Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1837-01-17

than three-fourths of its capital. The
revenue in the great cite, then, should
have a deposite Of more than three
fourtbs of its capital. The revenue in
the great cities, then. should be divided
among the banks in those cities-there
being in each of them solvent banks
enough to receive it. There was no
necessity for sending dollar of it out
of those cities. In New York alone.
says he, 1.-THE operation viii require the
transfer of something ike eight millions
of dollars from the old deposite banks
to new ones, either in the state or out
lof it," But why out Of it at all7 Why
could not the revenue already receiv-
ed in New York, and falling due in
New York, be divided amobg1be New
York banks, to support the trade of
New York! Why not lef its1emain
active there up to the laa hour when
it was payable to the statesa But the
law required that there should be at
least one deposite bank in each state;
be it so. Then make a deposite bank
in each State, if there be not one AREA
dy, and give it a deposite, which, while
| it satisfies the law, will not carry away
into inactivity funds that might be use
full in places of business. There was,
then no necessity to send a dollar from
New York, or the other commercial
cities merely for the purpose Of pre-
venting any one bank from having
more than three-lourths OF It's capital.
That is clear.
Nor was it more necessary for the
purpose of distribution among the
states. The law SAYS:
THAT the money which shall be in
the Treasury of the United States, on
the lst of January, 1887, shall be de-
posted with such of the several states
as shall by law authorize their trcasu-
rer, Or other competent authorities, to
receive the same; and the secretary of
the Treasury shall deliver the same to
such treasurer, or other competent au-
thorities, on receiving certificates on
deposite therefor" This is the whole
law. Now what does it contmplate?
But money must be in The Treasury
on the LIST of January, 1887 because
up to that time it is not known whe-
ther the states will take it. Technic-
ally, legally, the Treasury is at Wash
ington; practically the Treasury is at
Washington; practically, the treasury
IS where the deposites of the public
moneys are. But the secretary is an
official person whose only Official resi-
7 dence Is Washington. Accordingly, .
treasurer Of a state goes TO a secretary
at Washington. and presents to him
the certificate of deposke. The sec
rotary thereupon " delivcrs " to the
: treasurer his states quota.-~But how
does he deliver it! BY an actuol man
ual counting out these dollars NO
By a depositc check on the dePoslte
bank at Washington! No. But he
delivers to the state treasurer, as ne
does to any other person receiving
money, a draft or the amount on some
one or more of the repositories which
compose the treasury. 1t does no
want the money brought to Ohio. ,Ev
cry mile it comes on the road lessons
its value. We may safely conclude
then, that there was no necessity TO
; sending a dollar of public money from
New York or the commercial cities
for the purpose either of equallzln
a funds among the banks, or distrlbutm
: them through the States.
), The true theory of the case, there
$ fore, was simply to let the excuses {
S revenue in the several states be trans
E ferred, in the course of trade, to tn
i great commercial points, and then
V pay the States by drafts on those point
It knowing what they had to pay, woul
) have been ready to pay, and up to tn
)" hour of payment would have employe
k the funds usefully; so that, in ever
i stage of that process, business wou
N be assisted, commercial activity stiml
IS lated and all parties be gamers.
Even supposing these transfers to ;
s. necessary, the funds should have be-
of RENTED by bills to the points of q
e. cumulation-bending these oBeratio
n. $50 insensibly with the business of 1
Sc country as to be unfelt except in tht
b benefits.
tn But what has the Secretary done2
BY Instead of gradual preparations to pl
/" vide funds at the distant points, t
be whole science of the Treasury seel
IN, to have consisted in drawing warraI
m in taking up the columns Of the retul
on and directing drafts from the ban
srs throughout the United States with,
ite reference to the wants or the busin
nd of the different sections Of the Uni
snt the season Of the year, or the cou
ON Of trade, and thus making the VIII
lte, revenue of tie country work agai
nd the whole industry of the country.
TIC His secret is thus revealed q
e a letter to Messrs. Griswold and sw
'ac- II have, therefore, in cases VII
act, the public money had accumulate
eep any banks IN any one State, and I
der banks could be seasonably obtalneC
un- other States where only a little pu
money already existed. made but
lear transfer 70 effect both objects, ana