Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1830-05-07


power, more liable to be sbused-can scarcely be
imagined. Ii FIVE millions Of dollars were apripslIv
aced in IN han'- of the Secretary OF the Treasury
to be distributed his discretion tor the purposes If
ut rnal improvement, i, would net invest rim with
" o. dangerous and corrupliug power
- IN connection with this hrauch Of tie subject tho
COMMITTEES will bri ~ examine h grounds Of com
amt sometimes made against he Bsnk OF The United
states 1t is legged that his Bauk avaug itself of
ne Government depotes,conss,ing IN places prin
cpllIy OF local p per, makes heavy and opprsssve
drafts on the local Bants foe specie audi thus eompea
'he" to curta their DISCOUNTS the great Injury of tbs
community. In the first place. il is 10 he remarked
that OF the highest duties of the Bsnk-,h. great
object for which OBSERVATION-DISCLOSURES TO prevent the
excessive Issues Of lcal paper and this duty can only
De performed, by enforcing upon the State Banks the
;s'yment o specie Tor any excess in their Issues
But, The Committee induced 10 believe that this
complaint is principally owing. 30 lar it exists
10 the tac that the operaion OF the Fede, Treasury
are mistaken for the operations of The Bank, cause
the Bank is the agen, by whom those are per
formed This institution receives the Government de-
potes, in the paper OF the local Banks certainly in
spirit oil hostility TO those Banks On the con-
uary' it tends TO give them credit, and is de-
signed TO have that effect But, the Bank of the Unit
eu states not only bound TO pay in specie or its own
bills" what il receives for the Government in local pa
per- but to transfer the funds any part of the Union
where they may be required for disbursement Let IL
be assumed, that the Government collects annually AZ
the Custom House in Charleston, million of dollars
In cal Bank notes and disburses in South Carolina ony
one hundred hou'and ii would result frou this that
ne Governmfn nj would have nine hundred thousand
dollars nj local Bank paoer deposited in the Charleston
nrahch which the Bunk would be bound by lis Charter
ana Tor the national benefit TO raner perhaps to WASH
ingon or Norfolk As This paper would not answer the
purposes OF the Government al those places the Rank
Womb BE- OF course compelled TO provide specie or
oIs that VIII command Gle at those places IL IL
obvious, then, that is the inequality in the collection
and disbursement Of the revenue that produces tho evil
IN question. II all the revenue collected in Charleston
were IishrrseI' in the State drafts would be made
upon The local Banks for specie. The Bank of the u
states, so lar from being Justly obnoxious any COM
plant on this score has greatly mieaed the action of
hv NJ ,ha
liberal arrangements. which large capi,a and hume
rous branches, have enabled il 10 make with them The
d1gee In which that institution has eiuced the rate of
exchange may be be fatty assumed as that i'm which IL
has tigated the action OF the Treasnry upon the State
banks. H. for example, there existed no National
Bank and the deposites Of the revenue collected in
Charleston were made in Of the local Banks what
would be The effect of transferring annuay nine bur
dred thousand dollars Washington and NorfolL, The
local Banks having 10 branches at either of those pIa
ces instead OF transmitting drafts, l. now generally
done would he compelled TO transmit specie. The
Bank IN which the Government deposi,es were made
would consequently be under the necessity of demand
ing specie, from all the other Banks, in manner and
10 an extent, much more oppressive, than any thing
mat can be imputed 10 the Bank of the United States
H. TO avoid these spece ratts the local Banks .bonld
purchase bills on Washington or Norfolk thew wouId
probably cost hve or six per cent in tolerable
stae oil The currency, which would be a loss TO the
Banks, almost to the full extent of the premium
Although the eypediency of renewing the Charter
OF ne present Bank is not question submitted for
me decision oil Congress, the Committee consider il so
Tar involved in the matter referred them as TO render
their duty to present some an
that question: in addition TO what thew have said IN the
general expediency Of maintaining such an institution
III National Bank, similar TO the present be neces
sary and proper agent for the accomplishment of the
great purposes heretofore indie ated the only remann
question would 10 be- whether the Charter nj tbs
present stockholders should be renewed or ne self
OF stockholders Incorporated.
Ia considering this question Conoress will of co,,.
he governed in degree by the terms on which the
present stockholders will agree to accept renewal of
her ChaTter But, as the Committee have satsfacto-
hat -
tageons TO the Government can be obtained they will
proceed 10 some other enquiries. What then would
We .e eect oil refusing to renew the present Charter
anu 10 the misplace, what are the induce nts for pur-
suing that course? r
Is sometimes alleged that the present stockholders
are large capitalists; and, the stock OF the Bank is
some ~ per cent above par, that a renewal If the
Iharter would be equivalent to a grant TO tn m Of %
per cent upon their capital 1t ia true that email
proportion OF the capital OF the Company belongs to
very wealthy men. Something than two millions
OF that owned in The United States beones n persons
hodIng upwards OF one bundled thousand dolla. Zach
L. Is also true that foreigners own s.vsn ,iI,on 49,
ohe-hth oil the capital. Bat, the other hand i, i.
to he remarked, that the Government in rust for 10
people OF the United States holds seven millions; hat
persons owning less than FIVE thousand dollars each
hoh ionr millions six hundred and eghtv-two thousands
am that persons owning between five and ten thousapd
dollars each, hold upwards Of three millions II b also
worthy oil remark, thst very considerable portiop of
the s'ockvery nearly elk millions-is held hv t,,s
tees and gu 'rdians for the use of females and orpbao
children and charitable and other Institutions OF the
, 2 owned
lnd'Vidpls, only three millions four hundred and Ghy
hree thousand il now held by the original
Az the rest has been purchased 81 the market prices
trge portion oil it, probably, when those prices vera
hRher than al present Most Of the sment s made
ny wis and deeds and DEGREES in equity for IN use
o Iemaes and miners, believed TO have been made
"heh me stock was greatly above par From this brief
ahays' II viii appear that there nothing in the char
dcer or flnaiion OF the stockholders which should
make " desirable to deprive them of the advantage
which ihey have fairly gained, by an application of
heiF capital, 10 purposes highly beneficial as the Com
mHtee have attempted 10 shew to the Government and
people Of the United States n foreigners own seven
hions OF the stock OF the bank, orr own government
owns as much; II wealthy own more than two
mliIons, men la moderate circumstances own between
seven and eight millions; and widows orphans and in
suu,lons devoted TO charitable and other purposes own
nearly six millions.
But the objection, that the stock is owned bv men NJ
large capital, would apply with equal, if not greater
Ioce' 70 any Bank that could be organized In The We
~ nature OF things, who have large surpus CANT
ta are the principal subscribers the first organza
uon OF Bank Farmers and planters, merchants and
manufacturers, having active employment for their
capitals, 20 not chonss IN he the first adventures in
Bank project Accordingly, when the present RANT
went lEo operation, IL believed that most of the CANT
ta was owned by large capitalists, and under a m,Jch
more unequal distribuon than exists al present The
large amount OF stock held in trust for females and
mnors, has been principally, II not entirely purchased
since the Bank went into operation; and the same re-
marx s generally applicable to the stock in the hands Of
small holders. IL IL only when the character Of tba
Bank ~ tully established, and hen ifs