Virginia free press. (Charlestown, Va. [W. Va.]) 1832-1916, 1837-10-26


from the beginning system Of fraud
and deception. Itproducej speculation
IN the exchanges by the officers Of the
banks who were expected 10 regulate
them; the alleged facilities Of exchange
were merely nominal; and he adduced
instances to show that shaving, to great
extent upon them, bad been carried on.
The Specie Circular had increased the
amount OF shaving; and he sdduced in
stances Of enormous profits divided by
the banks in the city Of his residence.
He expressed tie belief thrt the cur
rency and exchanges, bad as they of
course were, were made still worse by
the interposition Of the President.
Mr.. X. had been rather inclined 10
favor the Sub-Treasury system, till the
argument; Of Mr.. Benton convinced
him Of its inexpediency. He ridicul.
ed MIR. B.'sprecedents, drawn from the
Roman Empire, from Napoleon, from
Spain aud from Turkey, and chsrac-
terized their financial measures as
those OF plumber, oppression, and blood.
MIR. Benton had entirely frightened
MIR. X. from the support Of his Sub
Treasury system, as modified by MIR.
Calhoun.
Mr.. X. expressed the hope that he
would find himself able TO support the
present Administration. but he mus,
speak the truth. The message. he
said, was greatly erroneous in various
particulars, which he proceeded to
show, mostly from authentic state men,s
and other documents. BY these he
proved that the paper currency in Eng
land had not been expanded, as the
message alleged; there had been no in
crease Of speculation there; that the
value Of the currency there had been
increased. aud no; deprecated, that
there had been little or no augmenta.
ton Of loans in England; that no uni.
versal commercial distress had occurred
there, except what was owing 10 its
commerce with this country; and that
in England there had been no over
trading. hr. X. expressed extreme
regret that these errors of the message
had gone forth TO the world, and been
believed as truth, when there was no
truth in them. He deprecated the i'm
Portaiions Of specie which had been
forced into the country; and argued
that this forced mass, instead of going
iEto the circulation Of the country,
went into the Banks, and served as the
basis OF excessive paper issues. The
$50, 600 900 Of foreign debt, in March
last, as stated by the message. he tho't
an error since more than S:32, 1000, 900
Of such debt had been paid since that
period.
Mr.. King then entered into an Ella.
boraie and interesting financial investi-
CATION, to show that the system adopted
and acted upon by the Administration
had been vain warfare against the ma
tural order of things in commercial
transactions. They had unnatura.ly
forced gold and silver into the country
from England. and then endeavored TO
keep IT here. despite of the natural
causes which led Il 10 flow backwards
add forwards; that, by this violent pro-
cedure. the Bank OF England had been
Obliged, in its own defence, lin order
TO prevent IFS own vaults being drained
OF all their specie 10 put a stop 20
American credits, and call in its debts.
II 1t had not done so, it would have
been forced to suspend. Now. il the
natural laws Of trade had been allowed
TO pTeVail-if the merchants of this
country could have been allowed 10 oh.
tain specie TO pay the debt, snd could
have RENTED IL TO England, no embar.
Tassment would have followed: bot the
specie which they required was dram
ed away to the West by the unnaiuraI
and violent process Of the specie circu-
lar; m consequence Of which a scarf.
ty OF specie vas created on the Allan
iic board. The effects ofthe specie cir
cular. While thus ruinous TO the com.
merce Of the East, we're not less disas.
tTous TO the trade and business of the
West. The banks there were drained
OF specie by IFS operation; Il was. in
fact, the commencement OF . general
run upon them, begun by The Govern.
ment itself most impolilic aad fatal
procedure. Thus endorsements were
created on al sides. by attempting 10
force things TO Aow unnaturally in
channels contrary To the course and or.
der Of trade. Thus, a run agains, the
trade and trading institutions Of the
country (snd. by consequence against
all the people Of the country was IN.
siiluied and carried on by the Govern.
ment Of the county itself. and against
its OWE country a suicidal course
which, perhaps bad go paSallel IN the
history Of the world
Among other positions, Mr.. X. broi
forward the following which he main.
tanned BY various arguments. and illus
trsled With deafness and force:
J. The Banks ace not broken and N.
solvent merely because they do not
pay specie. Specie is made 10 be an
article Of merchandise--it is no longer
an item Of cuuencJ The. premium
vi ioh Government has pot upon Il hes
driven Al off from hefay r,,r...-.. IA