Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1838-12-14

,nes,ic exchanges during the past year, compare
with some former periods Although in o2o Nnti"na
Bank had been in full operation Tor several years. al"
in 1910 for o wears those exchanges then quite
az much drrangsd between most places os IN 1871 pu
late they have improved more rapidly 'nah !" Tue WV
former periods, without receiving any AID rom ne"
banking interpretations by the General eoVrE'ment.
This lac, demon sra,rs that the great nominal diner
ence in exchanges at periods has been produced py
circumstances over which national legislation possesses
but little influence
whsp s,c.ss,. of Indebtedness, other commercial
c,ns.s ,epd,r money more desirable III one place than
another then and not till them the legitimate dhetehrt
in exchanges gins; and that difference can never oe
corrected by banks or legislation but only ny the gtu
laws of trade changing The relative Indebtedness aa "e
m1nd ,
Bat, when a nominal difference in domestic exchanges
occurs extending beyond two or three per cent OF t"e
small actual cost Of transporting specie l" the most s
ont cities in The Union, is The consequence hot OF ''
u, dual Indebtedness alpne but of that and an neqna
quality or value in The local bank currency; ana %hch
event has been Produced and can be removed ohy oy
measures operating the seundness ct mat currency
Each State has in lis own power an ecual remedy Tor
any suffering By high exchanges from This source IL"
dererdep and true its vital interests, II can always
adopt such eiltciua regulations in banking as WI! re-
nnye the scourge of deprecated paper, ana mus aver
any ruinuus rate of domestic exchange c
Fran the Whole Of these considerations, IL Is manes'
thai the recent resumption of specie payments ana 'he
EQUALIZATION of exchanges, have both been ec'a'eu ny
the arve amount nf specie which has vi late years ote
;n,rn,uced and the course of policy pursued in other
resoec,s by the General Government topics connect
ed with the circulating medium and the banks
a restoration of equality in the foreign exchanges,
also and perse in exluguish'ng old dto's'
with increased orbearance to contract new 0nes eher
a, home or abroad have revived that iUregn commence
which had been withdrawn with such disastrous preGi'
pitaiun These favorable changes, united with o.
intuition in specuiaiions, whether in banks, lands or
commerce. and return 10 stricer !rugaity IN lnu'l
dual expenses and to industrious energies ior a
livelihood have aided good crops and some minor agen
ces in bringing about with greater rapidly, events ne
most desirable, and condition OF the country hlghJ
auspicious In many quarters, money has become COM
paalively abundant interest lower and trace ana ma
nu!actGres active.
Nothing more seems to be necessary 10 perpeua'e The
present healthy action of the currency, except rigid
adherence to the system Of policy which, by honest ana
resolue efforts, has produced the improvement. IL
but be wise in respect 10 The circulating edu
for the General Government 10 perseVere III course
which prepared the country better 10 meet, ana qulcEiy
carried il through SO fearful crisis II would seem
pruGent likewise for the ates, prolling by past eS
peience to insist reform IN their banking lnSutu
tons und particularly greater sell denial IN lhe
business by imposing additional checks on over issues"
and STRONGER limitations to excessive discounts. The
present system, if unchecked, has inherent ot:tcts o.
an alarming character; and, without lnGhighg IN uha
msgvings un us suspicious 1t may BE- SAID 10 leho'
by lis expansions and inevitable cont aconS, l" unsetlir
frequently the value Of labor as well as Vi The Whole
property Of the country.
The General aud State Governments might, also, with
manifest advantage, abstain fem applying any sunni
lan,s to The overaclon Of all kinds, that under such
specous but treachrrous hopes, deuced SO many INTO
the recent emharraSsneniS
This would NJ, pvince any hostility either To banks
to credit when well secured and properly regulated but
would serve to avert ruin from both.
Several Of Tie banks, which are under The conlr" OF
real capitalists and officers Of prudence and foresight,
have BECOME satisfied that the OF the public money
for discounts subject ia the restrictions OF the present
Gepose act, and The liabilities TO refund II suddenly
uh;r mi st n small balance The Treasury,
is attended with much inconvenience and likely, IN
The end prove injurious than profitable 10 The
banks ard their borrowers as vel! as TO The Govern
nrnt So widely impressed has this conviction become,
that snne n those institutions have declined to receive
public depnss under the special provisions ol ta act
yIIi. THE MANNER OF KEEPING The PUBLIC MONEY,
AND Tue CHANGES PROPOSED.
The present laws in regard 10 The keeping n The pup
lie money are defective several PARTICULARS winch
were explained in the last reports the finances
The full advantages, either oil the system o State
Banks the proposed Of an independent Treasury
are moi now enjoyed; while tie department, without all
the securities hich practicable, Is subjected 10
Of the Inconvenience and many oi The fiSks d.
tending ho!h . -,
The measures il would recommend as most suitable
remove The various mpeiecons when exist on ''is
subject, have been So recently and fully explained, that
ration Of them ALL at this time, camel De re-
garded as necessary
II is deemed proper, however, TO communicate 10
Congress such deails material for understanding.
with accuracy The mode in v hch The public money Is
now kept and for approaching duly the Importance oi
those additional checks and securities which, though
proposed part Of the plan for al independent Urea
sury appear 10 be imperaGey required under any sys
tenn.
Four of The six banks reported at the last session OF
Congress- retained under The drpusie act "t June 70,
1896 still continue To be general repositories vi the
other two The Peoples Bank, at Bangor and The Louis
vile Savings institution the former has surrendered its
charter and The latter having declined the general trust,
is now employed merely for special dePosites The
names of the four banks retained annexed, with The
amounts in EACH subject draft the st Instant and
their condition generally. Collectors and receivers,
residing these institutions have continued 10
depose in them formerly Drafts are seldom made
directly officers situated; nor are any considerable
amounts Of public money long retained by Them. Al
points where other general drpos,ories were needed,
the department has not yet been able 10 complete ar
Engagements with any banks which were both compe'
tent aud willing to be selected under the specific proVi-
sons OF the deposite act
In many of these last cases. therefore, the practice
has BEEN 10 leave the public meney with the officers
collecting it, To be held in their own custody or placed
in special deposiies in banks during The short pFrou
which might elapse betuie II was wanted and drawn
from them by d ats in favor OF the public creditors
A list Of The collectors and receivers from whom the
money has generally been so drawn, aud who had any
amounts hand subec 10 draft the LIST instant, is an
nexsd.
The res, of those classes Of officers, who have collected
funds beyond the needed to deiray their current
expenditures, aud who were not conveniently situated 10
cunio to either OF The ABOVE arrangements nave ueeh
required make deposites of the same in banks to The
special credit Of the Treasurer
Other funds received from the exchange OF Treasury
notes. from collections by attorneys and marshas, from
paent fees and miscellaneous sources have also, III most
Stances been placed in banks TO the crrdit OF The
Treasurer in special deposite, except such amounts
as could geousy be put into the mint and It's
branches for The only two purposes authorised IN The
laws on that subject.
An exhibit is presented Of The of these special
repositories with the sums in each. The amounts re-
tanned the mint and its branches under the provisions
OF those laws are subioned
In the absence of suitable general repositories, some
money! due from certain State Banks, has been allowed
10 remain dep"sile To The special credit OF the Trea-
suer I'LL il was wanted for public payments; they be-