The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-10-31
From the Richmond Enquirer, Gath Oct.
"REMINISCENCES
lSl6--lS37.


In 1875 TO- the banks were laborng under suspen-
sion of specie payments, they nowbut at that
PERIOD they abused their situation; went for great pro-
fits, and deuged the country with their paper. Indeed,
it not until the public Indignation had risen to
height which could be resisted and the State Le-
gsatures had taken up the subject with high hand,
and fixed day. beyond which they could not be indulg
ed-and Congress, too, had passed its resolution Of
l6, for designating the 10Th February, 1917 as the
day beyond which they would not receive their notes
for the public dues, that the banks were compelled to
take SAIL and prepare for the fulment OF their char
tered engagements No such complaints, however,
fairly made against the banks al The present time. They
have been curailng their circulation, not expanding
their discounts-and seriously preparing for resump-
ton Of specie payment Sce however, how very dlf-
ferent the course, which the Government pursued at
that time and at this.
l. Congress passed resolution, to receive their
notes till the Goth February lSl7No such indulgence
is extended to them at this time.
2 In February, 1915, resolution was brought into
the H. of r. by Mr. Shepherd Of New York. "That
committee be appointed inquire into the expediency
OF providing for the making reasonable compensation
to the members of both houses of Congress, for their
travel TO- FROM and attendance thereof respectively,
and report by bill or otherwise, and that the committee
embrace in such inquiry the present session "-lMr.
Shepherd aedged explanation Of his resolution, that
the money in which they received their compensation
had greatly doprecatedl What became Of the propo-
son !! 1t was Immediately rejected, by vote Of 80
to Sand Mr. Hall OF Ga PECULIARLY remarked, that the
bank notes had deprecated also had their own ser
vices But now it is said, some Of the members first
receive specie, and then sell il at premium
g. Mr.. Secretary Dallas in his annual report to Con-
gress Of the Sd December 1885, expressed himself thus
The successive attempts made by this department.
to relieve the administration Of the finances from its
embarrassmens, have been Intellectual. There was no
magic in mere Treasury instruction to the collectors
of the revenue, which could by its virtue, charm gold
and silver into circulation The people individually, dd
not possess Natalie medium, and could not be ex-
peced TO procure throughout the country as well as
in cities by any exeron unaided by the banks. And
the banks too timd or too interested, declined every
overture to cooperation for renstating the lawful
currency In this state Of things the Treasury, nay,
the Legislature, remained passive The power OF Co
ercing the banks was limited to the rejection OF their
notes in the payment of dues and taxes, and to the
exclusion Of their agency in the custody and dstriou-
ton Of the revenue but the exercise OF that power
could not generate a c1rcncy, although 1t would
certainly aef oppressicey upon The people, and put at
hazard every sum of money which was due to the Go
vernment Until. therefore, substitute was proposed
for the paper Of the Bank would have been measure
Of inpoiie and useless sspery towards the community
to insist that all contributions to the expenses OF the
Governments should be paid in medium which, 1t y
repeated the community did not possess and and coHd
not procure"
But now, the cry s-away with Bank notes, and
give us specie--As Mr. Dallas called it in 1916, we
must insist upon this measure Of lmpoc and useless
severity towards the community"
In February 1917, the State Banks did resume specie
payments--Wih some indulgence at this time, they
will soon do again. .