Phenix gazette. [volume] (Alexandria [D.C.]) 1825-1833, 1832-06-09
SATURDAY, JUNE 9, 1882.
CONGRESS

The Senate, on Thursday, proceeded to con-
slider the Bill to modify and continue the act to
INCORPORATE the subscribers to the Bank OF the
United States.
Mr.. White rose to address the Senate IN OPP
position to the bill. He was OF the opinion that
the stockholders of the present bank had less
claim on the Government than any other class OF
Sitizeus The proportion OF stock held by To-
reipuers in this Bank, he seemed to consider as
strong objection to the continuance OF the char:
tee; because the foreign stock excluded an equal
amount Of domestic capital which was seeking
investment. Again, he objected 1.-THE Govern
ment holding any stock in the Banks and were
new Bank to be established. he would not allow
the Government to hold one dollar OF the stock.
He was opposed to the Government becoming a
party in partnership with citizens, BY which the
profits Of the concern were to enure to a lew mo-
nopolis,s, concerned with the United States, who
could not have made such profits but IN cOnse-
ouence of their connection with the Government.
And il such monopoly could, with propriety,
have been created for one term, he could see no
reason why il should be renewed for another
term of years; aud for the benefit of precisely the
same individuals, to the exclusion Ut all the re-
sidue of the community.
He threw out the idea that in the arrange
ment bv which charter was given to the Bank,
the people had the worst OF the bargain. Whe.
ther the administration of the Bank has been wise
or unwise; and whether its operations have been
useful to the public or not, could not, be con-
tended, be ascertained, unless the Bank was
now compelled 10 wind up its affairs, to call IN
its debts, and see what are good and what are
bad; and by this process to enable the public to
Judge whether it was right to trust the same per-
sons again. 1t was always considered prudent,
~,.t. Sea- spIix .lu al m orr
sionaily close up his concerns, in order to see
how he stood. and whether he had been carrying
on a profitable or an Improbable business. -
Holding this opinion. he would, even were he IN
favor Of reneaing the charter, he opposed to act
inc on the question row. The Bank charter
had suli four years 70 run, and after that, two
wears was allowed to sue and collect debts
And no one could tell what would be the cODdi.
ton of the country three or four wears from this
time. The only reason which had been, or could
be assigned, for urgnga decision now, was the
necessity of having time to wind up the extern
sive CONF ems Of the Bank. Viewing the paper
of this Institution as business paper which was
regularly paid, he no difficulty which could
arse in closing the concerns OF the Bank. The
debtors of the Bank knew when their paper be-
came due, and were prepared to hit 1t. But he
presumed the time was required, because much
was only lifted by substituting new paper for
,he old, system which, if suffered TO continue,
must result in the ruin of those concerned, and
in general change of property.
In the reports of the House Of Representatives
we have had some specifications which threw some
light on the nature Of the business carried on by
the Bank He knew not on what principle a
loan could be male Of $4,000 to an individual,
payable SIX months after the expiration OF the
charter. There was large trade In domestic
bills of exchange He looked at much Of this
paper IS without value. He believed that many
of these bills were nothing but accommodation
bills, taking the form of bills of exchange. tie
adverted to the process by which these notes we're
continued from time to time, and the ruinous ope-
ration of this process on the affairs OF individuals.
As the Bank, at every renewal, obtained some
new sacrifice from its debtor, he considered that,
Of all contivances for making men in tolerably
good circumstances good for nothing, this was
one of the very best. lie adverted to the exer-
tons made by Mr.. Chevss, by means Of which
the Bank had been preserved from destruction,
in consequence Of the previous mal-admnistra-
ton of its affairs. Surprising that every thing
which had been said of the ability and integrity
of The present President and Directors was true,
what security vas there that they would remain
in Office a day Iongers There could not then be
any security that the present good management
would continue.
The original object of the Government IN char.
teripx the Bank was to restore the soundness OF
the currency. Now he contended that, by put
ting in circulation drafts which had not the sig.
nature Of the principal officer, one of the chief
guards imposed by the charter had been a1an'
doned. He considered the issuing Of these drafts
"a an evasion of the statute, which had been un-
satisfactorily accounted for, and insuficenty de-
Tended. He went at length into the operation
of The Bank drafts, which he said was to draw
the money from the West and to give it to the
East. aud thus to establish an entire paper cur
rpncy in the West. banishing all specie out Of
that part o. the county, BY putting these drafts
in circulation at a distance. the Bank, according
TO his belief was enabled to put more OF Its capital
nut At discounts, besides throwing an additional
ouan,i,y of paper into circulation. He admitted,
I-~. - that there had been no practical incon.