Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1839-12-27

has been heretofore urged IAe cely ground q
which tahstfustody spH be desired pN the osnas
ESRchARsa- &ould H. seArdcdJfn in4svdus1s-s Z
breach Of trust, q crime OF great magnitude and
yet it may be reasonably doubted whether, first and
last il attended witkmofe mischievous conse-
quences, when permitted to the former than 20 the
money to be used by tiikxepsrs ) here ia kekvad
tn be peculiar iu this country and to exist scarcely
any -Xhers else. pracare il hers. inprnpsr ina
uences appealed 10; unwise connections are e.
tablfsheH between THE Ebve rnneht and vast NUM-.
bersi sof powerful State ittiohs; other motives
the sris
COMMUNICATIONS, leadihg ~ SPECIAL legislation, are
formed II * made me interest or banking iasstu
tions and their stockholders throughout the Union
to use their exertpns for the iucrea Of taxation
and the decentralization. of surplus ievcnte; and,
while excuse Is afforded, the means are furnished
for those excessive ISSUES which lead toextravagant
trading and speculaticH and are the foterunhcrs OF
vast debt abroad, and suspension OF the BANKS a.
home. L sss All y - II
Impressed, therefore, as i am, with the propriety
Of the fands of the Government being withdrawal
from the pr vatc use OF either banks or duals
and the public money kept by duly appointed public
agents and believing, do, that such also is the
jud gnent which Discussion, reflection and expert
ence have produced on the public mind, leave the
subject with you. It's at all events essential TO the
intereNso Of THE community and the business of the
Go ernment, that de cisions houd be made. =
: Moot 81 the arguments that dissuad US from en-
ploying banks in the custody and disbursement of
the public money, apply with equal force to the re-
ccirt cf their notes for public dues The difference
IL only in form In inst ahce the Government is
creditor for its deposites and in the other for the
il HOLDS 4 hey afford the same opportunity for
using the Public moneys, and equally lead TO al the
evils attendant upon It,, since bank can as safely
extend its discounts on deposite Of its notes in the
hands Of public officer, as on enc made In IFS
vaults. On the other hand, II would give TO the Co.
greater security for, in clse Of failure
the claim of the note holder wonl be better than
that Of a depbsitor. 7 's ailt.l
lamaware that the danger of Inconvenience to
the public, and unreasonable pressure upon sound
banks have beenurged objections to requiring the
payment Of the revenue in gold and silver. These
objections have been greatly exaggerated From
the best estimates we may safely fix the ambunt Of
specie in he country at eighty FIVE millions Of dol
lars, and the portion Of that which Would be employ.
ed at any time in the receipts and disbursements
Of the Government even iffhe proposed change were
made at once, would not, II Is now, after fuller in
vestigation, believed, exceed four or FIVE millions
IL the change were gradual, several years would
elapse before that sum would be required, with
nual opportunities in the mean time TO alter the law,
should experience prove 1t to be oppressive or in
convenient. The portions Of the community on
whose business the change would imme diately ope-
rate, are comparatively small is it believed that
its effect would be in the least unjust or injurious to
them. q % ? gay - t'''' 'lt"- ''
In the payment Of dutie,, which constitute by far
the greater portion Of the revenue, very large pro-
portion is derived from foreign commission houses
and agents Of foreign manufacturers. who sell the
goods consigned to them, generally ut auction, and
after paying the duties out of the avsis, remit the
rest abroad In specie or its equivalent. That the
amount Of duties should, in such cases, be also re-
tanned in specie, can hardly be made a matter OF
complaint. Our own importing merchants, by
WHOM the residue Of the duties is paid not only
peculiarly interested in main aiming sound curren
cy, which the measure in question will espe cially
promote, but are, from the nature OF their dealings
best able TO know when specie viii be needed, and
to procure i with the least difficulty or sacrifice
Residing, too, almost universally in places where
the revenue is received, and where the drafts used
by the Government forts disbursements must con,
centrate, they have eyefy opportunity to obtain and
use them IN place Of specie should il be for their
interest or convenience. or the number Of these
drafts and the facilities they may afford, as well as
Of the fapidity with which the public funds are
drawn and disbursed, an idea may be formed from
the fact that, OF nearly twenty millions OF dollars
paid to collectors and receivers during the present
year. the average amount In their hands at any
half; and Of the fifteen millions received
by the collector Of New York alone during
the present year. the average amount held BY him,
subject to draft during each week. has been less than
The and safety Of the operations Of the Trsa-
sury in keeping The public money are promoted
by the application Of its own drafts to the public
o,g Ss
vet made TO afford TO merchants aud banks holding
them an equivalent for specie, and in that way
greatly lessen the amount actually required. Still
less Inconvenience viii attend the requirement
Of specie in purchases Of public lands Such pur-
chases, except when made on speculation, are. in
general, but single transactions rarely repea,ed by
the same person and il 10 fact, that Tor the last
cyear and half, duriug which the notes, Of sound
banks have been received, more than, moiety Of
these has been voluntarily made In specie,
being larger proportion than would have been
required in three years under the graduation pro-
posep.. .is..., ~ u7pt. !, !. .tBg & vftlsNN X,
IL is moreover principle than which none is bet
ter settled by experience, that the supply OF the
precious metals will always be found adequate tethe
uses for which they are required. They abousd n
countries where no other currency Is allowed. In
oar own States, where small notes excluded,
gold and silver supply their place, When driven TO
their hiding places BY bank suspensions, little
6rnnessl in the community restores them IN
a sufficient quantity for ordinary purposes. Post.
age and other pubic dues have been collected In
COIN without serious moon ence, even IN States
where deprecHted paper ourrsnsy has existed for
years. and this. with the aid OF Treasury notes fos
a part OF the time, was done without intervuption
during the suspension OF 1887. At the present
moment, the receipts and Disbursements OF the Gov
srnment are made in legal currency in the largest
portion Of The Upionne one suggests departure from
this rule; and il IL can now be successfully carried
out, will be surely attended with even less dii-
Guilty when bank notes again redeemed In specie.
Indeed, cabno4 think that serious objection
would any where be raised TO the reecIps and pay
nent Of gold and silver in all public transactions,
were il net from apprehension that a surplus
In the Treasury might withdraw a large portion II
II from circulation, and lock il wp unprcftably in
the public vaults. II would not, in my opinions be