Cheraw gazette. [volume] (Cheraw, S.C.) 1835-1838, 1836-12-20


to exert the power conferred upon me b.
, the American people, to prevent the con
, tlnuance of that Institution. But, although
various dangers to our republican institu
, tons have been obvated by the failure o
that bank to cxtort from the Government
renewal ofits charter, it is obvious that lit
tie has been accomplished, except saluta
ry change ofpublc opinion, towards restor
ing to the country the sound currency pro-
vided for in the constitution. In the acts
of several Of the States, prohibiting the cir
cu!ation Of small notes, and the auxiliary
enactments of Congress at the, last session
forbidding their reception or payment on
public account, the true policy of the coun.
try has been advanced, and larger portion
of the precious metals infused into our cir.
culating medium. These measures viii
probably be followed up in due time by the
enactment of State laws, banishing from cir.
culation bank notes Of still higher demon.
! nations; and the eL, set may be materially
promoted by further acts of Congress, for.
bidding the employment, as fiscal agents.
, ofsuch banks as continue 10 issue notes OF
low denominations, and throw impediments
in TIE way Of the circulation of gold and
silver.
The effects of an extension of bank cre-
dts and over-issues of bank paper, have been
strikingly illustrated in the sales of public
lands. From the returns made by the va
rious Registers and Receivers in the early
part Of last summer, it was perceived that
the receipts arising from the sales of the
public lands were increasing to an unpre-
ccdented amount. In effect however, these
receipts amounted to nothing more than
credits in bank. The banks let out their
notes to SPECTATORS; they were paid TO the
Receivers, and Immediately returned to the
banks, to be lent out again, being mere in
struments to transfer to Spectators the most
valuable public land, and pay the Govern
meut by credit on the books Of the banks.
Those credits on the books Of some of the
western banks, usually called deposites,
were already greatly beyond their immedi-
ate means Of payment, and were rapidly
increasing. Indeed, each speculation fur.
nisIed means for another; for no sooner
had one individual or company paid in the
noes, than they were Immediately lent to
another for like purpose: and the banks
were extending their business and their is
sues so largely as to alarm considerate men,
and render it doubtful whether these bank
credits, if permitted to accumulate, would
Ultimately be ofthe least value to the Govern
ment. The spirit of expansion and specu-
lation was not confined to the deposite
banks, but pervaded the whole multitude
Of banks throughout the Union, and was
giving rise TO new institutions to aggravate
| the evil. ------
The safety of the public funds, and the
interests ofthe people, generally, required
that these operations should be checked;
and it became the duty ofevery branch of
| the General and State Governments to
adopt all legitimate and proper means to
produce that salutary effect. Under this
view of my duty, directed, the issuing of
the order which will be laid before you by
the Secretary Of the Treasury, requiring
payment for the public lands sold to be made
in specie, with an exception until the fit.
teenth Of the present month in favor OF &C.
tual settlers. This measure has produced
many salutary Consequences. 1t tchecked
the career of the western banks, and gave
them additional strength in anticipation oil
the pressure which has since pervaded our
eastern, as well rs the European CONNER
cial cities. By preventing the extension oi
the credit system, it measurably cut off the
means Of speculation, and retarded its prog.
ress in monopolizing the most valuable o.
the public lands. 1t has tended to save the
new States from a nonresident proprietor
ship, one of the greatest obstacles to the ad
vancement ola new country, and prosperity
Of an old one. 1t has tended to keep open
the public lands for entry by emigrants, a
Government. prices, instead of their being
compelled to purchase Of spectators a
double or treble prices. And ii is convey
ING into the interior large sums In silver ant
gold, there to enter permanently into the
currency Of the country, and place it on
firmer foundation. 1t is confidently be
licved that the country will find, in the mo
tives which induced that order, and the hap
py consequences which will have ensuet
much to commend, and nothing to con
denim.
1t remains for Congress, if they approve
the policy which dictated this order' to % fol
low ii up in its various bearings. Muc'
good, in my judgment, would be produces
by prohibiting sales Of the public Iands' ex
cept to actual settlers, at reasonable re
ducton of price; and to limit the quant't!!
which shall be sold to them. Although
is believed the General Government neve
ought to receive any thing but the constl
tuional currency in exchange for the public
! lands, that point would be ofless importance
if lands were sold for immediate settlemen
and cultivation. Indeed, there is scarcel
, p,isch;of ,rsipp ont of orr DreSent Ian