Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1838-06-19

tend to promote their benefit
The Secretary, them in requiring OF collectors ana re-
ceiyes not take bank paper OF less nenoHna''o"
than twenty dollars had acted with reference to Inc e&
listing state Of things, and with reference to 'ne e6ss
Jaw Of the land He had authorised the receiP' Vi
description Of paper money, which aGne m ingsr
bursed lie we'll knew that the banks were no longer
,be 6sc, asen,s Of The Government That the collect
ors of the customs and the receivers al tue au oc,
were CHARGED with the duty of receiving ano discussing
the onbc money! aud it seemed TO MIN that tnere Woue
BE- nI Glazing absurdy in requiring these public Of
cers 10 take what they could not dlsburseto receive
o,cs of less denomination than twenty dollars, when
bv the express terms OF inc statute no such paper mo-
nsv could be paid any OF the public creditors
This then was the head and the front of the Secreta
RVS offence That by of the recent legislation
OF Congress- and to secure 10 the community the oene
fits of the Joint resolution Of 1885, he had issued gene
raj order collectors and receivers to take that descrp
ton Of paper and that only justified by existing law; and
the notes Of those banks and Of those banks only which
the depose act of 1886 permitted He had done what
the law authorized, and what it seemed the law required
him do; he had done nothing more; and there was
Of offence, it not to be traced TO that act OF
the Secretary Of the Treasury, but to the positive enact
ments Of Congress.
lie wished tosay word or two upon Inc proposition
of the Senator from Massachusetts,. he could not oe
leve that majority Of either House OF Congress woGld
be found legaize the receipts of bills OF less DE-
nomination than five dollars for the public cues. Such
a proposition could find no favor WIN nun; ana ne
should be slow to believe that Congress would, ny It's own
legislation expel from circulation the specie when The
existing policy of the Government was well calculated
to keep in circulation. de believed mat the Leg'sia'
tnre Of his own State and the Legislatures of all the
New ENGLAND States would long prohibit the banks
from issuing bills of less denomination than FIVE dol.
lars 1t was, in his Judgment greatly 10 De desired
The drec, effect Of such legislation would be TO intro
duce at once specie into circulation for that pon Of
paper. The consequence Of such an improvement in
The circulating medium would be most sensbly felt by
the laborng classes Of the ccmmuniya portion OF our
citizens likely to be injured than any other, and
hIa haas oth hv IPDrp
ciated paper currency. He hoped. therefore, as mat
ter of great public convenience, that Congress, as well
as the State Legislatures, would by their public acts
increase the specie and diminish the paper circulation
In no way could this be done efiee,ually than
to carry the policy the dePnsi,e act OF 1850
The papers presented this morning by the Senator from
Massachusetts, look to a departure from that policy All
he would say wcs that he wholly opposed 10 the
object ayowed Nor was he Of the opinion that there
was any great Inconvenience experienced or ielt IN
Boston by the importing merchants, as things no" e1
listed He had read in Of the public journals OF
that ciiy-a journal not in favor OF the present Admit
nis,.alon-and he had received letters from that city
and he could believe relying on these sources OF
information, that there was much practical emoafra$s
ment produced among the mercantile community IN
consequence of the Of july 1886 and of The recent
Treasury Order prohibiting the receipt for customs Of
the notes Of banks which had issued bills OF less de-
nomination than five dollars The Merchants Bank
had long since resumed specie payments. He beiiev.
cd that three other banks had also, by vote OF
their boards of directors resumed specie payments for
their liabilities; and, although the Merchants Bank
could not under the deposite act of 1886. be selected
depository of the public money, having paid out
the notes Of other corporations Of a less denomination
than five dollars yet that bank had not issued, since
the passage of the depose act Of 1886 It's own bills Of
less denomination than FIVE dollars. The notes there
FORE of that bank receivable for public dues; and
since its resumption Of specie payments. he believed
that more than two hundred thousand dollars had &c
tuay been paid into The custom house for duties OF the
bills of that institution He advised and verify be-
lieyed that every possible accommodation afforded
70 the mercantile community by that institution. He,
therefore, not Of any special inconvenience
that felt by the mercantile community by reason Of
the prohibitions mentioned in the act OF July 1886 and
he certainly could agree to any change Of the policy
manifested by that statute In his own State, there
81 banks-al with the ption Of two had issued
and still continued to Issue their notes Of less de-
nomination than So and those two had paid IN the
Of their business other bank paper Of less denomna
ton than So The two banks TO which he refered-ore
aPortsmouth the other at Concord-had not issued their
paper of less denomination than 50, and there
could be doubt that the bills Of the Commercial Bank
al Portsmouth, and Of the Mechanics Bank al Concord,
if he was not mistaken 10 their course would be
ceived for the Governmen dues; and equally clear
that the bills Of all the other banks could not received
without entire departure from, the Of July, 1880
They had been received any time since the pas
sage of that act and they would not be hereafter received
because they would desis from issuing bills OF small!
denomination 1t was more for their interest 10 pursue
this than have their paper received lot 20
veIumen dues And il is with great proportion OF
the banks of Massachusetts. But, while he was wholly
opposed any material change of the provisions ct The
of 1885, he would have objection to placing all NE
ban.s upon the ground. He would say TO he all
If hereafter you viii TO issue or to pay out oils Of
less denomination 'hGn So, he would agree TO receive
their paper for customs and for lands. Beyond this he
would 60 Beyond this, with view to the practical
convenience Of the importing merchants lie did moi be-
eve it necessary to GO lie hoped, therefore, that
the future legislation of Congress- in relation to this mat
ter would he directed to add 10, not dnnish The
specie circulation Of the country.
MIR Buchanan observed that it could not be Denied
that, under the operation Of existing laws, there was
now total disconnection between the Government and
the banks even if they resumed specie payments. The
separation complete and entire Tar as that The
Government could not employ any banking institutions
which have issued notes under five dollas and this fact
ought be known TO the country and to Congress- be-
the banks themselves had produced the separation
es>n in they There mi ht be few solitary
executions; but he had heard of bank in tie country,
with To, exception OF those Of Missouri and Arkansas,
when nae not either issued small notes Of its own, or
Pad out thos> issued hy niher banks corporations -
None Of the bais of PENNSYLVANIA had issued notes Of
less ah hve dollars, but they had generally paid on,
nots ''sceo oy oth>r corporations and therefore, ny
the dePosite act' they brame disqualified public de.
positories.
MIR Preston here interrupeoMr. g. to say, that none
of The banks OF South Carolina lad issued or paid out
notes under five dollars
Mr. Buchanan resumed The Question nov was as
to renewing the connection between The Government
and the banks. He did not think he should for n
bill the connection. There was another qnea
ton raised by The Senator from Maesachuses
was relative 10 the dere nee between bse winch nave
issued no,es dlisss- s'ohers. tie did not
there was any d;aereee in point of morality or
propriety Mr.. B. said b. never would agree to repeal
the provision referred % entirely; but, fer The sake OF
pivng The b.,hs tiee to resume, he would be willing
10 suspend it's orfaton for time-suy to the 9th Of
October next,
Mr.. Webfer believed that the introduction after the
9th Oct.ser next would be the perncious measure
that .ould be adopted in the event of resumption
sir Smith Of Indiana said he simply to correct
statement of the Senator from Pennsylvania, that the
banks Of all the States, except Missouri and Arkansas
received paid notes of less denomination than
Eve dollars He believed the remark was incorrect so
far as the banks Of the State Of Indiana were concerned
Those banks not authorized by their charters to issue