Staunton spectator, and general advertiser. [volume] (Staunton, Va.) 183?-1849, 1837-09-14
No. ~.

Summing the violent opposition OF the Ban
OF Tho United States, and the unceasing e
iorts made to overthrow il. The seleSte
banks performed with fidelity, and withou
any embarrassment TO themselves or 10 tb
community, their engagements 10 the Gov
eminent, aud the system promised 10 be per
manenty useful. But when i. became ne
cessary, under the act OF June, 1886, 10 with
draw fiom them the public money, for tn
purpose of placing il in additional institutions
or oil transferring it 10 the States, they foun,
IL, IN many cases, inconvenient 10 compI,
with the demands Of the Treasury, and nu
merous and pressing applications were mad.
for indulgence or relief As the instalment,
under the deposite law became payable, theil
own endorsements, and tie necessity TN,
der which they lay OF curtailing their dis
counts and calling in their debts, increased
The general distress, aod contributed, with
other causes, TO hasten the revulsion in which,
al leagtb, they, in common with the other
banks, were fatally involved.
Under these circumstances, il becomes orr
solemn duty 10 inquire whether there are not,
IN any connection between The Government
and banks Of issue, evils of great magnitude,
inherent in its very nature, and against which
no precautions can effactually guard. >.
U Unforeseen in the organization of the Co
vernment, and forced on tho Trcasury by
So'iy HtSSesbsee, lHo fghrtiSS csbptoJ
banks, wus, in truth, from the beginning,
more e measure Of emergency than Of sound
policy. When atsrted into existence as u
nation, in addition TO the burdens Of the new.
Government, We assumed all the large but
honorable load cfdebt " hich was the price
OF our liberty /; but we hesitaied 10 weigh
down the infant Industry OF the country by
resortiug 10 adequate taxation for the neces>
sary revenue. The facilities Of banks, in
return for tho privileges they acquired, were
promptly offered and perhaps too readily re-
ceived, by an embarrassed Treasury. Dur
ing the long continuance of national debt,
and the intervening difficulties OF foreign
war, the connection was continued from mo
tives OF convenience; but these causes have
long since passed away. We have no emer-
gencies that make hanks necessary TO aid the
wants OF the Treasury we have no load of
national debt TO provide for, and we have on
actual deposte large surplus. No public
interest, therefore, now requires the renewal
o! a connection that circumstances have dis
solved. The complete organization OF our
G ov ernMent, The abundance OF cur resources,
the general harmony which prevails between
the different, States, and with foreign Pow
crs, all enable US now 10 select the system
most consistent with the Constitution, and
most conducive TO the public welfare. Should
we, iheD, connect The Treasury for a fourth
time with the local banks, il can only be TIM
under conviction That past failures have
arisen from accidental, not inherent, defects.
A danger, difficult, fno. impossible, 10
be avoided in tuch an arrangement, is made
'trikiDgly evident in the very eyentby which
i has now been defeated. 4 sudden act of
he banks inirusted with the funds OF the,
people, depryes the Treasury, without fault
'r agency of The Government, Of the ability
n IVA lis rsti in he hayy Inn
by law right to demand. This circum>
stance no fuctuation of commerce. would
have produced, il the public revenue had
been collected in The legal currency, and
kept in that form by the officers OF the Treas
sury. The citizen hose money was ih bank
receives il back, since the suspension, al a
sacrifice in lis amount whilst he who kept
il in the legal currency of the country, and
IN his own possession, pursnes, without less,
The current of his business. The Government,
placed in the situation of The former, is in
Iolyed in embarTassments II could not have
suffered had il pursued the course of the lat
er. These embnrrassments are, moreover,
augmented by those salutary and jus, laws
which forbid il to use deprecated currency,
md, by 90 doing, take iren the Government
he ability which individuals have OF accom-
their Transactions 10 such catass
tr0phe
u system " hich can, in time OF profound
peace, when there is large revenue laid by,
thus suddenly prevent the epplicssion and
the use OF the money OF the people, III The
manner md Tor the objects they have direct.
ed, cannot be wise bu, who can tHink,
without painful reflection, that, under il,
the eamo unforeseen events might have be-
fallen US in the midst of Il sraF, and taken
from US, al tho moment when most wanted,
the use Of those very means which were irea-
sured up 90 promote the national welfare and
guard eur national rights? To such embar-r
easements and 10 such dangers will this Go.
be always exposed, whilst il takes
The moneys raised for, and necessary 10, the
public service, out Of the hands of IFS own
ofHceTs, and converts them into a mere right
OF action against corporations entrusted with
the possession o6tbem. Nor can such resIits
be eGeciually guarded against in such sys-5
tenn, withou. investing the Executive with
ii control over the banks themselves, wheth-
er State or National, that might with reason
be objected to. Ours is probably She oDly
Government in the world tina; is fable, ia
the management Of its fiscal Concerns. To-
occurrences like these. But ihjs imminent
risk is not the only dahger attendant on the
surrender OF the public n9ney to the CUSTODY
and control OF local corporations. Though
the object is aid 10 the Treasury. lila effect
may be 10 introduce into the operations Of the
Government influences the most subtitle,
founded on interests the most selfish.
The uso by the banks, for their own bene-
mt, Of the money deposited with them, bss
received the sanction Of the Goveromenffrom
the commencement ef;his connection. The
money received from The people, instead OF
being kept till il is needed for Their use, IS,
IN consequence Of this authority, jund, on
which discounts are made Tor The prolt Of
those WHO happen 10 nc owners OF stock ia