Alexandria gazette, commercial and political. [volume] (Alexandria [Va.]) 1812-1817, 1816-09-13

| the eye in every direction, at that peri
cd, except the industry Of brokerage and
| of money changing, forbids all doubts o.
| the subject.
This lalnentable state of things, and
| the gloomy prospect that presented itself
Ito view for the time to come, induced
| the banks of this city, about the close of
| the month of April, TO enter into reso!u-
Itions to change their system, and extend
their discounts Tor the relief of the trading
and commercial part OF the communi-
ity.
The wise and sanitary measure stopped
1.-THE progress of the destroying angel.
Bankruptcy and ruin, which are making
rapid strides, were arrested in their de-
|structiye career. Confidence, as 1t were
by miracle, was almost instantaneously
restored, even without waiting for the 0.
lperatiqn>of the new system. The mere
pledge ofthe rejection of the old one re-
moved the disorder that was proving on
! the public prosperity. Men ceased to be,
llieve in the PROBABILITY Of a general bank
ruptcy, and those who had money, and
who had grasped it close, once more ven
tired to allow it to 90 into circula-
! ton.
J. The system of extension of discounts
(which produced such beneficial effects.
has been since Observation-Disclosures 'uere-
lly abandoned, but the system Of retrench-
,nent has been again adopted, the desc
Hating effect, Of which ere obvio to the
most superficial observer. Our citizens
are pressed n reduce then. bank ENGAGE,
ments, while they have heavy business
debts to-meet. and while, through the en-
barrassments of their debtors, large por-
ton of them are at present utterly desti.
Itute of means, although perfectly solvent,
if ONLY treated with moderate degree OF
indulgence.
To enable you to decide upon the wis.
dom of the recent alteration, it is pro-
per to inquire, what was the situation of
the trading void in ApriI-what were
Il the motives that led to the plan adopted
tat that period-and whether any differ
ence exists at pfesent, that warrants sol
complete reverse of system
In April last. there was little or no ba
siuess doing-cur merchants and traderSI
|wera under very heavy eng 5ements, All
those who were indebted to them, we're
lin general III able to pay their debts.
And therefore, persons possessed OF con-I
siderable property, who had immen,s
sums due them, and whose debtors Wefcj
perfectly solvent, we're actually unable to
discharge their engagements, without the
most ruinou, sacrifices
This was the depressed state of trade
and commerce. 1t now remains to as
SIGN the motive that led :ae bahks to eN
lie ID tFeir accommodates. This was, asI
I Rave STAYED, 70 rescue the trading Woid
from impending destruction.
1.-THE nresentsituation OF our mercha is !
and traders be az delicate and dangerous
as 1t was in April if their resources be /
SO locked up that they cannot rely ont
them for the discharge OF their engage
ments f: if they be dong little or no Da-|
stress, and receiving hardly any money!
IAN it be right, gentlemen: can 1t bel
il,st can it be consistent with humanity: !
With duty to your fellow citizens Or tot
the institutions cver which you preside. to |
5dopt in August system, the annpode|
of that which a similar state Of affairs !
loudly called for, and Which operated 50
happily and benefciaiiyin Apii?
Gentlemer. this is serious, solemn
question. Consider it well, and answerI
it hoaestly and fairly to your consciencesi
and to yourleow citizers. |
Did not, / say. the existing distress, e
the awful pmspects in April require AZ
extension of discounts Is not the pre-
sent distress equally great, and the iu-
ture prospects at least equally gloomy I
What adequate reason, then, can be as
signed for system SO totally and diamet
really opposite |
Such of the gentlemen belonging toi
your boards, as am acquainted With, at !
tempt to Justify the existing system byl
their apprehensions of the tremendous
Bank of the United States, the operatidn
of (which they presume to be pregnant |
with ruin to the State Banks. 1t will,|
thes believe, in the event Of fesuming
specie payments. speedily absorb all the
specie from the other banks, and thus re-
duce them to bankruptcy.
Fear is miserable counsellor. 1t does
not merely magnify danger, but gives bo-
dy g substance to thosewhich have but an
ideal existence. Those VINO submit to its
lit tinn bid adien 10 reasnn and Cam