Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1839-02-28
CONGRESSIONAL.
Correspondence Of The Baihmo,c petrjot.

INTERNAL IMPROVEMENT IN THE SEN
ATE-Mr. RNrs-Mr. Wnsnr-Mr. C,lnou>
Mr.. WEnsrrR-Mn TALLMAnoE-MR Clay
The Senate was engaged during the greater par
OF to-day on the Bull reported by Mr.. WRanr
- more eiiecinally To secure the public money in the
hands OF officers and agents ul tho Government
aud to punish public defaultcrs.'
Some days ago as your readers are aware, Mr.
HIVES OF n. offered an amendment being a suhsti
tule for the whole Bill.
The first question was on the adoption Of tile a
mcndment. A most interesting iscussionilollow
ed.
MI. kivEs gave "A sufficient account - Of the pro-
visions ot his measure. Under its operation the
public moneys are not To be touched BY the agents
OF Government at all.-1he Administration practi
cany admits that after all banks are more secure than
any private repositories. In New lorh the money
collected is deposited IN Banks 10 the credit OF The
CoLIFcToR, who can check on them ut my time aud
ior any purpose. The object of Nh. Rnrs in this
substitute was TO bring them into the Treasury by
placing Them 10 the credit OF HE United States Tiea.
surer himself. tie reeounted the details of the bill
designed to carry ont tins leading principle requiring
the payment To be made into Banks aud Brought
directly to the Treasury.
lie then referred To the second principle, that
which relates TO the paying out oi the public money.
II appears that large payments have been made by
the Collector 10 subordinate officers, and fot debentu-
res and othe, purposes. Now MI. Rnrs proposes
that all The public money shall in fact be IN the Trca-
sury, and none OF II drawn out except by warrants.
IhIs is cGtiIely comfortable to the practice ia Eng
land, where The principle is regarded Us atnndanenl-
nj one, and indispensable TO the security of The ma
tlohal treasure. He proposes that wherever the pay
ments are made, the same ahall be deposited IN
Banks 10 the credit of the Discussing Officer; and
shall be drawn ior by checks bearing on then face
the purpose fot winch the draft IL made.
lie believed sincerely aud confidently HAT rs re
CARDS both these objects aud principles the measure
would meet the wishes of lie country.
Mr.. Krrs said further that the experience Of his
own State furnished the most important lessons IN
favor Of the measures he proposed.
Before the introduction OF Banks into Virginia
several defaults were comuitIcd by the State 1fea-
snreis-all Of whom before these dcfalrations were
discovered, were regarded as men Of high chafac-
Ter. When Banks were Introduced the Stale
money was deposited in hem-but subject To the
private check Of HE Treasurer, without a counter
check. Under this system dcfalcnIlons occurred.
Men Of the highest responsibility committee them,
and ono, who bore so fair and honorable a rcputa-
ton thai when his appointment was spoken OF. twas
sild tleic was no need to require security from such
a man, WAS not able TO resist HE tcmptation-ho was a
defaullcr-and in the agony of feeling excited there
by, put an cnd to his existence.
The subject after wards engaged the most selious
and deliberate attention of the Virginia Legislature,
and they adopted a system which has ever since pre-
vented the recurrence Of delalcations. lie felt INN
self authorised by the experience and perfect sue
cess OF TINS Virginia system 10 olItf ms SUBSTITUTE
for the bill. As to the details he was ready 10 con-
sent to any modification which would obtain The con
currencc of the Senate TO the gicat fundamental
principle.
Nh, WRianr after some preliminary explanations
concerning the provisions oil his own bill, deelaied
himself to be utterly opposed to the substitute OF
Nh. RIVEs, rs calculated 10 make a closer conncc-
ton between the banks aud the government than
had ever yet existed, constituting as II did IN ms
opinion those banks the collectors, cuslodians, aud
dsbnrsers Of the public money. lie SAID, However
that the Senate ought to bear IN inlnd that the bill
and the substitute we've not .antagonisiic. Tie
former proposed simply 10 impose certain checks or
certain officers, and had nothing 10 dowitl keeping,
collecting, or discussing whereas the substitute
had for its distinct object 10 prescribe certain icgu-
lations in reference to the collection, custody and
paying away.
Mr.. RvEs briefly but most eonelusively answered
these objeclions-and must peitincntly asked the
questions-and whether It was possible 10 draw the
connection between bank Il state closer than ltnow
IS! lie repeated what he had said before, ION his
well known n solutions) about the Governments con
nociion vltll tie United States Bank, aud other
batks, aud about the notorious practices IN New
York, Of deposlting the money IN banks.
Mr. CALHOUN then rose, aud in his short, sharp,
and scntentions style declared that If there was To be
any connection between government: aud the banks,
the safest plan was undoubtedly to authorize them
10 receive the public money, keep it aud poy itaway.
1t was safer FOR the government, and lar more con
venient than the present system. But lie was utter
~ and absolutely opposed 10 every proposition Tor
connecting the Government with The banks.
Mr.. WEBSTER, in aolear and cogent speech, proved
to the satisfaction Of every one thai every pro-
vision in the bill which had any good in it. was Who'll
ly unnecessary. lie had rot supposed that a t is late
+ eriod Of the session. Mr.. WRIGHT would think Of
maturing and sending TO the House Of Representa-
tives a measure Of this kind. ii passed by tue Sen
ate there would be no hope il would receive The sane
ton Of the Other House. So little notice had he
he had not rcad Mr0u2h this bill Of thirty sections,
As TO melcty providing checks and securities a
lone. he thought there we're some things IN the bo-
DIV of he bill which looked like the revise oil the
Sub-treasufy system.
Nh. WEBSTER maintained that, as to the checks
proposed, every hing was already provided Tor IN
substance by existing regulations aud lac went INTO
a number OF details showing clearly that II cXlstInS
regulations were complied With, there could be no
difficulty in the Secretary asceltaing here "hal hlS
been done in all the custom houses, and land OIL
ces in every quarter Of the Union. The Govern
ment has now all means Of making examinations mo
the accounts of lis officers, and OF counter checking,
which thus bill gives. lie therefore thgught II IN
this respect as proposing checks and securities useless
nj the best and he repeated that whatever the Sen
ate might do, nothing would be done IN the
House.
He believed from the remarks Of Mr.. CALHOUN,
that that Senator agreed with him, II the connection
between the Banks and the Government was to ex-
list at all, it should be direct aud legal. AS matters
now stand. the Government runs two risks instead OF
oue:-a hazard of the default Of The Government
and officers and a hazard of the failure ofthe Bank
and Notwithstanding all that has been said about d.
yorce, il is a truth that if the Banks should fail to-
mo,row. the Government would be also obliged TO