Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1816-03-02

that money IS beyond the Conrol oil Con
gress. y one, he saii, who TeiVirsd to
the constitution, could doubt that the mo-
iey Of the United st ties WAS intended TO
b- placed entirely under the control oi
Congress. The only obi-ct the trainers
OF the constitution could have in view in
giving to Congress the power Ito coin mo-
| ney, regulate the value thereof and of TO-
| reign coin. must have been, TO give a stea
dineSs and fixed value to the currency OF
the United States. The state of things
At the time of the adoption of the consti-
tuition, afforded Mr.. &. an argument in
support of his construction. There then cX
isled, he SAID, a deprecated paper cur
rencv, which could only be regulated and
| made uniform NY giving power Tor that
pur ,o'c tn the general government ::
The states could not do it. He argued,
therefore, taxing into view the proh.biti.n
against the sta es issuing bills OF credit,
that there was a strong presunpUon this
power was intended be exclusively gil
ven to Congress. Mr.. G. acknowl' dyed
there was no provision i'll the constitution
by which states were prohibited from Gre
atlng the banks which now exercised this
power; but, he said, banks were then but
little kn0wn-there was bue one, the
bank of North America, with capital
opiriOn was, that bank notes represented
gold and silver, and that there could be no
! necessity to prohibit banking institutions
under this impression, because their notes
always represented gold ani silver, and
they could not be multiplied beyond the
demands OF the country. Mr.. G. drew
the distinction between banks OF deposit
and banks OF discount, the latter of which
were then but little unders.ood-and their
abuse not conceived until demonstrated
by recent eX. erience. No ,nan, he re
| marked, in the Convention, much talent
| and wisdom as it contained. could possibly
| have fores' en- the course Of these institu-
| tons; that they would have muit.piel
from one tn two hundred and sixty iIom
a capital of 400. coo dollars, to on: of c GIL
| ~ millions /; from being Consistent with
the provisions of the constitution, and the
| exclusive right OF Congress to regulate the
currency, thai they would be directly OPP
| posed 20 it ; that so far from taeir credit
| depe ndng on their pun, tnaiity ~ re deem
| ing their bills with sperir, they nignt gO
| on dd infnitWm in violation Of their c.n-
| tract, without 4. liar ia their vaults -
| There had Indeed, Mr. G.. said been an
| eXtraoi dnnry revolution IN the currency
| OF the Cuntiy. Ey sort Of uad r-Currtnt
the power of Congress to regulate the no
ney OF the country had CaVed in. and upon
| It's rum had sprung up those institutions
which now exercised the right OF making
| money for and in the United States-for
| goid and silver are not the only money but
| whatever Is the medium of purchase and
| sale, in which bank paper alone was now
| employed, and had, the rcfore, become III :
| money of the country. A change, great
and wonderful has taken place, sad lac,
which dvests you of your rights, and
| turns you back to the condition of the
| revolutionary war, in WHICH every state
issued bills # credit, which were made
| legal tender, and were of various val
ue
This then, Mr.. c. said. was the evil.
We have in lieu ct gold aod silver paper
medium, unequally but generally deprc-
| CT ted, which affects the trade and industry
OF the nation which ptralzes the nation
al arm which suilcs the filth, both pub
lie and private, of the United States a
| paper no longer resting on gold and silver
| as its basis We have indeed laws regula-
ting the currency of foreign coin 4; but they
| are under present circumstances a mocke-
| ry OF legislation, because there is no coin
IN circulation. The right of making mo-
ney, an attribute OF sovereign power, a
sacred and important right, was excrci-
sed by two hundred and sixty banks.
scattered over every part of the United
States, not responsible to any power what
ever for their issues Of pap r.. The next,
aud gre At enquiry was, he said, how
| this evil was to be remrdiedI Restore,
said hP, these institutions to their original
use 4; cause them to give up Their u>urped
power; Cause them u re,u;n 70 Their le-
| gitlmdte Office of places U discount and
deposit let them he no longer mere
! paper machines restore the state of
| things which existed anterior to 1915,
whic h was cons stent with the Just policy
and interests 81 the country cause them
| to fuihl tlIeir contracts. to respect their
| broken faith resolve that every where
| there shall be an uniform value to the ma
tional currency your constitut onal control
will then prevail
How then, he proceeded to examine was
tins desirable end II be attiinedf What
difficulties st Of III the way The re son
why the banks could nor nov comply with
their contract, was that con luct which N
private life, frequently produces the same
oil It IL wa 0wtAG 10 the prodigahty OF
their eng gehcnts, without means 20 tul.il
then 10th II issuing NOR paper than they
could possibly rcdeem with specie In tie
u. States, according tn the best estimation,
there were MT il the vaults of all the
banks more than - millions of specie, with
capital amounting to- about 81 millions of
doll IRIS hence the cause uf the deprecia
hCn ct bank notes tine exc ss OF paper
III circulation, beyond that of specie in the r
- l., 81,