Herald of the times. [volume] (Newport, R.I.) 1830-1846, 1837-08-10

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departed from Us. Among these events
known and admitted by alive should inquire
schich are causes, and ichich are fleets. II is
admitted that the public money 10 by the Con-
stitutivD placed at the disposal OF Congress a.
lone. This money must by Congress be up-
propriated, and then disbursed to Executive
officers by the Treasurer, before any one of
those officers can legally obtain the control
of even one cent Of that money. The whole
public money had for long time been, by a
law enacted by Congress, deposited in the
Bank Of the United States, and il had been on
the 2nd Of March ls;S3, resolved by the House
Of Representative that, that money was sale
in that depository.
withslunding all this, the President, on
the 18th September, 1888, ORDERED all the mo
ney 10 be removed from that Bank on the ls'
ofthe next October. and 10 be deposited an
State Banks Mr.. Duane, Secretary Of The
Treasury, refused 10 do This, an d the President
dismissed him from oDics, and appointed Mr.
Jdney, icho removed The money as the Presi-
dent had ordered these are all recorded facts
NOT one OF them is questioned. What first
followed? a universal alarm u want o. con.
idence in men in the public iaiih,and in the
currency of the Country. Business came TO
q stand. There was fearful torebodng Of
evils coming on our Country; and the present
times were then iOreseen and inretold with
the confidence of inspiration and the precis-
ion Of prophecy.
Now, fellow citizens, We do not nsk you
whether tleso deeds Of the President were
lawful or unlawful. constitutional or uncon-
sttutional whether lie acted in pursuance Of
the high provisions Of our sscred institutions.
or IN derognion Of them; but VIC ask of You.
if this remorai Of the public mon.y ,cas an oct
disconnected icih our present cdiamiiirs? Was
II M insulated uci, mere barren incident,
uDproductive Of any effects whatever or,was
il the fruitful mother of all those mischicfs
which have spread over the luud, and now
feed upon and consume The vi,uls Of our pros
perityi If it produced good, what aud where
is that good? lf no evil, what else is the
cause Of all which we see and feel and suffer
in NIL parts of the Country?
let us inquire what followed the removal
ofthe money aud the distribution Of il among
so many State Banks? This money amount
ed to many millions, and under the advise
men cf the .Secretuy of the Treasury, the de.
pository Banks soon btgan system Of erien
siue loans. Published letters from that De-
partmcnt, cvince the fact nor will it be al
legged that those loans. however intended for
party purposes, were conlined alone To parti-
zans. Letters brought to the public eye, by
patriotic diligence, disclose the effects OF
Bank facilities in recomeiling popular FEELINGS
10 these measures Of the administration. They
cannot be questioned but should it be, no
one will question that mouey was discounted
IN great abundance by those banks, whose
vaults had been repleni.hed by the public
Treasure. The United States BuEk,approach-
10, .l,a IoI a..
visory Gaze from those local institutions, aud
miniSiraiion, rushed out like steam,ahd spread
over the County.
.4noiher. fact, published by the Secretary Of
the Treasury, and admitted by all, is among
the events which have followed the removal
Of the public money. After Gen. Jackson
came into power and in 1890, there were 329
Banks in the United States, with capital Of
Sill ,l92 ,265 the year after the removal and
in 1894, these Institutions had INCREASED to
SOC Banks, W ilh q capital Of $40, ,l23,1SS.--
Nor did the States pause IN this production
Of Banks. For when the United States Bank
was completely removed from oil control ~
vcr the currency, tho Banks of the States
were SO rapidly multiplied, thpt early IN the
present year, their number was S23, and their
capitals $37S,42l, l6S.
These new Institutions established in
States where the administration had con-
trolling influence, together with the deposit
Banks, encouraged as they were by the ad-
n,inistratiOn, oil felt tho desire to make mo-
ncy by Banking; and they all issued all the
bills which were wanted by community,
made eager almost to madness, for weultl,by
Bank facilities, and ready TO pursue that
wealth by any scheme of adventure and spe.
cnlation.
The purchase Of the public lands and for
eign mportations were tue most extensive
schemes Of acquiring unbounded wealth.
These soon brought into the Treasury sur
plss Of forty or fifty millions Of dollars; and
thsse additional deposits increased discounts,
sweled the tide of circulation, and increased
the cagerness for speculation and adventure.
This went on,until July of.the last year,when
the administration began to be alarmed for
the safety of the deposit Banks in The West
The Treasury Circular was then issued, with
the san,e spirit and the same regard for iai0,
schich had governed the remoral Of the public
money. BY tho laws the receivers of money
for the public lands were authorised to re-
ceve in payment for them specie, or the bills
of specie paying Banks. No matter for this,
the Secretary Of the Treasury, by order Of the
President, by his Circular, directed those land
receivers TO take nothing b,d specie, gold or si-
ver, IN payment Jor lands.
BY this, the gold aud silver in the vaults Of
Banks, in the Atlantic cities, were drawn out,
carried to the West, and placed in the depo-
sit Banks of that region this must have been
done to screen those Banks from the Effects Of
their ercessire issues under The direction and
aduisement ofhs administration as before stat
ed. The Atlantic Banks wore to be screen
ed by the instalments OF the French and other