Constitutional Whig. [volume] (Richmond, Va.) 1824-1832, 1832-12-21
244,lO7 90
S2,O94,OoO 90

not eueCtlyc sum OF ,4UU,UUU
And the Danish ndenl-
nifty Of 694,00
Making tito actual deficiency 449,S92 o.
The Danish indemnity is the money which Den.
mark pays TO private citizens. Tho government
holds 1t In trust, and has right to dispose OF it
mat this is correct. appears by what the Secrear,
himself says of the French indemnity: .'In the
year 1885," says he, "thc first instalment payable
under tho convention with France for indemnities
"to American citizens will also be received into
"thc Treasury, though ii iciH torn no part of the
disposabLs means" Now, if a French indemnity
forms no part Of the disposabe means, why docs a
Danish indemnity? Yet it is with this Danish in
dcmnity that the Government is paying its own
debts. The actual state of the Treasury then, &C.
cording to this report will DC the lst January
clearly this
If the monies belonging 10 tho Government be
counted, there is deficiency of Si49, 600. Ii the
Danish indemnity-thc money of our citizens pla.
ccd In the treasury for safe keeping, be used the
deficiency will be only S6i5 81; and if another in
s'alnent OF their private property be collected
will turn the balance in favor of the Treasury to
the amount of S24t, l07 90. In any event there
is obviously deficiency OF funds really bclon ging
TO the Government. This is mentioned to show
how much more destitute of means the Treasury
would have probably bocn but for this very arrange
ment about the three per cents, which facilitate ted
the payment of the debts duo to the Government
But the state of the case in July last was this.
The Government had engaged to pay fifteen mil
lions OF dollars, of which between eight and nine
millions were payable to Europeans-and being
uncertain whether it would have the means of pay
ing, requested the Bank to withhold portion OF
the claims upon it. This determination to pay
without the certainty of being able to pay, was
made at the moment when the Cholera was in n.
DIRK and Philadelp hia, and threatened the total
prostration of the business of the country-invol-
wing of course great hazard to the revenue, of
which twelve or thirteen millions of dollars were
payable between July and January. But the Bank
of the United Stat IS from its intimate come xion
with tho foreign and domestic commerce of the
country, has always endeavored with particular
sohcItude, to accomplish the great objects of pro-
tecting mercantile credit, and securing the payment
of the revenue
If the Bank could have Cisregarded those great
interests, nothing easier than make its debt
ors pay their loans, however announcement 10 them,
But at moment of general distress, such n mea-
sure could not fai! to DO extensively runous. 1t is
easy for the Government, when it has fifteen mil
mons OF revenue scattered over the whole country
to direct that givon day many millions shall
be paid at givsn place. But as in monied sys-
tom these millions not accumulated in the
Bank-but lont out 10 be used by the citizens until
they are wanted, the detail of thus Withdrawing
them from business, requires the greatest precau
hon or INFINITE injury may be done to the commu-
nifty. 1t was with his view, and with this view
exclusively, that the Bank, in order weaken the
pressure of so eXhausting a drain upon the coun-
try at period ofgcncral dismay, thought it would
be useful to obtain the control of from three to
i've millions held in Europe, of most of which the
Bank was the agent, until the business Of the
country should have time to its usual course
and the community might recover from it's
con fusion. AS the LIST of October was so near at
hand the matter did not udmit of proracted corros
pondencc, and therefore of the Directors Of
the Bank was requested TO manage it in person. Hc
did so, and the arrangement was follows: Ger.
tam amount Of the stock was purchased, and held
subject to the control of the Bank--another part
was postponed till next October. As soon as this
arrangement was known to DO in progress, the
Bank Immediately extended rchcf wherever need
cd particularly a: New York, whore great unca ST.
ness existed on account of the engagements of the
community for the month of October, and at some
of the western Branches. When at length the ar
rangcinent itself reached this country finding that
The cholera had passed, the Bank requested it's
agents TO postpone the debt longer-to rem-
burso themselves out of funds which the Bank
actually had in their handsto collect all tho cor.
thcates and transmit TO the United States, in or
der to close Immediately tho whole transaction
return sooner, in consequence of being thus COL
ected, than if they had been left to find THOR way
home in each individual case.
This is the whole history of the three per cents,
about which there has been prcposterous an out.
cry. And to what does il amount7 WHY, that the
Bank, in Of pestencc in order 10 avoid
additional pressure on the community, at it's own
risk and It's own expense, delayed the presentation
OF foreign claims upon the country to tho amount
OF three or four millions until the pestilence passed
away One would imagine from the complaint,
which the blind spirit Of party has raised that the
Bank had been doing some wrong-some crime
had been sacrificing tho interest Of the Government
or the community to its own spirit of gain. The
reverse Of all this is true What imaginable mo-
tive can DO assigned for this measure, except the
wish to protect the community at moment oftrou
ble2 Tho Bank gained nothing-and did not wish
10 gain any thing. On the contrary, the Bank
incurred actual expense by it. 1t was the com
munity which profcd by tho case and relief do
rived from which has caused tho paw
inent of so large amount Of public debt to pas,
over ithout any arrangement in business. II wa,
the Government that gained by the punctuaiy
which IT contributed to give to the payment Of the
revenue. And then with regard to the certificates
The object of the Bank was to give relief in sea
son of great distress. 1t looked at the substance
not 10 the form. And in fact, OF hat possible con
sequence s it to the Government whether these Ger
tidcatcs he brought in few months earlier or la.
teri The Government ceases TO pay the interest
that is the great concern--for as 10 the principal
they cannot force tho stockholders to come and re
ceivc their money. One would suppose that the
Government afraid that tho Bank would break
before these few months had EXPIRED and so the
money Of the Government be lost. Now, Il
that, We venture 10 say that no man Of business
no ofordinary understanding, could, for mo
ment, doubt the safety of the public dcpostes-
guaranteed they arc by the whole capital ofthirty
i've millions, and all the resources of the institution
Nay, the case is stronger yet The Secretary OF
the Treasury says that enquiry into tho soven-
cy Of the Bank directed by him. Directed !
The enquiry was not only directed, but completed
- and before the report Of the Secretary. emf to