The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-03-06

ANA wishes OF the merchants be consulted aud the
rency be made 10 bend TO private and corposle inter-
ess Let the experience Of the ast year answer the
inquiry lie would express his confirmed opinion, that,
under such system, the currency Of the public Ireasu-
~ share all The reyerses and hucluaons Of areign
and domestic trade, aud all the hazards Of composite
banking, as private interest Hence the operations o.
the Treasury itself must be suspended, or the law OF
Congress, to currency, violated, whenever ievulsons
shall Cypress the couhtry, and the customers OF the
banks, OF the alternative be resored TO, u recently
has been by the national authorities. 10 conyoke Con
grcss relieve the banks and The public debtors, and re-
sort 10 the credit Of tho nation to s,ssi rs Treasury,
until the natural operations Of healtnlu business shall
again restore tho equilibrium.
Such IN his mind were the probable influences OF the
two systems uPonthe general currency OF the country
He would now proceed to answer very lew oil the
prominent objections made TO the bill, aud pass, ~ ra-
pidy possible 10 his conclusion The hrst ol these
ohectons which he would notice. that the system
proposed BY the bill attack upon the State bank
ing institutions calculated to destroy their credit and
usefulness This, il true, grave charge. aud
therefore required consideration. An attack must
be Infringement OF some vested igh OF course OF
treatment inaresy against the public good as to
parIake OF wantonness aud immortality or spirit oil re-
yenge Was any right Of these institutions proposed
TO be inrnged upont Did their charters, granted by
the States, Tor fixed aud specified purposes, include
among those purposes the saekeepng orPohtaLle use,
Of the money Of the whole country Was there pro-
Treasury. or thai their credit should be sustained by
the money and credit Of The people OF the Uniled States
NO. No such provision was ever heard oil IN the char
ter OF any State Bank No right Of the institutions
was them nfrngcd, by Withholding from them both the
keeping and use Of the pablo money.
Was any faith, confidence, due from this Govern
ment 10 the States, TO these Institutions Of their ere
atun, violated by the proposed separauon The States
had chartered banks for particular locations, with capt
tails slch as the locations seemed 10 demand, but would
any pretend that in granting these charters, the
Stale Legislatures had counted upon the money IN the
National Treasury, the credit Of the Federal Govern
ment, to sustain aud make useful the banking instltu
tohs To which they giving life and power, banks
Of issue aud discount Did any State Legislature ever,
by word deed, il to be understood either by
the people, the Institutions that banks Of their
rlon skeletons, poweress and helpless, and
that the life and health.gung principle was 10 be
hreathed into them BY extension Of the patronage Of
the Federal Government IN the shape o profitable use
Of is money, and command OF its confidence and cre-
dit Never, Had the Federal Government, by any
act, expression authorized expectation of this pa
ronage and confidence, exceptupon conditions whlchhad
been violated by the banks and had thus forced sepa
ration between them aud the treasure OF the country
lie was aware Of no such act expression The sepa.
ration exists, and has been forced upon the nation by
the banks themselves aud the simple question is, shall
we renew IL In what can The decision Of that
question, however that decision may be made, be at
tack upon the banksl The idea was mistaken one,
and the objection, in any light in which it could be
viewed, was unfounded aud unjust
he proposed, however. for the purpose Of illustrating
the truth of this conclusion, aud making clear
TO call TO the minds OF Senators single chapter IN our
financial history. During forty of the existence
Of the Government under the Federal Constitution,
National Bank had been in existence, and, he spoke
from recollection, but he believed the National Bank
had BEEN for the whole period, the exclusive depository
OF the public money, and the exclusive fiscal sgent Of
the Treasury. He sure 1t so during the tWen-
ty years existence Of the last National Bank and hc
thought il under the old bank Then the State
Banks not repositories OF the national treasure,
nor fiscal agents of tho National Treasury, and had it
been asserted that this legislation attack
upon these institutions that their credit and useful
ness thereby DESTROYED But, again during the
existence Of the last Bank OF the United States the notes
OF the State Banks dIs6ursed TO the public
dltors at ALL and were not receivable payment OF the
public dues but the pleasure Of the National Bank,
and them every bank receives the notes OF us neigh
Dor institution, to take them oct Of circulation and re-
turn them promptly be converted into specie or spe-
Gle funds Did these State institutions anguish and
die under this Congressional legislation Did they not
rather take root and flourish and become sound and
stable, and usciul Has not large and powerful po-
lItca party In this country ever concnded that the
checks and restraints, exercised by the National Bank,
during this period, the State institutions
lutary and propcrl That it great balance wheel,
regulating aud eqnallzing the movement of the whole
complex machinery What is proposed by the bill, but
that, to the extent of its operations the National Trea
sury shall form the same check and restraint upon
the local banking institutions That ii shall keep
the public money independent of them That II shall
either receive their payment Of the public
dues, nr receiving shall frequently present them for
conversion into specie, specie funds The only dIf
ference will be that the Treasury will not enter into
competition with the local banks in the business of
banking; that it will leave that whole field them and
merely itself with sound currency for its
actions How then is il possible that those who saw
such benign influences TO the local institutions from the
wholesome restraints Of National Bank, should see
such baneiu effects to follow tie same influences,
when flowing from the public Treasury! should
there attack upon the institutions prostraon Of
their credit, and total destruction OF their useful
ness
lie aware that the system proposed new.
and substantially unried, far the legislation aud
the practice OF government was concerned and II
would he nd nted by ai, that as new measure II had
net the full share Of Remuneration to which almost all
changes from established custom, almost all reforms
however valuable aud useful destined meet when
presented n the mere shape OF propositions for the ac
cepta &C OF the public. 1t ives not his habit TO speak
dsrespectluly here Of the actions motives Of any
and he certainly di not intend, in the remark he was
about 10 make 10 express any want Of charity towards
the course or opinions OF any side OF the House. or any
individual He yielded 10 all that credit for purity
OF purpose and sincerity OF intention, which he wished
them to award to him but he must say that he had
never seen more active jealous and prrscveng efforts
to forestd public opinion upon any measure OF egsla
ton, than had been used towards this, from the appear
Of the message Of the President, the extra
son. to the present hour He had this with the
more deep regret because some Of the most respeca-
bic, intelligent and Influential, Of those who had been
friends aud supporters OF the Administrations and who,
he trusted, were yet were among the most active III
opposition 10 this measure They acted, because
they felt and thought; and if they used efforts to
prejudice tho bill in the public mind, II because
they deprecated lis passage as in their Judgments IN
FURIOUS to the public interests.
lie would entreat them, however. to pause and re-