Burlington free press. [volume] (Burlington, Vt.) 1827-1865, 1837-09-08


nicnt to comply with the demands Of the |
Treasury, and numerous applications were
made Tor indulgence or relief. As the in. !
stalmcnts under the dcpositc law became pay.
able, their own cmbarrassments and tho no.
cessity under which they lay of curtaiing
their discounts and calling in their debts, in
creased the general distress, aid contributed,
with other causes, to hasten the Revision in
which, at length, they, in common with the
other banks, were fatally involved.
Uuder these circumstances it becomes our
solemn duty to inquire whether there are not,
in connection between the government and
banks of issues, evils of great magnitude, in.
hcrcnt in its very nature, and against which
no prccaulon can clectually guard.
Unforeseen in the organization of the gov
| eminent, and forced OH the Treasury by early
necessities, the practice of employing banks,
was, in truth, from the beginning, more
measure of emergency than of sound policy.
When we started into existence as u nation
| in addition to the burdens of the new gov
eminent, we assumed all the large but honor
able load of debt which was the price Of our
| liberty; but we hestated to weigh down the
infant industry of the country by rcsorting to
adequate taxation for the necessary revenue.
| The ia llties Of banks in return for the pr-
vcgcs they acquired, were promptly offered,
and perhaps too readily received by an en-
barrassed Treasury. During the long con-
| tinuance of a national debt, and the nterven-
ing difficulties of foreign wal the connection
was continued from motives of convenience
but these causes have long since passed away,
We have no emergencies that make banks
necessary to aid the wants of the Treasury
and we have no load of national debt to pro.
vide for, and we have on actual deposito
large surplus. No public interest, therefore,
now requires the renewal of Il connection that
circumstances have dissolved. The complete
organization of our government, the abund-
ance of our resources, the general harmony
which prevails between the different states
and with foreign powers all enable US now to
select the system most consistent with the
constitution, and most conducive to the pub
lie welfare. Should we, then, connect the
Treasury, for fourth time, with the local
banks, it can only be under a conviction that
past failures have arisen from accidental, not
inherent defects.
A danger, difficult, if not impossible, to be
avoided III such an arrangement, is made
strikingly evident in the event by which it has
now been defeated. a sudden act of the
banks entrusted with the funds the people,
deprivcs the treasury without fault or agency
creditors in the currency which they have
by law a right to demand. This circum-
stance no fuctuation of commerce could have
produced, if the public revenue had been col
lcctcd in the legal currency, and kept in that
form BY the officers of the Treasury The
citizen whose money was in bank, receives
it back, since the suspension at a sacrifice in
its amount; whilst he who kept it in the le-
gal currency of the country, and in his own
possession, pursues. without loss, the current
OF his business. The government, placed in
the situation Of the former, is involved in diff,
l ficultics it could not have suffered had it pur
; sued the course of the latter. These embar-
\ easements are, moreover. augmented by those
sautary and Just laws which forbid it to use
t deprecated currency, and by so doing, take
t from the government the ability which indi-
viduals have Of accommodating their trans
actions to such catastrophe
\ system which can, in time of profound
r peace, when there is a large revenue laid by
= thus suddenly prevent the application and the
9 use Of the money the people, in the manner
= and for the objects they have directed canno
a be wise but who can think without painful
= reflection, that under it, the same unforeseen
: events night have bciallcn US in the midst o
+ a war, and taken from Us at moment whei
= most wanted, the use of those very means
: which We're treasured up to promote our ma
K ional welfare and guard our national rights
It To such embarrassments and to such danger.
I will this government be always exposed
c while 1t takes the moneys raised for and ne
u cecsary to the public service, out of the hand
# Of lis own officers, and converts them into
Il mere right of action against corporations en-
i trusted with the possession Of them. Nor car
Y such results be etiectually guarded against il
Y such a system, without investing the EXccu
G tive with control over the banks thcmsclv Ives
J. whether state or national, that might witt
n reason be objected 70. Ours is, probably, thu
It only gvernmcnt in the world that is liable
1t in the management of its fiscal concerns, t,
h occurrences like these. But this immincn
d risk is not the only danger attendant on tn
L surrender of the public money to the custod
l. and control of local corporations. Thougl
y the object is aid to the Treasury, It's ei'ec
may be TO introduce into the operations Of tn
= government influences the most subtle, found
> cd on interests the most selfish.
s. The use by the banks, for their ow
d benefit Of the money deposited with them
4, has received the sanction of the govern
" ment from the commencement OF this Cor
!, nectl0n The money received from tn
!" people, instead of beng KEEP, It'll it is need
!. ed for their use. Is, IN consequence of TIN
Of authority, a fund, on which discounts ar
h. made for the profit of those who happen /
it be- owners of stock IN the banks selected a
Sc repositories. The supposed and ofte
he exaggerated advantages of such boo
re will always cause it to be sought for wit
OF avldIry. | will not stop to consider o
re whom The patronage incident to 1t is
ne be conferred; whether the selection an
III control be trusted to Congress or the E>
ecutIve, either will be subjected to appea
ne made in every form which the sagac'ty
a., Iva a.,