Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1837-12-18

nave prOpOseus IL would, II must be admitted in
a great degree, accomplish one Of the objects |
which has recommended that plan to my jude I
mest--the separation of the fiscal concerns Of the
government from those of individuals or corpora
tions-Wh these observations, | recommend the
whole matter TO your dspassionate reilection,
confidently hoping that some conclusion may be
reached by your deliberations, which, on the one
hand, shall give safety and stability to the fiscal
operations Of the government, and be consistent,
on the other, with the genius of our institutions,
and with the interests and wishes Of the great
mass Of our constituents.
1t was my hope that nothing would occur to
make necessary, on this occasion, any alluson 10
the late National Bank. There are circumstan-
ces, however, connected with the present state of
its affairs, that bear directly on the character
Of the Government and the welfare of the citizen,
that should not feel myself excused in neglect |
ing TO notice them. The charter which ternina-
ted lis banking privileges on the fourth Of March, |
1886, continued its corporate powers two years
more, for the sole purpose Of closing il affairs,
with authority 'to use the corporate name, STYLE
and capacity, for the purpose Of suits for final
settlement and liquidation of the affairs and acts
Of the corporation, and for the sale and DISPOSE
ton of their estate, real, personal and mixed, but
| for no other purpose or in any other manner
whatsoever" Just before the banking privileges
ceased, its effects were transferred by the bank
to new State institution, then recently incorpo-
rated, in trust, for the discharge Of its debts and
the settlement of its affairs With this trustees by
the authority of Congress, an adjustment was
subsequently made of the large interest which the
Government; had in the stock of the institution.
The manner it which trust Unexpectedly Gre
aed upon the act Of granting the charter, and i'll
voying such great public interests, has been exc
cued, would, under any circumstances, be a fit
subject Of inquiry; but much more does it de-
serve your attention, when it embraces the re
dempton of obligations TO which the authority and
credit of the United States have given value
The two years allowed are now nearly at an end
II is well understood that the trustee has not re-
deemed and cancelled the outstanding notes of the
bank, but has ressued; and is actually reissung,
since the third of March, 1886, the notes which
have been received by TO a vast amount. Ac-
cording TO It's official statement, so late rs the
first of October last nineteen months after the
banking privileges given by the chatter had en-
| pred it had under its control uncancelled notes
: of the late Bank ef the United States to the IL
= mount of twenty-seven millions five hundred and
sixty-one thousand eight hundred and sixty-one
dollars were in actual circulation, one million four
, hundred and sxty-eight thousand SIX hundred and
twenty dollars at State Bank agencies, and
three millions two thousand three hundred and
ninety dollars in transitu; thus showing that up
wards OF Ten nllllOHS ana nan Ol lHe nOlc5 oil
the old bank were then still kept outstanding.
The improperly Of this procedure is obvious;
! it being the duty ofthe trustee to cancel and not
, to put forth the notes Of an institution, whose con-
Germs it had undertaken to wind up. If the trus-
@ tee has right to issue these notes now, | can
= no reason why 1t may not continue 10 do so
o after the expiration of the two years. As no one
e could have anticipated course so extraordinary
the prohibilory clause of the charter above quoted
n was not accompanied by any penalty or other spe-
i cial provision for enforcing II; nor have we any
l. general law Tor The prevention OF similar acts IN
il future.
!, But it is not in this view Of the subject alone
it that your interpositlon is required. The United
= States, in settling with the trustee for their socl
J., have Withdrawn their funds from their former d
e rect liability to the creditors Of the old bank, We
N notes of the institution continue to be sent forti
ID in its name, and apparently the authority o
q the United States. The transactions connecte,
al with the employ ment of the bills of the old Banl
" are Of vast extent; and should they result unlor
tunaiey; the interests Of individuals may be deep
IN " compromised. Without undertaking to decid
= how far or in what form, if any, the trustee
Al should be made liable for notes which contain M
of obligation on its part or the old bank, for sucl
,e as are put in circulation after the expiration of it
70 charter, and without its authority or the Gov
j. eminent for indemnity, in of loss, the ques
So ton still presses itself upon your consideration
n, whether it is consistent with duty and good fa
I'd on the part of the Government TO witness this pro
r ceeding without a single effort to arrest it.
I'd The report of the Commissioner of the Genera
IN Land Office, which will be laid before you by tn
he Secretary Of the Treasury will show how the al
IS fairs of that office have been conducted for tn
e. past year. The disposition of the public lands
nd one of the most important trusts conGded to Cor
rs gress. The practicablity of retaining the It'll
n and control Of such extensive domains in the Ger
sc eral Government, and at the same time admitlin
the territories embracing them into the Federi
b. Union as co-equal with the original states, wa
no seriously doubted by many Of wises states
o. men, All feared that they would become
ey source of discord and many carried their apprt
&c tensions so for as TO see in them the seeds of
be future dissolution of the coniederacy But har
so PLY our experience has already been sufficient
quiet in great degree all such apprehension
80 The position at one time assumed-that tho az
of mission of new states into the union on the san
IT. footing with the original States was incompatible
h with right of soil in the United States, and opt
e- rated as a surrender thereof, Notwithstanding III
ee terms of the compacts by which their admisso
IRE was designed TO be reguated-has been wisel
is- abandoned
o. Whether in the new or the old States, all no
lie agree that the right Of soil 10 the public lands n
nd mains in the Federal Government, and that the:
mt lands constitute common property to be dispose
err Of for the common benefit of all the States, Of
he and new Acquiescence in this Just principle b
the people of the new States has naturally pre-
he NOTED disposition to adopt the most liberal pr
of Icy in the sale of the public lands.-A pole