The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1839-01-22

WIN Mr. bIpDLE and hisagent, Of the bonds in queS-
800 P'a.es me subject in somewhat ludicrous
go '''u one OF Doth Of the honorable Secretaries
IN rather singular position before the world
AZ ms report 10 The President, Mr. Poinsett says
sometime in July last, in order to facilitate the
speedy and successful termination Of neootiatiop
al nat time pending between the Secretary of the
Treasury and Mr.. Manchester, | aceeded n the
proposition of the latter that In the event of the
sale OF the bond being perfected the amount Of the
purchase money should be absorbed by the expendi-
ture OF this department, and The funds be placed by
the Bank at such points and in such amounts as
they might be required, not. exceed 100000
month from this source" This, we should say, was
pretty high-handed measure Of interference by the
head OF one department with the duties OF the head
OF another, and which had been imposed upon him
specifically by law of Congress; and altogether
without his knowledge. Let US bring those three
nigh contracting parties Mr. Biddle, Mr.. Poinseu,
and Mr.. Woodbury. together, and see how their
stories chime together In place of the negotiation
pending" at the time the proposition was acceded
10, as above stated by Mr.. Poinsett Mr. Bddle says
IN his letter Of the 18th Of August TO Mr.. Wood
bury, from which we have given the quotation he
gave from the part Of the correspondence suppressed
oy Mr.. Poinsctt, that BEFoRE making any ober for
me Bond had The distinct assurance Of The Secre-
t6ry Of Var" sc. &c. We cannot comprehend
now the negotiation, in relation 10 the bond was
pending" " before any o6ey ,cas made for H."
This arrangement which Mr. Poinsett says he
acceded to, appeared to be wholly unknown to Mr.
woodbury., and indeed the offer made by Mr.
Macalaser on the 2ld Of July, to purchase one or
both of the bonds contemplated no such arrangement
HIS proposition was, 10 place the amount at The
credit Of the Treasury of The United STATES in the
Bank Of The United States in specie or its equipa-
lent, Internationally That was accepted by Mr.
Wo odburyon the Both July The Treasurer began
to draw on this fund in the Bank arising from the
sale of one of the bonds 10 it, through lis agent, Mr..
Manchester and Mr. Bddle immediately on the llth
of August writes to the Secretary of the Treasury,
demonstrating against his drawing in that manner,
as being violation of the agreement entered into
between him and the Secretary of War. Mr..
YOUNG, acting Secretary, in the absence of Mr..
Woodbury. replies, by return mall 10 Mr.. Biddle,
and says
The records Of this department, by which alone
| can b. governed, contain no alluSon to any such
agreement ith the War Department, as is referred
to in your letter"
The records of the War Department appear to
have been also without any allusion to any such
agreement" for nearly al the same time, Major
Cooper, the acting Secretary of War wrote Mr..
Ponsett, and after informing him that one Of the
Cashiers of the Bank had invited him to see @ if
something could not be done to relieve the Bank
from the heavy drafts made upon il at PhilAde phia,
after it had arranged 10 make payments in the South
and West agreeable to an understanding it'll the
Department" says, there seems TO hare been mis-.
understanding betreen the Departments and The Bank
on this SUBJECT" "'
Mr. Poinseu replies on the l7h of August, and
confirms his having given the assurance TO Mr.. Bid
die that the money should not be called for faster
than $500 0G0 month, and that it would be disburs-
ed principally in the South and West. He desired
the acting Secretary TO endeavour TO regulate the
matter so as TO comply with the assurance given
which, said he, "at the time, thought myself au-
lhorized to give" and he says, also,
81 would much regret that any circumstance
should require him (Mr. Woodbury. 10 make diff
ferent arrangement OF these funds Tor cannot be-
leve the public interests could suffer by payments
being made prematntely by the Bank at places
where the money is wanted"
VIVA. more than this, could the most interested
friend, or feed counsel of the Bank, have said or
urged in lis behalf
We now come to points which places the state
mcnts of these honorable Secretaries respecting the
negotiations that took place, somewhat in colliS
with each Other Mr. Poinseti, in his letter of the
l1h says,
al explained the substance of this informal I'M
derstanding with the Bank 10 Mr. Woodbury. but
he may not recollect 1t.
Under date of the 10Th August, MIR. YOUNG writes
Mr. Bddle as follows:
"The Secretary has not vet returned to Washing
ton He authorizes me TO state that in an interview
had pi pTpn Cash he
explained fully TO him, his surprise at his commu-
n,caon concerning the correspondence with Mr..
Poinsett."
Said he:
ut was never suspected that any such arrange
ment as that stated, was contemplated to be carried
into effect in respect to the bond Of 1882 at the time
it was sold"
We leave the gentlemen most interested to settle
their conflicting statements between themselves.
Our surprise is not that Mr. Woodbury. was sur
prised when he was informed by Mr.. Dunlop of the
interference by Mr.. Poinsett, with The duties of his
Department in a secret manner; but that if he was
animated by one spark OF independence, or honora-
Bile feeling, which appertain TO all high minded gen.
llemen he should have held his Office single day
thereafter; and sill more that he would even con-
sent to meet Mr.. Poinsett again in Cabinet council
In place of that, what did he do? Why he tan,cly
submitted to the insult, and confirmed what Mr..
Poinseu had done! In his report, he says
No such understanding or agreement existed on.
he side of this Department, when the sale was made.
Soon after this was done, being apprized that the
Bank entertained an impression derived from
circumstances between it and the War Depart
ment," &c, ~ entered into an arrangement TO meet
his expectation"
Was there ever more degrading servility than is
here exhibited on the part Of Mr.. Woodbury., to Mr..
Ponseu, and the Bank2 ..
The part enacted by Mr.. Poinselt in these nrgo-
ations, was tina, of head OF one Department inter-
meddng and controlling the public affairs of an
other, and totally independent Department And
for what alleged reason4 Why that upon the as
surauce hn oave in n oraat measure q deponded the