Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1838-01-04

serpose 10 the utmost OF It's power ne main 500
Of our disorders was the instructed enois oi nuM
nails in their nrvate pursuits To lay the restraints
of law on these, would be an open INVASION Vi na
raj rights; II would be erecting new barriers W
struct the career OF enterprise, anu naSns 49, |
encroachments upon the freedom OF trace. Sucn
remedy would be much more mischlevous than the
apprehended evil. II would be destroying the very
power of motion, 10 prevent It's occasional Irregular
action.
The evils most TO be dreaded from banks are TOO
great EXPANSION of their business AID an unsound
currency. We have recently witnessed the one, ano
now suffer the effects of the other. The SUSPENSION
act has perhaps done all that is required OF the Legs
lature, guard against undue expansions ~ nas re-
duced the aggregate amount of issues allowed ny ,e
charters of the banks several millions OF dollars oe
low the aggregate amount OF Their capltals. ihs
duction will operate salutary check upon expan
SONS and he additional safeguard against redu
dan cuaton of their paper. But the best security
for a sound currency IS sufficient specie OASIS, ~
ordinary times specie funds properly deposiied WIN
answer the purpose the precious metals IN me
vaults of the banks but should be the OBJECT ei ie
gislation compel banking institutions TO put then-
selves in condition to fulfil their duties to the puohc
IN Trying emergencies -,
/ theief re recommend that the banks should
be required to keep in their actual possession,
amount of specie to be graduated oy .ne
amount OF their respective capitals, OF ,he', o.i
cuatonl and deposltes. III thus amount shouiu DC
no more than fifteen per cent on Their captaiS,
twenty per cent upon their circulation anu NC
posites would greatly exceed the quantity OF spece
hank should happen 10 be reduced at any time below
the sum fixed by law, such bank should tnen De re-
quired TO suspend discounts untii shou'a nave sup
piled the defciency Should TINS Recommendation
meet your approval, great care should be taken 10
have the you may adopt 10 carry II INTO ell
feet executed in such manner not TO delay or EN-
barrass the banks in resHm'ng specie payments III
banks obliged 10 precede those In other states
in this measure the difficulty of retaining their specie
or OF supplying themselves with II again II IL shOuu
be withdrawn will be much greater than II would be
In case of a simultaneous movement by al the banks
throughout the country Besides on the return TO
specie PAYMENTS there will undoubtedly be very
considerable demand upon them for coin to suppl the
place now occupied by small bills, which by mat
event will be driven out OF circulation III they were
required TO furnish themselves within short PERIOD
with unusual amount o. specie, It might hazard
the success of the more important measure OF re-
sumption. go
Ii the view have taken Of the origin of the diff
cultes in which the country has been involved Il cor
rect they are great degree attributable to the &C.
emulation of large surplus revenue by the United
States and the of it by the banks tbs the duty
of Congress 10 guard against evils from this source,
and il is gratifying TO perceive that the President OF
the United States has promptly directed their atten-
ton 10 the subject and suggested important changes
IN the existing mode of collecting, keeping ana as
bursting the public moneys. There can be no question
taat is both the right and duty OF the General Co.
vernment collect the public dues in the legal cur
rency, its equivalent and 50 10 keep its funds that
they will be safe while they remain with the govern
ment and be al its command whenever wanted Tor
disbursement. Fully concurnng IN the necessity oil
attaining these results, am confident that the mea-
sures necessary TO produce them, may be Of such
character will not affect injurously the business
concerns of the banking institutions Of the country.
One Of these measures and the most desirab among
tkc the dscontnuance OF the use of the bar ks
the fiscal agents u the general government or such
modification % er agency will efiectually pre-
vent them from using, for any purpose whatsoever,
the public moneys that may be committed TO them
for safe keeping. This disconunuance OF essential
90 shafr will
prove mutually beneficial TO all parties and 10 all m
srurn, ana WIN the same sincere desire he has evn-
ced TO arrive al right conclusion, have scarcely
doubt they will speedily dispose of II in such
ner as will be safe for the government, satisfactory
20 the great body OF their constituents and conducive
20 the general welfare.
The canals have been less productive the last year
than during two or three preceding years. Being
chiefly used as channels OF trade, they must
sarlly participate in its fluctuations. The amount Of
tolls collected on all the canals during the fiscal year
which ended on the Goth September was 81 326 Isl.
This is about S25 900 less than the amount received
IN tn antecedeat year. In consequence the
~ crops of 1896, the tolls on downward freight were
less than usual Aaother Of their dimnuion
was the falling of IN the quantity of merchandise
sent into the interior OF the State and through il 10
the States. 1.-THE increase of tolls on mer
chandze previous 10 last year some extent the
result ofover-,rading, the subsequent reduction must
be regarded as sure indication that the country is
returning 10 more healthy condition. Deductinq
the costs ofrepars and collection Of tolls on all the
canals, which together amount 10 sos, 907 81 the
nett proceeds OF the from tolls for the last
year, is s7l7s03 "a.
The income Of the Erie and Champlain Canal Fund
from all sources including the interest So COG $40
43-the sam set apart to pay the remainder of the
debt contracted account ofihese canals-is 81 42s
GIL 76 OF this amount s632eSl 20 was expended
on the Enlargement Of the Erie Canal The remain
der was dsbursed for repairs, collection Of tolls and
IN payment Of interest except S52 lac IT, which re-
manned in the hands ef Commissioners Of the Canal
Fund at the close OF the fiscal year.
The OF tolls collected all the lateral canals
except the Chenango canal is sal 20354 This 1851
less than the collections Of the preceding year The
deficiencies IN the iRcome Of these canals 10 the
expenses Of repairs collection Of tolls and the payment
OF interest the debt contracted 10 constructing them
is sll4 co. a.
During the past year the Chenango canal. which opens
communication Of ninety miles in extent be.
tween the Erie canal The city Of Utica and the sus.
quehannah river at Bnghampton ha. been added 10 the
number Of important public works OF internal improve
already completed and pu, il operation by this
State This work has presented the Srst on which il
has been necessary construct 70 ensure
sufficient supply of water. As the of them for-,.
purpose has heretofore been treated an experiment.
the effects Of drainage and evaporation in this Country
not having been fully testediti Is gratifying find that
the experience of ast year promises favorable re-
suits than anticipated.