Columbus Democrat. [volume] (Columbus, Miss.) 18??-18??, 1838-05-05


poSitories OF the public money--to use their own
capital in their own way, without mOles,ation on
It's pant.
But il not giving public deposte 10 the State
banks is a measure OF hostility calculated 10 de-
stroy them, how il it that those banks eontrved
to exist so long without these deposles What
sustained them while the Bank of the United
States had the public moneys What has sus-
tanned those OF the State banks which have had
none of those moneys down to this day. Under
the late system. only about eighty banks out Of
eight hundred had dollar Of those deposos.-
How did the others get along Cannot any por
ton OF all of the banks sustain themselves here
after without deposcs as we'll as they have done
heretofore Aud has the Government always
aimed to overthrow those banks to which 1t has
entrusted none Of the public money The idea
is absurd, and the mpuaHe sroundless.
II is not intended to say, however, that all or
any o! these connected with the administration,
are theoretically in favor of the State banks as
now organized or approve the course they havs
pursued within the last two or three years
There is probably on those points the same d.
yersty OF opinion among them which exists N
the community. II may, however, be safely as
serted that, to a man, they think the banking sys-
tenn needs extensive reforms and additional
checks and responsibilities to protect the country
from an eternal round of expansions and contrac-
tons, apparent prosperity and real distress, some
times leading to the temporary subycrson Of 10
currency established by the Constitution. 1t is
not banks TO which they are hostile, but bonk
abuses
A. 1t is objected thai The Independent Treasu-
~ would expose the public money to be msused
and applied to private purposes. ltwould seem
impossible to devise system under which The
public money could be applied TO more mIsclie.
vons purposes than it has been under the bank
deposile system. Where are the many millions Of
public money when the banks stopped payment
in May laSt They were lent out to the presidents
and directors of the banks, their friends, and tlei
customers.- Instead of being employed for pab
lie purposes, or even in promoting the agriculture
manufactures, and commerce of the country, the,
were instrumental IN putting en- foot speculation
in city lots, new towns, public lands, stocks, pro-
duce, and merchandise speculatons injurious tc
pubic morality and fatal to the best interests O
society. more wholesale misapplication ant
mssue Of the public money it is impossible I,
conceive. The Independent Treasury woult
put an end to this enormous abuse. The keep
ers of the public moneys, under such a system
would not only be under heavy bonds, bu! woul
even be subject to fine and Imprisonment for US
ing or lending them for any purposes whatsoeye
except TO pay the appropriations Of Congress.
the same latitude were allowed TO them as herr
toiore has bccn to the banks if they were ne
mlltod 10 use the money in their private hlISnes
" TO lend il out and pocket the interest; if the
were permitted TO extend their own credit, an
enter into all sorts ofspeculation upon the cred
Of the public, then, indeed, nothing but the mo.
disastrous plundefing Of The Treasury could
expected. But II IS to put an end to these ver
mischefs that The Independent Treasury is PR
posed.
by whom is our revenue collected! By III
Collectors Of the Customs, by Receivers of Pull
lie Moneys al the land offices, and by Posma!
tiers. Into their hands the entire revenue of III
Government now comes in the first lnstanc,
And are not they all Executive officers! Is n,
the money while in their possession IN the hnnt
Of the Erecutirc2 DO they plumber and misa
ply it, their bonds notwithstanding, in dangerot
or destructive degree?
Again by whom are our public moneys d;
bursed? BY Paymasters, Pursers, Navy Agent
Postmasters, and other agents all of whom Al
Executive officers. Do they misuse and misa
ply it, except in occasional instances Of small in
poriance!
Every dollar of our revenue under the presc
| and all former systems, is twice found in Il
hand Of Executive officers, and subject to the
, control. Even when deposited in banks, II
in the contemplation OF law, in the custody
! the Treasurer, who is an Executive Officer.
t is one of the Executive functions in every Go
ernment 10 collect, keep, and disburse, the publ
, moneys, according TO the plans prescribed by 4
Legislative power In principle, banks might
, well be employed 10 collect the taxes and dl
5 burse them, as to keep the money during al
portion Of the intermediate time. If it cannot
{ safe in other hands than those of banks, why
j, il 90 into other hands at all Why not emp
the banks in every operation involving the pub
money T!
Q How would a bank figure as paymaster Of
n army, or purser of ship, TO prevent the pub
: moneys being kept by Erecafire o9iccrs7 Won
n it be perfectly safe, it the midst Of cnmPoi
n or voyage 10 put the cash into the hands
= those over whom the commanders had no CO
: troll What ifthey should lend out the mon
5 to merchants and SPECTATORS, and then suddel
$ stop payment, and thus cut of all supplies
e Our ship Of State was recently under full $;
. with banks for IFS purser. Unexpectedly, a
5 without notice, they stopped payment, and
$ commander has had great difficulty to feed a
!. pay his crew ever since. He now asks for p
" ser who will keep the money in good faith for
f sole use Of The ships cretc. instead Of lending
c out 10 traders or pirates. Is this wrong or unr
4 sonable
e s. Ii is further objected that the independ
il Treasury plan would, in dangerous and alar
ing degree, extend the patronage and influence
g the Executive.
IS Under the late system, there were about Gig
If deposite banks, with 80 presidents and 80 ca
J. ers, about 600 directors, and about 0,U00 sto