Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1831-12-06

TENNESSEE LEGISLATURE.
uOUSE OF REPRESENTATIVES,

'ON'h VI n IL hLcLAN u Eo
Report o. Mr. Broom, from The select committee Of The
House OF Representatives, against the reaetcai Of :hc
Charter ~ the United States Bank.
The Select Committee to whom was referred the reso-
luton against re-chartering the Bank of the United States,
and the Petition of sundry citizens of East Tennessee.
TO the same effect, have had the same under consideration,
and respectfully present the following Report:
They are fully aware of the magnitude of the subject.
and the improbability of their being able to present il i'm
any attitude likely TO ensure entire unanimity of opinion.
hey have, however, bestowed on it their best re1cc-
ton, and give the result without fear and without hcsita-
ton. 1t is understood, that at a late meeting of the Stock
holders, at their bauking house in Philadelphia il was re-
solved, at the next session of congress. TO make applica-
ton for the renewal of their charter. This is. therefore.
the last opportunity which will be presented in time 30
make known toour senators and representatives in Con-
gress, the opinion and wishes of this General Assembly
If the ~pToprety of our doing SO under such circumstan-
ccs Were doubted, an apology, and even necessity for such
a course, may be found in the resolutions adopted at the las,
session. They instructed our senators, and requested our
representatives in Congress, to use their best cxerions TO
prevent the renewal OF the charter, provided the question
was brought on before the present session, of the Legisla-
ture; and the people of the state were called on 10 make
known their opinions and wishes on the subject. To re-
main silent at the present session would imply q great
change of sentiment in the Assembly, or That the people
had given instructions favorable TO that institution. To re-
pei either inference, aud to make known our opinions
and those of our constituents, TO our public agents and
fellow citizens at large, seems to your committee, to be not
only in accordance with the examples of other States, but
TO be demanded at our hands by the pressing exigcncy
OF the occasion. In doing so, Tennessee will not now
be making known her sentiments for the first time
In 1919, she distinctly echoed back the voice of Penn
sylvania, who transmitted TO her the following pro-
position; "Resolvcd by the Senate and House Of Re
representatives. of the Commonwealth of PENNSYLVANIA i'm &C.
neral Assembly met, That the following amendment be
proposed TO the Constitution of the United States, TO witt
Congress shall make no law 10 erect or incorporate any
Bank or monied institution, except within the District OF
Ioiwnpia' ana every Bank or monied Institution, which
shall be established by the authority of Congress, shall, to-
gether with its branches and Offices of discount and depo-
sit, be confined to the District of Columbia" The Go
vernon having received this resolution, which had been
previously adopted by Pennsylvania, communicated the
same TO the Legislature of 1919. 1t was referred 10 a Joint
select committee, comprising an unusual proportion of dis
~tnguished talent, 10 Wit: VIM. l.. Brown, and Tho. l..
Williams of the Senate. and Messrs. Gr,lndy, Miller,
Mitchell, and Prewett of the House of Representatives.
Said Committee reported "that they did most acarnly ac-
cord with the principles of The proposed amendment, and
would strongly recommend a concurrence Herewith by
this Legislature They further reported resolutions in
our Senators and requesting our Representatives
in Congress, to use their exertons TO procure the adoption
the proposed amendments. The whole Report was
concurred in, rs far as the Journals of the Senate show,
a division. This reference to the Journals and
proceedings OF the Legislature ofASl9, is made in order
to shew, that the ground has been pre-occupied by our
predecessors, and that we are not now setting new exam
pies nor avowing any new principles in relation TO this In
stitution. Its true, that Pennsylvania, who twelve years
ago, inculcated these sentiments, has since then bowed
her neck in willing subsection to that very yoke which she
first taught us TO Spurn; but even that should be regarded
as another evidence OF the cnticing allurements and fatal
tendency of the Bank.
Your Committee do not propose to discuss the constitu-
tionality OF the present charter; nor TO consider how far
the declarations of Congress, the adiudications Of the Su-
Presidents in office, should be regarded as closing the
door against all further discussions. They cannot, how
ever, forbear advering TO what seems TO them, had it
been better known and more relied ON, at an early pc
Rod, should have been conclusive against its conStitu-
tionality. The question was, whether Congress, under
the Constitution, could create corporations, either public or
private. Such a power was no where expressly given, and
of course had 10 be claimed by implication only;-and that
too, on a very slender and indefinite expression, relative
10 carrying the express powers into execution. The his
tory of the times, and the very records q The contention,
shew, that on the 18th of August, 1877, sundry additional
powers were proposed 10 be vested in the legislature of the
United States: Among others, that Of granting charters
OF Incorporation, i'll cases where the public good may re-
quire them and the authority of a single State may be in
competent" The proposition was also presented in ano-
Their form; ''to grant charters OF incorporation without refer
ence TO their objects, or any limitations whatever These
and all other proposed amendments were referred TO the an
~propriatc Committee, who on the 1ith of September made
their report. When made, it was not passed over slightly
or inattcnively. 1t was read, debated by paragraphs,
amended and agrcedto. On the question to confer on Con-
gress. the power to grant letters of Incorporation, il was de-
cidcd in the negative; Pennsylvania, Virginia, and Gcor-
ga only voting in favor, and New Hampshire, Mas5achu-
sets, Connecticut, New Jersey, Delaware, Maryland,
North Carolina and South Carolina voting against confer
ring the power. This historic fact, now more distinctly
and generally known, ought not and cannot fail to have a
decided influence in all future discussions OF this great and
important question.
The power of creating operations, elsewhere than with
in the District of Columbia, has never yet been claimed,
except in the instance of the United States Bank:-But
if it exists in that case, it is difficult TO discover any suG-
ficient reason, why it does not equally exist in creating
great monied corporations within the different States, for
the captivating purposes ofinternal improvements, or the
no less specious ones OF encouraging domestic manufac-
lures. Suppose a company of individuals should ask to be
incorporated by Congress, with exclusive privileges to re-
move all o5struclions TO the navigation of our rivers, and
to make turnpike roads between all our principal cities, for
which they might engage in the charter, to transmit, free
OF all charge and expense, all the munitions Of war-to
convey the mail and TO give the greatest facilities TO the
commerce of the United States. Here would be n most
advantageous proposal To the Governments; aud Congress
having express power to regulate commerce, and 10 esta-
blsh post offices and post roads, might be persuaded that
such a corporation was both necessary and proper to car
ry those powers into execution. Let us suppose another
case of individuals incorporated for the purpose of cncou-
raging domestic manufactures. They might agree, that If
Congress would impose such a duty rs to amount TO a pro-
hibiton on all foreign merchandise, they would engage to
furnish without costs, all the arms, clothing, sc. requir-
ed for Inc use Of The army and navy of the United States.
This too, might be called a necessary and proper means,
to carry into effect the cypress power, "o raise and sup
port armies" These, and similar cases, bring the pTinci-
pie, In full view, and any attempt TO exercise such pow
ers, would revive the constitutional question with n new
and stirring interest, and awaken the public mind, to the
appalling and overwhelming consequences TO the indcpen-
dence aud sovereignty Of the States.
Passing. however, from this branch Of the subject.
without expecting This General Assembly to express any
opinion on the question of constitutionaity, your Commit
tee will proceed, with as much brcvity as possible, 10 an
enumeration OF some OF the prominent reasons, which in
duce them to report unflyOrably TO the renewal Of the
present charter of the Bank.
LIST. We are opposed to IL, because the present charter
bcstows peculiar and extraordinary privileges to the pre-
sent stockholders, who at its expiration will have enjoyed
the same. over all the other citizens Of ths u. States for
twenty years. To renew these exclusive privileges, for
the same or longer period, would seem like enabling them
to monOpolize am undue proportion oil public favor and pa
tronarc. One Of these consists in the permission 10 make
issues of paper, to two or three times the amount Of ocfW-
al capitai. and to draw interest thereon in like proportion.
by law. not to exact more than the legal rate Of interest,
whilst those. who compose this corporation, are exempted
from that law, and by a kind Of legal magic, arc permitted
to draw two or three times as much interest. az other citi-