The Caledonian. [volume] (St. Johnsbury, Vt.) 1837-1867, 1838-12-11

| m
The contract between the suspension oflS14 and
| that of 1887 is most striking. The short duration
of the latter; the prompt restoration oi puS'ness'
the eye,dent benefits resulting from an adherence
| Inv The general Government 10 the constitutional
standard of value, instead OF sanctoning the sus,
pe nsion by the recei pit OF lrredeemaDe paper ana
the advantage derived from the large amount Loo 81
spece introduced into tho country previous 10 1901
n valuable illustration of tho true policy OF the Gov
eminent in such a crisis Nor can the comparison
fail TO remove the preston that natlonai Dahk-
is necessary in such emergencies Not ohty WeIo
changes lave also been more rapidly restored thah
when it existed; thereby showing that private cap
ital enterprise and prudence are July adequate 10
these ends. On all these points experience seems
70 have confirmed the views heretofore submitted
TO Congress- We have been saved the mortimer
ton Of seeing the dstresses of the community ior
tho third time seized 10 fasten upon Inc country
so dangerous an institution; and we may also nope
that the business of individuals will hereafter be
relieved from the injurious effects OF continued
agitation OF that disturbing subject.
The limited influence OF a nationol bank IN aver
ting derangement in the exchanges of the country,
or IN compeinq the resumption of specie payments
IS now not less apparent than Its tendency 10 ln'
crease inordinate speculation by sudden expansions
and contraclions; its disposition to create panic and
embarrassment for tho promotion of It's own
designs its interference with potlcs; and its far
greater power for evil than for good, either IN re
gard to tho local institutions or the operations OF
Government
but apprehension or opinion when national BANK
was first established, now stands Combined by
humiliating experience. The scenes through which
wo have passed conclusively prove how little our
commerce, agriculture, manufactures, or finances,
require such an institution, and what dangers are
attended on its power-a power, trust, never TO
be conferred by the American people upon their
Government, and still less upon individuals not
responsible to them for its avodable abuses.
My conviction of the necessity of further legisIa
tive provision for the safe keeping and disburse
ment OF the public moneys, and my opinion IN re-
gard 10 the measures best adapted to the accom-
plishment of those objects, have been already sub
United 10 you. These have been strengthened by
events; and, in the full conviction that tune
and experience must still further demonstrate theIr
propriety, feel it my duty, with especllul defer
ence to the conflicting views OF Others, again to
invite your attention 10 them.
With the exception Of limited sums deposited in
the few banks still employed under the act OF 1850
the amounts received for duties, and with very
inconsideable EXCEPTIONS those accrulng from lands
also, have since the general suspension OF specie
payments by the deposie banks, been Kept and
discussed by the Treasurer, under his general legal
powers, subject to the superntendence of the Sec
rotary OF the Treasury. The pToprIeiy OF more
specifically, and of regulating by law, the exercise
of this wide scope of Executive discretion, has
been already Submitted 10 Congress
A Change in the office Of collector at one OF our
principal ports, has brought 10 light dedication OF
the gravest character, the particulars OF which
will DO laid before you IN special report from the
accompanying documents, it will be seen that the
weekly returns Of the defaultng officer apparently
exhibited, throughout, faithful administration OF
the affairs intrusted to his management 1t, how
ever now appears that he commenced abstracting
the public moneys shortly after his appointment,
and continued TO do so, progressively increasing
the amount, for the term of more than seven years,
embracinga portion of the period during winch the
public moneys were deposited in the Bank OF the
United States the whole OF that of the State bank
depoSe system, and concluding only on his retire.
from Office, after that system had substantial
" failed In consequence OF the suspension OF spe
Gle payments
The way in which this de(alcation SO long
concealed, and the stePts taken TO Indemnity the
United States, as far Ms practicable, against loss,
will also be presented to you. The case Is one
which Impcratvely claims the attention OF Con-
grcss and furnishes the strongest motive for the
establishment of a more severe and secure system
for the safe keeping and disbursement OF the pub
lie moneys than any that has heretofore eAst-
It seems proper, at all events, that by an early
enactment, similar TO that of all other countries the
application uf public money by an uthcor OF GOV
eminent 70 private uses, should be made felony,
and visited with severe and Ignomlnious punish
ment. This is already ia effect, the law in re-
spect to the mint, aud has been productive of the
most sautary results. Whatever system is adopted,
such an enactment would be wise indep9n-
dent measure, since much of the public money
must in their collection and ultimate disbursement,
pass twice through the hands of public officers, in
whatever manner they ara intermedlaely kept
The Government, it must be admitted, has been
from its CONNIE ncement comparatively fortunate
in this respect. But the appointing power cannot
always be well advised in its SCI ecuons, and the
experience of every country has shown that
public officers are not at all times proof against
temptation.
It is duty, therefore, which the Government
owes as well to the interests committed to its care
as to the officers themselves, to provide every
guard against transgreseions Of this character that
IS consis,en, with reason and humanity Congress
cannot be too jealous of the conduct of those who
are intlustcd with the public money, and shall at
all times be disposed to encourage wnt'h,ul dis,
charge of this duty. lfamere direct cooperation
on the part OF Congress, in the supervision of the
conduct of the officers intrusted with the custody
and application of the public money is deemed de-
sirube it will give pleasure to assist in the es
Enlistment Of any iudicious and constitutional
plan by which that object may be accomplished H.
You will, in your wisdom, determine upon the
propriety OF adopting such plan, and upon the
measure necessary to its effectual execution.
When the late Bank of the United Stares was
incorporated, and made the depository OF the pub
lie moneys right was reserved to Congress to