The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-01-30

simultaneously 9Th all those movements OF 4
hostile character towards the banks the famous Sub
Treasury scheme was brought upon the iapis.
For whit object was L. thar the attempt was thus
made 10 degrade, disgrace, aud 10 break down the
deposi,e banks, and 10 INTRODUCED new system found
ed on what the recent developments have shown 10
be Yottca foundation7 Was il not for the purpose
Of conveying forth TO the public mind, that there was
inherent defect In the State Bank deposiIe system
which led 10 The disasters attending il and BY adopt
Ing the new scheme recommended, enable the De-
partment to escape The consequences which must in
evilably attend an exposure Of its absolute msman-
agement
Anotheraliempttoc east odium on the deposiie banks
and TO consummate the work already begun, and
lead to breaking them down, am led 10 suppose
had its origin with the Secretary refer 10 the bin
reported in the Senate, authorizing the Secretary TO
require the late depoSite banks" to settle and pay
all balances due by them ia specie In tro four
and sir months; and In default thereof to commence
suits again, them. A compliance with these requi-
siiions would have been thing altogether imprac-
ticable as must have been fully evident with the
large debtor banks generally. They would fiom
necessity have been obliged to have stood suits,
have already observed, that the unsafe character,
together with the number Of defaulters among the
class Of public officers which il is contemplated un-
der the plan, which do not doub. originated with
the Secretary of the Treasury, must have been
known to him.
What motive could have induced the Secretary
to recommend, and even 10 urge upon Congress,
such plan, l cannot divine unless II was to avoid
that which must inevitably attend the reorganiza-
ton of the State Bank depositc SYSTEM which he
considers TO have failed though under his admins
traton of the Department.
cannot but believe the President must have been
struck with greater establishment than almost any
one else al the developments contained in the report
OF the Secretary referred to in your last paper
strongly suspect he had as little suspicion of their
existence as any one else
II have not been misinformed, the following
statement when publicly made in print in the early
part of las, sumner was declared by the Secretary Of
the Treasury TO be altogether inaccurate:
at is matter Of public noioriety that, with the
present system Of rigid supervision exercised over
the public receivers, requiring them TO depose in
bank monthly the money they may have received, it
cannot be enforced; many will, and do disregard
the regulations, and great defalcations follow"
The recent development of facts seem not only to
confirm this statement, but go much further
feel anxious to see who will be willing TO stand
boldly forward, and become the open advocates of
The sub-trcasury plan, after the recent Developments,
as to the character for security Of that class which it
is contemplated to create its confidential officers.
While am the strenuous advocate for rcorgan-
izaion OF the State Bank deposite system on proper
principles, yet should regret to see it entrusted TO
the hands of any carry out If adopted, whose
leading characteristics Unsuitable ambition and
constitutional dread of responsibility.
shall continue the subject in another number.
VALERus PUBIIUs.