Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1838-06-01


Virginia land scrip; but the suspension by the banks pu,
II out OF The power Of those wishing TO purchase lands
To obtain specie, 10 great extent In render this
resource wholly inadequate To .e supply Of the Irea-
sury
Under these circumstances the President issued his
proclamation 10 convene Congress on the first Monday
OF September last. Ia The lime, the debtor banks
and debtor merchants in the hands OF the EIecu
i've officers OF the Government and until Congress IN
trPOsed, were subject 10 the treatment which those n!
GERS should choose to extend towards deauing debtors
DAD they meet with spirit OF hostility VAS warke
course OF measures adopted Did they fnd DISPOSE
lion To rxternInate manifested IN the enit aud crbPar
qnce extended, certainly without law IL against law
No such charge prctence from the parties interested
has reached the COMMITTEE and certain it Is. that
oundailon Tor either exists in The true history OF
Next IN the order OF time the message Of the
President communicated 10 Congress at the commence
nent OF the extra session, and in this, and the annual
message OF December last supposed 10 be found re-
concentrations by which To sustain this charge Of hos
uIty against the Stale banks
VIVA, III. recommendations in substance; As
the committee rrcHsc and understand them. they are,
that the c"nnrS'on which had existed between The Co
vernen and tee State banks for the time IL the extent,
and in the manner before related which had become dis.
solved by the act on OF the banks themselves and which
had proved disastrous both during continuance
should moi be renewed that thereafter the n"rey of the
people, should he kept aud dSburrd by the servants Of
the people aud the officers Of private tons;
IN shnt that system tor the management of the fnan
upon the Government by the suspension Of the banks,
should be adopted What then, is that system; the
Committee believe they answer truly that, so far
the State banks concerned, IL is system. in It's gc
neral outline and action, very similar 10 that prescribed
and prnctIssd upon Ivy the Bank of the u am-oraed
BY the absence Of that fearful rVaShp the business
Of banking which constituted the most prominent iea
That nyprshadowing institutions; amelioraled
some her Ia the State institutions, important features;
and merely transferring the agency for the Treasury,
from incorporated bank 10 public officers selected and
appointed according 10 the provisions OF the Constitution
aud law and responsible To the people and the regu
larIy constituted tribunals Of the country for their faith
fuIneSs their very brief analysis OF the two
systems, comparing the with the other at each step
Of the process, viii illustrate this position Of tie
mitree
The system cnded by the President, proposes
10 make public officers, At the points required, the fiscal
agents Of the Treasury, and not the State banks
The charter oil the Bank Of the u States made it and
its branches fiscal agents Of the Treasury and
the State banks
The stem recommended BY the President pr" poses
that the public officers whom the duty shall be assigned
by law shall be the dep"siarrs u" the public money, ard
shall receive, keep and disbuse the same and not the
State banks
The charter of tire bank made it and its branches the
Repositories Of the public money. and the agents Of the
Treasury receive keep and GIsburse the same, and not
the State banks
The system recommended By the President. neccssa.
ry excludes all ot ih- public money, and al! bus-
ness by the fiscal agents of The rrasury which come
in ompcllIrou viii, the business Of The Stale banks.
The system established IN and under the bank created
expressly competitor powerful for The State banks,
without any portion of the public patronage, and then
threw its II the whole pecunary patronage 81 the
G"vrrnnrm thus placing tile STATE banks entirely al
lis mercy
The sy.tem recommended By the President docs not
propose to legaizc any bank notes currency,
10 make them tender IN payment Ui debts al the Iea
The charter Of the bank made all It's notes payable
drnard' lender in payrIen, ni debts al the Trsa
sury but did not give that preference to similar notes OF
the State Banks
The operation Of the system recommended by the Pre-
sdent would be To GiSbnsr in payments 10 the public
creditors any notes of the Stale Banks which should at
any time he allowed In be received and the disbursement
of which the existing laws, and the choice secured 10
creditors, should auihprIsr
The practice Of the bank to disburse no bank
notes hut lis and tn present all the State bank notes
it received yment u! tr revenue, at least once IN
every week hs redeemed with specie and 10 receive
State bank notes such payments, excerpt thuse OF
the banks located at the places where the bank and its
branches r. located.
These points of comparison might be carried further,
but the committee trust the above sufficient Tor Their
purpose Tie charge they considering that OF hos
,il,y on the part Of the Government against thu State
banks drawn from the recommendations ni the Pre-
sident These recommendations have, under the I'm.
posing appeIla0n Of The Sub Treasury scheme, been
made occupy large share OF the attention oil the
country and 10 excite The deep alarm # great proper
ton OF those interested in the State banking institutions
1t is not be disguised that the strongest charges ct
hostility have from those who arsftiendiy 10 the
system of q National Bank for the management o orr
finances: and hence the committee have believed fair
To institute THIS compariSon lar as III" Influence o
either upon the State Banks Is concerned, between that
and Tie system rcCnmmendedhy the President Can the
friends ui the former claim superiority tor their sys
tenn in benefits conferred upon the local banking in
stilulions Can they claim superior exemptions from
the checks and dprivatnns which those institutions are
Inexperienced under either SYSTEM Let the comparison
answer
in reference to any benefits anticipated from financial
agencies cding from the Treasury both systems
are equal 10 the State BANKS Both deprive them wholly
of those benefits
In reirrncs 10 the benefits derived from The drposi,e
and use Of the public moneys both systems equal 10
the ale banks; for both d,prve them Of those benefits
In reference To the embarrassmenis proceeding from
cnmpr'ton, the system recommended by the President
is wholly favorable 10 the State banks IL constitutes
no rival and prevents all rvaIs!p growing out Of an
exclusive usr Of the public money. The National Bank
system has for its principal ""ct the creation OF CON
handing and all powerful rival, and proposes TO give
the se and exclusive benefit of the use OF the pubIc
money.
In reference 10 the benefits dervable from bank
circulation growing out OF the management of the
public finances, the system recommended by tile RE
sident is also wholly nTorabe TO the State nstu'
TONS compared with The other. II no bank notes or
received payment Of The public revenue, or dlshursrd
The public creditors, under this system VIII theh
b. exactly equal, in I's operation upon The Stale Banks
with the National Bank STEM az, while tbe n"lcs "i
the bank, under the latter system. are 10 be made
legal tender in payment Of the public revenue, IS 10
in such payments the notes OF no SAFE BANKS
which are not at lis door and cannot I've presented at
least once every week, be redeemed with specie,
nominal favor which i've OF no practical value, and
may periods Of embarrassment, be serious INJURY 10
the State banks whose notes are received TOT such
purpose S, far as dsbu rSemens are concr'nph' lie
two systems must upon this hypothesis be always equal
10 the State Banks IT, however. Congress shall permit
10 any extent or any period Of time, the receipt or
disbursement or both OF bank notes in the management
r tho ,rhc revenues the State Banks under the sys
TEN recommended By the President would have all the
benefits 10 be derived from such permission while the
whole be nes would b. exclusively confined to thu Ma