The Rhode-Island Republican. [volume] (Newport, R.I.) 1809-1841, 1832-11-13

the rude OF Interpretation arising ont OF the
constitution was condemned by its te ndency
TO destroy the main Characteristic ofthe con-
was condemned by the expositons
Of the friends Of the constitution, while de-
pending before the public was condemned
by the apparent intentions Of the parties
which ratified the constitution was condemn.
ed by the explanatory amendment proposed
by Congress themselves 10 the constitution"
In 1911, the question again came up on the
application Of The then existing Bank for a
renewal of its charter. The venerable Vice
President George Clinton, was oppvsed to il
voted to strike ont the bill, and assigned
his reasons for SO dong. At the same time
Henry ClBy, rs chairman Of committee to
whom the subject had been referred, made a
report, March 2, 1911 both against the con.
stitutIonahty and the expedicncy Of granting
it. The following is an extract from his re-
port:
"Holding the opinion, as majority Of the
committee do, that the constitution did not
authorize Congress, originally, to grant the
Charter, II follows, as a necessary conse.
quence Of that opinion, that an extension of it
IL equally repugnantto to the constitution"
Mr.. Clay in speech the same session,
urged ageinst the Bank that about seven
tenths Of the stock was owned in England,
and that several English noblemeu were large
stockholders. And we also find this sentence
in bis speech: "The power Of a nation is said
to consist in the sword and the purse. "Per-
haps at last all il resolvable into that Of the
purse, for with il you may command almost
every thing else" The present Bank has
found it 60. and hss improved upon Mr. Clay's
hint. They have loaned large sums OF mon.
ey TO printers, WHO were before violently op-
posed to them, and have paid large fees to
greet lawyers ir high stations, for doing little
or nothing. Mr.. Clay, who was in 1911 and
1916 one Of the most decided cpposers Of a
Bank, is now one of its most strenuous advo-
cates. These things are merely mentioned,
to show that the objection OF the unconstltU-
,ionsiiiy ETA Bank is not a new one. The
expediency ofsuch an institution is also high
ly doubtful. During the whole period Of the
last war, and amidst all the disiresses in
which it involved the country, we got along
very well without one. The present corpo
ration was not chartered until 1916. During
the war proposition had been made in Con-
gress 10 incorporate Bank, but was mega.
lived by President Madison.
Bot even allow ing the coBstitu,ionafty and
expediency Of having Bank, there are OBJ
jections to the charter which was passed BY
Congress and negatived by the President,
which cannot escape the observation Of any
honest man in his sober sensee, and who is
not carried away by party.--It is agreed on
ell sides that the present chatter. the moment
it should be approved by the President would
have been worth 20,O0O,O 900 dollars to the
present stockholders. For this they were TO
pay, in fact, almost nothing. Let us now
consider the consequences Of the renewal to
ourselves. In the State we have a nominal
Bank capital Of fSl2, ,732, ,296 So, on which The
Benks pay a tax ofcDe eighth Of one per cent.
amounting 10 $S2lH 81. But as the stock
holders, on the day Of The last report, owed
the bauks S2,55i, ,2f9 81, our real capital
therefore il only Sl0,ISi,07G 53. II our
oanKs p.,d as high tax IA they do in Mae
sschusetts the head quarters OF NatiODaism
and correct principles, it would amount 10
$66,6il AZ. If they paid rs in N. York. tho
half Of one per cent. it would amount to $is2,
$40 "a. Yet, although our tax is compa,a-
lively SO small, the stockholders offs number
of our banks refused to pay it, and put the
State 10 great expense TO follow them 10
Washington in lawsuit. And as soon as
the petitioners have obtained a charter they
have always refused the granting ono to 9th
ere. Yet although they have been so sensi-
tive when any new charters were granted, ,
although they would add to the revenue and
prevent q land tax, they are now willing for
the sake OF prostrating the President for do
ing no more than jefferson, Madison, Clinton
aud Cluy have done, 10 have this charter
granted with the privilege Of Introducing as
much capital as they please, into the State
untaxed. end in no respect under the control
Of the State, which will really destroy the IN :
terest of the stockholders in the State Banks,
and the revenue which the State derives
from them which is applied to the support OF
Free Schools. &c. ~
The U. 8. Bank by the bill, although lin
lied as 10 the number Of branches, were not
restrained as 10 the amonnt ofcapital in those
branches. The smount borrowed from our
millions. Tfthe President had approved the
Providence with four millions capital, and
another in Newport, with two millions, with
the advantages they would have, being ex-
empt from taxation, and having all the gov
ernment deposits without interest, they
would be able to control the circulation of'he
State Banks, and effectualy destroy them,
and the revenue derived from them.
AZ long ne the Bank capital Of this State is
in so many Banks. with stockholders Of all
parties, and scattered all over the State, it is
not in their power to unite to oppress the peo-
pie, but ifihe State Banks sre reduced, and
one large Brsnch u. 8. Bank established here
with the capital concentrated in the hands OF
. .ew, whenever they want to Guy your pro-
duce or your votes they can produce an arti-
fetal scarcity, whenever they please and you
can have no relief The present U. 8. Bank
although thew know their charte would anon
expire, have within little while, and when
they had not the means honestly to DO It, in
thst they might hold this debt in terreren'
over the people, to make them vote for Pre-
sideat favorable to the Bank. President Bid
die has already told Us that oil the State