Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1839-06-20
TO JOHN CkENBROUGlI, ESQ.
PkEsIpfNr OF TnE BANk of NinotSt,

4.
DEAR SIR: 4 short time prcvinns 10 the late
suspension of SPECIE payments by The hanks | al .
dressed you Il communication, ihroug II the medium
Of the National lntelceueer wherein its uec,ss,,y
was urged indispensable for the piotrct,op of NH
lie aud private ciedu and Al a subsequent pfrind
my views were also published ~ opposition IA an
early RESUME ton then IN contemplation and -,
commended as an auxiliary measure tn, nSe nj
Treasury notes. As The means OF blendlnp most al
qaniageonsly the public credit h the precious me
lals as ales by winch both private and corpotnt,
obi cations might be satisfactorily and lawfully
settled. 1t was a SUBJECT al deem ,rptet IN
many gentlemen Of enlightened minds IN ever,
section of our country, that the banks shoul1
have been induced, by public ,amor to cnrounter
the hazard ol paltal resumption IN our procipaI
oiies upon the scabuaid, b. lure the commercial al
fairs of tie nation were IN condition to Justify "A pe n
eia co operation, upon solid basis, of all he banks
in the Union. The short duration OF the suspension
Of itself sufficient 10 satisfy any rejecting mind
that theie elIhcr Just lot the adoption
of So extraordinary IN the history of IA
lion in time Of pcace aud tranquility or, that the
resumption was altogether piematnr, and Therefore
ttanght mIlisyIl consequences, nom winch we are
not likely soon 10 recover.
Your experience during more Than thiliy years IN
the management oi tic Bank al NnglD, and It's
bfahchcs'llAs'i uonb' hoi long shcr iuIy convinced
you thai the supplies oil The precious metals III tins
country ana elsewhere are wi Oily insufficient with
out the anu OF national credits as basis OF bank rs
sues. to regulate The great operations OF commerce.
increased, as lhcy lave been, ~ ienold degice 10
the supplies o gola "na sfei' and IA proportion 10
me farld mafch oil inie'lrct ana improvement VIII
the credit system, under suitable regulations 10 IN
sure lis cuhVetnbI'ItN' continue 10 be expanded
throughput the commercial world.
HE People OF sfieat Bfiian long since aware oil
tue advantages credit established al early period
Their Bank oil England, winch stu susiaius, unIul,
pared by Tune or eftnmstaicesthe etfdi OF the I'M
mehse public debt OF thai realm, aud also governs
the operations OF as stupendnous private wealth
aud marvellous as 1t may appear 'othe alvoeal's Of
specie currency al ihIs Is accomplished by an
stuion possessing only in its Golfers, by the last
quarterly exhibit, The tilllmg comparative sum of SIX
milions oil pounds Sterling. Hence II IS obvlons thai
the quantity oil gold and silver N London is idr less
than uhe Oh The wealth OF that great emporium Of
capital anu an lllat ~ valuable IN lie. Ami It the
Directors OF The Bank oi England should find IT ne.
cessary again to suspend lis payments IN specie, the
character ct mat institution would be no more I'M
pared by such measure llidn II was on
former occasion, when The suspension coniln-
ued for period Of more Than twenty years;
during which, England was enabled, by lis sys-
ten of credits, 10 fight successfully the combined
poneis Of the Continent OF Europe. There can be
no opinion more erroneous than that the sulyency OF
moueyed Institution ~ dependent upon the quan'
thy of specie ~ its vaults for fact bank NAV pos
ITS entire capiia and large surplus beyond It's
liabilities, in available effects, without having dol
lar in gold aud silver. At the deeease If the
late STEPHEN GIRAnp not more than 3 per cent Of
his great estate OF six millions OF dollars consisted Of
specie, although at the time of his DEATH banker
OF grea, eminence ahose transactions were conduct
ed upon an extended scale.
Neither the Government nor People OF the Uni
ted States will ever consent entire suspension
of specie payments bur both viii soon be imperous-
ly called upon TO establish and sanction a
national paper medium Tor The liquidation oil large
balances growing OF commercial transactions
between banks capitalists aud distant communities,
and Tor the regulation of the currency upon a stable