Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1838-03-05

jN'I ~ ms NHbSffhf- Drttccrfd IN he senate 81
The ttotrS States 5h and 6h february. 1898.
tcoSoLupfp)
have nov, Mr.. President. conc through my OBJ
iections 10 tins Eli on OF what 1t contains
object To 1t also, and not less earnestly. on account
ri wh II II does not contain. II contains no pro,i-
SION Ion the relief of the country. IL takes no
thonsh Tor the public. il lookS only the ease
aud comfort of the government. The most urgent
want oi The county, The highest interest Of i'll, is n
speed, restoration OF specie InNmrnts b, the banks
Now, Too. "a tn critical aud decisive moment. The
banks hay" been, hitherto iecul, and steadily cur.
tailug thrir discounts aud circulation, with view
10 thai resumption, TIL they have biouy lt thc bu
s'ncss within such safe hunts, that they might no"
silly resume with alle encouragement. But If they
are once agaip let loose from these saluiary bounds
ii, despairing Of general resumption, aud welding
Ia the strong temptations oi iredrrmahlc issues
they shnull again expand all hope " III be lost OF re
calling them To specie standard. aud the disastrous
reign OF an nconsrrtble paper currency will bc lnde
hntcly prolonged. Now then. is tie moncu To
JOIN IN this great work ot c!teciing restoration OF
specie pay mcni Bn does this liill do any thing
toward lis accomplishment On the contrary. II
doc every hlne II can I" letard and ohstuet H. In
the ran II would create the banks for specie both
by the demand II makes orlt far the oil the 80
'einmcht. aud by the general dlscicdu winch the
! nle!i example OF the government would stamp on
bank paper. it throws aud ,nsut n,ouutablr obya
cles in the waN OF resumption.
But the Honorable Senate, from New York saws
.
is no concern oi thus eoycrumrn-ihat II Is cNcln-
svcly affair Of the states aud of the backs ihem-
selscsand W. Who urge the necessity ri promoting
b, every proper and practicable means, The accom-
plShmcni ut thla great object. ieitoachcd with
nsinC argument. which. NE tells ns, belongs 10
the friends ri National Bank. Now, sir ! beg
leave to say to the honorable Senator that both rea-
son aud experience prove that the only cttrcnal
means IL preventing National b ,nk is to brnc
haut resumption of specie payments by the State
Banks. ard thai nothing Is more directly calculated
In lead TO the re csa ,.-;mcn Of Bauk OF the L.
S, tlauihr course Of hosc who would do nothing
toward elrcting thu resumption. LIT the honora-
bic Senator louk back ~ that most instructive period,
rch IN lessons tor the present unts--th" former sns-
prnsono specie payments b, the banks from 1871 10
lol7-tnd hr will see lhat II WIS the unwngncss
~ the hahlIry 81 The State banks thtn 10 resume
specie paNmrntS which alone led To hr establish
inont OF National Blak. Ltt him read the Official
trsponirnc. OF Nh DaliaS--thc numerous re-
ports aud connlliuIc ailonS OF that able and patriotic
mn. worthy oil htm aud of the country-and he will
find thtnu bout, .xplCil rrrocnutos OF, aud I'M
varying testimony 10 this erta, trnth-that # the
STATE Banks could have been i1dut ed more prompt
/ " 10 rcsnm" specie payments at that time, there
would have been no occasion tor \ National Bank,
md that that institution would not hive existed.
'rrc true means OF preventing ITS rr-esablIshment
now IS lay the tn-ttluntntay al the State Banks nr
der the lead and cncnura cement nj The Govern
mcn iorrstote 10 the country sou d, convertible
currency.
Tns government car and Ought 10 aid in this great
work. It's vast rcr,nu, power, aud IL pelyadlnc ac
ton. eoeStcn~i,e with the wlto, Union, give
and nf4 noes which the states do not possess 1t
holds, lndrced. through thai power lever ol tho
greatest efficacy. tor controlling the entIfc currency
+ ol the country. Though lis collections and DIS
hursemenrs. II can holi out inducements ofrhs most
Influential character 10 sway the course 81 the banks
In HE mode OF conducting It's receipts and payments
II has 1t IN IT'S po",rto-" set an sr"nP'c ol I'll" most
persuasive Influence to"ara the resor'iion Of Gcner
al cpnfdonCc--ln disturbed state oil the currency
like present. these powers Ia be exercised III
\ spirit oi hbc 1lty aud hcnlcnlty-noi Of menace,
ldenunelalion OF vengeance. The occasion demands
The language ol encouragement aud snpiort-not OF
severity aud strrnncss. Look ut til. communications
of Mr.. Dallas and Mr.. Crawford with the banks dur
ue the lo,ner suspension OF specie payments and n
viii b. what sprit the Influence OF the govern
1ncnI rhcn rxcred, INTELLECTUALLY rted, in the
end, to accomplish alelu'n "spccic payments. The
banks NOT then otlt,rcd bv the oihclal pres
they then put under the ban :" the Govern
m"nt--thr, not then pursued IA coBSpirdtors,
but were treated institutions having themselves u
stake IN the common veal. aud with which the com
mon interests oi HE whole country were identified.
Ii will be edyIng. iof moment, To look back 10 the
manner in winch the government, then conducted ITS
relations wIlh the banks and must cay thai II the
Icxrrtlons OF the hanks generally, snc" tine recent
suspension OF spec.e payments, To prepns them
selves Tor iesu npt,on Ivy stead, and per,evtnne
cuiailmcnt of their business and profits be compar-
ed with the course olthe banks on The loimct ecca-
SION IN taking advantage OF the suspension enlarge
Ilheir issues most tNtrayagant extent aud III OBJ
stiuately refusing Ia apply the valuable public stocks
held BY iher 10 acquiring the ability to resume The
banks cntilicd. Al least, 10 as much librr-
alitv aud favor as were sho"nt" them Then.
I,y the jout resolution OF April. 1916, which has
been often referred TO- twas made the d1ty OF the
Secretary OF the Treasur, takc such measures as
he should deem necrSsal, to effect COLLECTION OF the
g,t,n, ~ ala.
If specie paying banks. Ia the discharge o tins du-
", MIR. Dallas very soon oprn.d correspondence
with the State Banks to induce them 10 return TO spc
cir payments. In circular winch he addressed TO
Them On the 22d oil July 1916, he used this Ian
guaCc:
From tn, State Banks, sacerc and c1cotutl
ex.,ton, in the common oi restoring the legal
currency, is certainly expected aud equired bnl IN
return they viii mrrt aud rece'rr he confidence oil the
Treasury ana III the National Bank transfer ot
he public tuns lr. III the Starc Banks Ia the Nation
al Bank aud lis branches will he e.oduai aud tie
notes ot the Shtc BANKS wU be freely circulated By
The TREASURY ami the National Bdrk'
In preceding pant oi the same letter. ht says
I" The present opportunity is embraced to rcpsa,
The sutaIccs winch have been uniformly given and
auntn,nCI, iai tins Department feels the fscdl an
tercsfS NJ the goternment aud the successful opera
TONS oi the Bank OF the L. States 10 be ,at,maei,
connected nth The credit and prosperity ot me Stqt'
Banks"
Here,we see the language Of the government toward
the banks that OF encouragement and confidence
They were assured, in advance, OF the friendship
and even Of the support Of the government. It t ey
would faithfully co-operdle IN the common cause %
restoring the leg II currency.
The com i,incalions OF Mr. Craa tord, the able ant
Iisiinpu,s ed successor of MIR. Dallas. were Tho