Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1833-05-14
POLITICAL.

Attempts having been made in certain Opposition Jour-
nails to cast censure upon the Government, and bestow
praise upon the United States Bank, ON the ground OF a
recent money transaction connected with the protest Of a
draft drawn by the Secretary Of the Treasury OF the Uni
ted States upon the Government OF France, Tor the amount
oil the first instalment of the debt due under the Treaty
ct Indemnity, a plain statement of tho facts in the case
may be proper, to show how wholly without foundation
are, alike, the blame uttered against the Government, aud
the praise sounded in favor Of the Bank. To present the
matter fairly before our readers nothing more is necessa-
ry than to copy the following paragraph from the Journal
OF Commerce, a print that will not be suspected Of mine
ing matters out OF any particular love for the adminislra-
ton, but at tho same time OF so much general fairness and
Intelligence IN its editorial matters, particularly those re-
lalng TO commercial and financial affairs, that those will
believe its assertions who do not like its political notons:-
N. Y. Er. Post.
From the Journal. of Commerce.
The first instalmcnt OF five millions OF francs under the
French treaty OF indemnity having fallen due, our Secreta-
ry Of the Treasury availed himself of the funds, as he
mad a good right TO do, by the mercantile process of a
bill OF exchange. The bill was negotiated by the Bank
OF the United States, and RENTED 10 Barring, Brothers s.
Co, who sent 1t over TO Paris for acceptance aud payment.
II was presented at the French Exchequer, but the Cham.
bers not having made a specific appropriation for the rur-
pose, 1t could not be paid with mercantile promptncss, and
was dealt with according TO the custom OF merchants, and
protested. Hotienguer s. Co, however, TO protect the
mercantile honor of the United States Bank, paid the five
millions OF francs, and so took the bill out of tho hands of
the agents of Barring, Brothers s. Co.-but the United
States government having no friend at hand to protect it
by the same liberal process, the bill-has come back with
The protest against them, and is we presume entitled TO
damages Of ten per cent. We do not see that blame can
be attached to any one in the transaction, unless it be TO
soine departments oil the French government for not hay-
ing carried the business through the necessary forms at an
earlier period. The affair is not Attributable in the least,
to any heslancy ON the part of that government to carry
the treaty into full effect. The value of five millions of
francs is very near one million of dollars.
The following is the letter addressed by the President
OF the United States Bank, covering the bill of exehange
on the French Governments;
I. s. BANK, PHILADELPHIA, July 10, 1882.
GENTLEMEN,-i forward by this conveyance, No. 1 of
a set OF exchange drawn in my favor al, sight, by the Se-
cre'ary Of tue treasury. on the French Government for
hve muions oil francs $4,000, Ooot) being the amount OF
sPohauon: Please realize as soon as possible, and invest
proceeds in U. 5. Threes, for account Of the Bank Of the U.
N. BIDDLE, Pres. Sc.
To Messrs. Barring, Brothers s. Co. London.
THE PRorEsr.-In order to counteract the misrepre.
sensations which mischievous persons are making on the
subject Of the non-payment by the French Government Of
the bill drawn Tor the first instalment payable under the
late Convention between the United States and France, il
may not be improper to state the facts.
The act OF the 18th of July, 1882, having made il the
duty oil the Secretary Of the Treasury to cause the sever.
al instruments, with the interest thereon, PAYABLE 10 the
U. States in virtue of the convention with France TO be re-
ceived from the French Government, and transferred 10 The
Us. In such manner as he may deem best, and the nett pro.
ceeds thereof paid into the Treasury, il was determined ac
Ter having obtained all the Information necessary TO a deci-
sion, 10 accomplish these objects by drawing on the French
government, and disposing of the bill on the best terms
that could be obtained for cash. This course was deemed
most advantageous TO the interest Of the claimants. as il
would save the expense of commission, which would other
wise have to be paid out OF the fund, and as il would be
Iree from all The risks oil intermediate agencies. For this
hfNSu INV nan Il lie lrn
price Tor the bill, however, was offered by the Bank OF the
United States, being 81 for 81. 81 12 confines. A hill
was accordingly drawn by the Secretary of the Treasury
upon the French Minister of Finance, in favour of the
H Sank oil the y: States, and the proceeds, being $9OS.5 500
surer on the books OF the Bank. BY the Convention, the
amount OF the instalment was payable at Paris Oh the I'd
OF February last and as the bill was not drawn until the
7h oil February, alter the instalJ.ent was due, il was made
payable at sight.
Ii is understood, however, that when the bill was receiy-
cd at Paris, no appropriation had been made by the Cham
bers Tor the payment of the instalment, and il is believed TO
be owing altogether 10 that circumstance that the bill was
not paid on presentation. The French Government il is
not doubted, will promptly admit the right of the United
States to be indeinnihed for any loss sustained by the
on-payment.
Though notice has been given to the Treasury by the
Bank that The bill has been protested for IMPAIRMENT, il
Is not understood that il has yet been returned to the
United States. The rumor OF its having been paid by
Messrs. Hottenguer s. Co., is probably true, but if paid
by them, whether ii has been Tor the accommodation of
the Bank, or at the instance Of the French Minister mr.
That oil the American Charge d'Affairs at Paris, is vet to
appear.
1t will be recollected that at the last session CONGRESS-
authorized the Secretary OF the Treasury to lend these
instruments on interest, npon "A pledge OF the stock of the
Bank Of the United States. The Secretary accordingly
invited proposals for borrowing the proceeds of the first in.
stalment, by the Bank itself, or by others, on the pledge of
It's stock at par, IT not being deemed advisable TO invite an
oner on the pledge OF the United States stock, as hat would
Withdraw II from the market, and thus place Il beyond
the reach OF purchase by the Commissioners OF the sink
ing fund. Ii is understood that proposals were received
Tor a part only oil the proceeds: and in consequence of an
objection being made by a highly respectable part of the
claimants TO the money being lent on such securitv N n
decision had been finally made, and the amount OF the
proceeds OF the bill has therefore remained in HE Bank
unM this =
FOREIGN.