The Sun. — London, England, 1840-01-16 00:00:00

EVENING EDITION. 1 of miles each Judge has to travel in the performance of 1 his duties, a gre at inequality appears in the amount of i labour assigne to each Judge. The number of terms I to be held in each of the Courts composing the ninth circuit, the distance between the places at which they sit, and from thence to the seat of the Government, are i represented to be such as to render it impossible for 1, the Judge of that circuit to perform, in a manner cor responding with the public exigencies, his term and cir cuit duties. A revision, therefore, of the present ar rangement of the circuit seems to be called for, and is recommended to your notice. I think it proper to call your attention to the power assumed by Territorial Legislatures to authorise the ' issue of bonds by corporate companies on the guaran tee of the territory. Congress passed a law in 1836, ? providing that no Act of a Territorial Legislature incor porating banks should have the force of law until ap proved by Congress, but Acts of a very exceptionable character previously passed by the Legislature of Flo rida were suffered to remain in force, by virtue of which bonds may be issued to a very large amount by those institutions upon the faith of the territory. A resolu tion, intending to be a just one, passed the Senate at ihe same session, expressing the sense of Congress that the laws in question ought not to be permitted to re mein in force unless amended in many material re spects, but it failed in the House of Representatives for want of time, and the desired amendments have not been made. The interests involved are of great importance, and the subject d serves your early and careful attention. The continued agitation of the question relative to the best mode of keeping and disbursing the public money still injuriously affects the business of the coun• ry. . 'l' ne suspension of specie payments in 1837 ren dered the use of dcposite banks, as prescribed by the Act (if 1-43ri, a source rather of embarrassment than aid, ;eel of nrcess:ty placed the custody of most of the public trioney efierwards collected in charge of public officers. The new securities for its safety, which this required, were a principal cause of my convening an extra Ses io,l of Congress ; but in consequence of a disagreement hensveen the two Houses, neither then, nor at any sub snquent period, has there been any legislation on the subject. 'fire effort made at the last session to obtain the Authority of Congress to punish the use of the public tmoney for private purposes as a crime, a measure e- Reeled under other Governments with signal advantage, was also unsuccessful, from diversities of opinion in that l ie ,!.. notwithstanding tic anxiety doubtless felt by it to afford every practical security. The result of this , is still to leave the custody of the public money without 1 these safeguards which have been for several years ear nestly desired by the Executive ; and as the remedy is only to be found in the action of the Legislature, it im poses on we the duty of again submitting toyou the pro priety of p .sing a law, providing for the safe keeping of the public moneys, and especially to ask that its use for I private purposes by any officers entrusted with it may be declared to be a felony, punishable with penalties I proportioned to the magnitude of the offence. 1 These circumstances, added to known defects in i.he f e'iistiog laws, and the unusual dera n gement in the gene , ral operations of trade, have, during the last three sears, much increased the difficulties attendant on the collection, keeping, and disbursement of the revenue, mid coiled forth corresponding exertions from those hay ! leg them in charge. Happily these have been success i ful beyond expectation. Vast sums have been collected ' end ilisburs , ed by the several departments with unex pecte.i cheapness and ease ; transfers have been readily in trio to every part of the Union, however distant ; and ' rideleations have been far less than might have been anticipated, from the absence of adequate legal restraints. Since the officers of the Treasury and Post-office De partments were charged with the custody of most of the public moneys received by them, there have been col , lected sixty-six millions of dollars, and, excluding the case of tne late collector at New York, the aggregate amount of losses sustained in the collection cannot, it is I believed, exceed sixty thousand dollars. The defalcation • of the late collector of that city, of the extent and cir cumstances of which Congress has been fully informed, ran through all the modes of keeping the public money that have been hitherto in use, and was distinguished by an aggravated disregard of duty, that broke through the i restraints of every s' stem, and cannot, therefore, be use fully referred to as a test of the comparative safety of either. Additional information will be furnishcd by I the Report of the Secretary of the Treasury, in reply to a call made upon that officer by the House of Re presentives at the last session, requiring detailed in formation on the subject of defaults by public officers i or agents under each Administration, from 1786 to i 18t7. This document will be submitted to you in a few (Lys. Ti e genesal results (independent of the res a t-eflice, whi c h i s k e pt se p ara t e ly, an d w ill b e s t ate d i,yr itself), so far as they bear upon this subject, are that toe losses which have been, and are likely to be, sus seined. by any class of agents have been—the greatest by banks, including, as required in the resolution, their deprecia.ed paper received for public dues; that the next la-gest have been by disbursing officers, and the least by collectors and receivers. If the losses on duty bands are included, they alone will be threefold those by both collectors and receivers. Our whole ex periences, therefore, furnishes the strongest evidence that the desired legislation of Congress is alone wanting to insure in those operations the highest degree of secu rity- and facility. Such also appears to have been the eaporience of other nations. From the results of inqui s ies made by the Secretary of the Treasury in regard to th e practice among them, I am enabled to state that in Pit out of 37 foreign governments, from which undoubted information has been obtained, the public n oneys are kept it' charge of public officers. This concurrence of opinion in favour of that system is perhaps as great as e xists on any question of internal administration. In the modes of business and official restraints on di s ta l , , ing officers no legal change was produced by the sespee sis nof specie payments. The report last referred to will be found to contain also much useful information in relation to this subject. I have heretofore assigned to Congress my reasons for believing that the establishment of an independent na . Lionel treasury, as contemplated by the Constitution, is cnecessary to the safe action of the Federal Government The suspension of specie payments in 1837, by the banks having the custody of the public money, showed in so alarming a degree our dependence on those insti tutions for the performance of duties required by law, that I then recommended the entire dissolution o'.`" that elonneetien. This recommendation has been subjected, s I desired it should be , to severe scrutiny and ani st - „„,4.,,' discussion ; and I allow myself to believe that, notw,liss,anding the natural diversities of opinion which Tll ;IV be anticipated on all subjects involving such imper t,oit. congh!?rations, it has secured in its favour as gene ra, cone us ,-enc . e of public sentiment as could be ex , r ~ t ed o n one ea! such magnitude. Recent events have also continued to develnpe new objections to'such a connection. Seldom is any bank, ntii:er the existing system and practice, able to meet, on demand, all its liabilities for deposits and notes in cir i e ulasion. It maintains specie payment s, and transacts a profitable'husiness, only by the confidence of the people . ;11 its solvency ; and whenever this is destroyed, the n smtvds •rof its depositors and noteholders—pressed more mnidly than it can make collections from its debtors-Leforce it to stop payment. This loss of pay -1 ment, with its consequences, occurred in 1837, and afforded the apology of the banks for their suspension. The public then acquiesced in the validity of the ex cuse ; and, while the State Legislatures did not exact from them their forfeited charters, Congress, in accord , It Pe with the recommendation of the Executive, al ! 14e' ',, d them time to pay over . the public money they t i i . ,,ai ,nlthough compelled to issue Treasury notes to i suppl /r . le deficiency thus created. • i It , i „,,i r ~ appears that there are other motives than a want of pels. lic confidence under which the banks seek ' to justify t h eme - elves in a refusal to meet their oblige ' tions. Sca:celY were the country and Government re 't lived, in a degsee, from the difficulties occasioned by 1 the general suppression of 1837, when a partial one, occurring within thirty ntes eths of th e former, produced new and serious embarrassmeists, though it had no pal ., hation in such circumstances as were alleged in justi i fi eteion of that which bad previously taken place. There wits nothing in the condition of the country to endanger l i r vita managed banking instit u ti on ; commerce wa s de -1 re aged by no foreign war ; every branch of rnanufac tura lg industry was crowned w ith r i c h rewar ds ; and ( the et, ore than usual abundance o f our h arves ts, after ! supplyiL • g our domestic wants, had left our granaries and store tottses filled with a surplus for exportation. 1 ,.. is in the' ,midst of this that an irredeemable and depreciated ,itper currency is entailed upon the people ) by a large porTion , of the b an k s . Th ey are no t driven to it by the exhiheittot: of a loss of public confidence, or of a sudden press ure ham their depositors or of note -1 holders, hut they .excuse themselves by alleging that i the current of business, and exchange with foreign cluntrii s, which draws the precious metals from their vaults, would require, in order to meet it, a larger cur teilenent of their loans to a comparatively small portion l of the community, than it will be convenient for theta . 1 to bear, or perhaps cafe for the backs to exact. The 1 p ea bias • 1. c eased to be one of n ecess ity.. Convenience t and policy are now deemed sufficient to warrant these I 'its, itueions is degrading their solemn obligations. Such conduct is not merely an injury to indivialual ere (Mors, but it is a wrong to the whole community, fro,m whose liberality they hold most valuable privileges— ,hose rights they violate, whose business they derange, and the value of whose property they render unseahla and insecure. It must be evident that this new ground far bank suspensions, in reference to which their action is not only disconnected with, but wholly independent 0- 't . " 4: :v. , t hat of the re alarming blic t , h g a i n ve a s n a y character to they y o ethxehirb.stusdpen '.....,--1747' o r; s u n greatly increases the impropriety of relying •! -71 '; .: vi be banks in the transactions of Government. a . .7 ° 7..a. large and highly-respectable portion of our ff . ; .1 es .*.t. 47 . ' log institutions are, it affords me unfeigned plea i ,' , to state, exempted from all blame on account of 4 : -,, i e aond delinquency. They have, to their great ka t 'ttessusl lA- , t, not only continued to meet their dema nds, but ---2eN7.4 save even repudiated the grounds of suspension now re rted to. It is only by such a course that the con& , pa ( l eav e and good will of the community can be pre- served, and, in the sequel, the best interests of the in stitutions themselves promoted. New dangers to the banks are also daily disclosed from the extension of that system of extravagant cre dit of which they are the pillars. Formerly our fo reign commerce was principaliy founded on an ex change of commodities, including the precious meta l s , and leaving in its tran sac ti ons but little foreign debt. Such is not now the case. Aided by the facilities af forded by the banks, mere credit has become too com monly the basis of trade. Many of the banks themselves, not content with largely stimulating this system among others, have usurped the business, whsle they impair the stability of the mercantile community ; they have become borrowers in stead of lenders ; they establish their agencies abroad ; they deal largely in stocks and merchan dise ; they encourage the issue of State securities until the foreign m arket is glutted with them ; and unsatis fied with the legitimate use of their own capital, and the exercise of their lawful privileges, they raise by large' loans a dditional means for every variety of speculation. The disasters attendant on this deviation from the former course of business in the country, are now shared alike by banks and individuals, to an extent of which there is perhaps no previous example in the annals of our country. So long as a willingness of the foreign lender, and a sufficient export of our produc tions to meet any necessary partial payments, leave the flow of credit undisturbed, all appears to be prosper ous ; but as soon as it is checked by any hesitation abroad, or by an inability to make payment there in our productions, the evils of the system are disclosed. The paper currency, which might serve for domestic purposes, is useless to pay the debt due in Europe. Gold and silver are therefore drawn, in ex change for their own notes, which are as un available to them as they are to the merchants to meet the foreign demand. The calls of the banks, therefore, in such emergencies of necessity exceed their demand,and produce a corresponding curtailment of their accommo dations and of the currency, at the very moment when the state of trade renders it most inconvenient to be borne. The intensity of this pressure on the commu nity is in proportion to the previous liberality of credit and consequent expansion of the currency ; forced sales of property are made at the time when the means of purchasing are most reduced, and the worst calamities to individuals are only at lust arrested, by an open vio lation of their obligations by the banks, a refusal to pay specie for their notes, and an imposition upon the com munity of a fluctuating and depreciated currency. These consequences are inherent in the present sys tem. They are not influenced by the banks being large or small, created by National or State Governments. They are the results of the irresistible laws of trade and credit. in the recent events which have so strikingly illustrated the certain effects of these laws, we have seen the bank of the largest capital in the Union, esta blished under a national charter, and lately strengthened, as we were authoritatively informed, by exchanging that for a State charter, with new and unusual privileges— in a condition too, as it was said, of entire soundness and great prosperity—not merely unable to resist these effects, but the first to yield to them. Nor is it to be overlooked that there exists a chain of necessary dependence among these institutions, which obliges them, to a great extent, to follow the course of others, notwithstanding its injustice to their own immediate creditors, or injury to the particular community in which they are placed. This dependence of a bank, which is in proportion to the extent of its debts for circulation and deposits, is not merely on others in its own vicinity, but on all those which connect it with the centre of trade. Distant banks may fail, without seriously affecting those in our principal com mercial cities ; but the failure of the latter is felt at the extremities of the Union. The suspension at New York in 1837, was everywhere, with very few excep tions, followed, as soon as it was known ; that recently at Philadelphia immediately affected the banks of the South and West in a similar manner. The dependence of our whole banking system on the institutions in a few large cities, is not found in the laws of their organization, but in those of trade and exchange. The banks at that centre to which currency flows, and where it is required in payments for merchandise, hold the power of con trolling these in regions whence it come., while the lat ter possess no means of restraining them ; so that the value of individual property, and the prosperity of trade, thtough the whole interior of the country, are made to depend on the good or bad management of the bank ing institutions in the great seats of trade on the sea board. But this chain of dependence does not stop here. It does not terminate in Philadelphia or New York. It reaches across the ocean, and ends in London, the centre of the credit system. The same laws of trade which gave to the banks in our principal cities power over the whole banking system of the United States, subject the former, in their turn, to the money power in Great Britain. It is not denied that the suspension of the New York banks in 1837, which was followed in quick succession throughout the Union, was produced by an application of that power ; and it is now alleged, in extenuation of the present condition of so ',age a portion of our banks, that their embarrassments have arisen from the same cause. From this influence they cannot now entirely escape, for it has its origin in the credit currencies of the two countries ;it is strengthened by the current of trade and exchange, which centres in London, and is rendered almost irresistible by the large debts contracted there by our merchants, our banks, and our states. It is thus that an introduction of a new bank into the most distant of our villages, places the business of that village within the influence of the money power in England. It is thus that every new debt which we contract in that country seriously affects our own currency, and extends over the pursuits of our citizens its powerful influence. We cannot escape from this by making new banks, great or small, state or national. The same chain which binds those now existing to the centre of this system of paper credit, must equa ll y l e tt er ever y similarinstitution we create. It is only by the ex tent to which this system has been pushed of late that we hare been made fully aware of its irresistible tendency to subject our own banks and currency to a vast controlling power in a foreign land ; and it adds a new argument to those which illustrate their precarious situation. Endangered in the first place by their own mismanagement, and again by the conduct of every institution which connects them with the centre of trade in our own country, they are yet sub j ect, beyond all this, to the effect of whatever mea sures, policy, necessity, or caprice, may induce those who control the credit of England to resort to. I mean not to comment upon these measures, present or past, and much less to discourage the prosecution of fair commercial dealiag between the countries, based on reciprocal benefits ; but it having now been made manifest that the power of inflicting th:zse and similar injuries, is, by the resistless law of a credit currency and credit trade, equally capable of extending their conse quences through all the ramifications of our banking sy,tem, and by that means indirectly obtaining, particu la-lv when our banks are used as depositories of the public moneys, a dangerous political influence in the United States, I have deemed it my duty to bring the subject to your notica, and ask for it your serious con sideration. Is an argument required beyond the exposition of these facts, toshow the impropriety of using our banking institutions as depositories of the public money ? Can we venture not only to encounter the risk of their indi vidual and mutual mismanagement, but at the same time, to place our foreign and domestic policy entirely under the control of a foreign moneyed interest ? To do so is to impair the independence of our Government, as the present credit system has already im paired the independence of our banks. It is to submit all its im portant operations, whether of peace or war, to be con trolled or thwarted at first by our own banks, acd then by a power abroad greater than themselves. I cannot bring myself to depict the humiliation to which this Go vernment and people might be sooner or later reduced, if the means for defending their rights are to be made dependent upon those who may have the most powerful of motives to impair them. Nor is it only in reference to the effect of this state of things on the independence of our Government or of our banks that the subject presents itself for considera tion : it is to be viewed also in its relations to the ge neral trade of our country. The time is not long past when a deficiency of foreign crops was thought to afford a profitabl e market for the surp lus of our in dustry ; but now we a wait with feverish anxiety the news of the English harvest, not so much from motives of commendable sympathy, but fearful lest its antici pated failure should narrow the field of credit there. Does not this speak volumes to the patriot ? Can a system be beneficent, wise, or just, which creates greater anxiety for interests dependent on foreign credit, than for the . general prosperity o f our own coun t r y, and the profitable exportation of the surplus produce of our la bour? The circumstances to which I have thus adverted Appear to me to afford weighty reasons, developed by t a w events, to be added to those which 1 have on former oceasiena offered when submitting to your better know ledge and discernment the propriety of separating the gostody of the p4blie money from banking institu tut4s7 nor has any ; thing occurred to lessen in my opinion tae force of what has been heretofore urged. Tile only grour.3 on which that tustody can be desired by the. banks, is the profitable use whicit They may make of the mot,ley. Such use would be regarded ip indivi duals as a breach of trust, or a crime of great magni tude, and yet it aciay be reasonably doubted whether, first and last, it is not attended with more mischievous eousequences when permitted to the former than to the latter, The practice of permitting the public money to be used by its keepers as here, is believed to be pe culiar to this country, and to exist scarcely anywhere else. To procure it here, improper influences are ap pealed to ; unwise connections are established between the Government and vast numbers of powerful State institutions ; other motives than the public good are brought to bear both on the executive and legislative departments, and selfish combinations, leading to spe cial legislation, are formed. It is made the interest of banking institutions and their stockholders throughout the Union to use their exertions for the increase of taxa tion and the accumulation of a surplus revenue ; and while an excuse is afforded, the means are furnished for those excessive issues which lead to extravagant trading and speculation, and are the forerunners of vast debt abroad, and a suspension of the banks at home. Impressed, therefore, as I am, with the propriety of the funds of the Government being withdrawn from the private use of either banks or individuals, and the public money kept by duly appointed public agents ; and be lieving, as I do, that such also is the judgment which discussion, reflection, and experience have produced on the public mind, I leave the subject with you. It is, at all events, essential to the interests of the community and the business of the Government that a decision should be made. Most of the arguments that dissuade us from employ ing banks in the custody and disbursement of the public money, apply with equal force to the receipt of their notes for public dues. The difference is only in form. In one instance the Government is a creditor for its deposits, and in the other for the notes it holds. They afford the same opportunity for using the public moneys, and equally lead to all the evils dependent upon it, since a bank can as safely extend its discount on a deposit of its notes in the hands of an officer, as on one made in its own vaults. On the other hand, it would give to the Government no greater security, for, in case of 'Awe, the claim of the note-holder would be no better than that of a depositor. I am aware that the danger of inconvenience to the public, and unreasonable pressure upon sound banks, have been urged as objections to requiring the payment of the revenue in gold and silver. These objections have been greatly exaggerated. From the best esti mates, we may safely fix the amount of specie in the country at eighty-five millions of dollars, and the por tion of that which would be employed at any one time in the receipts and disbursements of the Government, even if the proposed change were made at once, would not, it is now, after fuller investigation, believed, exceed four or five millions. If the change were gradual, several years would elapse before that sum would be re quired, with annual opportunities in the mean time to alter the law, should experience prove it. to be oppres sive or inconvenient. The portions of the community on whose business the change t‘ ould immediately operate, are comparatively small, nor is it believed that its effect would be in the least unjust or injurious to them. In the payment of duties, which constitute by far the greater portion of the revenue, a very large pro portion is derived ft om foreign commission houses and agents of foreign manufacturers, who sell the goods consigned to them, generally, at auction ; and after paying the _duties out of the avails, remit the rest abroad in specie or its equivalent. That the amount of duties should, in such cases, be also retained in specie, can hardly be made a matter of complaint. Our ois n importing merchants, by whom the residue of the duties is paid, are not only peculiarly interested in maintaining a sound currency, which the measure in question will especially promote, but are, from the nature of their dealings, best able to know when specie will be needed, and to procure it with the least difficulty or sacrifice. Residing, too, almost universally, in places where the re venue is received, and where the drafts used by the Government for its disbursement must concentrate, they have every opportunity to obtain and use them in place of specie, should it be for their interest or convenience. Of the number of these drafts and the facilities they may afford, as well as of the rapidity with which the public funds are drawn and disbursed, an idea may be formed from the fact that, of nearly twenty millions of dollars paid to collectors and receivers during the pre sent year, tha average amount in their hands at any one time has not exceeded a million and a half ; and of the fifteen millions received by the collector of New York alone during the present year, the average amount held by him, suhject to draft during each week, has been less than half a million. The ease and safety of the operations of the Trea sury in keeping the public money, are promoted by the application of its own drafts to the public dues. The objection arising from having them too long outstand ing, might be obviated, and they yet made to afford to merchantS and banks holding them as an equivalent for specie, and in that way greatly lessen the amount ac tually required. Still less inconvenience will attend the requirement of specie in purchases of public lands. Such purchases, except when made on speculations, are, in general, but single transactions, rarely repeated by the same person ; and it is a fact that for the last year and a half during which the notes of sound banks have been received, more than a moiety of these payments has been voluntarily made in specie, being a larger proportion than would have been required in three years under the graduation proposed. It is moreover a principle, than which none is better settled by experience; that the supply of the precious metals will always be found adequate to the uses for which they are required. They abound in countries where no other currency is allowed. In our States, where small notes are excluded, gold and silver supply their place. When driven to their hiding places by bank suspensions, a little firm ness in the community soon restores them in a sufficient quantity for ordinary purposes. Postages and other public dues have been collected in coin, without serious inconvenience, even in States where a depreciated paper currency has existed for years, and this, with the aid of Treasury notes for a part of the time, was done without interruption during the suspension of 1837. At the present moment the receipts and disbursements of the Government are made in legal currency in the largest portion of the union—no one suggests a departure from this rule, and if it can now be successfully carried out, it will be surely attended with even less difficulty when bank notes are again redeemed in specie. Indeed, I cannot think that a serious objection would any where be raised to the receipt and pay ment of gold and silver in all public transactions, were it not from an apprehension that a surplus in the Treasury might withdraw a large portion of it from circulation, and lock it up unprofitably in the public vaults. It would not, in my opinion, be difficult to prevent such an inconvenience from occurring ; but the authentic statements which I have already submitted to you in regard to the actual amount in the public Treasury at any one time during the period embraced in them, and the little probability of a diffe rent state of the Treasury for at least some years to come, seem to render it unnecessary to dwell upon it. Congress. moreover, as I have before observed, will in every year have an opportunity to guard against it, should the occurrence of any circumstances lead us to apprehend injury from this source. Viewing the sub ' ject in all its aspects, I cannot believe that any period will be more auspicious than the present for the adop tion of all measures necessary to maintain the sanctity of our own engagements, and to aid in securing to the community that abundant supply of the precious metals which adds so much to their prosperity, and gives such increased stability in all their dealings. In a country so commercial as ours, banks in some form will probably always exist ; but. this serves only to make it the more incumbent on U 3, notwithstanding the discouragements of the past, to strive in our respec tive stations to mitigate the evils they produce ; to take from them as rapidly as the obliga tions of public faith, and a careful conside ration of the immediate interests of the community will permit, the unjust character of monopolies ; to check, so far as may he practicable, by prudent Legisla tion, those temptations of interest, and those'opportu nities for their dangerous indulgence, which beset them on every side, and to confine them strictly to the per formance of their paramount duty, that of aiding the operations of commerce, rather than consulting their own exclusive advantage. These and other salutary re forms may, it is believed, he accomplished without the violation of any of the great principles of the social compact, the observance of which is indispensable to its existence, or interfering in any way with the useful and profitable employment of real capital. Institutions so framed have existed and still exist elsewhere, giving to commercial intercourse all neces sary legitimate stimulating en d s, r their e n cy ti s i p e e y c h u s la v t e io g i a L inud Thus th e accomplishing facilities, without inflating or depreci a ting the surestcur guaran- tee for their protection and encouragement in the good will of the community. Among a people so just as ours, the same results could net fail to attend a similar course. The direct supervision of the banks belongs, from the nature of our Government, to the States wha authorise them. It is to their Legis latures that the people must mainly look for actios on that subject. But as the conduct of the Federal Government in the management of its revenue has also a powerful though less immediate influence upon them, it becomes our duty to see that a proper direction is given to it. While the keeping of the public revenue in a separute and independent treasury, and of collecting it in gold and silver, will have a salutary influence on the system of paper credit, with which all banks are connected, and thus aid those that are sound and well managed, it will at the same time sensibly check such as are otherwise, by at once with holding the means of extravagance afforded by the public funds, and restraining them from excessive issues of notes, which they would be constantly called upon to redeem. lam aware it has been urged that this control may be best attained and exerted by means of a national bank. The constititational objections, which I am well known to entertain, would prevent me in any event from pro posing or assenting to that remedy : but in addition to this I cannot, after past experience, bring myself to think that it can any longer be extensively regarded as effective for such a purpose. The history of the late National Bank through all its mutations shows that it was not so. On the contrary, it may, after a careful consideration of the subject, be, I think, stated, that at every period of banking excess it took the leads that in 1817 and 181t1, in 1823, in 18 31 , and in 1834, it vast exanspions, followed by distressing contractions, led to those of the State institutions. ft swelled and maddened the tides of the banking system, but seldom allayed or safely directed them. At a few periods only was a salutary control exer, cised, but an eager desire, on the contrary, exhibited for profit in the first place ; and if afterwards its measures were severe towards other institutions, it was because its own safety compelled it to adopt them, It did not differ from them in principle or in forms its measures emanated from the same spirit of gain ; it felt the same temptation to over issues; it suffered from, and was totally unable to avert, those inevitable laws of trade by which it was itself affected equally with them ; and, at least on one occasion, at an early day, it was saved only by extra ordinar y ezer- I THE SUN, LONDON, THURSDAY, 3 . ‘NUARY 16. 1840. tions from the same fate that attended the weakest institu tution it professed to supervise. In 1837 it failed, equally with others, in redeeming its notes, though the two years allowed by its charter for that purpose had not expired, a large amount of which remains to the present time out standing. It is true, that having so vast a capital, and strengthened by the use of all the revenues of the Government, it pos sessed more power ; but while it was itself, by that circum stance, freed from the control which all banks require, its paramount e sject and inducement were left the same—to make the most for its stockholders, not to regulate the cur rency of the country. Nor has it, as far as we are ad vised, been found greatly otherwise elsewhere. The na• tional character given to the Bank of England has not prevented excessive fluctuations in their currency, and it proved unable to keep off a suspension of specie payments, which lasted near a quarter of a century. And why should we expect it to be otherwise? A national institu tion, though deriving its charter from a different source than the State banks, is yet constituted upon the same principles; is conducted by men equally exposed to temp tation ; and is liable to the same disasters ; with the additional disadvantage, that its magnitude occasions an extent of confusion and distress which the mis management of smaller institutions could not produce. It can scarcely be doubted that the recent suspension of the United States Bank of Pennsylvania—of which the effects are felt not in that State alone, but over half the Union— had its origin in a course of business commenced while it was a national institution ; and there is no good reason for supposing that the same consequences would not have followed had it still derived its powers from the general Government. It is in vain, when the influence and impulses are the same, to look for a difference in conduct or results. By such creations we do, therefore, but increase the mass of paper credit and paper currency, without checki ng t h e i r attendant evils and fluctuations. The extent of power and the efficiency of organization which we give, so far from being beneficial, are in practice positively injurious. They strengthen the chain of dependence throughout the Union, subject all parts most certainly to common disast er , an d bind every bank more effectually in the first instance to those of our commercial cities, and in the end to a foreign power. In a word, I cannot but believe that, with the full understanding of the operations of our banking system which experience has produced, public sentiment is not less opposed to the creation of a national bank for purposes connected with currency and commerce than for those connected with the fiscal operations of the Go vernment. Yet the commerce and currency of the country are suf fering evils from the operations of the State banks, which cannot and ought not to be overlooked. By their means we have been flooded with a depreciated paper, whi c h it was evidently the design of the framers of the Constitu tion to prevent, when they required Congress to " coin money and regulate the value of foreign coins," and, when they forbade the States " to coin money, emit bills of credit, make anything but gold and silver a tender in payment of debt, or pass any law impairing the obligation of contracts." If they did not guard more explicitly against the pre sent state of things, it was because they could not have anticipated that the few banks then existing were to swell to an extent which would expel to so great a degree the gold and silver, for which they had provided, from the channels of circulation, and fill them with a currency that defeats the object they had in view. No good that might accrue in a particular case from the exercise of pow ers not obviously conferred on the general Government would authorise its interference, or justify a course that might in the slightest degree increase, at the expense of the States, the power of the federal authorities ; nor do I doubt that the States will apply the remedy. Within the last few years events have appeared to them too strongly to be disregarded. They have seen that thelConstitution, though theoretically adhered to, is subverted in practice ; that while on the statute books there is no legal tender but gold and silver, no law impairing the obligations of contracts, yet that, in point of fact, the privileges conferred on banking corporations have made their notes the cur rency of the country; that the obligations imposed by these notes are violated under the impulse of interest or convenience; and that the number and power of the per sons connected with these operations, or placed under their influence, give them a fearful weight when their interest Is in opposition to the spirit of the Constitution arid laws. To the people it is immaterial whether these results are produced by open violations of the latter, or by the workings of a system of which the result is the same. An inflexible execution even of the existing statutes of most of the States would redress many evils now endured; would effectually show to the banks the dangers of mismanagement which impunity encourages them to repeat; and would teach ali corporations the useful lesson that they are the subjects of the law and the servants of the people. What is still wanting to effect these objects must be sought in additional legislation ; or, if that be inadequate, in such further con stitutional grants or restrictions as may bring us back into the path from which we have widely wandered. In the meantime it is the duty of the general Govern ment to co-operate with the States, by a wise exercise of its constitutional powers, and the enforcement of its exist ing laws. The extent to which it may do so by further enactments I have already adverted to, and the wisdom of Congress may yet enlarge them. But, above all, it is in cumbent upon us to hold erect the principles of morality and law, constantly executing our own contracts in accord ance with the provisions of the Constitution, and thus serving as a rallying point by which our whole country may be brought back to that safe and honoured standard. Our people will not long be insensible to the extent of the burdens entailed upon them by the false system that has been operating on their sanguine, energetic, and in dustrious character; nor to the means necessary to extri cate themselves from these embarrassments. The weight which presses upon a large portion of the people and the States is an enormous debt, foreign and domestic. The foreign debt of our States, corporations, and men of busi. ness can scarcely be less than two hundred millions of dol lars, requiring more than ten millions of dollars a year to psy the interest. This sum has to be paid out of the ex ports of the country, and must of necessity cut off imports to that extent, or plunge the country more deeply in debt from year to year. It is easy to see that the increase of this foreign debt must augment the annual demand on the ex ports to pay the interest, and to the same extent diminish the imports ; and in proportion to the enlargement of the foreign debt, and the consequent increase of interest, must be the decrease of the import trade. In lieu of the comforts which it now brings us, we might have our gigantic banking in stitutions, and splendid, but in many instances profitless railroads and canals, absorbing, to a great extent, in inte rest upon the capital borrowed to construct them, the sur plus fruits of national industry for years to come, and se curing to posterity no adequate return for the comforts which the labours of their hands might otherwise have se cured. It is not by the increase of this debt that relief is to be sought, but in its diminution. Upon this point there is, I am happy to say, hope be fore us ; not so much in the return of confidence abroad, which will enable the States to borrow more money, as in a change of public feeling at home, which prompts our people to pause in their career, and think of the means by which det.ts are to be paid before they arc con tracted. If we would escape embarrassment, private and public, we must cease to run in debt, except for ob jects of necessity, or such as will yield a certain return. Let the faith of the States, corporations, and individuals, already pledged, be kept with the most punctilious regard. It is due to our national character, as well as to justice, that this should on the part of each be a fixed principle of conduct. But it behoves us all to be more chary in pledging it. By ceasinr , to run in debt, and applying the surplus o f our cro p s and incomes to the discharge of existing obligations, buying less and selling more, and managing all affairs, public and private, with strict eco nomy and frugality, we shall see our country soon re cover from a temporary depression, arising, not from na tural and permanent causes, but from those I have enume rated, and advance with renewed vigour in her career of prosperity. Fortunately for us, at this moment, when the balance of trade is greatly against us, and the difficulty of meet ing it enhanced by the disturbed state of our money affairs, the bounties of Providence have come to relieve us from the consequences of past errors. A faithful ap plication of the results of the labours of the last season will afford partial relief for the present, and perseve rance in the same course will, in due season, accomplish the rest. We have had full experience in time past of the extraordinary results which can, in this respect, be brought about in a short period by the united and well directed efforts of a community like ours. Our surplus profits, the energy and industry of our population, and the wonderful advantage which Providence has bestowed upon our country, in its climate, its various productions, indis pensable to other nations, will, in due time, afford abun dant means to perfect the most useful of those objects, for which the States have been plunging themselves of late in embarrassment and debt, without imposing on ourselves or our children such fearful burdens. But let it be indelibly engraved on our minds that re lief is not to be found in expedients. Indebtedness cannot be lessened by borrowing more money, or . by changing the f orm of the debt. Th e b a lance of trade is not to be turned in our favour by creating new demands upon us abroad. Our currency cann ot be improved by the creation . of new banks , o r more issues from those w hi c h now exist. Althoug h t h es e devic e s sometimes appear t o g i ve temporary relief they almost in variably aggravat e t h e ev i l in the end. I t i s on ly by retrench ment and refor m , b y curtailing pu bli c a nd private expenditures, by p ay i ng our debts, an d b y reforming our banking system, t h at we are to expect e ff ec tual relief, security for the f u t ure, and an endur i ng p ro sperity. In shaping the institutions and policy of the General Govern ment, so as to promote, as far as it can with its limited powers, these:important ends, you ma) rely on my moss cordial co-operation. That there should have been, in the progress of recent events, doubts in many quarters, and i n some a h eate d op position to every change, cannot surprise us. Doubts are properly attendant on a ll reform • and it is peculiarly in the nature of such abu ses as we are now encountering to seek to perpetuate thei r power by means of the influence they have been permitted to acquire. It is their result, if not their object, to gain for the few an ascendancy over the many, by securing to them a monopoly of the cur yeney, the medium through which most of the wants of mankind are supplied —to produce throughout society a chain of dependence which leads all classes to look to pr , - vileged associations for the means of speculation and ex travagance—to nourish, in preference to the manly virtue s that give dignity a craving h v i o n g s p desire h them for luxurious enjoyment and sudden wea l t h, w hi c h ren d ers those who seek the t m o e a n n d ent nature, as tho those —to substitute for Republi can s implicity and economical habits a sickly app e ti te for effeminate i n d u l gence , an d an inanition of that r ec kl ess extravagance w hi c h i mpover i s h ed and enslaved the industrious people of foreign lands ; and, at last, to fix upon us, instead of those equal political rights, the acquisition of which was alike the object and supposed reward of our revolutionary struggle, a system of exclusive privileges conferred by partial legislation. To remove the influences which had thus gradually grown up among us-,-to deprive them of their decepti ve advantages—to test th em b y the li g h t o f wisdom and truth oppose the force which they concentrate in their sup. port—all this was necessarily the work of time, even among a people so enlightened and pure as that of the United States. In most other countries, perhaps, it could only be accomplished through that series of revolutionary movements which are too often found necessary to effect any great and radical reform ; but it is the crowning merit of our institutions that they create and nourish in the vast majority of our people a disposition and a power peaceably to remedy abuses which have elsewhere caused the effu sion of rivers of blood, and the sacrifice of thousands of the human race. The result thus far is most honourable to the self-denial, the intelligence, and the patriotism of our citizens. It jus tifies the confident hope that they will carry through the reform they have so well begun ; that they will go still further thr.n they have yet gone in illustrating the import ant truth, that a people as free and enlightened as ours will, whenever it becomes necessary, show themselves to be indeed capable of self-government, by voluntarily adopting appropriate remedies for every abuse, and sub mittin4 to temporary sacrifice, however great, to ensure their permanent welfare. My own exertions for the furtherance of these desirable objects have been bestowed throughout my official career with a zeal that is nourished by ardent wishes or the wel fare of my country, and by an unlimited reliance on the wisdom that marks its ultimate decision or all great and controverted questions. Impressed with the solemn obligations imposed upon me by the Constitution desirous also of laying before my fellow-citizens, with whose con fidence and support I have been so highly honoured, such measures as appear to me conducive to their prosperity— and anxious to submit to their fullest consideration the grounds upon which my opinions are formed, I have on this, as on preceding occasions, freely offered my views on those points of domestic policy that seem, at the present time, most prominently to require the action of the Go vernment. I know that they will receive from Congress that full and able consideration which the importance of the subjects merit, and I can repeat the assurance hereto. fore made, that I shall cheerfully and readily co-operate with you in every measure that will tend to promote the welfare of the Union. Dec. 2, 1839. M. VAN BUREN. NEW YORK MONEY MARKET. (From the New York Enquirer of the 28th Dec.) DEC. 27.—Sales of Stocks to-day were made to a moderate extent, but at a reduction on rates. Althciugh the Liverpool packet-ship Siddons is still de tained, there has been but very little done in foreign ex changes. A few good bills on London have been sold at 8f ; but nothing of any note has been taken on France or other places. Domestic exchanges are rather dull, and, in some in stances, a shade lower. We learn that the arrival of the southern mails has materially increased the quantity of paper offering. The rates of to-day are— Philadelphia, 84. to 9 ; Baltimore, 81 to 81 ; Richmond, 71 to Si ; Charleston, 3 to 3,-1-; Savannah, 5 to 5,1; Augusta, 6 to 64; Florida, 25 to 30; Mobile, 81- to 9; New Orleans, 6 to q. Money is very scarce, and brokers do not buy unless at an advanced discount, which, however, cannot be consi dered a fair criterion of what will be the value of money after the holidays. In merchandirse everything is dull, the combined effect, probably, of the most inclement weather and the holidays. 50 Shares United States Bank 30 ds 75 25 do. Phoenix Bark B4 50 do. Delaware and Hudson 3O ds 68 5 do. Bank of Commerce 10 do, North American Trust 20 do. Illinois 66 10 do. Morris 20 do. Bowery 10 do. Merchants' Exchange 46 30 do. Paterson Railroad 25 do. Boston and Providence Railroad ..s. 60 102; 25 do. Stonington Railroad 225 do. Haarlem. Railroad 10 do. A:erchants' Bank lO6 25 do. New Jersey Bsi 30 do. Mohawk Railroad SALES AT TILE SECOND BOARD. . _ 100 do. Harlem Railroad Company 50 do. Delaware and Hudson S. N. W. 68 205 do. North American Trust MON IvIoUTII SPECIAL COM MISSION. CONVICTION OF JONES-COMPROMISE AND ACQUITT IL OF THE OTHERS CHARGED WITH HIGH TREASON, MONMOUTH, WEDNESDAY EVENING. The evidence for the prosecution in the case of William Jones was closed last night, and this morning Mr. Rickards addressed the Jury on behalf of the prisoner. The Attor ney-General replied on the part of the Crown; after which Mr. Justice Williams summed up. The Jury then retired, and after twenty minutes' consultation returned a verdict of Guilty, accom , anied by a recommendation to mercy ; which Mr. Justice Williams said should be forwarded to the proper quarter. Charles Walters, Jenkins Morgan, John Rees, Richard 13ctifield, and John Lovell, were then placed at the bar ; and having been allowed to withdraw their plea of Not Guilty, they then pleaded Guilty. The remaining four prisoners, Edmund Edmunds, James Aust, George Turner, otherwise Cole, and Solomon Bri_ ton, having been then placed at the bar, the Attorney- General announced that it was not his intention to press the prosecution against those prisoners. The Learned Gentleman gave as his reason for the course he took, that, in the case of the two former, there was some doubt as to their identity, and it was not quite clear from the deposi tions that the two latter were voluntary agents. They were accordingly discharged. Several prisoners, accused of sedition and conspiracy, are yet to be tried. It - is said that the five prisioners who pleaded guilty will be imprisoned for three years, and that under such an im pression they pleaded guilty. The mild and merciful course pursued by her Majesty's Attorney-General is the subject of universal praise, with the exception of a few determined Tories, who hoped that the officers of the Crown, by adopting extreme measures, would excite an outcry against the Government, and thus embarrass it. This merciful proceeding on the part of the Crown will be productive of the best results to the country. CHARTISTS IN SHEFFIELD. (From the Sheffield Iris of Tuesday.) Information having been received by the Magistrates that the Chartists were to have a meeting somewhere in Sheffield late on Saturday night or early on Sunday morning, they resolved to adopt measures to prevent any outbre tk, and applied to Colonel Marten, who sent picquets out on a ll sid es o f th e t own , an d had his troops in readiness, part in the Tontine Yard, and the remain der at the barracks. in the outskirts of the town some of the policemen were fired. upon, and others attacked with pikes and bayonets, and we regret to add that some of the wounds inflicted are of a serious nature. One man, who, from being dressed in a rough coat, it is supposed was mis taken for a policeman, was fired at, and so dan gerously wounded that he was conveyed to the Infirmary, nd 27 slugs have been extracted by the surgeon from his neck and shoulders. Others have been much hurt. One had his hat penetrated by a ball, which grazed the upper part of his scalp, without doing further injury. In the course of the night several were taken prisoners, and a great quantity of muskets, pikes, daggers, cats (an instrument with three prongs, which is meant to be thrown on the ground and destroy the horses' feet), powder, balls, grenades, &c., were seized. At one place the police discovered a regular store of these deadly wea pons, and they were brought to the the office in a coach, the body of which was nearly filled by them. The pic quets on the Glossop road met a considerable body ofmen rnorching towards the town, about half-past one in the morning, the " shine" of whose spears was distinctly visible. The picquet approached within 20 yards of them to make certain, and immediately came to the Tontine and gave the, alarm. On the other roads bodies of men were also seen, but the preparations made, evidently had the effect of intimidating them from entering the town. During the whole of Sunday the greatest excitement prevailed in the neighbourhood of the Town Flail, where a troop of the Jet Dragooas were on duty, and at kye o'clock the yeomanry were called out, who continued to parade the Haymarket and neighbourhood during the whole of the night, and yesterday a great number of prisoners were taken, of whom the following were examined before the Magist trates and remanded. Some of the Magistrates have been in attendance since Saturday afternoon. From inquiries at the Infirmary last evening, we hear that the watchman, Howe, who has two sword cuts in the neck and a wound in the back, is doing very well. We understand he was also fired at several times at the Glossop-road, but without effect. Henry Taylor, who was wounded beyond the Twelve o'Clock, by a number of slugs being fired into hia side and baek, being a worn subject, otherwise in a worn stag o f body, is not doing so well. Taylor said he ;,ad no inti mation of the attack, nor any give:, .037 which he could conclude whence it proce,:-,,' ed. He is said to be a Chartist, and by sine means to have given offence to his. ass^:Liates. The c i rcumstances under w hi c h thi§ fast individual was shot are curious. We understand he was proceeding to Attercliffc in com pany with another man, to fetch a relation to attend on his wife, who was poorly ; and on arriving at the first row of houses past the Twelve o'Clock, in the Wicker, he was shot in the back. His companion then left him, and has not since been heard of. The poor man contrived to get to a beer-house in the row, and having knocked at the door he dropped to the ground. The inmates of the house, who were just retiring to bed, however, came down stairs, and every attention was paid to the wounded man. Mr. Watson, surgeon, of the Wicker, was sent for, and extracted a number of slugs from his body. At five o'clock in the morning he was conveyed to the infirmary. There is another rumour afloat, that he was a Chartist, and was shot by one of the same class whilst running away from the main body. There are rumours in the own respecting outbreaks in Dewsbury, Mansfield, Barnsley, &c. The following persons have been examined :—Hol berry and his wife, Mary Holberry, Booker, Foxall, Booker, Jun., and S. Thompson, and committed for rc-examination. The large table of the sessions room was filled with articles taken from the prisoners and from the houses of the Chartists, consisting of hand grenades, two large balls, a large quantity of other com bustible materials, also great numbers of long pikes, daggers, swords, spears, guns, pistols, " cats," and ball eertridees—eHne to er eh:ervc n taste' -sf horrible nature and extent of the proceedings of the physical force Chartists in this town. (FURTHER PARTMULARS.) ( From the Third Edition of the Sheffield Iris of Tuesday.) EXAMINATION OF CHARTISTS. DISCLOSURE OF PLAN TO FIRE THE TOWN. The Court met this morning at about eleven o'clock. The same Magistrates were on the bench as yesterday. Thomas Hague, watchman, was first called—l have been a watchman about three months ; I was on duty on Sunday morning last, in Portobello-street and Broad-lane. At ten minutes past two o'clock I was leaving my beat to go my round, when I heard footsteps. I stopped and called the hours louder than usual. I then saw from 20 to 30 men come round the corner of Rockingham -street. I saw them form into a line the same as regular soldiers do. They were armed with long pikes. I had my lantern and my re gular dress; they ran towards me, and came in what I call double time ; I sprung my rattle four separate times, and ran towards them with my staff; I was in the act of striking one of the men, when I saw a man with a white Mackintosh cloak taking a blunderbuss from un der his cloak; I stepped back three paces, and he then fired ; when he fired at me the ball glanced against the number, and went through my hat ; they all ran down Rockingham -street, except one man who ran up the street. but he escaped. Edward Housely, policeman, was next called.—l was on duty on Glossop-road and Crookes moor ; I was on my beat in Gen-street ; I knew Samuel Howe ; he was on duty near Portobello-street ; I saw him first at two o'clock ; there was nothing the matter with him then; I saw him again abokit twenty-five minutes past two ; he was in a yard in Gell-street ; he was co vered with blood ; his hat was cut all to pieces, and his head very much cut ; I asked the gentleman of the house to get up and let us in ; we got into the house. I took off my police clothes, and asked the gentleman for a hat. I did not consider it proper for me to go out with my police clothes on. A coach was got, and he was sent to the Infirmary, where he now remains. Several witnesses were then called, residing in Crooke's Moor and the neighbourhood, who had found some spears, dirks, &c., in that district, all of which were conveyed to Mr. Hadfield, and the whole were removed to the Po lite-office on Sunday. Robert Marshall, watchman—l was on duty in the neighbourhood of Beet -street, on Sunday morning; I saw two men, one of them had a stick with a bayonet at th e end. I did not follow them immediately, but in conse quence of what I heard them say I followed them; they ran up Daisy-walk ; I went to St. George's-terrace, and received a walking-stick, with a bayonet at the end, and a rope about four feet long. Mr. Palfreyman then called Samuel Thompson, the Younger, who gave the following testimony :—I am en gineer to Mr. William Parker, of the Pond Forge ; I have worked for him nine months ; I became a Chartist soon after Peter Foden was taken ; I have attended their meetings in Fig-tree-lane as frequently as my business would allow me ; I have attended pretty regularly during the last fortnight ; I was present at a meeting there last Sa turday night but one ; Holberry was present then ; I have known him ever since I first joined them : he has been in the habit of attending the meetings ; he has taken an active part as a speaker at those meetings ; I heard him say last Sunday but one that be had been as delegate to Dews. bury ; he told it to four or five at Holberry's house ; he said they had agreed, and stated the time that there should be a unanimous rise; he said it was agreed that only two men in the town should know the time; I next saw him at the rooms in Fig-tree lane, on the Thursday following ; there were a many per sons in the room ; James Boardman was there; I can't say whether Birks was there or not ; Mr. Duffy was there; Mr. Bradwell spoke; Mr. Ilolberry said he had been round by Nottingham to warn them as a delegate of the time the rise would take place, not with regard to Mr. Frost alone (he was only an individual), but for the Charter ; it was expected the news. was to arrive in Shef field respecting Frost's trial on Friday night, but they must take no notice of that : the Charter was their motto ; they said that every man must be punctual to his class on Friday night ; they are divided into classes with a leader to each; meetings are held at the houses of the class leaders; there are about six or seven class leaders; Boardman, of St. Philip's -road ; Birks, of Mill-lane ; James Marshall, top of Coalpit lane ; I was one, but it was held at the house of Mr. Valentine Hobson, in the Park; James M'Ket terick, Spring-street ; one in Forty-row, but I am not aware of the leader's name; and one in Bridge-houses. I was at the meeting in Fig-tree-lane on Friday night last ; Holberry, Boardman, Marshall, Birks, and Peter Foden, who came in late; Holberry had a pistol with him that night ; he said that every man must be at his class by ten o'clock on Saturday, for if he saw a Chartist out after that hour he would certainly blow his brains out ; he said they must bring all the arms they could bring secretly, but not pikes ; the meeting was to be for an inspection of arms, and every man must put on two shirts, or whatever clothes he could ; ha said he should go round to inspect them ; a Frenchman, who had been in the French Revolution, was there; he was to inspect the arms also ; the meeting broke up on Friday evening, betwixt eleven and twelve o'clock ; Bradwell said there was a policeman underneath, but he would cloak that, and he got up and spoke very loud; there was to be a public meeting of the Chartists in the rooms at seven o'clock on Saturday evening, as a cloak for the riot; there were a few individuals elected as a council to meet at three ; on Saturday afternoon Holberry called on me, and took me to the Council at a public-house in Lambert street ; Holberry, Birks, Duffy, Boardman, a person from Rotherham, and a few Irish friends, were there ; Holberry rose and addressed the Council, and stated the plans ; the Town-hall and the Tontine were to be taken; every man was to be at his post at two; Boardman's, Birks's, M'Kette rick's, and my class was to take the Town-hall; Boardman said he thought he could bring 50 men; I thought 50; Birks 20, and M'Ketterick 40. It was put as a motion who were to take the Town-hall; Marshall's class, the Forty-row class, and the Rotherham friends were to take the Tontine ; the Rotherham and Attercliffe friends were to meet at the Railway Tavern, near the \Ven, on the road from Shef. field to Attercliffe ; if they were put off taking these two places, they were to begin and fire the town. Holberry said that he had eight men that he had picked upon, with one that could climb the spouting, and afte r t h e soldiers had left the barracks, they wer e to fire' the straw chamber, and that would burn the riding-school, it being under, of wood ; they were then to throw a hand grenade or two in to the barracks ?he said they had plenty of fire-ball ready ; the hand grenades were to be divided; they were to go from there to Mr. Albert Smith's, if I am not mistaken, and so on with all the Magistrates. Some one was asked ,f he could accomplish his end at Mr. Hugh Parker's ; leave that to me, I'll settle that business, if you will look after the town. They then agreed how the classes were to come and take the Town-hall and Tontine ; pre vious to the class coming up, one man was to go first, and then two, so as not to alarm the watchmen ; they were to assassinate every watchman or policeman that they came across ; they were then to run to their posts in a moment, and rush into the Tontine and Town-hall as the clock struck two; they were to close the Tontine gates and barricade them with the coaches in the yard. There were to be men stationed in the Town-hall, up stairs and down ; it was then arranged where the cats were to be placed; Snig-hill was thesfirst place proposed, but it was not carried. It was then proposed to lay th: 01 from Woolhouse's corner, to the Albion and the ";„ t i ne, so as to catch th e h orses o f t h e soldiers whichever way they came ; this was carried. It was then discussed which class should take the arms from the shops, to supply those who had not arms ; the shops proposed to be broken open were Mr. Ward's, corner , of Fugate, Mr. Yeard ley's, Westbar ; Mr, Du V was to take Ward's; Mr. Boardman Mr. Yeardley's, and my class Mr. Nay lor's. It was then agreed that the whole body should not call, but that they should make good their object ; eight out of every class was to go to the shops ; after they had done this they were to return to the body, each knowing their own party. It was then mentioned about the soldiers bringing their large caution, to blow at the Tontine and Town-hall; if they should plant the cannon, it would be easy to knack them off before they could charge thee], The hand grenades were to be equally di vided ernongst the men who had no tire arms; they were to throw them amongst the soldiers, to put them in an uproar. It was said that the Government and the autho rities were a property governesent, and that as soon as these places were taken, and the houses fired, they would leave the town to take care of their property ; the middle classes and the authorities would then give heir votes towards the people obtaining the Charter. It was then agreed that no provision, stores, or places of wor ship were to be destroyed, There were not many names mentioned; it was left to Holberry. The first time the Council met way at thsee o'clock, and closed at six ; the Council met at the same place at eleven; Holberry was not there at the time ; at the private meetings in Fig -tree lane, all the members were to bring in an account of their arms ; never heard Holberry say he bad arms, but he had combustible materials; the first time I saw the dag ger was at Kirk's ; Boardman said he could bring eight or ten guns; Mr, Birks two or three; we had only two or three, and Mr, Marshall four; they had about eighteen guns and twelve pistols altogether; Boardreea had o ne thousand rounds hall cartridge ;we had feu l'.undred; Marshall l ead four hundred ; Birks not many; the IP'sder of the Forty-row class was not there then; about hell-past nine o'clock at night I went to the rooms, ex pecting to find a meeting there; the door was shut and I went to my class in the Park; we did not stay long there, before I went to my house in Forge-lane; we were re moving, but had not got all the furniture away; we then went to Mr. Birks's and settled there; it was agreed we should meet there; when I got into Birks's I saw two men with guns, and one with a sword ; Birks was dipping torches in turpentine ; persons went to the council for advice ; the orders were to meet at the tcp of Watery lane, and we understood at the top of Water-lane ; we went there, and finding nobody, we returned ; we afterwards went to Watery-lane, and from there to Crookes-moor; we returned from there to 4‘ Baceo box-walk," where we found about half-a-dozen of Duffy's party ; they had dirks; we had left Birks on our way back from Crookes-moor; he had a torch and a dirk ; we went from there with our Irish brethren, t o Duffy's, where we had some ale. We stayed ther e t ill betwixt fou r an d fi ve ; I and another went to Birks's house to sec if he was come home, but he was not. I was then making the best of my way home, when I was stopped b in n s g on tn p es a ar r y t a i w e n u hn l ek a ne r n at O th k et h p ue l a om e k e iene o gt a policeman on t h e b r i dge, and two swords and two n daggers tak en r e havee f_r i o a m n s e e , m e b n e n ; t t h r l e l o c t a p h n r i i o n u g r s route in F g ; ton friends were to meet at Mr. Mitchell's, ha the Park; I had three daggers given to me on Saturday night; one was left at h ome, which was taken down to my father's amongst the other things which they were removing. The Court wished to know if the prinoners would ask the witness any questions. Holberry then said—You say was at a meeting on the night of last Saturday but one? Yes, in Fig-tree-lane ; you came in late, The Witness here begged to recollect himself. He then stated that on the night in question they were expecting Ilolberry from Dewsbury, and not ars riving in time me and Foden were to go off in a gig ims mediately to see what he was doing; they could not get a ?EN :NG FoirtoN. Boardman Walt 111.. ; !is we were parting to go home Holberq ; ~e went to Marshall's, from there to Birks's, and then to IlollYTry's house. The Prisoner—Did on see me in Fig-tree-lane on Fri_ day night ? _ _ Witness—Yes, with a boese.pistol ; you and I were to gether at the rooms till after twelve o'clock. You took me to the council meeting : you spoke first at the meeting, and framed the first ; I made the motion that the shop; E:hnuld cpcii : you opposed it• on the ground that they would !rise their object. The Bench here said that the questions he was then asking did not at all affect the charge against him, and reminded him that what he said now would be taken down, and might he produced against him at another time. The Prisoner—l should have said more, which might have thrown a great deal of light on the subject, hut after what has been stated I will reserve what I have io say until my trial. Mr. Patfreyman appl.ed to the Bench on behalf of the prosecution, that the elder Taompson, from the evidence that had been given, should be allowed to withdraw from the prisoner's hox and be set at liberty. Mr. Parker said the Migistrates had great pleasure in acceding to the request; they trusted he had nuthing to do with the plot. Mr. Buxton, collect6r of highway rates for Ecclesall Bierlow township, proved that Thomas Booker occupied the house in Bennet-lane since the 30th of June, 1830, when he had paid rates. William Neil— I am about 18 years of age • I am ap prentice with M r . G eorge W o l sten h om, of Rockingham Works ; I have been nearly four years with him ; my name was put down, but I am not entered as a member of the as sociation ; I never paid any subscription. Since latter end of August, or beginning of September, have occasionally attended their meetings; the principal place was in Fig Tree-lane ; I was neverat any other place ; there is one large room where the meetings are generally held, and below a committee-room ; during the last fortnight have attended. several times; it is impossible to mention the number of individuals I have seen there; Thompson and Holberry I have seen ; the subject of the disturbances in Wales has been talked over in the rooms, about a fortnight after they broke out, I remember it ; it was mentioned to him they were about to form an association, and a person in the room said he should be sworn, as he had been saying something he ought net to have known ; Holberry was present ; I took a promise ; it was given in the upper room ; Holberry was present, and gave the words ; I pro mised to keep the secrets of the association, and not divulge them to any one ; was in the room on Thursday; Holberry told them he had been a delegate to Dewsbury; he spoke publicly; it was a publ c meeting open to every person. On Saturday, met Holberry in Fargate, about half-past one in the day, went to his house with him, all that transpired was, he said he expected something would, turn up that night ; he said I was to be at the class that night by ten o'clock ; I never attended before; he asked me if I had any arms; I told him 1 had not ; I said, perhaps I can bet some ; I g o t a f ew sma ll daggers; think I got ab ou t half-a-dozen ; at night I took. three or four to the class, which was at Thompson's, in Forge. lane ; there did not appear to be any furhiture in the home; was not there more than ten minutes; there were perhaps a dozen at the class; before I set off to the class I went to the room in Figtice-lane; there were only two women there ; met a man at the bottom of the stairs, and gave a dagger to him , don't know his name. Wm. 'lake said, last night, in consequence of infc,ema,. tion, went to search the house of a man named Boardmlan, in St. Philip's -road ;he was not at home ; was informed he had not been at home for some days ; found the pike produced between the cellar door and chimney breast. Mr. PALFREYMAN announced that this finished the case, and they had no evidence to offer against Mary Holberry; against the younger Booker and Foxhall the evidence was of a minor eharactee ; bat against Thomas Booker and Samuel Holberry he should press the charge he had first made. Mr. PARKER said--Mrs. Holberry, you have now the opportunity to retire from that box, and the Court dis charges you. Foxhall, you are at liberty to stand down, but not discharged. The younger Booker may also stand down. Samuel Holberry and Thomas Booker, the gentle men employed in the prosecution have finished their evie dence against you ; now is the time if you wish to call any witnesses. Holberry declined dying anything till his trial. Mr. Parker said that was a prudent determinzition. Thomas Booker said—The ammunition and fire balls were brought into his house on Sunday morning, but by whom he did not know ; they said it was in conse quence of being disturbed at their meeting; they brought some beefsteaks also. He had no witnesses to call. Mr. Farish was very fond of his son, he bad been a teacher and scholar at St. Mary's, sixteen years. They would have his sun go with them, and in order to prevent it he went himself. He was then going to describe where they went to, when Mr. Albert Smith stopped him by desire of the Magistrates, saying they only wished to hear anything hr.: could say it) his favour, what h e was say i ng would criminr.te himself, he had therefore better say no more. The Magistrates then retired for a short time upon their return Mr. Parker addressed the prisoners to the following effect—Samuel Holberry and Thomas Booker, the charge brought against you is laid under a statute passed fn the 36th George that makes other offences high treason which are not declared to be such under 25th Edward 111. Levying war against her Majesty with the intention to cause her to change her measures or councils, is the charge specified ; an d we are all of opinion d iet t h e offence is proved, at least as far as is necessary to be proved here. We are not sat here to try you, but to see if there be good groiands to put you on your trials. You are com mitted on the charge of high treason ; the depositions; will be sent to the law officers of the Crown, and it will be for them to adopt them, or take such other pro ceedings as they think proper. I can only add that as soon as you are removed from the bar, you wilt be con veyed to York Castle. We cannot staffer the present ex citement to be kept up, or the safety of the town endan gered by your remaining here longer than has been neces sary for your examination. Your schemes were of a most diabolical kind ; the first act was to have been at this place at two o'clock, then an attack was to have been made on this building, then on the Tontine, and the town was to have been filed in several places. Men were also engaged to fire the Barracks, after that Mr. Albert Smith's house, and then the houses of the Magistrates around. The watchmen and police were to have been assassinated; and cats thrown in the streets to obstruct the cavalry, and shops attacked which contained arms. This was the means you intended to go on with your conspiracy in that general and public way ; and there can be no doubt in any per son's mind, that the offence contemplated was high trea son. The scheme was really too dreadful, too awful,, to be contemplated. Thank God, by the interposition of his Divine providence, the town has been saved, which would not have been, had not your designs been hap_ dilj forestalled. Th e sc h emes of conspirators. seldom answer ; history tells us so, and our own times con firm it. Conspirators winars,t trust each other. Some, are not so harderwei ei ethers, and by such means thei r schemes are fezietree e d, If the authorities had be en less vigilant In only forivsj sci * t .tteir duty, and you had triumphed, it wo old have ) '.ee n momentarily. The town would have c ame and he art in —all climes amongst them—the middle claw and .:tie working class woldfl have joined hand is no to hearputting er d e o urci einr idiabolicalnot otter s t e a l; e ce m s e ; s. I and not ling h a a m ve hr,p ri further to say. You will now be removed from th e b ar , and in less than half an hour on your way to 7iorl prepare his appli e d f or t h e use of' pen and Wit, to prepare his defence, and wished to see his brother, who had come 40 miles for the purpose. lie was referred 41 tile Visiting Magistrates at York. Booker showed some anguish, and sO.shesi to see his wife. Their wives only were ordered be allowed to see them. They were then removed. The prisoners were removed from the Town Hall at twenty minutes past four, and conveyed to York in a ehaise and four, accompanied by Mr. Bland, constable, and escorted by a troop of the Royal Dragoons. The town is again quiet, and we hope will long continue so. COURT CIRCULAR. The Queen held a Court and Privy Council at Awn. o'clock yesterday afternoon at Buckingham Palace. At the Council Lord Kinnaird was by command..of the Queen sworn of her Majesty's Most Honourable, Privy Council, and took his place at the Board. Her Majesty having been pleased to appoint Sir William Trelawny, Bart., to be Lord Lieutenant of t'ae County of Cornwall, Sir William took the oaths appoir,ted to be taken thereupon. The custody of the Privy Seal was delivered by beer Ma jesty to the Earl of Clarendon, G. C.B. Her Maj es ty' s S peech, on the opening ° f' t h e Session of Pariiament this day - *as arranged and agreed u?on. The Council `:as attended by the Le,d .President, the Lord C.haricf.7ter, the First Lord of the Treasury, the S ecretar ; .es of State for the Home, foreign, and Colonial D e P :artments, the Chancellor of Vele Exchequer, the First ' 7 • I word of the Admiralty, the r , °p' of the Indian Board, the Chancellor of the Duchy of Lancaster, the President of the Board of Trade, the Chief Secretary for ' I Ireland, the Chief Commissioner of the Woods and Fo rests, the Secretary at War, the Lord Steward, the Lord Chamberlain, and the Master of the Horse. The Hon. William Bathurst was the Clerk of the Council in Waiting. At the Court the Hon. Ralph Abercromby, her Majes ty's Minister Plenipotentiary to the Germanic Confedera tion,was pregented to the Queen on his return from Frank fort, by Viscount Palmerston, G. C. 8., Principal Secretary of State for Foreign Affaira, Her Majesty gave audiences to the Marquis of Nor manby, Marquis of Lansdow ne , Earl of Albemarle Viscount Melb ourne. ,and The Court was attended by Lord Hill, Gold Stick in Waiting; the Treasurer of the Household, the Co-. 1 1 troller o f t h e Household ; Lord Byron, the Lord in Wait_ing ; non. William Cowper, Groom in Waiting ; and Colonel B uc kl ey, Equerry in Waiting. Accounts were received at B uc ki ngham .Palace yesterday ' at noon o f t h e d eat h o f h er Royal Highness the Land_ 1 graving of Hesse Homber g . H er Royal Highness had been ill for a long time p as t, b ut the accounts received in town a few days ago wer e more favourable. Immediately after the Council, her Majesty paid visit f ofcondolence upon the melancholy event, to the Mer a . burs of the Royal Family in town. The French Ambassador transacted business yestel d a y at the Foreign Offico. Mr. D. Hill, Mr. Stansfield, Mr. Wallace, and •Air. Power had interviews yesterday with the Marquis of : Nor manby at the Home Office. Full elres,s dinner parties were given last ev' Jrl ; ng by Viscount Melbourne and Lord John Russell, at Queen's Speech on opening tbe Session of Par' wh ich the slam ant this day was read by flw two Ministers to , the `tam re spective gue s t s . The party at Lord Melbourne -s, • at hi t , offi c i a l residence ifu Downing -street, consisted of . L uetwee n twenty and Shirty Peers. and Lord John Russel:es, at thl . Foreign Office, consi,ted of Coo Speaker, Members of the House of Commons 1 41 d a large party of ,e niostlycoassi cted with the Administration. I