Constitutional Whig. [volume] (Richmond, Va.) 1824-1832, 1832-05-04

that evory thing done bv tho bank should always
be distncly known and ayowod, and, therefore,
gave the notes to the chairman of the committee,
Mr. Thomas L. Cope, who catered them on the
books" This is the account givon by the prcsi
dent himself Of the transaction in its origin. The
money, $4,000, was advanced on the goth oil
March, the notes bear date the LIST OF April
thereafter Il were 10 in number for fifteen hund ed
collars each, with tie interest added on as they
respectively became due, which WAS on the LIST of
April and October of to years 1882, ~, ~. 80,
so, and amounted, with the interest thus
added, to Sl7,97J. AT the time they were
tered on the books of the bank, tho I'd of Ja-
huary last, the president received the money for
thcm. These notes were placed on the books
OF the Bank al this time, and il will be the
I'd of March they withdrawn, as will appear
hereafter. On the 9th of August last, after the
foregoing transaction had taken place J. W. Webb
and VI. NJ. Noah made AN application to the bank
for loan OF Ss20,O0O, accompanied by letter from
gentleman formerly director of the Bank of the
United States, TO the president of the Bank in the
following words: 81 chccriully forward the enclosed
as requested | see reason against this applica-
ton being treated as fair business transaction"
Tins was accompanied with sundry letters of
Webb and Noah, and the dispositions of persons in
Their service as to their sovency and ability to pay
the loan requested, all of which will be found mark.
cd NO. y. This loan, at six months was granted,
with no other security but that which is Just
toned the largest loan made that day. On the
10th of December following, another application
was made, by these same parties, for loan of
Sl3,oOO, which was granted, for six months, by
the exchange committee, without any additional
security or recommendation. At this time, there
was considerable pressure in the money market,
ana many notes of the citizens of Philadelphia
were rejected 1t was one among the largest loans
OF the day. These loans, together with the loan
made in March to Burrows, amounted to the sum
of S52,975, which consisted of notes drawn and en-
dorscd by the editors only.
The committee will now submit tho facts in re-
la lion tn thn hnS .nnt,
disposed Of first promising that the resolution for
mquirng into the affairs of the Bank introduc
ed into the House on about the 18th of Februa-
ry. The loan of August was reduced S., 900 at
its maturity, OH the 10th of February last. On the
I'd of March last, Mr.. Silas f. Burrows obtained
from the exchange committee discounts to the a.
mount of thirty two thousand four hundred and for
tysiX dollars, being the largest loaned on that
day, and while many notes of citizens of Phadel-
phla were rejected. That the notes for Sl7,975,
payable in 1892 80, '3i, '35, and Sc, were paid
and Withdrawn by him on tho I'd of March, with
out the knowledge of Webb and Noah as they
state. On the 18th of the month, Burrows
obtained another discount from the bank of
$l4,l5O, and or the 18th of the same month the
note of Webb and Noah for $ 49, 900, loaned them
tho 18th of December previously and
not due till June Next was paid off by
two drafts from Webb, obtained at the Uni
ted States Branch Bank at New York, accom-
panied with the following remarks, contained
in letter to the President of the Bank dated
New York. March llth, 1892 and found in No
y, viz: "Although the loans to us by the Bank of
the United States arc purely of business charac-
ter, ana made upon statements showing tho neces-
slty OF the accommodation to our establishment,
and of our ability to meet payments, there can
be no doubt but that the enemies of the Bank, as
also our political opponents, will endeavor to give
false coloring to the whole transaction. The
loan, though strictly dcfensible Il large one, and
the amount may give rise to the charge of ndis-
cretion on the part of the directors This, it is not
only our duty, but our desire, to prevent, if posi-
bic; and, therefore, with some little Inconvenience to
ourselves, we have made arrangements TO pay the
note of SIS, 900 in the of few day"
The evidence of the President of the Bank ex-
plains the character of these various loans, and
the circumstances which induced him to be salts
he'd with the security and to make these ad-
vanccs; which, together with all the testimony and
correspondence on this subject will be found in
The papers marked No. 9.
In that evidence it is stated, by the testimony
OF Webb and Noah, that they knew nothing of
the first $4,000 dollar loan made by the Presi-
dent of the Bank to Burrows; that Burrows ma de
them believe the $4,000 loaned to Noah
by his father, and that he had his father present
10 carry on that transaction, and for which loan
Noah allowed Burrows 81 per cent, and did
not receive it all for some months after Civ
ing his notes; that the notes discount
ed by the Bank, in their names, without their
knowledge, and paid off in the way
III VIII appear by the testimony of Mr.. Webb,
that the paper of which he is the editor made
Two publications IN the latter part of 1929, ia
NOIdDc 10 tlc establishment OF branches that
shortly thereafter it commenced its opposition
TO the Bank, and was for sixteen months warmly
opposed to 1T; and that, about the Sth of
April, 1881, it changed its course in favor of the
Bank. Connected with this fact, is an admission
on the part of one of the editors, that before the
first loan was negotiated he held a conversation
with gentleman, through whom the loan was
then negotiating, (who the Committee know to be
Burrows,) in which he, Burrows, urged the editors
one Of whom, Webb, had expressed himself in ia
vor of a modified re-charcr,) to advocate an I'M
conditional renewal, ''but expressed great satsfac
ton at learning that lionel in favor of a charter
under any circumstances"
The Committee will state they were anxious TO
obtain the testimony of Burrows, but were unable
TO do IT. a subpoena issued for him and sent to
New York, to which the Marshal returned he was
not to be found. 1t was then sent to Washington
CITY, and the Sergcant-at-Arms made the same re-
turn. The Marshal of Pennsylvania was directed
by the Chairman, to make and continue a search
for the witness in Philadelphia having hca I'd of his
expected arrival in that place; that the Marshal re-
ported to the Chairman that he ascertancd that tho
witness had arrived in tina, place, Thursday the
9th instant; but he not able to serve the pro-
cess because he could not he found.
TO BE Concluded
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