Virginia Argus. [volume] (Richmond, Va.) 1796-1816, 1816-05-08

DStWtcu government ana tile state
banks extending the indirect influence of the
bank, winch ad been of ell compi. ne of to al.
rect influence; and instead of compelling the
banks 10 sell their public stick and meet the
engage tents, would mere sc their means of re.
ssting the measures to coerce them into the
payment of specie, &c.
NJ. Barbour replied to Mr. Robertson, and
defended the amendment on The ground of the
great assistance it would afford to the commun,
ty in meeting the state of things VIII CHI must take
place under the pressure inevitably created by
the banks in re urning to specie payments his
desire to resort to mild means its accustomne.
the people to give credit to paper issued under
the authority of government its embracing and
assisting those banks possessing no public
stock &c
.lfr. Cadv spoke against the amendment. 1t
would be reioaning the public funds at i've
per cent, while the government was borrowing
at seven would be collecting the revenues of
the government in its own paper only, and de-
feating the object of laying taxes; that il would
tend to depress our stocks in Europe that it
would be better to give credit to those indebted
to the government at SIX per cent. a year that
no bank would borrow these notes VIII ch meant
to pay tor them as IT would be giving five per
cent for notes To lend out to its customers /; and
that the issue Of fifteen millions, if they could be
Kept in circulation, would drive specie out of the
country instead of drawing it thinner, &c.
Mr. Tucker moved to fill the blank with fen
m II ons
Mr. Calhoun replied to the arguments AGAINST
the amendment He had no idea the banks would
resume specie payments willingly they would
so into t only because they would see inevitable
ruin i" re using but they would be compe lei BY
to embrace the measure, he wished to give them
ample means
Mr. Cnfhbert made some remarks in favor of
the larger sum. Fifteen millions might be used
for other purposes than in loanng 20 the banks
might be applied to the purchase of stocks to
loans 10 ind ylduals. &c.
The motion TO fill the blank with fifteen was
lost ayes, So, noes SO.
.lir Tucker then, for the present, withdrew
his motion; and
The question on agreeing to the first section
rs an amendment, still IN blank, was carried
ayes, So noes So.
Mr.. Tucker renewed his motion to fill the
blank with ten Millions
Mr. Hebster sta ed some objections to the
prov IN It's present shape. He should have
no unw'lllngnesS to authorize an issue of treasu
~ notes IN another way TO make them payable
10 the public creditors ne thought would be Dre-
feraoie o the manner contemplated, &c
~lfr .NeT0tOn moved The sum of thirteen
.Hr GrosuelO then rose aud sta. ed his obiec
tuns 10 the proposed issue of treasury notes
| Which he viewed a. the first attempt vel made "a
creaIe paper currency for the country In h :
| lght Mr. 6. discussed the subject at much
! le' h-argung aga nst an exv eriS e t so daupe.
rnus in principle, and which universal exper enc
| Proved would always end in deprecated cur.
| rency, however feasible it might appear IN time
| ct p ace and ranq lily. When he c,ncIuded
| The question OH filing the blank with thirteen
was negauved-ayes, SO, noes 90 and the cues.
ton REQUIRED on the sum of ten mill ons
| Mr. CHthbers then repi ed TO m Grosvenor
and to the arguments grounded on TIE presump.
! tlCn mat THIS measure - he
one snd contendng that AS he Jvernmen, had
| oy long usuage given credit to the o. esent ua
per, making 1t in fact the currency of the CO m.
| try, 1t would be wrong suddenly 10 dscred, this
| paper add des roy its value IN the communi,v
without supplying the country with some hin,g
as a substitute. He viewed the proposition IN.
der discussion as one winch would produce ,he
| happiest conSequen es,
lhe ques ION was then taken on filling the
blank with ten and carrled-ayes sc
| Mr. Ue6ster moved To strike cut of the 5th
section the words /" to the bank of the United
Sites !. which, af.e some discussion was a.
| greed TO.
Mr. SmM of Md moved to fix the amount Of
interest to be required Of the banks, at three
per cent per annum and supporle hs motion
al some length, entering somewhat into the 20 +
eral question OF the expediency OF the mea.
| sure.
MIR, Calhoun moved to fill the blank with fue
per cent. and replied at still greater length than
| before, tn Messrs Grosvsnor, Robertson and
hers, who had sPok ken in opposition.
MIR. RobertsOu moved sic per cent. and added
some remarks in support OF the opinions he had
| advanced.
After some further discussion, the motion to
NIL the blank with Sir per cent was carr, ed
| ayes SIS, noes 50.
Mr. &e6ey moved an amendment which
would c"nii"e the loan of these treasury notes to
such banks only as hold no stock of the Unit ed
Stat -Negatived-ayes As.
The sth section was then agreed to-58 TO 81
| Mr. nan then proposed to amend the bill by
! revving and adding thereto the former fourth
section, which imposed high stamp duty ON
| The notes ct the banks not paying specie on the
| day specified which mot on Mr. VI made some
remarks in favor of.-statng his object 10 be to
give the solvent banks an opportunity Of pavipo
specie, and ofputting down tho that could NOT
pay which could only be me by the provision
he proposed to renew.
Mr. Tucker agreed with Mr. Hall, in some de.
gree and proposed to modify the amendment
by making il an uniform stamp duty of 10 nor
cent. on all notes issued by the DELINQUENT
banks
Mr., Root spoke against the motion to renev
the section; and disputed the power of Congress
under the constitution, TO adopt such q measure
winch was of the nature Of a penalty, and in,
tended as punishment that could not CONSTITUTE
onallyb be inflicted on the banks
Mr. Randoim also opposed the adoption Of
tms section, to which nothing similar could be
found IN the code of any nation under the ann
lie argued against the measure at some length
and condemned it as anti-republcan and dan
gerous--as adding, to the power and PATRONAGE
OF the Secretary ofthe Treasury, al, eady too
great, discretion dangerous in the extreme
aud N effect max ng his will The measure Of taxa,
ton, &c.