The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-09-19
TwENTY-FIFTH CONGRESS,
UNITED STATES SENATE.
EXTRA SESSION.
SATURDAY, September is.

SATURDAY, September Is.
Mr. LINN presented memorial from citizens Of
Missouri, praying for the establishment OF National
Bank Referred to the Committee on Finance
message from the House Of Representatives trans
hitting new joint rule, which laid on the table
The Senate resumed the consideration Of the Bill to
authorize issues OF Treasury notes.
Mr.. CALHOUN, said he had felt great difficulty in
bringing his mind to vote for any OF these measures,
until the great question of the separation Of the govern
nent and the banks, In either case, this bill was
Objectionable, His opinion made up that there
must be separation or United States Bank. He
wished to amendment by test question. But
he wished to postpone the bill till Monday. He thought
it the duty of every to forward boldly and
plcitly and he would be prepared by Monday with his
plan.
Mr. WRIGHT, was not willing to prevent the Sena-
tor from bringing forward his measure and discussing
it, But it right to say that the Treasury could not
satisfy the public creditor 20 Is days longer
without some aid. He was therefore opposed to post
ponement
Mr. CALHOUN, said his request not under
stood If the question argued now. he should vote
against tho bil however willing and anxious he TO
relieve the government. The country seems to be for
gotten, in the desire 10 relieve the government.
Mr. BENTON, said few words, the tendency of
which was not heard.
Mr. WRIGHT, expressed hope that the wish Of the
Senator from South Carolina would be, acceded to.
Mr. KING, of Alabama, opposed the motion to post
pone. ..aM
Mr.. CALHOUN, said il it was the wish Of the gen.
ueman gradually restore the connection between the
government and the banks, provisional loan was the
proper mode His request was reasonable, and II was
the duty Of every Senator to act boldly.
Mr. NILES expressed hope that the time asked
should be given to the Senator from South Carolina
Mr.. WRIGHT said. he did not desire TO restore the
connection, to which the Senator from South Carolina
alluded.
The question was then taken the motion to post
pone and carried in the affirmative Yeas 49, Nays H.
On motion Of Mr.. TALl.MADGE,
The Senate adjourned @E, @o.
MONDAY, Sept. Is.
Mr.. RIvES gave notice that he should tomorrow ask
leave to introduce bill to designate the funds IN which
the revenue shall be received. t..s..a .....s.
Mr. WRIGHT presented memorial from merchants
of New York. praying extension OF duty bonds-aso
a memorial from merchants Of New York. sufferers by
the fire, praying a remission Of duties The prayer
laid the table and ordered to be printed and the let
ter was referred,
Mr.. WRIGHT also presented remonstrance from
the inhabitants Of Madrid, m W against the annexa
ton Of Texas Similar circumstances were offered by
Mr.. M'Kean and Mr. Ruggles.
Mr. WALKER offered resolution relating to port
ofentry Vicksburg, Mississippi. which lies one day
The Joint resolution transmitted from the House, pro-
hibtng the sale Of spruou. liquors in the Capitol and
grounds adjacent was taken up and agreed TO-
TREASURY NorEs.
The bill to authorize the issues OF Treasury notes was
taken up for consideration.
Mr. CALHOUN said it was clear that the govern
had separated, and every consideration was in OPP
position TO reunion. The government and banks are
separated by the operation of law, and cannot be re-
united while that law remains in force. Suppose that
difficulty overcome, where would you find the advocate
of reunion not among the opposition who predicted
the evils which have resulted from the union nor
among those who relied it. Reason and experience
has decided that If there must be such union, U. 5.
Bank is Indispensable Not only so, but II we treat
bank gold and silver, bound to create
such bank Whatever we make money, will be mo-
ney and we are bound make it uniform. There Is no
other alternative but total dsconnecon, the creation
of u S. Bank difficulty exists against this last al
tentative the constitutional objections OF large party
in this country, entitled to respect and another in the
number and power Of the rival institutions which have
sprung up There would be necessity that such
bank should have capital of eighty or hundred mil
lions, with due proportion OF metallic capital The
collection Of this amount Of specie would produce an
other Revision equal to that which we have Just expe-
renced He advered to the condition OF the Bank In
1916 which very different from what its condition
now is, we then debtors TO the bank He gave
brief history Of the financial difficulties and operations
Of that period. A bankrupt law then proposed He
opposed to that measure then and now as harsh but
above all, unconstitutional. He who would try
Bank OF the u S. now, would find the reco ovcrwhelm-
ing He, Of the States Rights party, was OPP
posed to u. S. Bank unconstitutional nexpediert
and tending the concentration of power the govern
ment His own course, relation to the u. ). Bank
he explained He had submitted to Bank under
state Of things which he considered rreversoe in 1916
There but one mode in which the government could
reunte itself with the banks, but that cmneaty OBJ
jectionabe-he by calling the Pennsyl vana Bank
OF the u S. the fiscal agent Of the government, this
would compel resumption OF specie payments IN less
disastrous than by the establishment OF new
bank But he would oppose this because ne would not
give his sanction to the creation Of agent wholly UNI
der the control Of the stae and again he would not aid to
give that bank triumph the government, much as
he believed the government in the wrong in the late
contest between them. He objected to re-union which
would make the credit of the government identical with
the credit of bank He illustrated his argument by
reference Of suppostous character IN private
life As government operations contract or expand,
would the bank circulation He traced the present
disastrous condition Of the country back to 1924 when
the Tariff system re-modeed In 1928, the evil was
increased and fixed BY new Tariff act One effect was
the expansion of bank currency another was the increase
Of Custom House bonds. These causes sweled the OK
pansion Of the circulation of the Bank OF the United
States in 1881 aud it the fault OF that institution
that its issues were thus expanded The re-charter OF
the Bank Of England in 1892 had its effect the
of things II at this time that the President OF the
IT, S not comprehendlng the real state OF things struck
his blow at the U. s. Bank, blow which completed the
catastrophe It remarkable that the three great
suspensions OF specie payments here, IN 1873, and IN
England in 1897 resulted from the connection Of the
Banks and the Government He wished TO know on
what principle could lend the credit of the Govern
ment to body of stockholders in preference to any
other of the citizens OF the u States The effect was
to give preference to one body the injury Of all the
rest Of the community The increase Of Banks was
enormous and is still increasing enormous degree
The remedies propDsed would be Intellectual to