The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1839-01-26
GAMBLING sPECULATIoNs ON THE
PUBLIC MONEY.

we Sndll continue the oupjtSt'
GAMBLING sPECULATIONs ON THE
PUBLIC MONEY.
For months past the air has rung with the allega-
tons that the deposiie banks is to be ascribed all
the evils Of an expanded currency, excessive loans
made on the public money, gambling speculalions'
and finally, of a general suspension OF specie pay
ments by the banks The Globe has taken the lead
speaking from authority, in making these charges
which have been echoed BY every little "by au-
thory" press in the country.
The Globe OF Thursday night last, among many
nterrogations which II put 10 The Hon, Mr.. Curtis,
of New York, makes the following inquiry:
"Will he lead the way to the bank abuses which
stimulated the vast speculatons in the city, that
brought on that very distress which involved Swart'
won't and the merchants in those difficulties which
made the withdrawal of the six hundred thousand
dollars OF merchants bonds from the custom house,
so desirable to all parties concerned.
II will not be necessary for Mr.. Curtis TO lead the
ray nor for the committee 10 act on the subject re-
erred TO, the evidence is record TO show, what 1t
was that stimulated the vast speculations;" that
brought on that very distress" which involved the
merchants and even the whole country in difficulty.
1t was not "bank abuses" but the action of the
Treasury itself The proof is in the following let
ter
Treasury DEPARTMENT, Dee. 81, 1885.
DEAR Sin: As the public money has much in
creased in your city, and, under my present course
of policy, will continue to increase still more till
Congress pass appropriation bills, or give some spe-
cial directions for its investment request the advice
and aid of the present selected banks on the best
mode of making the surplus useful, without endan-
gering its safety, until one of those events shall
occur Is il not proper that the present banks should
agree with Others on such security as may be Deem
al ,,,l, fha hall vii he
Congress, by some act shall render it necessary 10
call for the whole, or part, of those balances2
In that event, this department would open no &C.
count with any but The present depoSite banks and
the balances allowed 10 stand in other banks should
equal in amount all which the present banks cannot
benefcially for the community otherwise employ
This might be, perhaps, all over Two and hall mil
lions in each of the present deposie banks.
Another mode would be, 10 select one or two more
deposite banks temporarily and to place in them The
surplus IN each OF the present ones over two and
half millions.
On either of these suggestions, or any other pro-
ject in relation TO this subject which may appear
more eligible, wish for the views Of the presidents
of each of the present dePosile banks, as early
convenient. . 81,
You requested, for that purpose, to lay this let
reply ... ..
I Respectfully, yours,
LEVI WOODBURY.,
Secretary of The Treasury.
+. President Of bank of America.
On referring TO The Globe of the 18th Of Novem-
ber 1885, we find it stated that, the three depose
banks in New York, had increased their loans be-
tween the Isl of October, 1888, the time they were
selected and the lst of November of that year, 49,
1893 1888 This, we presume, was the extent TO which
they could go under the restrictions of their char
tiers. The same paper states, that the whole sum at
the credit of the Treasurer of the United States in
these three banks the lst of November was
$7,O70 263 What the amount was at the date Of
Mr. Woodbury's letter. we do not know; but, by
table in House document 1893, session 1886, '37, we
find it was upwards of ten millions of dollars!
II was to loan out this surplus of six millions over
what the three deposite banks could loan out that
MIR Woodbury. " requestcdMe adriee and ala" and
we are now told that it was through "bank abuses"
that the speculaions stimulated which involved
SO many individuals in utter ruin, and brought the
catastrophe on the whole country!
What will be thought OF thebare-faced efrontery
which has the hardwood TO make such charges
against the banks for the purpose of screening de-
linouents filling high paces7 The people will
answer and do justice TO all parties
The administration party synonimous Nth the En-
gliA Monarchy party.
The mos, general observer must have perceived
the late too-hardy efforts of the Loco-focos TO sub
vert that principle of the constitution which secures
to us the right of noting By ballot This right was
one of the first that acquired by the Revolution
and adopted in the Constitution Of our own govern
ment. For the same popular right the liberal or he
form party in England have been contending ever
since they imbibed portion of the spirit oil our he
volution The monarchy party have refused TO grant
The rote bv baHot and still adhere to the rira poee
ros as one of the strongest prerogative powers OF
the crown over the Legislature. The Globe party
oflbis country true TO the monarchcal spirit ofther
prototypes in Europe, seek to subver our RePuocah
institutions and carry the country back 10 the conai-
ton ofthe colonists as they were, SUBJECT 10 orsh
dominion before the Revolution.
On the return of Lord Durham to England, ne was
addressed by the Westminster Reform society, who
stated the political principles of their association 70
be:
l. Household Suffrage.
O. .Triennial Paraments.
g. Voting By ballot.
Lord Durham, in his acknowledgment Of the ad-
dress, distinctly stated that in those principles en-
trey concur"
Our Loco-foco Reformiss headed by the Globe,
Evening Post, &c. go for the monarchy principle,
and for cheating the people out OF their right OF
poting By ballot.
CouRr RHEroRrc-The following grammatical
and graceful sentences occur in Mr.. Van burens
letter to MY iord Durham:
"The great satisfaction should experience ifyour
arrangements aHoped Of your utst betng e11enaea 70
al nW esteem myself happy if by your presence
here | shall be afforded" &c
So cried the Irishman in the dock: lwiA drown,
nobody shall help me"
The medical faculty of the New York uNIvER-
srry have resigned and withdrawn from the lnsliu-
ton This is exactly what we predicted last fall,
and the causes are the same that we then stated