The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1839-02-28
WHOLE NO. 2o5.

pressed upon Congress with the most urgent socitude
by the late Presidents and during the whole Of that adj
mnistralion, the safety Of the State Banks public de-
Postores, and their capacity with some suggested modi-
fcatons TO small notes. furnish the soundest
rency which the country enjoyed was urged in the
strongest terms and enforced by the most powerful ar
guments which the English language could afford, or
the art Of man devise
brought the present Administration into power under
the distinct pledge that this would carry the mea
sures, and pursue the general policy OF the last This
pledge distinctly given by the present Chief Ma
gstrase, In his acceptance OF the nomination Of the
Baltimore Convention and especially in relation 10
the finances and currency in his letter of August 1880
TO the Hon. Sherrod Williams just preceding the late
Presidential election Neither IN his answer to the
Baltimore Convention, in The letter to Mr. Williams
did the President remotely intimate any design to de-
part from the State Bank SYSTEM reject the OF
sound specie paying banks in payment Of the public
venue The Administration and its present dissenting
trends were united in the support Of the State Bank
system during the late Administration both as relates
% the deposites Of the public money and the receipt Of
the public revenue in the notes Of sound specie paying
banks The Conservatives still adhere to this system,
while the Administration and Of its friends repu-
date and reject it, Where lies the change Let can
dor give the answer.
For the greater perfection Of the State Bank system
and more effectualy TO sound currency to the
people, it part Of the policy Of the late Admins
traton, and earnestly pressed upon Congress in most
o. The Executive messages, after the adoption Of the
State Bank system that from fixed periods the notes
Of no bank issuing and circulating bills Of less de-
nomination than, first, tens and then twentys, should
De received In payment OF public Dues and the coop
Grafton Of the State Governments in the restriction ar
IDENTITY and earnestly invoked The advantages to the
currency and the prosperity Of the country from this
entfe system, was thus expressed by Gen Jackson in
ms SIKH annual message II the several States shall
be induced gradually TO reform their banking sysems
and prohibit the issue Of all small notes we shall n
lew years, have currency sound, and as little liable
to fluctuations, any other commercial country
And again, in his seventh annual message, thus
If by this policy ultimately witness the sup
preston Of all bank bills below twenty dollars it sp
parent that gold and silver will take their place. and be-
come the principal circulating medium in the COMMON
business of the farmers and mechanics Of the country
The ATTAINMENT Of such a result will form an era in
the history Of country which will be dwelt upon
WITH DELIGHT by every TRUE friend Of its liberty and
independence"
Such was the policy Of Gen. Jackson's Adminstra-
tions, and such his anticipation Of its results.
That the present Chief Magistrate, at the time Of his
election concurred in these views, decidedly proved
by the following extract from his letter to Mr.. Will
Hams. 1.-The Administration Of the General Govern
men confding in the stability of (auding
TO the restriction Of notes under twenty dolars)
ensively adopted by the States and with such unani
nifty in the respective legislatures, has based its
measures in relation to the currency, its supposed
continuance. The General Government will not as
suredy be abandoned by those States in the prosecution
Of policy, the adoption Of which they have them
selves invited. 1t is not to be apprehended' that
course Of legislation vascllatng and unnecessary
will become the reproach Of any of them"
have thus proved, most satisfactorily and conclu-
svey, that the employment of sound State Banks, as
repositories Of the public money, the receipt Of their
notes in payment Of the public dues, and the restric
ton Of all notes under twenty dollars, not only the
policy, but the aporite policy Of the late Adminstra
ton; and that the present Administration came into
power under distinct and direct pledge to preserve it,
But il is now said, since this policy has been aban-
doned by the Administration, that its adoption was only
temporary erpcdent-a mere experiment and was not
not designed to be- the permanent policy of the
Government In reply to this, aud in refuation Of the
assertion, refer TO the following editorial from the
Globe Of the 9TH Of February, 1884,
Sin making the State Banks the fiscal agents Of the
Treasury, the President has taken course which marks
his FINAL determination relation TO this subject
He is convinced by the experiment already made, that
well managed State Banks FULLY ADEQUATE to the
performance Of all the duties connected with the COL
LECTION, the SAFE KEEPING and TRANSFER Of the pub
lie fundsthe only duties which il is necessary the Go
should require Of such institutions to aci-
tate the operations of the Treasury"
He s also satisfied that they fully competent to
carry the business of domestic exchange between
different parts Of the United States, in that
will be both convenient and satisfactory to all parts OF
the country, THIS ana De conducted
them upon terms at least favorable to the country,
and probably so. than has heretofore been done
by the Bank Of the United States; and WE FEEL Au-
STATE, that all reports to the contrary are
mere inventions of the ENEMY-and that the Presi-
dens firmly resoltped 10 adhere his plan Of The Stale
Banks He distinctly asserted this intention in his ex
pose his cabinet and he repeated it, with equal clear
ness in his recent conversation with the New York
Committee" .a.. Ia.
Could language, Mr.. Chairman, be more emphatic
than this could language be forcble and more
pressve OF the fixed purpose Of the Administration In
relation to this policy, be employed! The very insinu
alton that Gen Jackson was not serious in urging the
State Bank deposite system, the permanent policy OF
the Government, is charged inpent'on Of the en-
emy Yet in the face of this declaration, stated in
capitals to invite public attention to it. published by the
authority Of Gen. jackson himself, it is alleged that
this mere experiment. II this be experiment.
cannot comprehend what would be reality. The truth
Of this declaration is concusvey manifest from
the fact, that every annual message thereafter nclu
ding the very last after the celebrated specie cir
cular, this policy most earnestly most unequvo-
cally, and most decidedly recommended.
When was first elected to seat in this House, du
ring the Administration Of Gen jackson, was de-
cded advocate Of this policy and still am, in all its parts
and parcels was satisfied then, am now, that an
exclusive metallic medium adequate TO the demands OF
extensive and rapidly increasing foreign and domes
tic trade could not be attained and that sound State
Banks, aided by the counenance and credit OF this Co.
venrnent would extend to trade all the convenences
and facilities which it required aud to the
muni,y an adequate and sound circulating medium,
equivalent 10 gold and silver, and thus bind, In com
bond of interest," all the parts Of this extensive con-
federacy. This great and important event cannot be
effected except through tho fundamentally Of sound
banking institutions.
But is contended by gentlemen, who heretofore Ia
vored the State Bank system, that it entirely aed ny
the suspension OF specie payments on the io,h OF May
last, and that all and eyery argument which has been
urged in its favor has been refued by that failure
From this suspension they justify themselves not only
in abandoning the State Bank system but ~ taxing UP
and supporting system which they heretofore repro.
bated in the terms and characterized DO. on
as dangerous. but as revolutionary and disorgansing
maintain ha, The State Bank system has not failed,