Phenix gazette. [volume] (Alexandria [D.C.]) 1825-1833, 1833-12-07

raise 10 its par value, as best suited its own
views; aud il is of the first importance to the in.
terests Of the public, that these notes should all
be taken out of circulation before they depreci'
ate IN the hands of the individuals who hold
them; and they ought to be Withdrawn gradualiy'
and their places supplied, as they retire, by the
currency which will become the substitute Tor
them. How long will it require foe the ordIna
~ operations of commerce, and the reduction
Of discounts 5y the Bank, TO "ithdra" the
amount OF circulation aforementioned, without
giving shock To the currency, or producing
distressing pressure upon the community! q"
convinced that the time which remained for the
charter to run after the lst October. (tbe day on
which the first order for removal took effect. was
not more than proper TO accomplish the oDJect,
with safety to the commonity. Ana u II hau oe.
pended upon nv judgment, at an earlier period. l
should have preferred, aud should have taken,
a longer time Enough, however, Is yet lett,
provided no measures are adopted bs The Bank,
for the pur pose OF infIclins unnecessary suffer
log upon the country. Apart therefore from
any considerations arising out ot the conduc'
of the Bank, and looking merely TO the near ap'
proach Of the day when it would cease to exist,
the withdrawal Of the deposiles appeared to be
the first order Tor removal was gwen by this De.
partment.
This opinion is confirmed by the ground taken
in favor of the renewal OF the charter at Decem
Der session, 1881 1t was then urged that the
short period which yet remained of its corporate
existence, and the necessity Of preparing TO wind
up its concerns, If the charter was not 10 be re-.
newed, made II proper that the question should
at once be decided. Very little more than hall
OF that time yet remains. And although l do
not concur in the opinions then expressed, and
believe that the application was I'll timed, and
premature. yet the arguments then relied on by
many "huse judgment is entitled to respect, al.
furd strong grounds for concluding, that the inca
sure now adopted Is not objectionable on the
score of time, and thai if the depostes were not
to continue in the Bank until the termination Of
ITS charter, their withdrawal could not with pro.
priety be longer delayed.
There is, however, another view Of this sub
iect, which IN my opinion made 1t impossible fur.
Their to posr pone the removal. About the first OF
December, 1882. u had been ascertalnrd that the
present Chief Magistrate was re elected, and that
his decision against the Bank had thus beer sane
toned by the people At that time the discounts
Of the Bank amounted to SOL, 57l ,625 &c. Al.
though the issue. winch the Bank took so much
pains to frame, lad now been tried, and the deci.
sion pronounced against 1t, yet no steps were Ia.
ken to prepare for its approaching end. On the
contrary, il proceeded to enlarge It's discounts;
and on the Cd Of August, 1888, they amounted
to S64, | 60, $40 IA. being an increase OF more
than two and half millions 10 the eight months
lmme diateIy following the decision against them.
Aud 50 far from preparing tn arrange its affairs,
with view to wind up its business, II seemed,
f.. Oh, # I'm no he up i'm If
the Bank to put itself in such an attitude, that at
the cluse of its charter, the country would be
compel He'd to submit 10 It's renewal, or to bear all
the consequences Of a currency suddenly derang-
ed, and also a severe pressure for the immense
outstanding claims which would then be due to
the corporation
While the Bank was thus proceeding to en-
large its discounts, an Agent was appointed by
the Secretary OF the Treasury to enquire upon
what terms the State Banks would undertake to
perform the services to the Government which
have heretofore been rendered by the Bank of
the United States; aud also to ascertain their
condition IN four OF the principal commercial CT
ties, for the purpose OF enabling the Department
to Judge whether they would be safe and conve.
nient repositories for the public money. 1t was
deemed necessary that suitable fiscal agents
81 oud he prepared in due season; and It was
proper that time should be allowed them to make
arrangements With one another throughout the
country. in order that they might perform their
duties IN concert, and in a manner that would be
convenient and acceptable to the public. twas
essential that change so important 10 its char.
acter. and 50 extensive III its operation upon the
financial concerns Of the country, should not be
introduced without timely preparation. There
was nothing IN this proceeding, nor IN the cOndl.
ton of the Bank, winch should at that time have
produ, ed sudden and entire change Of ITS poll.
cy. For in addition to the ordinary receipts
from bonds given on account Of previous por-
tatioue, the season was at hand when the cash du.
ties on wooIlens might well be expected to be We.
ry productive; and from these two sources the |
receipts FROM the customs were. in fact, unusu.
ally large. and the amount of the public depo
sites in the Bank propor,ionably heavy The
capacity OF the Bank, therefore, at this tine, to
afford facilities to commerce, was not only equal,
but greatly superior, TO what it had been for some
time before; and the nature of the inquiry made
nf tho State Rapka cnn bpob n uas Tho