Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1837-01-17

IAdhe III every 6LaLe, the operation
was so simple an Easy that it ought
not to have ooeasioned the slightest
pressure either on public or private In
terests, and the whole might have been
accomplished without any derange-
ment of trade, and without the move
ment of a single dollar in specie. That
this not only could be done, but has
actually been done, you will find in the
public documents of 1929.
In that year the new administration
of Mr.. Jackson, anxious to appropriate
every disposable dollar of the revenue
to the reduction of the public debt,
sought and obtainedthe aid of the bank
of the United States. Notice was ac-
Icording ly given on the 3Ist of March
1929, that on the lst of July, the deb
and interest amounting to s.715,462
dollars and 81 cents, would be paid
AT the period of the notice, the whole
available means of the treasury were
only six millions, scattered throughout
the United States, and these, with the
accruing revenue in the interval, were.
at notice of ninety days, to be colIec-
ted to pay ninety millions. So closely
was the government pressed, that af-
ter paying these sums the actual bal
ance in the treasury throughout the
whole United States, was reduced to
Sl64,3 5,04.-The Bank, however I'M
dertook the arrangement: with what
success may be seen in the following
part of the message of Mr.. Jackson to
Congress in December, 1929: "The
payment on account of the public debt
made on the lst of July last was IS
7l5,,462 81. 1t ,cas Appreciated thai
the sudden ,Cittdraual Of so iargea sun
from the banks IN aohich it ,UaS deposited
at time ofunusual pressure an the mo-
neg market might cause much injur1
to the interest dependent-on bank accom-.
modatiOpS. But tbiS eUH raS uhol3
areytcd By an early anticipation Of it a
the Treasury Gided by the judiciouS ar.
rangenaent Of the Bank Of the United
STATES"
The respective shares of the Bank and
| the Treasury may be conlectured from
the SecretarY's letter OF the 18th Of
July, 1929, in which he takes occasion
to express ''the great satisfaction of the
treasury department i'll the preparation
for the payment of the public debt OF
the Ist inst-,Uhich has been effected bl
EueaaS Of the prudent arrangement Q
slaA-o4~s,-.seveySe ~ aSeUcTC Impression
on all the productive eaploymsntS Of ~
countly, teith0ut causing any sensibL
addition TO the pressure, or eUen UiSibl
!, effect upon the Iorfinary operations o
the State Banks"
Ifthen nine millions, being almost thu
last dollar in the Treasury could b,
thus dlstributed-two millions of It t
foreigners-at a time Of unusual pres
sure, how happens it, that with fund
equal to fifty millions, and with 81.
months notice, nine millions cannot nov
! be distributed-exclusively amoug on
own people-at time ofgreat abund
ance, without hazarding a CONFUSION
The answer is to be found in the dit
ferent mode Of conducting the opera
ton. This may be seen by conttastin
what the secretary might have don
with what he has done.
J. The. distribution law assigned to hiI
duties, both simple and easy-the d
vision of the funds among the bank
and the division among the States. A
to the first, he was to ''select as soon
# may be practicable, and employ as tt
If repositories of the money of the Ur
$ ted States, such of the banks as ms
If be located at, adjacent, or convenie
to the points or places at which the r
o venues may be collected or disbursed
l. "provided that at least one such ban
y shall be located in each state or teri
IS tory'-"and that no bank shall have
s. deposite more than three-fourths of
IN capital
= Here is no authority whatever to d
s. tribute the money from the banks
le one state to the banks of another sta
" On the contrary, by the twelfth sectic
i'd all transfers for " any other purpc
n whatever, except to facilitate the pr
"a lie disbursements, and to comply w
ay the provisions of this act, are here
prohibited; and declared to be illegs
of and s.in cases where transfers shall
" required for purposes of equalizati
is: under the provisions ofthls act, IN G
on sequence oftoo great an accnmulat
for of deposites in any bank, such transf
shall be made to the nearest depo
banks which are considered safe !
red secures" and, although the supplem
the says that nothing shall preUent him f
led making transfers from state to st
be .'.Dhen required, to prevent large
,ay- i1tconUenient accuasuIdtiOns ii pal
nee ular places, OF in order to produ,
sriy due equality and Just proportion,
and cordtng to The provisions Of thai
ted the general policy Of the law 70
we the deposites together unless q
anu peculiar emergencies, remains
pre- changed.
q in Under this law, his duty was as !
ould as possible. He was to see TIL
alton bank should have deposite Of