National gazette. (Philadelphia [Pa.]), 1793-02-27 00:00:00

National Gazette.
By P. FRENEAU: Published WEDNESDAYS and SATURDAYS, at THREE DOLLARS per annum.
NUMB. 35 of VOL. II.]
WEDNESDAY, February 27, 1793.
[Total No. 139.]
Report of the Secretary of the Treasury, relative to the Loans negotiated under the acts of the 4th and 12th of August, 1790.
[Continued from our last.]
AN enquiry naturally arises here—Were the monies which were drawn from Europe on account of the foreign loans, the instrument of the purchases, to which these beneficial effects are ascribed?
I answer, that these purchases are to be attributed to the instrumentality of that fund—that had it not been for this resource they could not have been made at the early periods, when most of them were made. The course of the transaction will be fully and with more propriety explained in another place.
An attention to both objects—to the reimbursements to France, and to the purchases of the debt, rendered expedient a subdivision even of the first loan. Considerations of the moment seconded those of a general nature, to induce an immediate payment to that country—The loan had been undertaken without previous authority from hence, with a view to such payment. This was known and a correspondent expectation excited. The immediate situation of the French finances, rendered a payment at the particular juncture more than ordinarily interesting. In such a state of things, there could be no hesitation, about applying a large part of the loan to that object. Another part of it was of necessity applied to the payment of the sums, that were falling due on the Dutch loans. And it is presumed, that the reasons which have been assigned, will appear to have been sufficiently powerful to have dictated the drawing of a part of it to the United States.
Accordingly, a million and a half of the three millions borrowed, were appropriated to France; something more than 800,000 guilders were drawn for here, and the remainder of the loan was to be disbursed in Holland.
It shall not be concealed, though I am aware that the acknowledgment may be a subject of criticism, that the conduct which was pursued, both with regard to this and to the succeeding loan, was in some degree influenced by a collateral consideration. The government had but just adopted a plan for the restoration of public credit. The periodical payment of interest was to commence on the 1st of April 1791. A considerable part of the revenue out of which the monies were to arise, was only to begin to accrue on the 1st of January preceding. This revenue was liable to credits of four, six, and twelve months.
How far its eventual product would answer expectation—how far the punctuality of payments could be relied upon, were points unascertained, and which required to their ascertainment much more experience than had been obtained. In such situation it was not only natural, but necessary for an administrator of the finances to doubt—and doubting it was his duty to call to the aid of the public credit, every auxiliary, which it was in his power to command—He was bound to reflect, that a failure in any stipulated payment would be fatal to the dawning credit of the country—to the reputation of the government, just beginning to rise. That a wound inflicted upon either, at so early a stage, under all the circumstances of opposition to the constitution, which had existed in the community, would have been deeply felt, and might either not have admitted of a cure at all or not till after a length of time, and a series of mischiefs—that it could not but be an important service rendered to the country, to ward off so great a misfortune, by the temporary use of any extraordinary resource, which might be at hand, till time was given for more effectual provision.
If in the course of such reflections, a doubt had occurred, about the strict regularity of what was contemplated, as a possible resort, a mind sufficiently alive to the public interest and sufficiently firm in the pursuit of it, would have dismissed that doubt, as an obstacle, suggested by a pusillanimous caution, to the exercise of those higher motives, which ought ever to govern a man, invested with a great public trust. It would have occurred that there was reasonable ground to rely; that the necessity of the case, and the magnitude of the occasion, would insure a justification, and that if the contrary should happen, there remained still the consolation of having sacrificed personal interest and tranquility, no matter to what extent,
to an important public interest, and of having avoided the humiliation, which would have been justly due to an opposite, and to a feeble conduct.
The disposition which was resolved upon with regard to the first loan, involved necessarily a decision of the point, that the loans might be placed on the joint foundation of both acts. That loan having been undertaken, as already mentioned, without previous authority, and consequently without a particular eye to either act, it was probable, that it would be found too late to make an apportionment of one part of the sum borrowed to one act, of another part to the other act. In that case, the distributive application of the fund to the different objects was to be relinquished or the possibility was to be admitted, of the loan being left to stand upon the authority of both acts. The same disposition of the first loan, will also illustrate the convenience and expediency of the plan which was finally adopted, that is, of placing the loans on the basis of both acts.
The idea of a concurrent execution of both the objects to which the loans were destined, could not conveniently have been pursued, upon the plan of a separation of the loans; which to be effectual, would include the strict application of the proceeds of each to the purposes of the particular act, upon which it was founded.
Amsterdam was naturally looked to, as the great scene of the intended loans. There, as every where else, there is but a certain quantity of money floating in the market from time to time, beyond the necessary demands of trade and industry, seeking for employment in loans. This quantity, of course, varies at different periods, from a variety of causes. Of the quantity at any time afloat, but a certain proportion can be commanded by any one borrowing power; owing to the competition of other borrowers, who have each their connections through their bankers, with different sets of undertakers and money lenders. Nor is it always that considerable loans can be had at any rate. There are certain seasons only, when they are practicable.
To have brought two loans upon the market at one time, as an opportunity of borrowing offered, which must have been the case in order to make concurrent provision for both the objects in question, if the principle of a separation of the loans had been adopted, would have been to exhibit to the money lenders a very unusual appearance. With men known to be much influenced by precedent and habit, such an appearance could not have failed to prove a source of speculation and conjecture; and might have led to a confused idea that the wants of the United States were excessive; a supposition, by no means calculated to promote their credit. It would moreover have been a departure from that simplicity of procedure, which, where numbers are concerned, is always of moment to a right conception of the business to be accomplished, and ought not to be abandoned, but for reasons of real utility and weight.
To have instituted the loans successively, founding each, upon one or other of the acts, would have had a tendency to occasion longer intervals between the payments to France, than was desirable. The intervention of a loan for the purpose of purchases, would have created of course a very considerable chasm. It may be objected that such chasms did happen on the plan which was pursued. This is true in two instances; but the most material of the two proceeded from casualties foreign to the plan itself; which are detailed in the correspondence more than once alluded to.
It is possible too that a separation of the loans might have rendered it less easy to take advantage of a state of the market, favourable to their extension at a particular juncture. The loan to be brought on the market might relate to the purchase of the debt. The moment might be favourable to a more considerable loan, than was within the limits prescribed for that object, and the opportunity might slip before a second could be instituted. In this business moments are often of importance, and are to be embraced with promptitude and dexterity.
Thus it appears, that in different ways the negotiation of the loans might have been embarrassed by their separation.
But the most obvious, if not the most serious of the inconveniencies which would have attended it, respects the application of the sums borrowed. This could not then have been moulded, as the interest or policy of the government might dictate. A loan for the purchase of the debt might have been made under prospects, promising a ready and beneficial investment of it; but before the investment was made, a change of the market might render it ineligible—involving the alternative, either of a disadvantageous investment, or of leaving perhaps a large sum of money a long time unemployed. Such a state of things might have produced to the banks an advantage, and to the government a loss, of magnitude sufficient to give colour to a surmise, that the public interest had been sacrificed to the profit of those institutions. The contrary course has essentially avoided that evil; which in this and in other instances, would have been incident in a far greater degree, to the modes of proceedings, contrasted with those that have been pursued, than has in reality attended them.
Or political considerations might have rendered it advisable to transfer the application of the fund from one object to the other.
Of this, the case of St. Domingo presents an example. It might have happened on the plan of separate loans, that there was no fund in hand but for the purchase of the debt. Then on the principle of that plan, there would have been no fund in the disposition of the executive, applicable to the other object, which would have embarrassed the performance of a duty towards a friendly power, and in a way which included the positive advantage to the country of paying directly a part of its foreign debt, in its own productions.
Such were the embarrassments avoided, and such the conveniences secured, by the plan of making the loans indiscriminately, upon the authority of both acts.
In the opposite plan, I can discern no counterbalancing advantage nor convenience.
Consequently, if both are equally legal, there can be no doubt which of them ought to have been preferred.
[To be Continued.]
To the EDITOR of the NATIONAL GAZETTE.
SIR, IT is incumbent on every one who regards the interest and happiness of his country, to take notice of every shoal and rock that have proved fatal to other republics, and endeavour to guard against the like mischance in this happy land. Unpleasant as the task is, to publicly censure the conduct of any of my fellow citizens, yet as the public welfare, in my opinion, is involved; I conceive that silence would be criminal. The measure I allude to, was the celebrating the birth day of the President of the United States, by a part of the city militia. It appears by the conduct of some men, that we are only republicans in name and not in principle. For surely the customs and manners emanating from, and congenial with, monarchy, must be incongruous in a republic. Who will deny, that the celebrating of birth days is not a striking feature of royalty? We hear of no such thing during the republic of Rome. Even Cincinnatus, now consigned to immortal fame, received no adulation of this kind. I am as sensible of the services of the President as any man, and think him worthy of the high regard of his country. But surely the office he enjoys is a sufficient testimony of the people's favour, without worshipping him likewise. I believe, I may venture to say, that such fulsome adulation does not accord with his feelings.
If this evil was of no greater extent, than merely debasing those who are in the practice of it, I should not feel much concern. But when I consider it a forerunner of other monarchical vices, and holding up an improper example in this country, and an example of precedent, I cannot but execrate the measure. I am well aware that courtiers, and all the syphonic tribe, will endeavour to take off the force of these remarks, and others of a similar nature, that have been lately made by some republican writers, by bawling out faction, sedition &c. I trust, however, for the honour of my country, that such characters are not, as yet, numerous here.
They are therefore of no consequence. But there are others, who see and judge only through the false medium of passion or prejudice, that may not relish these opinions. To them I would just observe—that the novelty of any doctrine ought not to be an argument against it—nor should it be condemned without a fair and dispassionate examination. I appeal then to the good sense of my countrymen, whether, by placing one man above all equality and heaping honours upon him, it does not, in the same proportion, lessen the consequence of every other person: And whether this is not sowing the seeds of distinctions and inequality which will indubitably produce a change in our government?
It is true, that during the administration of the present chief magistrate, these predictions may not be realized. His successor however may be a different character. He may possess immoderate ambition and a desire of dominion. Dazzled with the splendour of his station, and puffed up with the homage that a misguided people have annexed to that office—he will expect other marks of adulation besides celebrating his birth day, attending his levees &c. And his courtiers and sycophants, (for there will be always such animals) will conspire with him to produce them. His person must be made inviolable, and placed above all law. Thus by degrees, equality, the great foundation of our liberties, will be undermined. The people, having unfortunately suffered habits of servility to gain strength among them; and their minds being of course corrupted, will not see their danger until it is too late to be remedied. Whoever doubts these assertions—let him recur to history for their truth. He will there find, that the making one person more than man, evidently degraded others—that this distinction produced corresponding principles and passions—On the one hand, a desire to imitate his power; on the other, a servile obedience to his will and pleasure. Nor can we flatter ourselves into a belief, that the same causes will not produce like effects in all ages and countries. "Happy are they whom other peoples' misfortunes learn to be wise."
VALERIUS.
Feb. 25. 1793.
Extracts from London papers to Jan. 11— (received by the January Packet.)
LONDON, Dec. 29.
Letters from the Lower Rhine mention the decisive advantage said to have been gained over the French army under General Custine, to be premature. There appear only to have been some serious rencounters between the posts. The Prussian troops, under the king of Prussia and the duke of Brunswick, marched against the French encamped on the heights of Esch. They crossed the forest, and drove them from Swalbach, Nassaden, and Kemem, as far as Wilbaben. The action was bloody, and the duke of Brunswick's son was wounded in two places, but not dangerously.
Yesterday, in consequence of the recorder's report, several criminals confined in Newgate, were brought out for execution by order of his majesty, among others, Thomas Folkes, for robbing William Dunn on the highway of two pence halfpenny—Henry Wild, for robbing William Bush on the highway of a canvas bag, containing 18 guineas and an half, and John Castle-dine for stealing five guineas and a silver watch, were ordered to be transported, the former for life, the latter for seven years.
January 4. Private letters from Paris give us strong assurances that the public mind is changing fast on the subject of the king of France's trial, and that there was every reason to hope that the moderate party would be able to save his life. Parties are coming in from all quarters to preserve peace against a number of anarchists, whose views extend so far as, by exciting the execution of Louis, to assist in restoring a monarchical government.
Never was money so scarce in London, as at the present time. This is occasioned by the prospect of a war with France—Ministerial papers say, that our government has refused to hold any conference with M. Chauvelin, the French ambassador—if this be true, a war with the republic is inevitable. Every public measure, indeed, seems to announce that we are on the eve of a war: within a very few days contracts to a large amount have been made

for transports and all kinds of naval and military stores—a small squadron have already weighed from the Downs, & failed to the eastward, supposed, for the river Scheldt: we are assured, the Dutch are resolved not to give up their right to the exclusive navigation of the Scheldt.
January 3. The Childers sloop of war is arrived at Powney from a cruise. Being off Brest a few days before, and standing in to make the observations, they were fired upon by three batteries. Only one shot, however, struck the vessel, which did no damage except splitting to pieces a carriage gun. Three sail of the line and five frigates were seen in Brest harbour, ready for sea.
FRENCH AFFAIRS.
PARIS, Dec. 27.
Yesterday morning at 9 o'clock, the unfortunate Louis was brought to the bar of the National Convention, accompanied by the Mayor of Paris and several others—Being required by the President to make his ultimate defence, he answered, that "his defence would be read to them by his counsel"—M. de Seze, his counsel, then began, and continued reading his defence for several hours, of which the following is an abstract:
"Citizen Representatives of the Nation, the moment is then arrived, in which Louis, is accused in the name of the French people, and surrounded by the Council which humanity and the law have given him, is about to deliver his justification. Even the silence with which we are surrounded, informs me, that the day of justice has succeeded to the day of presumption and judgment. The misfortunes of kings have something much more affecting and more sacred than those of other men; and he who once occupied the most brilliant throne in the universe, ought to excite the most powerful interests. You have called him into the midst of you, and he is come, with calmness, with dignity, strong in his innocence, supported by the testimony of a whole life. He has discovered to you such to be his thoughts, by discussing, without preparation, without examination, charges which he could not foresee, and offering an extemporary defence. Louis could only tell you of his innocence; I come to prove it. Would that this circle could increase till the whole multitude of citizens, who have received a dreadful impression against him, could be contained in it, that they might form a different opinion. Louis knows that Europe expects, with impatience, the judgment which you shall give; he knows, that posterity will, one day, investigate it; but he considers only his contemporaries. Like him, we forget posterity, and see only the present moment."
M. de Seze then said, that the question might be considered in two points of view, either with respect to Louis before or after his acceptance of the constitution. The nation, he admitted, was the Sovereign, and was free to give itself what form of government it pleased; but the nation itself could not exercise its own sovereignty, and must, therefore, delegate it. In 1789 the nation chose a monarchical government, and decreed the inviolability of its chief. He then shewed, that the forfeiture of the throne was the only punishment to which the king, according to the constitution, could be subject; and that it was only for crimes committed after this destitution, that he could be tried, like other citizens. Either the crimes of which Louis was accused, were held crimes by the constitutional act, and of course, if proved, were to be punished according to that act, or they were not to be found in it; and were, therefore, not to be punished at all.
He would, however, admit, for argument's sake, that the crimes were all proved, and all mentioned in the constitutional act. What then was the punishment? The abdication of the throne. But it might be said, that the nation had already abolished the throne, so that there was no further punishment of Louis; were new laws to be made, applicable only to one man, and formed since the accusation itself?
If, however, Louis was to be deprived of his inviolability as a king, he must then, of course, have the right of being judged like a citizen, and, in that case, where were the preservatory forms of trial decreed for citizens by the law? Where were the jurors, those hostages for the lives and honor of citizens? Where was the proportion of suffrages which the law had so wisely established? Where that silent ballot which inclosed within the same urn, the opinion and conscience of the judge? "I speak to you," said M. de Seze, "with the freedom of a free man; I search among you for judges, and I see only accusers; you would give judgment upon Louis, and you have accused him; you would try him, and you have already expressed your will."
"As to the charge of having wished to dissolve the National Assembly. Was it forgotten that Louis had convoked it? Was it forgotten that during 150 years, Princes, more jealous of their authority, had constantly refused that convocation? Was it forgotten, that but for Louis—but for the numerous sacrifices to which he had consented, the audience could not
then be sitting to deliberate upon the interests of the State?"
He would not then speak of the Memoir in which Talon was said to have the care of producing a counter-revolution entrusted in part to him; but even upon an ordinary trial, could it be permitted, that papers taken from a citizen, without an inventory and unsealed, by the invasion of his house, should be produced in the evidence against him? In some of these papers mentioned was made of money which had been expended; but even if it had been denied that this expense was for purposes of benevolence, could it be forgotten how easily kings were circumvented and deceived? The plan of a letter to La Fayette and Mirabeau was spoken of, but this letter had not been sent; and as to the letter of thanks to Bouille, the Constituent Assembly itself had voted thanks to that officer. But the words were still to be uttered which would immediately overthrow the whole series of accusations—they were these: "Subsequent to all these circumstances, Louis accepted the constitution. The constitution was the pact of alliance between the people & the king—there was no longer any contention—the pact was forgotten. What had been done subsequent to this acceptance was now to be examined."
"The constitution had not ordered the guarantee of the king for the Ministers; but, on the contrary had commanded the responsibility of the ministers for the king; and even if the constitution was forgotten, the king and his ministers could not be both accused for the same acts. Louis had been accused of delaying the execution of the decree relative to Avignon—the minister Delessart had been accused of the same thing. Louis had been accused of not communicating intelligence of the treaty of Pilnitz; but was not that the province of the minister, even if it had been a public instead of a secret transaction? He had been reproached with the troubles of Nimes, Jales, and other places; but was the king to be answerable for all the troubles of a great revolution? The account given by Narbonne was laid to the charge of Louis; but had not the National Assembly itself declared, that Narbonne carried with him the regrets and the confidence of the nation? The surrender of Longwy and Verdun were imputed to him; but were not the inhabitants of these places the guilty persons? And who had appointed the commander of Verdun, who chose rather to die than to yield?—Was it not Louis?"
M. de Seze pursued his speech with much perspicuity, contending and shewing, that either Louis had no knowledge of the circumstances with which he was charged, or that they were not criminal; or that he could not be held responsible for them; or that, if responsible, the punishment could not justly, or even lawfully be greater than the deposition.
With respect to the affair of the 10th of August, he argued, that the king had made no preparation for the defence of his own palace; that the constitutional magistrates were with him, and that one of those read the article of the law which authorized the opposition of force to force; that when he was invited to the Assembly, he went there, and that the battle did not commence till an hour afterwards. It had been said by many deputies in the convention, that they had assisted in producing the events of that day: If then, they had been premeditated, how could Louis be accused of them? Louis, who had never given a sanguinary order; who, at Varennes, chose rather to return a captive than to expose the life of one man; who, on the 20th of June, refused every sort of defence, and chose rather to remain alone in the midst of his people?—Louis, of whom history would be heard to say, that during a reign of twenty years he had borne only an example of manners, justice and economy; who had abolished servitude in his domains; who, when the people wished for liberty, gave it to them?
There was here some murmur; but the counsel went through several other articles of the accusatory act, which it is less material to notice here, and admonished the convention that history would judge their judgment.
At the conclusion of the speech Louis rose and said, "Citizens, the means of my defence have been just exposed to you; I shall not resume them. In speaking to you, perhaps, for the last time, I declare that my conscience reproaches me with nothing. My defenders have said only the truth."
"My heart is torn when I perceive myself suspected of having wished to shed the blood of the people, and especially of being the author of what passed on the 10th of August. I avow that the multiplied proofs of my love for the people, seem to me sufficient to remove from me this charge, and to prove, that I have not feared to expose myself that blood might be saved."
After answering several questions relative to some keys found at the Garde Meuble, of which he declared ignorance, Louis retired, with calmness, only shedding a few tears—a decree was then instantly passed that he should be reconducted to the Temple—several other decrees were also passed, relative to signing the defence by him-
self and counsel, &c.—the remainder of this day's discussion was very tumultuous, owing principally to the question, Shall the king be capitally convicted or not?
ON Friday, December 28, a note was sent into the Convention by the minister for foreign affairs, from the king of Spain, in which he authorizes his ambassador in France to assure the government that he shall observe the strictest neutrality, upon condition that France withdraws the extraordinary forces she has assembled on the frontiers adjoining to Spain, and leaves there only the usual garrisons—The following is a copy of the first declaration, signed by the duke of Alcutia, and dated Madrid, December 16.
"The French government, having testified to that of Spain, a desire of seeing that neutrality formally attested, which in fact prevails between the two nations; his Catholic majesty has authorised the undersigned, principal secretary of state, to declare by this note—"That Spain will observe on its side, the strictest neutrality in the war in which France is engaged with other powers."
"This note shall be exchanged at Paris with another signed by the minister for foreign affairs, in which the same assurances shall be given on the part of France."
Copy of the second Declaration (signed as before) dated December 17.
"The Catholic king, in consequence of the neutrality agreed upon between Spain and the French government, on an assurance of the friendship and good faith of the French nation, shall order the troops on the frontiers to retire; retaining, in places of strength, the number necessary for the service, and that of their respective detachments, which shall be executed immediately after the French have delivered a declaration similar to the present, promising to act on their part in the same manner. Commissioners shall be appointed by both parties, to assist at the execution of this agreement, at the period which may be fixed, and all measures shall be taken with mutual concert, acting with that good faith which is proper."
"This note, signed by the principal secretary of State of his most Catholic majesty, shall be exchanged at Paris for another signed by the minister for foreign affairs, in which the same assurances shall be given on the part of France."
A note was subjoined to these declarations by the Spanish minister, requesting the French minister to communicate the king of Spain's intentions to the National Convention, which was accordingly done: a number of general reflections were inserted, tending to exculpate Louis from the criminal charges urged on his trial, and showing the necessity of a magnanimous conduct towards the late king, suffering him to choose an asylum for himself and family, &c. The assembly afterwards passed to the order of the day, and decreed that "the executive council be informed in what quality BOURGOINE, minister from the republic to the court of Spain, is acknowledged by that court, in order that he may be recalled, if not acknowledged as Minister from the French Republic."
For the NATIONAL GAZETTE.
No IV.
SINCE my last, the instructions given by the President to the Secretary of the Treasury, and two laboured apologetic performances of his, have made their appearance. Matter thickens upon the public. The frivolity with which the Secretary affected to treat the subject in his first letter, seems to have subsided into sad and sorrowful earnestness.
And there is in truth good reason for his solicitude and anxiety. That monarchical administration, which he hath evidently adopted for the government of the United States, is threatened by sundry portents.
The vanity of this pretended Atlas, has certainly stimulated him into an arrogant idea, that the rights of the continent rested solely on himself. For a consciousness of responsibility only, could induce him to wander into a laboured defence of the laws for making foreign loans; and into a shameless acknowledgment of having assumed powers exclusively entrusted to the President.
Nor ought the indecency, with which through seventeen pages of sophistry, he compiles hard thought of motives for his own direction and application of the loans, with scarcely an allusion to the personage exclusively entitled by law to direct and apply, and without even the decorum of an apology, to escape animadversion.
Several resolutions have passed the House of Representatives, requiring a plain statement of public funds. Of what do these funds consist? Of dollars and cents. How can dollars and cents be comprehensively exhibited? By figures. In a month, three statements appear, consisting chiefly of sophistical arguments: the first exhibiting anger—the second vanity—and the third prolixity and consternation.
But the public funds are left in a state of perplexity almost inexplicable, whilst those of his own mind are exhausted in effecting this great desideratum.
Every man will admit, that the Secreta-
ry possesses penetration enough to know that the community can derive but little information from these laboured performances; but the idea ought to quicken the public investigation, as it obviously acknowledges a concealment.
This new exercise of fiscal evolution, does however sometimes present the Secretary in attitudes, exhibiting his real purposes; the only difficulty is, to catch the position before he assumes a new figure. Let us attempt to surmount it. And that this Proteus may not slip out of our hands, it is best to resort to figures.
Dec. 1790. Total of sinking Dols. Cts. fund in cash and bonds 1,374,456. 40
Balance of money drawn from Holland in 1790, 91, & 92, after deducting actual payments to St. Domingo & foreign officers 1,851,150. 51
3,225,606. 91
Deduct total laid out in the sinking fund to this time 957,770. 65
Balance, surplus of the sinking fund and instrumentality 2,267,836. 26
From these figures, extracted from several returns, and brought to a point, it seems difficult to discern the necessity for borrowing this instrumentality, in aid of the sinking fund. Let us try it another way.
Total receipts in cash of domestic funds from the beginning of the government to January 1792 4,399,472. 99
Total expenditures, including cash paid on account of the sinking fund 3,797,436. 13
Balance of cash, beyond expenditures and excluding loans to 1792 602,036. 86
And on July the 1st, 1791, the cash on hand beyond every disbursement, from the same resource, was $82,189 dols. 54 cents. Yet the Secretary drew above a million of dollars, of this same instrumentality, from Holland in 1790 and 91.
Once more we will strive to discover a reason for it, by enquiring how matters stood at the end of the year 1792. The Secretary states the balance thus—
By excess of income beyond the actual disbursements of the treasury to the end of the year 1792 5,114,696. 50
This sum includes bonds, cash and loans.
Can this enormous accumulation of funds be accounted for and dissipated, by the magical terms "instrumentality and appropriation?"
Thus it appears that the revenue has been continually accumulating from the single resource of taxation.
At the end of 1790, there was a surplus in bonds and cash of 1,374,656. 40
At the end of 1792, including 556,595 dols. 56 cents of domestic loans, of 2,809,927. 37
And throughout this period of constant accumulation, the Secretary has been constantly drawing bills on Holland for money borrowed there, to the amount, including payments for interest in Holland, which is an indirect mode of drawing, of above three millions of dollars, exclusive of domestic loans.
The regular accumulation of our domestic resources flowed from two causes. First, from a surplus of revenue beyond even the appropriations to the end of 1791, of 952,765 dols. 93 cents. Secondly, from surpluses of appropriations beyond the real expenditure.
Hence, tho' this accumulation was most of it in bonds, yet as these were regularly and monthly coming in during the following year, it constituted a fund for anticipating the annual revenue.
A consciousness of this induced the Secretary to invent the term "instrumentality," with the broad veil of which to cover the enormous sum drawn from Holland during the last two years. He had not purchased public debt with it—and he could not sink it by anticipations. Accordingly he is obliged now to exhibit the money in the following articles—
Cash in the bank, but not in the treasury Dols. Cts. 605,883. 08
Pawned to the bank of N. America as a security for 156,595 dols. 56 cents 177,998. 80
Due for bills of exchange 614,593. 02
For St. Domingo and foreign officers, of which however only 453,618 dols. 62 cents have been paid 917,316. 00
2,315,791. 80
This view of figures demonstrates, that instrumentality does not mean payment; and yet it also demonstrates the necessity of the word. The Secretary, knowing the checks resulting from the figures he has been obliged to scatter about from time to time in his statements and reports, if collected to a point, could not venture to sink this money by anticipations, or the help of the sinking fund. If this circumstance plun-

34
ged him into a dilemma, it has also exhibited his adroitness in extricating himself, by puzzling others.
One striking fact will illustrate the system of the Secretary: at the beginning of this year, he had compiled the enormous sum of 5,114,696 dollars 50 cents, in bonds, bills and cash. A sum more than sufficient to defray the whole annual expenditure of the nation. A great loss of interest must have resulted from this management; for regular periodical loans have been making for more than two years, in order to collect this aggregate. Some of these have been made of the banks, the depository of all the cash, thus constantly collecting. At all moments the banks have possessed a larger sum of public money than hath been borrowed of them, and at this moment are reported to possess among them the sum of 1,339,327 dols. 59 cents of actual cash, exceeding 614,593 dols. 2 cents, due for bills, of which the banks have had the negotiation. And even at this moment the public are paying interest to the bank of the United States on a loan of 400,000 dollars.
Is this economy? Is this honesty? It is neither; and yet I confess that it is instrumentality. It is an instrumentality by which an influence may be gained—it may be deposited in the banks, where tho' it is a losing instrumentality to the public, it will produce profit to stockholders—and it may be used as a basis for accommodations to favorites, without any apparent intervention of the Secretary.
When did a nation, until now, accumulate a sum before-hand, mostly by borrowing, equivalent to the whole expenditure of the current year?
But an event yet more extraordinary hath occurred. Congress have assented to a clause in a bill, permitting 800,000 dollars to be borrowed of the bank of the United States. The necessity for this, is inferred from an argument so contemptible, as to exhibit a symptom of that instrumentality, which is to be deprecated.
For, the unsatisfied appropriations of past times, are admitted as a debit against this accumulation of real revenue, altho' these appropriations were originally conjectural, and in most instances are proved demonstrably to be a saving. But the balancing real cash, by ideas only, is in the secretarial file.
The monstrous absurdity of such measures and arguments, must give them an enigmatical appearance. But the riddle is easily solved. Bank directors and stockholders are not scattered sparim in the legislature. They countenance and support misapplications of public money—they impose taxes and make loans to swell deposits—they balance real cash by nominal appropriations, to gain a surplus dead to the public, but alive to themselves—they approve the scattering public monies, so as to obviate all possibility of detecting a misapplication—and they support misappropriations of public funds. And why? Because all these measures combine secretly, as well as avowedly, to increase their private funds at the public expence.
Disinterested citizens, what do you expect to gain, whilst you suffer the whole game to be played by men, who are united by the strong ties of common interest and common depravity, the food for which you must furnish, until rapacity itself is satisfied?
FRANKLIN.
Feb. 26, 1793.
For the NATIONAL GAZETTE.
NUMBER III.
To ALEXANDER HAMILTON, Secretary of the Treasury of the United States. Is it possible to review the circumstances stated in my last letter, without reflecting on the singular and extraordinary spectacle of a Secretary of the Treasury, solemnly called upon by the Representatives of the people to report "such a view of the public finances as would enable them to judge whether any farther taxes, or burthens, were necessary to be imposed upon their constituents"—who, after four days reflection reports to them specifically all the items of demand upon government contrasted with a like view of all its resources, at the same time seriously and deliberately assuring them "that thence would result substantially the information desired, as far as it was then in the power of the Secretary to give it"—concealing, nevertheless, and withholding from that report, every title of information that related to the enormous sum of one million of dollars of the public money, which the same Secretary had in a secret and unauthorized manner, drawn over from Europe, and every shilling of which he had received in cash, before the 23d of January 1792, the date of that report?
And if, Sir, in the course of these reflections, it becomes difficult to divine what were the strong, cogent, and justifiable public inducements to a conduct so extraordinary, how does that difficulty increase as we progress with you in this business? when we see the same Secretary who had thus created an artificial necessity for farther taxes and burthens on the com-
munity, himself recommending that those farther taxes and burthens should be imposed—that the trade and commerce of this country should bear that additional burthen—that instead of that burthen being made temporary and for one year only , as contemplated by the legislature, one half of it should be made perpetual , and commensurate with the existence of the public debt —that great and seemingly sincere regret should be expressed by the same Secretary of "this necessity for so early a resort to farther burthens on commerce"; that at the same time and from the same Secretary should be depending before the legislature a proposition for farther assumption of State debts—that the same Secretary after the said 23d of January 1792, should renew and continue the secret and unauthorized business of bill drawing for another year, and to the amount of another million of dollars—that during the two years of this bill drawing business , Congress were in session three times, and yet the great and comprehensive mind of the Secretary should deem it of inferior consideration to acquaint them with the progress of it, and even, as far as the public are hitherto informed, that the President himself should be unacquainted with the extent of the business—that this same business of bill drawing should be commenced in express violation of the instruction of the President of the United States, and moreover continued to the end of the two years, as far as yet appears, without any subsequent instruction of the President to justify it.—That special appropriations by law should be departed from and disregarded in the use and disposition of this money, and thereby the Constitution of the United States prostrated and trampled upon, by a secondary executive officer of the government: That the present session of Congress should commence with information from the President of the completion of two foreign loans, to the amount of six millions of florins, and an earnest recommendation to begin the salutary work of a redemption of the public debt, and yet, Sir, you, whose especial duty it was to lay before the legislature, accompanying information of the situation of the foreign loans, of the state of the sinking fund, and of the actual condition of the public finances, you, Sir, I say, should resist all the powerful motives which could be supposed to urge the performance of a duty so essential and indispensable, and withhold the information: And further, Sir, that during the present session you should call upon the legislature to appropriate 1,500,000 dollars for the current expenditure of the year 1793: That you should submit to their consideration a plan for the redemption of the public debt (as recommended by the President) predicated on the idea of immediate, direct, and permanent taxes for a series of years, and of correspondent & commensurate public loans by way of anticipation of those taxes; And in the same report recommend to the Legislature to make a loan of two millions of dollars, to re-imburse a debt from the public, of the same amount, to the bank of the U. States; and still, Sir, pertinaciously withhold the information I have mentioned.
Invincible as was the silence you observed, until the House of Representatives by an express order drew the unwilling secret from you—what was your conduct on that occasion? On the third day of the last month your first report was made, which you call a statement of the foreign loans, the most evasive, defective, and unsatisfactory that cunning could contrive, and in which you carefully conceal from the public view the date and amount of every payment which was made either to yourself or to your agents, the Bank-Directors, on account of bills sold for the sum of 2,304,769 dollars, drawn over from Europe—was it, Sir, that you were unable or unwilling to afford this information? Was it inexpedient to do so, Sir, and therefore the cause of all that angry and peevish invective which is displayed in your letter of the 4th of this month, where, in answering the resolutions of Mr. Giles, you acknowledge the insufficiency of your former report, and with great apparent sincerity declare that you will meet every point of enquiry with decision and explicitness ? What, Sir, a decision and explicitness , applicable only to further concealment? And does it still continue so inexpedient to give the information to which I have referred, that now, even now Sir, when all your defence is before the public, it is yet withheld?
Pardon me, then, Sir, if I am one of those unbelievers, who placing no confidence in any of your professions, do verily think that you neither wish, desire, nor dare to meet full and fair enquiry. Have you asked it, Sir? Have you expressed a wish that the Legislature should institute a mode of enquiry, or appoint a committee for that purpose?
You have done neither, Sir—You, I presume, disdain the honorable example of the Secretary at War, who called for public enquiry, and demanded to be heard. Satisfied with having delayed six weeks, in preparing the multifarious matter of some half a dozen pamphlets and twice as many conjectural statements, not one of which is authenticated by an officer of your department except yourself —Satisfied with having furnished evasion and contradiction,
enough to puzzle the Legislature for another six weeks, and to be utterly unintelligible to the people at large. Satisfied with having thrown all those perplexities into the last week of a session, your wounded honor and troubled spirit, can quickly recover the injuries they have sustained, and sink with ease into a little state of indifference and insensibility.
That proud and disdainful mind which could not brook the first dawnings of suspicion, but must then write volumes in its defence, can now compose itself in perfect tranquility, and become at once wonderfully acquiescent under those thick and dark clouds of suspicion which beleaguer it; resisting all the provocation of direct and positive charges, and content not to ask for a public enquiry, nor that the Legislature should even examine and see for themselves, where the public money now is : An examination which is desired by many as one of the means to lessen or remove present suspicion; for let it be remembered, Sir, that according to your own shewing, there ought to have been on the first of January last, about 1,700,000 dollars in cash, of public money, on hand, much the greater part said to be then in the Treasury, or in the Bank of the United States.
It is in vain, however, to pursue you thro' all that labyrinth of evasion, contradiction, and artifice which your apologies exhibit; a new and more interesting view of the secret business of bill-drawing , will be taken in connection with another subject, which being a creature of fiscal contrivance, owes its birth, its growth, and present maturity, to the same prolific brain and fostering hand with the other, and therefore may reasonably be supposed to have largely partaken of the warmth and strongest sympathies of a mind at all times so feelingly alive to the public interest—I mean, the Bank of the United States.
The bank and the bill-drawing system, may be denominated twin-brothers—begotten and born of the same parent, they came into existence on the same day. The 14th of December, 1790, you reported to Congress the plan of a National Bank, and on the 18th of December 1790, you commenced bill-drawing.
On the 14th of July 1791, the subscriptions to the bank were made. On that day you had drawn bills upon Europe to the amount of 556,000 dollars, of which sum 386,000 dollars had been actually paid in Amsterdam, on or before the 31st of May preceding, not one shilling of which sum had been by you passed into the Treasury of the United States, as far as yet appears, on the said 4th day of July. The expression in your letter of the 13th instant, where you speak of this subject, merits attention: It is "that 361,391 dollars and 34 cents were passed over to the Treasurer in 1791." And by the Treasurer's accounts it appears that he did not receive this money, until some time in that quarter of 1791, which terminated on the 30th of September; but neither he nor you have deemed it expedient to name the month or day. It also appears from the Treasurer's accounts, that on the 30th day of June, four days preceding the subscription to the bank, you had of public money, deposited in the bank of North America the further sum of 428,100 dollars, and 17 cents. Thus, Sir, on the 4th of July 1791, it is fairly presumable that besides the said deposit of 428,100 dollars of public cash in the bank of North America that that bank and the bank of New-York, which had also deposited it on the said 30th of June, 92,630 dollars cash of the public money, were enabled to discount for 30 days at least to the full amount of the before mentioned sum of 386,000 dollars of the public money. That they did so, is not for me to say—that they were enabled to do so, any man who will recur to your own reports and compare them with these circumstances, may be fully satisfied. But this is not all: the 'subscription to the bank under the happy auspices and instrumentality of your quondam friend DUER', it is well known, produced that general intoxication, better remembered by the name of the Scrip Mania . Various and extraordinary were the fluctuations of this business, and perhaps, Sir, you would have rendered Congress quite as much useful information by reporting to them the prices of Scrip thro' the year 1791, as you did by reporting to them the prices of six per cents, three per cents, and deferred, during the same year, taken and vouched on your behalf, and at your request, from those high and respectable authorities, a BROKER's books, and Johnny Fenno's Treasury Gazette. The fluctuations in scrip continued until some time in January or February 1793; and in the latter month the bubble burst, your friend Duer retreating to the jail of New-York about the first of April. Before February 1792, you had drawn bills on Holland for upwards of one million of dollars, and on the 20th of February 970,000 dollars of that money had been actually paid in Amsterdam, altho' no more than 361,391 dollars 34 cents had been by you passed over to the treasury of the United States on the last day of that month. Your next payment of 327,136 dollars, being said to be in Mar. 1792, which I presume was after the bubble burst—from which time until the 28th of December last, you continued to draw for a farther sum of 1,209,720 dol-
lars, all in favour of the bank of the United States, solely; and of which sum you admit that not one shilling had been passed over to the public treasury when the present enquiry commenced.
The foregoing facts are few, concise, and strong; if any thing in them appears too pointed, you, Sir, only have to regret that they are founded in fact, and taken from your own exhibits. That they may lead to the development of yet unexplained motives, and assist the public mind in the further investigation of those stimulating causes by which the secret business of bill drawing was influenced, is the only wish, as is the discovery of truth, the only motive of
DECIUS.
February 27th, 1793.
PHILADELPHIA.
FEBRUARY 27.
We are desired, from good authority, to correct a paragraph in our paper of the 5th of January last, relative to the Election of Senators for the State of South Carolina, in which it was mentioned, "that GOVERNOR PINCKNEY was in nomination, or a candidate for Senator." We are requested to declare, "that Mr. Pinckney was not on that occasion, nor ever thought of being a candidate as a senator; and that upon being spoken to, previous to the election, by some of his friends, he not only positively declared he would not be a candidate, but expressly directed a number of the members of the legislature, that if they saw his name up, as a candidate, to strike it out—and that he was not, nor ever had, the least wish or thought at that time, of being a candidate as a senator, is so well known to the members of the legislature, that it must appear astonishing how such a mistake could be made, as to suppose he was." [The extract of the letter alluded to above, was copied into the National Gazette , from one of the Daily Papers of this city, in most of which it appeared previous to its insertion in the National Gazette .]
Letters from Cape Francois, to the 21st of January, particularize some of the late successes of the volunteer army of whites and mulattoes against the negro insurgents. On the 14th, the army left the Cape. On the 16th they attacked the post of Grandpre and Grandriviere, both of which they carried—The negroes fled, and were driven from fort to fort, and in various directions towards the mountains. They are now driven into a small and barren division of the country, where it was thought they could not long subsist. Several gangs, when these accounts left the Cape, had sent in flags to their masters, that they are willing to return to their duty.
The British government has prohibited the exportation of foreign wheat from that country to France, and have ordered none to be admitted to entry for that kingdom, but only to neutral countries, under bond for its discharge there: an embargo has been also laid in Ireland upon all kinds of provisions, with a view (it is said) to starve France, if possible.
On Thursday last a resolution passed the Pennsylvania House of Representatives, for granting the sum of 7500l. to finish the house intended for the accommodation of the President of the United States. This sum, is to be borrowed on loan, and to be repaid by a tax on the New Theatre, of 50 dollars per night.—Should this resolution pass into a law, it is said, a remonstrance will be handed in on the part of the subscribers to the Theatre.
The French naval force in the Mediterranean is said to amount to 19 sail of the line, and many large frigates. The Republican, of 110 guns, is in Toulon Road. All the war-ships of the Dutch have received orders from the government to be ready for sea in March.
We hear from New-York, that Philip Van Cortlandt, Esq. is chosen one of the Representatives in the Congress of the United States, for that state.
Prices of American produce at Bristol, December 24, 1792.
Pot-ash (first quality) 29/ to 30/—Pearl ditto 34/ to 36/—Rice, long price 26/ short price 18/—Indigo 26/ to 56/—Pitch 7/ to 76/—Tar 13/—Turpentine 86/—Bees wax 81. to 91.—Deer skins in the hair, found, 17d per lb.—Ditto, half dressed 20d to 22d—Pine boards and plank from 10/ to 126/ per hundred feet (inch thick)—Oak ditto, 14/ to 15/ per hundred feet, inch thick—Pipe staves, 81. 8/ a 131. 3/ per M.—Hhd. ditto, 51. a 91. per ditto—Barrel ditto 41. 4/ a 61. per do.—Flour 16/ to 17/ per C.—Wheat 6 3/4 to 6 7/8 per bushel—Pig iron 61. to 71.—Tobacco 1-4 to 5d 1-2.
(Signed)
ELIAS VANDER HORST, (American Consul at Bristol.)
*** In the piece signed DECIUS, in our last, the reader is desired to correct the following error.—Page 2. Column 1—51 lines from the foot, for sold , read, drawn .

ODE TO LIBERTY.
Written by a Young Lady of the city of NEW-YORK.
WHILE fierce Bellona's war-inspiring breath O'er trembling Europe, scatters plagues and death;
Whilst kings and princes, leagu'd (as oft before) With powers infernal, her rude form adore,
Whilst deeds like these distil the earth And give ten thousand evils birth,
O thou! who erst from Europe flown, Plac'd in this western world thy throne,
But tho' forgetting former wrongs, Thou seek'st again thy native land,
O, may thy cheering influence spread From skies which kiss the eastern sun
CONGRESS.
WEDNESDAY, Feb. 20.
After reading a communication from the Secretary of the Treasury (relative to the resolution of Jan. 23d.) the bill was received from the Senate making appropriations for the support of government for 1793,
THURSDAY, Feb. 21.
Two reports from the secretary of the treasury were read, on private petitions; one was referred and the other laid on the table.
pointed to bring in a bill providing for certain judicial objects &c. A letter was read from the Secretary of State, relative to the President's message (of Feb. 4, 1791) on the commercial intercourse between the United States and foreign nations;
Mr. Barnwell laid a motion on the table that a committee be appointed to bring in a bill for fixing the salaries of impost and tonnage collectors to—dollars per annum.
[From The MAIL.]
On Monday the 18th of February, the Judges of the Supreme Court of the United States delivered their opinions upon the important question that had been argued before them for thirteen days—viz. Whether an individual of any state may sue a state, or, the United States;
dress, in all cases where he can prove a just claim, a loss, or an injury having been sustained, and vice versa.
Communications from Correspondents.
A writer in the Gazette of the United States, of last Wednesday, complains that "a certain Gazette" appears to him for all the world like a Tar Kettle—Merely (it is supposed) on account of that Gazette being at all times open to free discussion on all questions,
The astonishing successes of the French nation in asserting and vindicating the natural and political rights of mankind in Europe, has evidently thrown a settled fowl of haggard and disconsolate melancholy over the visages of the enemies of those general rights in this country.
It is wished, that with the general demolition of useless and unmeaning titles, that of reverend may be laid aside by they clergy of all denominations.
TO BE SOLD, By JOSEPH CRUKSHANK, in Market Street,
LETTERS Addressed to the Yeomanry of the United States, shewing the necessity of confining the public revenue to a fixed proportion of the net produce of the land,
BY A FARMER. Also, may be had at the same place, a few copies of the FARMER'S LETTERS, containing observations on the dangerous scheme of Governor Duer and Mr. Secretary Hamilton to establish National Manufactures.
Just Published, By H. & P. RICE, No. 50, Market-Street, THE SYSTEM OF
Short-Hand, Used by Mr. Lloyd, in taking down the DEBATES of CONGRESS.
** REPRESENTATION having been made, that the shortness of the period, limited for the subscription, has deprived many gentlemen at a distance, of an opportunity of sending in their names:
A CAUTION TO THE PUBLIC.
ALL persons are forewarned how they take an assignment upon a bond of £. 112 : 10 (bearing date January 26, 1792, given by MORDECAI and NATHAN HOLT, of the township of Horsham, county of Montgomery, and State of Pennsylvania,
MORDECAI HOLT. NATHAN HOLT. P. S. Said bond was obtained by illegal means and may probably be contested for reasons not here referred to.
Horsham Township, January 28 1793. 3t 1aw.
PHILADELPHIA, January 17, 1793.
MATHEW CAREY Respectfully informs the Citizens of the United States, that the Maps for his intended edition of Guthrie's Geography IMPROVED,
Are now engraving—and as soon as a sufficient number of them are finished, to secure a regular supply during the publication, which will probably be early next Spring, the work will be put to press.
Terms of the Work:
I. IT shall be published in 48 weekly numbers, each containing three sheets, or twenty-four pages, of letter press, in quarto, printed with w types on fine paper. II. In the course of the work will be delivered about thirty large maps, of the same size as those in the European editions, viz. most of them maps on post paper. III. The price of each number will be a quarter dollar, to be paid on delivery. IV. Subscribers who disapprove of the work, on the publication of the three first numbers, are to be at liberty to return them, and shall have their money repaid. V. The subscribers' names shall be prefixed as patrons of the undertaking.
Philadelphia & New-York
STAGES,
BY WAY OF BURLINGTON, BORDENTON, & SOUTH-AMBOY
WILL start from Samuel Cooper's Ferry, opposite to Philadelphia, every Sunday and Wednesday morning, during the winter season, and arrive at South-Amboy on Monday, and Thursday evenings—where a good boat will be ready to convey Goods and Passengers to New-York.
The Stage boats will leave New-York every Monday and Thursday, so as to meet the Stages from Philadelphia at Amboy, to proceed for Philadelphia next day. All Baggage belonging to passengers to be at their own risk.
All Goods forwarded by the Stages on bill, to be under the particular care of the Proprietors of the Stages; but not warranted against robbery or damage—And all entering, clearing and permits, to be paid by the owners of goods.
Price of a passage from Cooper's ferry to New-York, 200lb. of Goods, to pay the price of a passage. All Way passengers, 3d per mile. AMOS HUTCHIN. and 7 For Burlington. NICHOLAS SCHENCK, ton line. VAN EMBURGH & M'KEAN, 7 For Bordentown and DAVID WILLIAMSON, ton line. January 16, 1793. 1aw. w.
WATCHES.
ROBERT LESLIE, CLOCK AND WATCH MAKER, No. 167, Market-street.
AFTER returning his sincere thanks to his friends, and the public in general, for the great encouragement he has experienced since the commencement of his business in this city, takes this opportunity of informing them that, in consequence of his intention of going to London in April next, he is selling off, at very reduced prices, his stock in trade, consisting of a very large and general assortment of enamelled and plain gold, gilt and silver, cant, and cant and jewelled
WARRANTED WATCHES, Most of which are of the latest importation and newest fashion,—Also a variety of the highest finished cut steel, and gilt, ladies and gentlemen's Watch Chains, Seals, Keys, and Trinkets, together with a few Gold Chains, Keys and Seals. Philad. Jan. 16, 1793. el. tr.
PRINTED BY
CHILDS AND SWAINE,
AT THEIR OFFICE NO. 209, HIGH-STREET, FIFTH-STREET PHILADELPHIA.