermine them. Because having lately seen a Book Printed in London, Anno 1708. Intituled, The Deplorable State of New-England, &c. In which is a Letter in the Words following.

[Page 18]
Dear Kinsman,

I Confess I am ashamed almost to think I should be at Home so long, and not let you know of it till now; Tho' after all, a New-England Correspondence is scarce worth your having— I Refer you to Mr.—for an Account of every thing, especially about the Government and the Col­ledge, both which are discoursed of here in Chimney Corners and Private Meetings as confidently as can be. If there should be any occasion you must be sure to stir your self and Friends, and shew your Af­fection and Respect to my Father, who loves you well, and bid me tell you so.—This Country will never be worth Living in for Lawyers and Gentlemen, till the Charter is taken away. My Father and I some­times talk of the Queens establishing a Court of Chancery in this Country. I have Wrote about it to Mr. Blathwayt: If the Matter should succeed, you might get some place worth your Return, of which I should be very glad. If I can any ways serve you or your Friends, Pray signifie it to

Dear Sir,
Your Affectionate Friend, and Humble Servant, Paul Dudley.

[Page 19]Surely such a particular Favour done this Country, loudly calls upon every good Inhabi­tant within the same, to be always paying his proper thanks: And may it not very justly raise some doubts of his sincerity in seeking the true Interest of this Country; or at least whe­ther he doth not vastly differ in his Opinion from the most and best of Men among us, con­cerning what are our good and valuable Liber­ties and Priviledges.

Sir, We take no Pleasure in Rehearsing these things to you, but were necessitated thus to do, lest by the aforesaid Letter in which he asserts, page 21. that as yet they have not Consulted the Government in the whole Affair; We might be thought to be in any wise endeavour­ing to break in upon the Constitution of this Government, and consequently the Priviledges and Liberties we enjoy by the Charter, which we highly esteem of, and shall never be want­ing to do what in us lies for the long and well securing thereof.

A very considerable part of his Letter being on the praise of Money, Silver and Gold, and his Contrivance to store the Country with it, Regulating the Trade of the Country, and the Extravagance of the Inhabitants far beyond their Circnmstances in their Purchases, Build­ings, Expences, Apparrel, &c. being not to the present purpose, we shall not trouble you with an Answer thereto.

[Page 20]We doubt not but upon your Reading this our just Defence, you will be sufficiently ena­bled to make proper Thoughts upon the whole design of that Gentleman, as well as our Pro­jection; which seeing it hath laboured under so many needless Aspersions, shall take this oc­casion to Print the same; that every one that pleases may have the Perusal and Examination thereof: whereby they will perceive his Letter to be Pandora's Box, and not the INNO­CENT PROJECTION.

We are, Sir, Your very Humble Servants,
At the Desire, & in behalf of the Partnership.
  • Samuel Lynde, To the Contents, except the Let­ter taken out of a Book.
  • E. Lyde
  • John Colman
  • Elisha Cooke, jun.
  • J. Oulton
  • Timothy Thornton
  • Oliver Noyes
  • William Pain
  • Nath. Oliver.
A PROJECTION For Ere …
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A PROJECTION For Erecting a BANK OF CREDIT In Boston, New-England.

Founded on LAND Security.

Printed in the Year 1714.

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A PROJECTION For Erecting a Bank of Credit.

To all to whom these Presents shall come, We whose Names are hereunto Subscrib'd, and Seals affix'd, send Greeting.

WHEREAS there is a sensible decay of Trade within His Majesties Plantations in New-England, for want of a Medium of Exchange, where­with to carry on the same; the Running Cash being Exported, and considerable Sums of the Bills of Credit put forth by the Government, which had their [Page 6] Circulation and supported the Trade being already drawn in, and the remaining lessening Yearly, by the payment of the Taxes, and other Publick Dues; so that without a Medium, the Trade must necessa­rily decay, to the unspeakable detriment of the Landed Interest as well as the Trading Party; and there being no other Expedient in our view for the Reviving and Encouraging of Trade, and facili­tating Returns for Goods and Merchandizes Im­ported from Great Britain, but by Establishing a Fund or Bank of Credit upon Land Security, which may give the Bills Issued there-from a General Currency amongst us.

We therefore the Subscribers, Parties to these Presents, for the more effectual Erecting and sure Establishing of such a Fund or Bank of Credit, do Mutually Covenant, Consent and Agree as follows:

1. THAT the Subscriptions shall be ta­ken to a Value not exceeding Three Hundred Thousand Pounds, and that every Subscriber shall Settle and Make Over a Re­al Estate, to the value of his Respective Sub­scription, to the Trustees of the Partnership or Bank, to be and remain as a Fund or Security for such Bills as shall be Emitted therefrom; which Emission shall not exceed the Subscription, and will make good all de­ficiencies that shall arise from any Neglect, [Page 7] Default or Mismanagement of any of the Officers or Members of this Partnership or Bank.

2. That no Person shall Subscribe above Four Thousand Pounds, nor under Two Hun­dred and Fifty Pounds; and each Subscriber shall take out and keep for two years at least, one quarter part of his Subscription, and not exceed one half part by virtue of his first Mortgage, paying Interest there-for, according to the Rules of this Partnership.

3. That we will from time to time, and at all times for ever hereafter give Credit to the Bills Emitted from this Fund or Bank, equal to what is given to the Bills of Credit on the Province of the Massachusetts-Bay, and to accept the said Bills in all Pay­ments (Specialties and Obligations for any other Specie excepted) upon Forfeiture of Fifty Pounds for each refusal, until the Refuser has forfeited his whole Security and Profits; and every such Person having so forfeited, shall no longer be accounted a Member of this Partnership, but be deemed ipso facto dismist, and lose his Interest therein.

4. That it shall be free for any Person or Persons not being of this Partnership or Bank, to borrow Bills, or have Credit out of said [Page 8] Bank, giving Security according to the Rules hereof, and on payment of the Principal and Interest, their Mortgage or Deposuit, shall be released and discharged.

5. That in all Matters to be Transacted and Voted in the General Meeting of the Subscri­bers of this Partnership or Bank; every such Person who hath Subscribed Two Hundred and Fifty Pounds, shall have one Vote, Five Hundred Pounds two Votes, Seven Hundred and Fifty Pounds three Votes, One Thousand Pounds four Votes, Twelve Hundred and Fifty Pounds five Votes; and no person shall have above five Votes, how great soever his Subscription to, or Interest in this Bank is, or shall be.

6. That the Interest to be paid on all Bills Issued out, whether on Persons Mortgages or Deposuits, shall not exceed Five Pounds per Cent per Annum.

7. That there shall be at no time Emitted from this Partnership or Bank, any Bills of Credit, but upon good Security, to the accep­tance of the Directors for the time being, at the Rates and Values following,

On Rateable Estates two Thirds of the Va­lue.

On Wooden Houses without Farms, not exceeding the Value of the Lands belonging to them.

[Page 9]On Brick Houses not exceeding the Value of the Land belonging to them, and half the value of the Lands according to their different Circumstances.

On Gold not exceeding Five Pounds Ten Shil­lings per Ounce.

On Silver not exceeding Six Shillings and Eight Pence per Ounce.

On Iron and other unperishable Commodi­ties, as a Pledge for one half, or two thirds, according to the Market.

8. And whereas for the Security of this Part­nership or Bank, it is agreed, that there shall be Chosen seven persons in trust of good Inte­rest, known Integrity and Reputation, and that to them or any five of them, and such other persons as shall from time to time be Chosen and Appointed by the major part of the Votes of the Members of this Partnership then pre­sent to Use and Exercise the aforesaid Trust: All Estates to be settled, shall be Conveyed for the ends aforesaid, and that the Trustees for the time being, shall have full power by Order in Writing, under the Hands of the major part of the Directors, to Commence any Suit at Law against any of the Mortgagers, and make what Releases and Assignment shall be thought necessary, for the Use of this Partner­ship; and that the Trustees for the time be­ing, shall be Obliged to Sign and Execute a ge­neral [Page 10] Instrument, Binding and Obliging Them­selves, their Heirs and Executors unto the Di­rectors for the time being, not to do any thing by way of Release or Assignment; or Com­mence any Suit at Law against any of the Mortgagers, but by Order in Writing, under the Hands of the Directors, and to the Use of this Partnership: The said Trustees disclaim­ing all Right and Property in any Mortgage or Conveyance to them by virtue of their Tru­steeship.

FURTHERMORE, That the said Trustees do from time to time attend and perform all such Orders relating to this Affair, as shall be given in Writing at any time by the Directors, or the major part of them; and that it shall be in the power of this Partnership, by the major Votes present in a General Meeting, to Remove the said Trustees if they shall see cause, and to choose and place in their stead others. And that A. and B. Esqrs. C. D. E. F. and G. Mer­chants, all of Boston, in the County of Suffolk, in the Province of the Massachusetts-Bay in New-England, be the first Trustees of this Partnership or Bank of Credit; and that to them, or any five of them, and the Trustees for the time being, all the Estates to be settled shall be Conveyed in Trust; which Trustees shall [Page 11] continue in their Stations until their respective Death, Removal or Resignment.

FURTHERMORE, We do Covenant and Agree, that the said Trustees shall be Indemp­nified at all times by this Partnership or Bank from all Charges and Damages which they shall sustain, or be put to by reason of their Trust, or the due Execution thereof; & none of them shall be chargeable for the acts or de­faults of any other but his faults only. And for their Encouragement and Reward, they shall have Annually paid to them out of the Profits, Thirty Pounds each, which Sum may be augmented at the Annual Meeting, if it be found insufficient.

9. That there shall be a General Meeting of the Subscribers in some convenient place in the Town of Boston aforesaid, on the first Tuesday in June Annually, where, by the major part of the Votes present, there shall be Elected to Serve for one year next Ensuing, until others be Chosen in their room; Officers for mana­ging the Affair of this Partnership or Bank, on such Salaries for their Service, as are, or shall afterwards be agreed on. That is to say,

Seven Directors, who shall from time to time Choose one of their Number to preside; Four of which Number shall have power to act; & in case of equal Votes, the President to have the Casting.

That these seven Directors shall be Impow­red [Page 12] to call General Meetings of the Subscri­bers on all important Occasions, and shall be proper judges of all Securities to be taken into this Bank, and have power to appoint persons to apprize and report the value of all Estates to be taken as Securities, to give Directions to the Trustees for Releases upon payment of Mortgages, under such Regulations as are or shall hereafter be made for the good govern­ment thereof; none to be capable of this Of­fice, but such as shall Subscribe Five Hundred Pounds in this Bank.

One Treasurer, who by Order, and under the Hands of the Directors, or the major part of them shall be impowred to pass out Bank Bills, and shall inspect and regulate the Books and Accompts of this Partnership, and shall have the direction of the Clerks in order there­to; which Treasurer shall find Security to be bound with him in the Sum of Ten Thousand Pounds.

One Head Clerk, and one Under Clerk or more if need be; each of whom shall give to the Trustees of this Partnership, One Thousand Pounds Security or more if it shall be hereafter thought needful, and shall be Obliged to keep two setts of Books for the Affairs of this Part­nership, and give their daily attendance at such stated hours as shall be appointed, and observe such Orders as they shall receive from the Di­rectors or Treasurer: And in case of the Death [Page 13] of any of the Clerks, or removal by the Di­rectors for mismanagement, it shall be in the power of the Directors to appoint others to Serve in their stead, until the next Annual Meeting, taking Security as aforesaid.

10. That for the maintaining of the Credit of this Partnership, and preventing Frauds, We oblige our selves, that the Books be al­ways free to the inspection of the Subscribers and Owners, and that they be posted up every day if possible; Cast up and Ballanced once a year, to be offered to the Annual Meeting on the First Tuesday in June; That there be a perfect Register or Entry made of all Mortga­ges and Pawns made to this Partnership, of all Assignments and Releases.

11. For the further ease of this Partnership, and for preventing of Frauds, we hereby agree, that any person interested in the same, who doth not see reason to take out Bills, he shall have Credit in the Books, and liberty to trans­fer all or any part of his Credit to any per­son not under Ten Pounds at an Entry, the Per­son transfering to return his Note if any gi­ven, & a new Note given to the person trans­fered to, under the Hand of the Treasurer, and that the Treasurer at the request of any Owners of Notes so Emitted, shall exchange the same for Bills, discharging the Accompt of Notes, and charging the Accompt of Bills; and that there shall be a Committee of six ap­pointed [Page 14] to prepare, sign, indent & perfect such a Number of Bills as shall be agreed on by this Partnership, to be put into the hands of the Treasurer, and issued out by Order of the Di­rectors according to the Rules of this Partner­ship, which Committee shall continue, until the Partnership shall see reason to alter them, and four of them to sign every Bill.

12. That in Case any person or persons shall refuse to pay their Interest for two months af­ter it becomes due, he shall pay after the rate of six per Cent per Annum from the time it be­comes due, until he make payment; and if any person Indebted to this Partnership be desirous to lessen his Debt, he shall be allow'd to pay in any even Sum, not under Twenty Five Pounds; but if any person shall redeem his Mortgage or Deposuit, or lessen his Debt, in less than three Months time after the making thereof, he shall yet pay three Months Interest for the same; and in case he can't pay in Bank Bills, he may pay in Province Bills, or Current Silver Mony.

13. If any person shall not redeem his Pawn deposited, the continuance whereof shall be hazardous, or not pay his Interest for the same at the time agreed on, it shall be lawful for the Directors of this Partnership, upon three months notice given, to Dispose and make Sale of such Pledge, at the best Rates they can, rendring the Overplus, if any be, to the Depo­sitor; or if any Security given, appear to be [Page 15] doubtful in the Judgment of the Directors; it shall be lawful for them to demand a renewal or augmentation of such or other Security, to provide for the safety of this Partnership.

14. When the Bills Emitted shall be much worn, to avoid pasting or covering of them, the Possessors may have them exchang'd, and the old Bills so return'd after they have been Exa­min'd, and an Accompt taken of them, shall be Burnt by a Committee appointed for that purpose, whose Attestation in Writing that they have been Consum'd into Ashes, shall be the Treasurers discharge for the same.

15. That the neet profits arising from this Partnership, shall be, and belong to the Sub­scribers and Owners of the same, their Heirs and Assigns, in proportion to ther respective Subscriptions, except what is herein otherwise dispos'd of, and shall be under such Regulati­ons as shall best answer the design in giving a Credit to this Bank, but out of the profics of two first years, the Directors shall have pow­er to purchase or build suitable Convenien­cies for the Affairs of this Bank before any Dividend shall be made; such a purchase be­ing first made, the neet Proceeds shall be di­vided amongst the Subscribers, at the expi­ration of two years; but afterward the neet Proceed shall be divided at every years Meet­ing in June.

16. That when and so often as by the [Page 16] Decease or Alienation of any Estate by any Member of this Partnership Mortgaged to the Trustees for the Uses aforesaid, shall happen to be invested in any other Person or Persons; That such Person or Persons to whom such E­state shall descend or be conveyed, shall within three Months next after, give notice to the Directors for the time being, at the Office of this Bank, that so Entry of the same be made, for the better direction of whom, to demand the Principal and Interest of said Estate; and such person or persons shall be obliged to ob­serve the Rules, Covenants and Agreements of this Partnership, and shall be esteem'd a Part­ner.

17. That the Bills shall be of several De­nominations as shall be agreed on, and of the tenour following, but alterable, at the discre­tion of this Partnership; the Motto to be, Crescit Eundo.

THIS INDENTED BILL OF CREDIT, Obliges Us, and every of Us, and all, and every of our Partners of the Bank of Credit of Boston in New-England, to accept the same in Lieu of Twenty Shillings, in all Payments, accord­ing to our Articles of Agreement; and that it shall be so accepted by our Receiver or Trea­surer, for the Redemption of any Pawn or Mortgage in the said Bank.

Boston, November First, One Thousand Seven Hundred and Fourteen.

[Page 17]18. That every Subscriber, who shall Con­vey his Estate to the Trustees, shall enjoy the same, the Rents and Profits thereof, un­til by his default in not paying his Interest, his Mortgage be sued out; and that every Subscriber, who shall settle his Estate on the Trustees, may withdraw the same, upon settling another Estate of like Value in its room, to the satisfaction of the Directors; and such new Estate so settled, shall be En­tituled to the Profits, subject to the Charges and Losses of this Bank, as the former E­state so withdrawn was.

19. And for a further benefit to the Pub­lick, when there shall be Emitted and Con­tinued at Interest One Hundred and Fifty Thousand Pounds, We give out of the Neet Profits of this Partnership, the Sums follow­ing, Viz.

Four Hundred Pounds per Annum to the Use of an Hospital or Charity School, for the Support and Education of the poor Children in the Town of Boston, at the discretion of such Persons as shall be Chosen Overseers of such Schools and Hospitals when Erected: Provided the Inhabitants and Freeholders of the Town of Boston, do, at or before their General Meeting in March, One Thousand Seven Hundred [Page 18] and Fifteen, order the Treasurer to accept the sid Bank Bills in payment of Town Taxes and Assessments.

Two Hundred Pounds per Annum to be paid to the Treasurer of Harvard Colledge in Cambridge, for the Uses following, Viz.

Twenty Pounds per Annum for a Mathe­matical Professor Residing there, provided he Read a Publick Lecture once a Month on that Subject.

Forty Pounds per Annum for the Encou­ragement of three Graduates Residing there, un­til they take their Masters Degree, to be e­qually divided amongst them; the said Gradu­ates to refund and pay back so far as they have received, if they depart the Colledge be­fore that time.

One Hundred Pounds per Annum for the Support of six Ministers Sons, to be equally divided amongst them; and in Case there be not six Ministers Sons, then the remainder to be given to any other who may stand in most need thereof; the whole Two Hundred Pounds to be at the dispose of the Corporation.

Forty Pounds per Annum to a Professor of Physick and Anatomy, Residing there provi­ded [Page 19] he Read a Lecture once a month, on that Subject.

Twenty Pounds per Annum, towards the further support of a Publick Grammar School in each County, now in the Province of the Mas­sachusetts-Bay in New-England, provided such a Grammar School, be Erected and Maintained by every such County, with an Addition of For­ty Pounds per Annum, to every such School-Master. Provided Nevertheless, and it's to be understood, that the Neet Profits of this Bank or Partnership amount to so much as the Donations herein Express'd, and that the Do­nations first mentioned, be first paid, in case the Neet Profits fall short.

20. That the Office for managing the Af­fair of this Partnership be always kept in Bos­ton aforesaid, and that every Subscriber on taking out by virtue of his Mortgage the Sum belonging to him, shall pay in to the Treasurer for the time being; one quarter of a years Interest for defraying the necessary Charges that may arise, in managing the Af­fair of this Partnership; and every Subscriber shall within three months after his Subscripti­on take out his one fourth part as abovesaid

21. That at any Annual Meeting of the Subscribers, they may by the major Votes then [Page 20] present, make any Alterations or Additions to this Settlement for the better managing the Affairs thereof, not inconsistent with the foundation.

20. That in Case any of the Possessors of the Bills happen to be damnified through de­fault by, or Non-observance of the foregoing Covenants and Agreements, or by any other defect of this Partnership, or of any of the Members or Officers thereof; the Person or Persons so damnify'd, shall have remedy by Action and Suit at Law against the Directors of this Bank for the time being, who do here­by subject themselves to such Suit and Acti­ons.

And we further Covenant and Agree, that there shall be a Duplicate of these Articles duly Execu­ted, and lodged in the hands of the Treasurer of the Town of Boston for the time being, that so persons injur'd may be in a Capacity to bring their Suit.

23. That the Directors, Trustees, and all o­ther Officers shall be indemnify'd by this Bank from all Charges and Damages which they may sustain by reason of their Trust and Office in the due Execution thereof, and none of them shall be chargeable for the neglects or defaults of any but his own.

24. That if any Officer or Officers, Mem­ber [Page 21] or Members of this Bank or Partnership, by reason of his Office or Partnership, be Su­ed in any Action of Debt or Damage, such Person or Persons shall immeditately give no­tice thereof, to the Directors for the time be­ing, that they may prepare to defend the same; and that upon neglect of giving such seasonable notice, the Partnership shall not be oblig'd to indemnify such person or persons against whom such Suit is brought, nor from the Cost and Damage that may ensue thereon.

25. Whereas the Affairs of this Partnership cannot be effectually carried on without the Election and Constitution of the several Offi­cers before nam'd; We have therefore ap­pointed Monday the First day of November next, the day for such Election of seven Di­rectors, a Treasurer, one Head Clerk, and one Under-Clerk, and more if need be, who shall have the power to Exercise their Respective Offices and Trusts, and continue the same till the First Tuesday in June, Seventeen Hundred & Fifteen, and until others be Chosen in their room and stead in such manner as in these Presents is Express'd; Provided there be Sub­scribed the Sum of Fifty Thousand Pounds on or before the said Day. And that no Bills shall be Emitted from this Bank or Partnership, un­til further Subscriptions make up the Sum of One Hundred Thousand Pounds.

[Page 22]26. To the true and faithful performance of all and singular the Clauses, Articles, Covenants and Agreements, Forfeitures and Penalties herein before Expressed: We the Subscribers, Parties to these Presents, Do mutually Bind and Oblige our selves, and each and every of us, each and every of our Heirs, Executors, Administrators and Assigns, severally and respectively, each one unto the other, and to the Possessor or Possessors of the Bills of Credit, that shall from time to time, or any time here­after be Emitted by this Bank of Partner­ship in the full Value of the Sums by us, and each of us Subscribed hereto.

Dated the Thirtieth of October, Anno Domini, Seventeen Hundred and fourteen, An­noque Regni Georgii Magnae Britaniae, Franciae et Hiberniae, Regis Primo.

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