Staunton spectator, and general advertiser. [volume] (Staunton, Va.) 183?-1849, 1836-12-29
No. 5.

several States lie transferred, in the course Of
trade, TO the great commercial points, and
then 10 pay the States by drafts on these
poIuto. The deposite banks at those points,
knowing what they had to pay, would have
been ready 10 pay and up 10 The hour of
paymen, have employ Ell the funds usefully;
50 that in every stage of that progress, bust
ness would be assisted,-commercial activity
stimulated and all parties be gamers,
Even surprising these transfers at all ne
cessary-lbc funds should havc been RENTS
ted by bills 10 the points OF accumulation
blending these operations SO insensibly with
the business OF The country us to be unielt ex-
Cept in their benefits.
But what has the Secretary done' Instead
OF gradual preparations 10 provide funds at
the distant points, the " hole science OF the
Treasury seems 10 have consisted i'm draw
ing warrants-in taking up the columns Of
the returns and directing drafts from the
Banks, throughout the United States, with
out necessity without reference to the
wants or the business Of the different sections
Of the Union, the season Of the year, or the
course Of trade-and thus making the whole
revenue ofthe country work against tho whole
industry of the country.
His secret is thus revealed i'll the letter 10
Messrs. Griswold s. Swan
"l have therefore, in Cases where The pubs
any one State, and new banks could be sea-
sonably obtained in other States, where only
Il lille public money already existed, made
but one transfer 10 accomplish both objects,
and 10y single operation have reduced tho
excess IN certain Banks in certain States,
and placed IL in the States where ii would be-
needed next year and " here they before had
not an equal portion OF the public money"
We thus percere-wha, on less authority
would lie iucredible-the extraordinary mans
ner in which the public revenue has been
scattered. The Secretary sees an accumula-
lion of public revenue in any one State. He
sees another place in another State-"whsra
only little public money already existed
-wheteupOn he resolves, without the least
authority from Congress, To bestow upon
that place can equal portion OF the public
money )" and as lie will have, twelve months
hence, topay some money in that Stale, he
makes ga single operation" OF it-and sc-
cordingly he conlesses that he has actually
transferred public moneys into States which
cannot receive them ior a year afterwards
depriving the very community which raised
the money Of the use OF it during that whole
period.
Such measure was Of itself sufficient TO
disorganise the currency. But il was accom-
panied by another which armed II with
ieulold power OF mischief. This was the
Treasury order prohibiting the receip: at
The Land offices of any thing but specie-an
act which seems Ia me most wanton abuse
oi power, if not L fragrant usurpation.
The " hole pecuniaty system Of this coun
try, that to which, next 10 lis freedom, il
owes lis prosperity, is the system OF credit
Our ancestors came here with no money
but with far hetter lhngs-wiIh courage and
indnstry--aud the want of capital was sup
piled by their mutual confidence. This is
the basis Of our whole commercial and inter
nal industry. The Government received ils
duties on credit and sold lis lands Oh credit.
w ben the sales of land on credit became in
convenient from the complication of accounts,
the lands were sold for what is termed cash
But this was only another form. of credit,
for the Banks, by lending to those " lro pur-
chased lands, took the place OF the Govers-
ment as credilors-ai.d the Government res
ceired their notes as equivalent to specie,
because always convertible into specie This
vas the usage-this may be regarded as the
law oil The country BY the resolution Of
Congress passed on the 30th of April, 1916,
il wus declared that "no duties, taxes, debts
or sums Uf money, accruing or becoming
pay able 10 the United States as aforesaid,
ought To- be collected or received otherwise
than in the legal currency of the United
States, or treasury notes, or notes of The Bank
Of the United States, or in notes of Banks
which are payable aud paid on demand in The
said legal currency Of the United Siates,''
This resolution presents various alterna>
tives-the legal ciirFency--6r Treasury
nutcs--or notes Of The Bank Of the United
SIaies-Or notes oil specie paying Banks. a
citizen had rig ht TO choose any one of ihoss
modes of payment lie had as much right
10 pay for land with the note Of specie pay.
ing Bank as to pay il Tor duties at the Gus
Tom huuse. If this be denied, certainly any
one of them might be accepted by The Trea-
sury~-bui To prescribe oil but one--io re-
fuse every thing but the most difficult thing
to do this without notice Of the approach
ing change in The fundamental system Of cur
dcHlings-is an actof gfatuilous oppression.
Under the operation Of this resolution, the
( Banks bad gone on, fearing nothing, as lhey
bad only TO provide Tor the usual specie calls
upon them-and saw the country full Of spe-
Gle, with no foreign demand 10 drain il from
! them-wben, On a sudden, without any inti-
nation OF the coming shock, an order was
! issued by the Secretary, declaring that their
} notes were no longer receivable, and ef
! course inviting HIl vs. 10 held the notes or had
/ deposits in these banks, TO convert them in
( to specie. II in fact made al once the " hole
amount Of their circulation and private de-
! posts specie demand upon them. The 6f6t
Const qucncc was, that the Banks nearest The
/ land officers ceased making loans. The nsXi
was, that they struye 10 fortify themselves by
/ accumulatIng specie. twas just al this mo
! ment that tie warrants for transfers were
I ru, into their hands. Tie combination Of
! the two measures produced double result,
6rst IN rco,;ita the Ranks generally n, in