The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-09-30

sou". H1t iunus arc ~ we routh' AL ucao sna oo-
red. 0ne-fourh Of her populsfon 5000 or 6,0O0)
have left the city. II come specie currency
shall still want exchange. and that must be IN paper;
and all history assures there exchange like the
paper Of responsible banks Il very well known to
every reading that Of the greatest evils which
oppressed the country before the adoption Of the constr
tuition, the various currences which were ahoat
When the convention met, the currency paper and
10 Congress given the power Of
coming money. Was IL exclusively for the Govern.
menti No one believes it No rational man pnts any
such construction on the power He asked gentlemen
70 point % any provision on which the President found
ed his doubt, expressed in the message, whether we
have any thing 70 do with paper money. Congress has
power 10 regulate trade, pfoyision which embraces
every thing The inferred power OF Congress, under
the provision regulating trade extend to capital indct
ment and execution. The constitution established
money system and currency. He wished TO know II
gentlemen commended that, on this point, there was
hiatus in the constitution In the message Of General
Washington the second session of Congress- 1870,
the attention Of Congress called the question Of
the currency aud in 1871 the FIRST Bank Of the United
States was chartered. He referred 10 the history of
that bank TO show that Of the objects Of its estab
lishment 10 give TO the country sound currency.
He quoted Mr. Hamion's opinions on that point, from
the third part OF his advantages OF National Bank, as
well the sentiments Of other distinguished statesmen
prove, at the time, that the bank not
ated exclusively for revenue The small Bank Of the
United states winch was nrst cStaDSneu ne ConsiueIeu
having admirably performed its duties He contend
ed that state bank could be regulated into equality
with National Bank. You might easily turn
satellite into Of the principle orbs. What was the
object of establishing the late Bank OF the United
States There was sufficient revenue But the mo
ney Of the country lay sluggish in the channels Of
circulation it wanted currency. Mr. Madison, who
a ready writer, but who found great difficulty
in speaking, said he had never copper in his
r.-L-. ha, ha nnnld draw for thousand pounds, So
we had no money, but we could draw He rocited the
facts connected with the creation Of the second bank
Mr. Madison and the Secretary Of the Treasury put this
bank on tho ground Of its necessity 70 furnish general
currency Their argument was, that national medium
and national currency could only be established by
National Bank. He quoted some remarks then made
by Mr. Calhoun to show that the Senator from South
Carolina advocated the bank for the purpose OF curren
cy No administration had exhibited recognitions
Of this fact than that Of General Jackson, whose first
complaint against the U. S. Bank that it had not
performed its duty in keeping up sound currency
And General Jackson made it one Of the grounds for
putting the depostes in the State Banks, that they
would prove sufficient agents for sustaining the
cy Tie last message Of General Jackson was marked
with high tone Of exultaton the Of the State
Banks and if they had not all gone in a crush should
have had repetition OF that exutng strain in the late
message When this crisis took place, nothing left
but to undo what had been done to reread the con-
stiiution, throw Madison, Hamilton, DC. in the back
ground and say the regulation Of currency put
beyond reach by the constitution He contrasted
the language used in 1906, with that used at this me
In the former case the object to relieve the people
it is only to relieve the government He next pro-
ceeded to examine for what purpose Congress
called together, He read from the message on this
point show that the object Of the President solely
to provide for the safe keeping Of the public money,
and to provide for the deficiencies in the Treasury
No unimportant corporation could have pursued policy
more exclusively selfish than that pursued by this great
49,
decided by the people is whether except in the regula
ton Of the gold and silver CON- has any thing to do with
the currency We must 60 all one way the other.
We must be embraced IN the gold and silver arms Of
the Senator from Missouri be Rugged to his hard mo-
ney breast go back to the tried and approved
Of government He thought the State Banks had
been somewhat hardly used He was not one Of their
accusers, although he believed some Of them
chargcabe in the outset with giving very bad advice to
the Secretary Of the Treasury. He did not to
its full extent in the charge Of overradng He advert
ed to the remarkable inconsistency between the lam
guage of Mr. fancy in 1883, and the language Of this
BILL MIR. fancy invited the banks to make loans to
merchants while this bill says-lock up the public
ney with triple keys, and il you lend dollar, you shall
be pursued with indictment, and subjected TO punish
ment, TO pains and penalties: Government participated
in the expansion, by inviting the banks to lend The
message Of 1885, quoted the great sales Of public lands
proof Of the prosperity Of the country and these
sales are set down to the charge Of overriding.
Mr.. HARLAN, Of Kentucky, opposed the report of
the majority Of the Committee and
Mr.. BROWN supported it.
Without taking the question, the House passed to
the order Of the day. B"
DEPosITE ACT.
The House then proceeded to consider the {" bill to
postpone the fourth instament Of deposte with the
States" reported last night without amendment, from
the Committee Of the Whole.
Mr.. DAWSON who entitled to the floor yield
ed it to Mr. CAMBRELENG, for the purpose OF ena-
bling that gentleman to make explanation in refer
enceto an interogatory addressed to him by Mr.. d.,
last night on the condition Of the New York Banks
Mr.. CAMBRELENG, having the permission Of the
gentleman from Georgia, said he would explain more
fully his answer to Of that gentlemans questions
last evening, concerning the condition Of the banks
the State Of New York He did not mean to be under
stood that any Of them strictly speaking, were in
solvent, that they could not ultimately pay oil their
notes.
Mr. C. had referred TO the Dry Dock Bank, which
was placed by the chancellor in the hands Of receivers
and to the heavy losses sustained by many Of the banks
in the late revusion. BY reference to the Treasury
Report, it would be that of the city banks
alone had 81 900 Of suspended debt yet that
bank would, in q few years, restore its capital to
its original amount, by its collections and profits.
He had merely intended to express that the actual
capitals Of many of the banks had been diminished dur
ing the revusion. He begged to be understood as
eralnng no hostile feelings towards the gentlemen IN
erested in those institutions nor to banks the mere
agents Of trade but to that legislation which is perpet
ualy and improperly interfering with this well
other branches Of trade His hostility exclusively
directed to this mischevous and coruptng interference
with the business OF men, which among the le-
gitimate duties OF Government.
Mr., DAWSON then concluded his remarks in oppo-
ston to the bill, and went to point out what he con
ceivcd to be its partial effects.
Mr.. TOWNS replied to his colleague the particu-
lar points referred to by that gentleman.
Mr.. GRAVES spoke at length against the bill till
about o'clock, when he gave way to
Mr.. PHILLIPS, who moved that the House take q
recess. .a2 :~
After some conversation on the subject and various
motions, it was finally ordered that the House take
recess for hour, and hereafter that it take recess
from half past 2 till 4 o'clock.