Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1834-03-26

National bank, for the purpose OF making IL d
fiscal agent, how he can possibly tnlhh tnat the
President has constitutional authority to frame
a league of State banks, and make them fiscal
agents? Is there any man who can be recon-
ciled to a measure which he objects to as hav-
inp tendency TO consolidation by the circum-
stance that it has also tendency to monarchy?
In the next place, say, that, by TINS scheme,
the President has secured to himself, II not oil
rectlv. power to dispose of the public trea-
snre in the interval between the collection and
the disbursement of it, yet an absolute control
over the State banks of deposite, which is very
nearly the same thing. Take that Manhattan
Bank again, for instance. Its capital, by char-
ter is only two millions of dollars. The pubic
revenue collected in New York is, at least,
twelve millions of doars-one half of which,
six millions of dollars, is deposited in the Man
haitian Bank All banks trade on the average
amount of the deposites confided to them, which
is ascertaned by experience. Let us suppose,
then, that the average amount of deposites of
the moneys of the United States on which the
Manhattan Bank will trade, is one-third of the
whole amount Of the deposites q am not pre-
tending to accuracy in these estimates, nel-
Their is accuracy necessary to my purpose. y
Then the President will have given this bank a
capital to trade on equal to the whole amount
of its capital by charter. What becomes OF the
authority of the State Legislature OF New ork
which has limited its capital to two millions OF
dollars? But let the Bank proceed to trade on
the public deposites, no matter how cautiously;
and then let it presume to disobey any orders
from the President however unreasonable-let
his suspicious be aroused with or without cause
and let him, through mistake, or caprice, or
anger, or passion for conquest withdraw the
public deposites from it, and leave the bank an
overtrader exactly to the amount to which it
has traded on the depostes: who does not see,
that the bank, in such state of things, must
be placed in imminent jeopardy, if not con-
denned to instant bankruptcy? that to avoid
the danger Of ruin, it must be his slave? And
who doubts which alternative this artificial be-
ing without heart or soul, bound by the law
of its nature to follow its interest," must embrace?
The power which the President has secured to
himself over this league of State banks, is quite
as unconstitutional as the incorporation of a
National Bank by Congress-indeed, much
more so, and far more pernicious; for it is not
only an assumption of power not delegated by
the Constitution, but it is an appropriation of the
usurped power to the Executive Department.
If an attempt shall be made to regulate the eX
ercse of this power by law we shall see wheth-
er the object can, by any contrivance, be ac-
complished-m eantme, it requires no political
sagacity to perceive, that if the prevalent no
tons Of executive prerogative shall be sustain
ed, all such attempts must be vain and nugatory
The developments of the present year may
open another view to the people of Virginia
and ofthis whole Union. It's, presume, known
to every body who has bestowed the least at
tention on the subject, that it was by means
of the public deposites, the conneXion of its
branches with the mother bank and with each
other and the consequent absence of all RI
valy among them, that the Bank of the United
States has been enabled, and that it has been its
interest to facilitate exchange between the diff
ferent parts of the country, at so moderate
rate. The members of this league of State
banks are no more likely than those of other lea
CUES, to be exempt from rivalry; or will even the
master influence of the President be able to make
them work in perfect harmony The revenue
ofthe United States collected at the port of New
York. is equal least to $4,000, 000 The de-
poSites Of this immense sum is divided between
two State banks; and these banks are to make
distribution OF it throughout the United States.
This must give them, should think, and through
them the city of New York, a vast proportion
of the whole business of the domestic exchange
Of the u. States add to which, in consequence
Of the concentration of so large proportion Of
the import trade of the country in that city,
every dealer in foreign merchandise in the
South, West, Southwest and Northwest, must
have money current in New York, or credit
there. l am not able to estimate the value of
such advantages, nor indeed sure that clearly
understand them-l am throwing out hints for
the consideration of others better informed
w III not view DIX avail neTSelI OF all SuCn dQ-
vantages? What shall prevent her from
availing herself Of them to the uttermost?-
Will she not make the utmost profit of them
she can?- When or where has there existed any
community of men who did not pursue their
own interests, and avail themselves Of every op-
portunity and every means of advancing them?
do not mean to insinuate that the people of
New York are more selfish than others-I do
them no such injustice only think them like
other men. And, sir, am very much deceived,
if the continuance of the Presidents system of
measures (if its continuance can by any means
be accomplished will not have the effect. in the
end, whatever may be their present sufferings
under it, to subject the whole trade of the coun-
try to the city of New York
Now, sir, am not conscious of any jealousy
of New York-any envy of her prosperity; on
the contrary, sincerely rejoice at the spectacle
of her prosperity as do in the prosperity of
every part of the country, when it is derived
from its peculiar advantages, its own capital in.
dustry, and enterprise. But if the action of the
Government gives her advantages which she
otherwise could never enjoy-advantag to be
enjoyed at the expense of others-if the tenden-
cy of public measure is to constitute her the
Rome of this great empire-then if will become
the people of Virginia, and of every other State