Virginia free press. (Charlestown, Va. [W. Va.]) 1832-1916, 1839-04-25

Nt@NACa0ls Data IA NAY. 1911.
the whole scene was cha5kcd. All the
banks Of the eouniry, by a simul,aneou,
movement, suspended specie payments.
his lei thu Government pennyless aud
helpless. by the laws then in force. IL
Was not ct liberty, if anhappily it had
been 40 disposed. 10 receive notes Of non.
sPeeis-pay,ng banks IN Payment Of the
revenue. Nor were the dishursine officer,
permitted to ieader such notes 10 tho pub
lie crediiors. or the thirty two millions
an The vaults OF he banks, the Govern
rnent could not command dollar. and SO
far rs it depended on these resources,
every officer an public service. the whole
army and navy, every contractor snd la
borer on the public works. were left with
out pay aud consequently without subsis-
tsnee. Had such a catastrophe occurred
during war or any other period Of great
public calamity, IL must have shaken the
foundations Of the Government. As il
was, IL became necessary 10 apply an i'm
mediate remedy 90 The evil. aud no less
duty. to prevent. IL possible, its recurrence.
Under these circumstances, the Pre,iIent
called Congress together in September of
the same year. and being enjoined by the
Constitution 10 give that body, from time
Union. and recommend 20 their conside.
ration such measures AZ he shall JUDGE ne.
cessry and expedient," he accordingly
submitted the plan OF an independs a,
Treasury. disseminating The reception Of
bank paper and the use ofbanks, and sub
s.i,uting agents immediately responsible
10 Congress. The reasons which induc-
ed him 10 make this recommendation.
were lard fairly and fully before the coun.
try, and IL 10 not our purpose 10 repeal
them. The hanks, as we have seen, had
violated the conditions Of the contract un.
dee which they had become dspositarie,
OF tho Revenue. and had thereby them.
selves dissolved tho connexion heretofore
subsisting between themselves aud the
Government; and ~ no ono was found
hardy enough in Congress 10 advocate
thsir employment as fiscal agents during
the suspension OF specie payments, or 10
make their deprecated no.es receivable
for :he public dues, il became absolutely
necessary 10 have recourse 10 some other
expedient. The majority OF the friends or
the Administration believe, that there was
no other alter alive, than 10 incorporate
another Bank OF the L. States. TO give the
highest possible equality Of value through
out the Unloa 10 the medium in which the
taxes and duties should be collected; or 90
refer back TO the practice and principle Of
the Government as established in l7S9.-
Their avowcd object was, TO take the Gus
tody OF the public mouey out OF the hands
u! the Executive, where II had bee n thro v
by the suspension, Ito place it under the
custody. OF the laws" aad 10 prevent the
renewal OF acopnexion with the bank.
which had proved DISASTROUS TO their re al
interestz, rs well as to those of the Go.
~erameRt. 1t was supposed, that Banks Il
circulation were, from their nature, banks
oil hazard, aud liable 10 periodical convul-
sions, from impEudeni overtrading. which
the use Of the public monies s. a discount
fund, would only stinulsic-Ih.i IL was
not -Sise 10 subject tho Goyernment to
contingencies which might periodically
deprive tho Treasury of the use oiiis funds
Rnd MAKE II necessary 10 call Congress to-
getheEa' greato5pense and Inconvenience
10 supply ihem-that although there miS BIT
be some greater danger Of loss. in leayin 2
the money in the hands Of The public OFF
cer1, for longer tiRe than necessary, fol-
ats collection -aod distursmoni: vet thai
by bringing down the revenue 10 the
expenditures, thus preventing q surplus.
. and by the enactmentef2 proper regulations
10 coniToui and punish defaulling officers.
the loss would never DO more than a small
por cen,ago on the whole revenue, which
could never materially affect :he action al
the Government: " hist on the other hand
however safe the Bank notes. paid into ibe
vaults oi Banks FOR the public use. might
be, YET tbciT suspension rendered these
paper premises unavoidable, and occurring
al critical periods. might. beside the ruin.
Gus disee; loss, virtually dissolve the body
po.iac:--tbsi when the specie IN the coun.
try amounted - eighty millions Of dollars
the use OF four or Eve millions Tor effect.
ing Treasury Payments, which would be
Immediately thrown again into common
circulation. would not Injure TIE Banks
bnt won'd add 10 the stabiliiy Of the cur.
Teney that the incTsase of Executive
patronage IN the appointment Of the few
additional officers necessary TO carry the
system into successful operation, would 90
meta than eoGnierbslaHced by depriyisg
The President OF the political influence 10
be exercised over league Of Deposiie
Banks, their officers, directors and stock
boiders and 10 short. that The circum-
stances Of the times were all favorable 10
permanent separation OF the Treasury
from The BANKING Institutions Of tie eoun
Try, for dissolution ofths connection be
tWesn our political aud trading interests
add for restoration OF the Gscal action al
the Government TO the safe and sold path
VI the Constitution"
Under such Impressions a. these. the
Senate Of the U. s. passed bill at the
special session in September. TO provide
ioF The collection. safe keeping. and dis.
bUrsement Of the public moneys. without
the agency Of banks, add requiring spe.
Gle for sne-(ouhh IN every succe edna
year; which was rejected 10 the House
OF Representatives BY very small major.