The Rhode-Island Republican. [volume] (Newport, R.I.) 1809-1841, 1838-04-25
THE BANK CONVENTION.

THE BANK CONVENTION.
I [From the n. Y. Evg. Post, of the l7th inst
A convention of delegates from all the
banks, except those of Pennsylvania, which
under MIR. Biddle's directions, refused to
move in the matter, adjourned yesterday af-
lternoon. They first passed the following
preamble and resolution fixing the first of
January as the day for resuming payment
for their notes. To this all the banks a.
greed except those of Nav York, which
held The day to he too distant, and those of
Mississippi, whichheld it to be too early !:
! " Whereas it is found necessary in order to
simultaneous action by the banks IN the resumption
specie payments so TO proceed in designating
period Tor that purpose, as to secure the nearest
approach TO unanimity. And whereas whilst in
the Judgment oil ths convention, the return 10 spe
Gle payments and preservation Of the currency in
a sound condition, will depend essentially on the
course OF the general government; YET this con-
veniion regards il as the duty of the banks make
the effort IN good faith exclusively Of any direct
reference to the prospective measures fhe gov
eminent. AT the same time, the convention has
been happy to observe in the recent letter of the
Secretary of the Treasury, specific assurances of
an intention to sustain the banks SO far as it mas
be done through the fiscal operations of that de-
partment of The Government.
" Resolved, That il be recommended TO all the
banks OF the several states, TO resume specie pay
payments on the first Monday in January next.
without precluding earlier resumption on the
part of such banks may find it necessary or deem
/ 1t proper"
| Ifthe bankers who adopted this resolu-
ton conduct their business with as small a
share of common sense as they have shown
in drawing up this preamble and resolu-
ton, no wonder they cannot pay their notes
"The resumption of specie payments"
they say, f" depends essentially upon the
course pursued by the government" This
is repetition of what these people have
learned from Mr.. Biddle's letter, and never
did Parrot utter sheerer nonsense. We
now see why these banks are not ready to
return TO paying their notes-they have
been waiting for the government.-The
waggoner has driven his vehicle into the
mire and sits with his arms folded waiting
for Hercules. True it is that there is no
demand for specie; true it is that exchange
on England is below par, and gold and sill
yer are flowing into the country by millions
at time--nll this is true, but still the re-
sumption of specie payments must depend
on the government" Why, what can the
government do more7 Can the govern
ment make specie more abundant Can
the government bring down the rate of ex-
change still lower?
The truth is that the government cannot
stop the banks from resumng specie pay
ments if they are disposed TO do it. All
the constitutional and legal powers which
the administration possess, combined, direc.
ted and exercised, with the utmost skill and
the utmost vigor, cannot lay an obstacle in
the way Of their resuming payments. The
administration can no more control this
matter than they can control the tides and
the tempests, or prescribe the course OF Arc
Iturus. The laws of trade will operate in
spite of them. When specie is abundant
and nobody wants it for any particular pur-
pose, as is the case at present, no bank
which is not deplorabIy, utterly, hopeessly
insolvent, will refuse to pay its notes.
The preamble closes with an expression
Of qualification that the Secretary of the
Treasury is now discovered to be friendly
to the resumption of specie payments. Was
it necessary to call the Convention togeth-
er to publish this Why, every man in
tnat body has known it ever since the sns-
pension Of specie payments. Nothing so
much embarrassed the government as the
stoppage of the banks, holding as they did
the public deposites, and controlling the en-
tire currency of the country. Their failure
threw our national finances, till then pros
porous, into the greatest confusion. Their
, return to specie payments will help to re-
,rieve them. Nothing can therefore, be sill
lier, nothing can have on its face palmer
stamp of hypocritical pretence, than thl:
talking of the desire of the administration
that the banks shall pay their notes as some
thing new.
The banks, in taking next January as
the period for beginning TO he honest, have
certainly given themselves
Ample room and verge enough.
: There will be time before next January tt
call another convention to postpone the re
sumption still further, if the course of the
New York banks should not previously
compel them to pay their notes. The Banks
! of this State met yesterday afternoon, I'M
: mediately after the adjournment OF th'
9 Convention, and passed this resolution
."Whereas the law which legalized the suspen
sion of specie payments will expire by It's owl
e limitation on the 10th of May next, and whereas
the effect of resumption are considerations wmcl
more properly pertain to the Legislature than U
: the banks therefore, without attempting to fore
v see what the effects may be, but hoping they ma
not be injurious TO the commercial industry OF th
: State and with determination to render TO thoS
{ interests all the assistance which shall be foun
!, compatible with discharge Of our legal oblisa
8 tions,
Resolved, That the banks Of this state be u
y lcommended TO RESUME SPECIE PAY
e MENTS ON OR BEFORE THE TENTf
}. DAY OF MAY NEXT.
C. w. LAWRENCE, Chairman.
w. NJ. vERMLYE, Secretary"