Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1834-09-26
THE PROTESTED DRAFTS.-A PLAIN
STATEMENT.

We see it stated with all the flourish of !" the
party" in the Van Buren, papers, that the baiin
of the United States has made war upon the
Government, and the proof OF the hostility Is
found in the detention by the Bank, oil certain
sums of money due the government, as oivl-
dends upon stock. Now as the detenuon ol TIC
money is not denied, it may be proper 10 olsa,
buse, by plain statement OF iacts, that part VI
the public who are unacquainted with the CIT
cumstances of the case. OF those who are 10
be effected by the ridiculous outcres OF the On
Rurenites perhaps not one in ten are CONVEX
SAINT with the customs and laws that OBTAIN anu
rule in the negotiation of exchanges. 10 sucii,
we offer plain exposition OF the AFFAIR WHICH
makes such a figure with our opponents, but
which il will he seen, is an ordinary occurrence,
and an act sanctioned by mercantile customs
and mercantile laws
II is known that many of the debts due by
our importing merchants in this country to the
supplying merchants in Europe, are paid by
drafts drawn by those persons who sell articles
to Europeans and thus bring them in debt. The
mere transfer then, of an order or draft from
the exporter of cotton or other articles to the
imporier of goods, enables the latter to pay his
debts in Europe. while The former is early secur-
ed i'm his own funds, and both without the risk
of shipping specie or merchandise. But IL is
found sometimes, that persons in this country
sell drafts or orders on merchants in Europe,
no money can be obtained. Now, in order to
secure the purchaser of the bills or orders from
such fraud as the drawing without funds would
be, or such injury as might accrue from relu-
sal to pay the draft or order, the. law declares
that the persons thus selling drafts, (Which are
not duly paid shall pay to the injured purcha-
ser interest for the money advanced upon the
draft and twenty per cent. damages for the in
Jury sustained in the non payment. This law
is in full force and in daily operation, and is es-
teemed salutary, especially as it arises out OF
custom.
Some time since, the Government Of the U.
States wishing for a sum Of money, drew bill
on Paris founded on debt due from France TO
this nation. The Bank of the United States
purchased the bill and paid for it, and the Go
vernment had the money at once. When the
agent Of the Bank at Paris presented the draft
for payment, it was protested. The bill was &C
cordingy returned. The directors OF the Bank
demanded Of the Secretary Of the Treasury the
interest, and lawful allowances for injury sus-
tanned from the protest; and refusal was CIV
en- After waiting long time, the Bank finds
itself in possession of moneys belonging to the
Government, which it detains, with view OF
securing its own rights. This detention is the
matter of complaint with the Jackson men; but
let it be remembered, that the demand OF the u
States Bank upon the Government. was no
more than would have been made upon an IN.
ter would have been ashamed to refuse pay
ment thereof unless he was unfortunately insol-
vent. But it is asked by some, why detaln the
dividends of the Government! Why not pro-
coed with the General Government just as you
would with an individual2 The reason is obvl-
Gus. The Bank could proceed by suit against
an Individual selling drafts that should be subse-
auently protested, and the suit would at once re-
suit i'm favor of the Bank or of any plaintiff 81
milarly situated. But the Bank cannot sue the
Government-this would be against the So
veregnty of the nation. The Bank has al
ready appealed to the justice of the Trea-
sury Department for the proper remune-
ration, but none was given, although it cannot
be denied that under the same circumstances,
an individual would have acknowledged the
Justice and legality of the claim. What course
then was to be pursued? The Bank could not
sue the nation, and il detains portion ofhe ma
tional funds acquants the Secretary OF the
Treasury with the step taken, and the motives
therefor, and asks that the Government may
institute a suit against the Bank. This would
bring the question directly before the proper
tribunal, and the Supreme Court Of the United
States would be able at once to decide the ques-
ton at issue.
We ask any man Of plain sense, if he held in
his hand certain sum of money belonging to
one of his debtors, whether he would pay it. and
trust to chance to get his own debt especially if,
by any quirk Of law, that debtor could not be
brought into court to answer the claim! The
case is one of perfect plainness; the act Of the
Bank is consistent with daily mercantile Gus
toms, and is consistent with the law of the Unit
ed States; and it must be remembered, that the
Directors ofthe bank are bound by the duties of
their Office, to secure damages upon one draft
as much as upon another-and the Government
of the United States belltes itself, when it
stands upon its sovereignty in order to avoid the
payment Of what could be enforced upon an in
dividual or corporation. This simple exposi-
ton will set the atterproperly before the people;
it was uncalled for by men Of business; but they
will excuse it, when they understand that the ex-
PLANTATION was deemed necessary to many who
are not conversant with mercantile transac-
tions.-U. s. Gag.