Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1816-03-09
HOUSE OF REPRESENTATIVES,.
DEBATE ON THE BANK BILL.

ueSudy, REQ. II.
Mr.. SERGEANT then addressed the
chair, i'll support of his melton, to reduce
the proposed capital of the bank. In re-
ply to Mr.. Smiths expression of surprise
at his having made this motion, he said,
it was no reason why representative from
one part of the country should not move an
amendment to bill, that the bill in its
present shape, was more agreeable to a.
mother section. Mr.. Sergeant said, he had
made the motion for two reasons first,
because from the shelving of the gentleman
from 5. Carolina, the banking capital of
the country was already large enough &
secondly, that he might have an opportu-
nifty OF hearing gentlemen explain their
views on this subject, which he believed
was the correct mode of procedure, when
members could not see their way very
clearly on any ubject-particularly,w when
it was proposed to legislate without the
power OF repeal for twenty years to Come,
and when that legislation was to create a
| vast machine, the direction of whose mo-
mentum is to be put into the b lnds of we
know not whom. A similar question, less
| extensive in lis nature, on the proposit on
| to renew the charter CT the bank OF the u. S.
! had agtated the country from one extreme
| of the Continent to the other, and Congress
particularly. This agitation had been so
recent, that the proposition of similar
| character ought to give rise at this time 20
serious reflection at least if half that
| had been then SAID on the subject was true.
! The pre- sent MEASURE. Mr.. >. said, presen-
| ted itself to him in an infinitely worse as
| pect :han that 10 which he had referred ;
| and the two gentlemen who had discussed
| the question had shewn, that the best in
! formed and most Jealous in favor of the
| measure, did not understand its bearings,
or agree III its effects or principles, &c.
| The question was veto be decided between
| those gentlemen, he said, whether this was
| to be specie or paper bank, but, for his
part, he protested against the establish
ment Of any bank, which was not from the
| beginning a specie bank. He saw wide
distinction between the bank now proposed
| to be established. & the old Bank of the u
| S. the object of the latter was to increase
| the active capital of the country, and to
| facilitate the operations of the government
in the collection of the taxes, whilst the
motive of this bank was directly the re-
verse--it was not to increase, but to di-
min,h the paper medium of the country.
| The surcharged circulation of paper, MIR.
s. then argued, would not be removed, by
| throwing III the additional quantity of pa
| per to be issued by this bank. The great
extent of the proposed capital of the
bank, three and a half tines that
| of the late Bank OF the United States,
| (wi,h the privilege to Increase it to five
times the amount,) imposed it as a duty
on those who advocated it to shew the use
| of so large a capital. In answer to the ar
| gument, that our commercial transIcticns
| had increased since 1871, in the DroDor-
| ton of FIVE to one, MIR. s. said 2 ntlernen
| appeared to have entirely lost ght Of a
consideration which was essential in the
discussion oftk subject. that IN 1871, we
! had but three banks, and now we had two
hundred and sixty, supplying a capital of
| more than twenty times the amount then
in existence. This additional capital was.
therefore, he argued. not necessary to the
| purposes Of commerce. As the means OF
establishing an uniform medium Of circula-
ton, Mr.. ). contended, that a capital of
twenty ni lions would be large enough for
| any useful purpose, and would be able to
throw into circulation larger amount than
that OF Deprecated paper, which the gen
! tleman from S. Carolina proposed to with
draw from circulation, in order to appre.
Gate the notes OF existing banks. This
bank, established on true commercial prin-
ciples, and such he wished it 20 have
would De guided by that instinct of gain
which the gentleman had ascribcd 70 ban
king Institutions, & with 4 capital of TWEEN
~ millions. would do business quite ex
tensiyc enough TO answer any useful pur
poses.
Mr.. s. further obi ected to the plan
the bank embraced in this bill, that Their