The Sun.
London, England, 1841-03-05 00:00:00

best settlement that could be effected of a diffi-
cult and perplexing question. As a proof that it
was so, many of the persons who had signed the
petition had since gladly accepted the terms,
and agreed to the seignorial rights claimed by
the Seminary on the terms prescribed by the
ordinances.

The Duke of WELLINGTON complimented the
Bishop of EXETER very highly for his instructive
speech ; blamed Lord MELBOURNE for his in-
sufficient answer; and described the ordinance
as a blow struck at the Reformation and at the
rights of the Crown. His Grace called on their
Lordships to consider, in the next few days,
whether they would allow this ordinance to be-
come law or not.

No motion was submitted to their Lordships,
but the petition was laid on the table, and a
motion will be submitted by the Bishop in
a few days. No doubt, with the support of
the Duke of WELLINGTON, the Lords will
address her MAJESTY to refuse her con-
sent to the ordinance, which will set it aside,
and the affairs of Canada will be again
thrown into some confusion. The Tories seem
bent on renewing a religious contest with their
Catholic fellow-subjects. Their error lies in
considering that ours is now a Protestant Go-
vernment and a Protestant nation. Both Go-
vernment and nation are now party Catho-
lic; and it is the duty of the Govern-
ment to treat all its subjects, whatever may
be their religious creed, with strict impartiality,
and without any reference to one Church or
another. By departing from that wise principle
the Tories will add religious broils to the com-
mercial, manufacturing, and currency distress,
which threatens us and fills society with deadly
disease. It seems as if they were anxious to rea-
lise their own diabolical theory. They propound
the notion that man is essentially a wicked
animal, destined to plague and punishment here;
and they mean, if they are allowed, to prove
that they at least are very wicked, and they will
make the earth very like the hell with which
they threaten mankind. We trust they will be
stopped.

The renewed suspension of cash-payments by
the United States Bank will affect England as
well as America, and is calculated to make the
public look with some alarm on other banks.
Nor are there wanting circumstances of no plea-
sant nature amongst ourselves to excite suspi-
cions of banks and bankers, both private and pub-
lic, while the recent conduct of the Bank of Eng-
land has not increased the public confidence in
that establishment.
In a second pamphlet lately published by Mr.
LEATHAM, the Wakefield banker, "Letter to
William Rayner Wood," whose first pamphlet
setting forth the amount of bills in circulation
obtained considerable notice, there are some
passages which may now be appropriately
quoted. The following refers not only to the
conduct of the Bank, but points out a very heavy
loss sustained by the commercial community in*
1839, by its conduct in making money first plen-
tiful and then scarce, which the mercantile
classes will be slow to forgive
Had you examined the published low rates of interest by
the Bank, for the discount of Bills, the loans granted on the
p'edges of Stock, and ether securities, for the years 1834 and
1835, up to the middle of 1836, all of them years of high
prices compared with the years following, of ruinously high
rates of interest, panic, and low prices, as well as with the
enormous fluctuations in the Currency of Bills of Exchange
and Acceptances in both periods, your case would have been
fully proved, and made out to demonstration. The Bank of
England at all times acting upon the focus of the money
market in London, has the power to rule the rate of interest
for the kingdom ; and when she offers low rates of interest, the
market for all other lenders of cash is still lower; and, when
she arers high rates of interest, the market for all other lenders
and borrowers is a still higher rate :—this may be taken as the
rule. When money is abundant, and would naturally soon
be corrected if the market were not interfered with, she steps
in with large sums, and makes it worth nothing; and then
follows a train of events full of excitement, with a delirium of
prosperity, succeeded by periods of depression and langour.
" Thus in the former years, of a rise of prices, the Bank of
England ruled and depressed the rates of interest and the
money market, by her endeavours to find employment for her
surplus funds, to enable her to keep up a seven per cent. divi-
dend to her Proprietors. She then departed from the practice
and rule of more than a hundred years, in taking for the first
time a loan from the East India Company, at two per cent. in-
terest, with which she opened accounts with the leading Bill
Brokers ; and although professing inher advertisements and no-
tices, that she would make advances and grant discounts at
three per cent., she was at the same time privately lend-
ing very large sums to tiqe Bill Brokers at two and a half
per cent. It is a curious fact, that although the Bank first
took this loan from the East India Company at two per cent.,
the interest was raised ultimately to four per cent. in the pe-
riod of a drain of bullion, as money became more scarce.
Now, what did I find to be the effect of these measures, as a
Banker, on the money market, where, by the nature of my
business, I am always a lender of cash ?—..that while the Banker
was allowing two and a half per cent. on deposits, he could not
make even that rate in London, for a time : and at last infor-
mation came from the Bill Brokers, that cash could find no
employment at all on bills. The bills of the old highly respect-
able American houses in London, thus encouraged and created,
were scrambled for by the Bill Brokers at that time, though
soon to become victims, and to be placed in jeopardy, and ex-
posed to dishonour, by the altered measures of the Bank
millions of money were lent on foreign securities with broad
margins, and millions more were actually invested in them,
especially Dutch and American."
I must beg to draw thy attention to a fact that involves the
charge of overtrading, and shows a great error of the commer-
cial body ; though previously allured out of the safe path, by
the glare of the false and delusive prosperity, created for them
by the conduct of the Bank of England, in making money
cheap or of no value, precisely similar to the events preceding
every other panic (and there have been four), since the storm
0f1825 and 1826, though less destructive, because there was no
internal discredit. I find then also, in 1839, the very singular
fact, that the enormous sum of 40,000,000 of Bills of Exchange
and Acceptances were discounted at six per cent. by the Bank
of England, in the last six months of that year ; and I can
safely infer from inquiry, that not less that 60,000,000 sterling
more were discounted in the same period by the Bill Brokers,
at seven, eight, ten, and even twelve per cent., to meet, I pre-
sume, or take up, principally, other bills coming due. If the
commercial world had not departed from sound principles of
business, and from making their capital the measure of their
transactions, this astounding fact could never have existed.
It is no wonder the Bank securities increased, when I agree
with thee they ought to have decreased, with a large export of
bullion ; but what an awful and curious retributive punishment
is inSicted, on all concerned in this erroneous course ; for, had
the Rink refused to discount even one-tenth of this sum of
100,000,000, what would have been the extent of failure,—and
how far would her own existence have been compromised ? for
there was only wanting panic, and general discredit, to finish
the work.

What a powerful argument have you gained in proving, that
the Corn-law has recently imposed on commerce a ruinously
high rate of interest, for nearly two years, and has robbed the
country of more than twenty millions of gold and capital; and
has actually endangered,—yes, imminently endangered, the
Bank, and driven her, not to pawn, as our kings in " olden
times," the Crown jewels ; but really to pledge a security of the
English Government (the Dead Weight), to obtain from
France, her old enemy, the loan of two-and-a.balf millions of
her gold, when on the eve of a war with this country.
I find in the 10th month (October), 1839, the bullion is re-
turned to the Currency Committee, at 2,525,0001., from which,
if I deduct the gold due to France, not then repaid, there is left
a balance of 25,0001. for the Bank, and the branches, to meet
a circulation and liabilities by law, payable in gold, Lf near
twenty-four millions.

Men are extremely sensitive and acute when
their own interest is concerned, of which Mr.
LEATHAM, in fact, furnishes a notable example.
This gentleman is a Member of the Society of
Friends, and he tells us that " I have taken no
part hitherto in the abstract question of the
Corn-law, but the investigation into the subject
of the currency has few fully impressed the con-
viction on my mind that unless a change be
made to a fixed duty the prosperity of our
commerce and manufactures, now languish-
ing, will ere long expire, and, when ena-
tornbed, the prosperity of agriculture will be
followed to the grave, and take a niche in the
same vault." Here, then, is a humane and
kindly man, like all his co-religionists, who
has probably taken a deep interest in the
emancipation of the blacks, but he has been
quite unmoved by the mass of distress he has
seen around him, and has taken no interest in
the abstract question of the present Corn-law.
He has seen at Wakefield, and all t'..rough the
manufacturing districts, men hungering for want
of employment, females perishing, and children
dying for lack of that food their half-starved mo-
thers had not to give them. All the frightful scenes
which have been exhibited in our manufacturing
districts during the last ten years have made no
impression on this good and intelligent Quaker;
but the instant he perceives that his pocket is
touched, the instant he is aware by his investiga-
tion that the trade of banking is rendered less lu-
crative or dangerous by adverse exchanges
caused by the necessity to buy food, he becomes
interested in the repeal of the Corn-law, and ad-
vocates a fixed duty.
His blame of the Bank of England smacks
of a similar origin. He has suffered in his own
pecuniary concerns by its conduct, and he de-
clares that ,c not all the wealth of India would
induce me to pass another thirty years of
such anxiety unless a change can be made in the
future management of the currency." Mr.
LEATHAM
the represemntaaytiv ien
ft htiislerebsuplekct
ofbethetakmeniddales
classes, who have " had their property de-
stroyed by the operations of the Bank,"

of those Merchants and manufacturers who,
calculating on a rate of interest equal to 4 per
cent., when the Bank made money plentiful,
had to give 8 or 10, on a sum amounting to
100,000,0001.; thus sacrificing amongst them at
least 4,000,0001. at the pleasure of and for the
aiety of the Bank ; and all these suffering classes,
like Mr. LEATHAM, tracing their distress to the
Bank—for they will never suppose that they have
been in error themselves—will probably be so
angry with that establishment that it will be
brought into great peril. As long as the mercan-
tile and manufacturing interests are prosperous,
the Bank monopoly may be continued; but un-
just in its nature, and pregnant with mischief as
it has been, whenever those great interests begin
to suffer the maintenance of the monopoly
will be impossible. It cannot, therefore, be
otherwise than that the money derangement in
America, producing distress and derangement
here, should bring on something like a crisis in
our own money affairs.

The picture which Mr. LEATHAM has drawn
of the resources of the Bank as above quoted, is
dark enough to make us tremble for the conse-
quences. A little panic in our money market,
caused by the stoppage in America, and by
the conduct of banks and bankers at home,
creating, in ever so small a decrree, a demand
for gold, would obviously shake the Bank of
England to its foundation, and leave nothing be-
twixt a stoppage and almost irremediable confu-
sion, but an Order of Council to suspend cash
payments. We know not, we say, not, that such
an evil is coming ; but with a stagnation in our
trade, with an expenditure far exceeding our re-
venue, with a people living fully up to their
means, and now saving little or nothing, we look
forward to the future, unless some bold and vi-
gorous measures to relieve our trade be speedily
adopted, with much apprehension.

At the meeting of the Town Council' of Edin-
burgh, on Tuesday last, a letter from the Marquis
of NORMANDY was read, stating that he had
thought it right, as well for the interests of the
Universityas for the promotion of sound Biblical
learning in Scotland, to recommend her MA-
JESTY to institute a chair of Biblical criticism in

the Edinburgh University; and to the astonish-
ment of the inhabitants—of all classes—a Com-
mission has been issueilby the Crown, appointing
the Rev. R. S. CANDLISH, Regius Professor, to
fill the chair. This Mr. CANDLISH has been one
of the most active in preaching and practising
open rebellion against the law of the land,
and was commissioned but the other day by the
non-intrusion demagogues at Edinburgh to open
a new church in the Presbytery of Strathbogie,
in utter defiance of an interdict of the Court of
Session, and in direct contradiction to the law
laid down by the House of Peers. Thus the
LORD-ADVOCATE (for, AS LORD ABERDEEN says,
he is supreme in Scotland), under the influence
and advice, probably, of his brother non-intru-
sionist, Mr. Fox MAULE, has conferred a pre-
mium on a rebellious priest, and thereby encou-
raged other reverend agitators to follow his
example. The friends of law and order in Scot-
land are in utter amazement at this outrageous
proceeding.

HOW TO EVADE A JUST CLAIM;

A NEW WAY TO PAY OLD DEBTS.

Only thirty-seven Members assembled in the
House yesterday afternoon at four o'clock, while
thirty-eight Members waited in the Library to
abide the event ofa House, or no House. What
excellent jockeyship ! How worthy of liberal
men, who would be honest but for their neces-
sities. Enough for the day is the evil thereof,
but trickery will not avail in the long run ; and
the Danish claims will continue to haunt the
Exchequer until justice, too long deferred, be
done at last. Your " thorough Liberal" makes
an excellent mock-Reformer, but a very sorry
Legislator.

In our City article of this afternoon will be
found a rumour of preparations making by Lord
PALMERSTON to enforce the liberation of Mr.
AULEOD;' still in confinement in the United States.
Ten sail of the line are said to have been ordered
to assemble at Gibraltar, and thence to pro-
ceed direct to the American coast, prepared to
act in case of emergency. We further
understand that Lord PALMERSTON has sent
instructions to Mr. Fox, our Ambassador at
-Washington, to demand peremptorily the imme-
diate release of Mr. M'LEOD. The affair begins
to wear a very serious complexion.

We have much pleasure in directing attention
to some excellent resolutions passed yesterday
at the Hammersmith Reform Club with refer-
ence to Lord MORPETH'S Bill. We cordially
agree in the sentiments expressed by the meet-
ing for doing " justice to Ireland." Until real
and substantial justice be done to that unfortu-
nate country, the word Union is but mockery,
and equal laws and equal rights but gall and
wormwood superadded to oppression.

The Paris Journals of Wednesday have all
reached us. The Moniteur publishes two Royal
Ordinances—one authorising various changes in
the judicial appointments of the interior of
France ; the other ordering promotions in the-
Marine Artillery. The National has a fierce at-
tack upon Marshal SOULT'S circular to the army.
In the Journal des Debuts we find some corre-
spondence from Affghanistan, in which the writer
predicts a collision between England and Russia,
and expresses his conviction that whenever it takes
place England will be beaten in Asia. The in-
habitants of our Indian empire are, he says, dis-
contented, and wholly destitute of that spirit of
nationality which the Russian boors displayed
when their country was invaded by NAPOLEON.
In the event of an invasion of India by Russia
it is not to be supposed that England would trust
to the valour of native troops for the repulsion
of aggression. And in truth from the very
necessities of our position, we begin to suspect
that there is a greater chance of our invading
Russia than of Russia invading us. We must
conscientiously admit that we are as aggressive
as our neighbours.
According to the U,sivers, the report which 'was circulated
of pretended negotiations to render Syria independent is without
foundation. That journal says, however, that the French Go-
vernment has entered into negotiations at Vienna, London, and
Constantinople, for the purpose of securing to the Christian
inhabitants of Syria all the advantages and all the guarantees
of the protection of France. We may easily foresee that these
negotiations will end in nothing.
The expedition to New Zealand has decidedly failed. The
Aube returns to France. Wherever Captain Lavaux appeared
he found English settlements and officers of that nation, who
were instructed to announce to him the sovereignty of Eng-
land in that country. Se% cral settlers who arrived on board
the Comte de Paris were landed, and resolved to remain, con-
senting to become British subjects.
We find the following notice in the Eco del Comrnercio of
Madrid of the 24th of February :
et ihv
egea
gdrgairtnsa
nhtt
reeaddde
crossyat
oy.
pb eofnof
Marshalrtßeii.l,3e
me sot
ordernesra
id Gadoyaef ,nr
Charlesahf?
ard oo m,
s tthholenen
s. hte
hna
rhps
eoooifsnf
atttmhho
eeef
Marshal Saldanha, the Ambassador Extraordinary
of Portu-
io
e
gQauleernec,
hSaspanbeishenM
leaving this city to return to Lisbon.
Baron Mortier, the Frenclipmbassador in Switzerland, has
arrived at Paris.
Great interest is felt at Alexandria respecting the person
who may be chosen to succeed M. Cochelet as Consul Gene-
ral. We know here that Mr. Roman Chabot is to succeed
him. We-doubt whether he will be thought at Alexandria to
possess the necessary qualifications. " Whoever may he the
person sent," says a letter to us, "we hope that the Govern.
ment will feel the necessity of sending a man versed in com-
mercial affairs. The moment is come when it is more needful
thtuanin
teovear for
ecounyall ctheetorehsoauvreceas
wCohienhsutlhiasblceoutnotrdyiscmovayeropateind
to commerce."--Le Commerce.
Behr'

,elgian and.
Wednesday's date, have
13 Journals, the former of
g extracts from
II
eTillellf.soltliolewyin
contain of anyfrie.oeme interesti vtehdein this:
include_m or morn-
ing. -
b3e.en given
ialln g t.
ardre,r3slAhaavceir are assured that within these
few A LT; Eo
to binder foreign workmen of ever
to the officers on the frontier
Belgium. Those who tray come by description from entering
the first opportunity. We find difficultitysare to be sent back by
Government can have taken such a
arbitrary, and if it should be taken might leadeasure, which is quite
by way of reprisal, of the great number to the dismissal,
now employed at Paris, London, &c. of Belgian workmen
Bituss.u.s.—Mr. Mter, editor of the Toll: der Vryheid, a
Groningen journal, who has been condemned to four years' im-
prisonment, has sought refuge in Belgium.
The Minister of Finance informs the public that
day the interest of the Treasury Bonds of 1,000
francsfrom and
above is fixed as follows --
Of one year's date air per cent. per annum.
Of six months' date 3 ditto
Of three months' date 2 ditto
Farm THE UKRAINE, FEB. 3.—The Commander of the
regiment of the 4th division of Cavalry, stationed in the Go-
vernment of Kiev, has received orders to increase the number
of their baggage-waggons from 32 to 48. We hear that all
applications to be discharged from the service are refused by
the Minister of War, and many young men have been unex-
pectedly promoted to the rank of officers. All these circum-