The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1839-10-02

and EXCLAMATION Of these transactions with
lsclo'asp ssIaon 10 which the public feeling and
Ibs pana hsd been so strongly aroused But looked
saiosl a studied reserve and ambiguity were
i s on The subject, and nothing appeared but
nale'a aAieiently Significant, however, and that
be lach ~ 10 The body Of the report, but by small
shOSn annexed 10 H. that near two millions OF the
i6can.n were even at that time, depesite in
pubic y" ~ m, United States But, soon after the
ths pan" report the President OF the Bank him
SYSTEMATICALLY addressed letter, through the
Sl ~ fine newspapers, TO Ex-President Adams,
nedluh : IN an reserve, and evidently written 10
lbToSlnS consciousness Of successful achieve
lbe eAa'sneng 10 the country that his differences
nsa1 aoid antagonist had been satisfactorily ter
sih ~ That he no longer had controversies with
,"srnInpnt OF the Union"-that arrangements
the a,ade which had brolsgAt the Government
bad NV u,sn cooperation with he Bank for the re-
into eup"t II hs cuyrsney-ihat I'm the month OF
taaOs'sasIinp the Government had agreed 10 re-
July y. anticipated payment 0l the bonds Of the
eeNs ." ~, bs amount of between four and five mil
BANS iaisr in a credit to the Treasurer on Tie
hons ol ~ Blnkn-and that arrangements were
t0ot, g.r,h Inc Government for the more distant
m ar arrangements in The notes of kh Bank l'-
pqo a s,n seemed 10 be confirmation strong from
he high contracting parties, Of all that rutnor
1nI sIIssed in regard TO the renewed fiscal con-
niu bstween the Government and the Bank Of the
Ta1sJ sla,es-enough, most assuredly, To justify,
IA even 10 demand inquiry.
au Nv, seIlow-citizenS ASK you in all candor to
- Il with these facts and revelations before me,
S.,sns transactions in direct violation Of law Of
c,noress in open contempt oil former pro essions,
IA d the plain dealing and sincerity of the Amer-
an character had held back, from any fear Of tho
nancialionS OF power and tailed 10 anravei 70 the
.bic view proceedings which seemed To me of such
M example, as well as wholly indetensible In them
Jv-s should no, have shown myself craven son
f,bs q Old Dominion utterly unworthy of the high
,nL of representing her honor and her rights
! fen and thought gentlemen and did not hesi-
e therefore, al once TO present resolutions, calling
mon The Executive for full information in regard 10
5s,e iIegilimate transactions And what was shown
II he Governments own answer 10 the call Why,
nat in The sale at par of one Of its bonds for two and
cuarer millions OF dollars 10 the Bank which the
al Of Congress authorized To be sold at its par value
M "aoaey IN hand, only, il was agreed between
NJ Government and the Bank that the amount was
B. paid in nstaments, not exceeding $500 900
rosti requiring period Of five months TO accom-
plish The whole payment in see around me gen
emen OF practical experience in such matters, TO
whom Imight appeal tor the construction of such
transaction as This; but surely It requires nothing
bal common understanding of few plain English
words to decide that this was not sale for money
il iand bur for money to be paid at future stipulated
periods and in manifest violation therefore, of the
law under which ii was made.
In regard to the other Bond Of the Bank, the pay
uen Of which anticipated, the transaction entered
INTO BY the Government with the Bank was alike indie
feasible Like all the Bonds executed by the Bank
10 the United States for their portion Of the stock Of
the old Bank it bore interest from its date the 18th Of
March, 1886. The Bond in question, payable on
he 3oth Of September, 1888, and was for about g.
800 900, (,wo million, three hundred thousand doars)
mncpal and interest On the 18th Of August preced-
lg but six weeks before lis maturity the Govern
entered into agreement with the Bank for dis
charging this Bond by successive instruments, TO be
armed 10 The credit of the Treasurer on the books Of
IL Bank on the 18th Of August the 18th Of September
AID The 18Th Of October respectively These install
merits we're 10 be entered 10 the crednof The Trea-
rrr The books of The Bank only, on the respective
days mRuoncd, but we're not then TO be paid out, On
The conray, the agreement that they were TO re-
opposite in the Bank, and 70 be paid ont. from
time, occasion might require, ION drafts to
be gwen in favor OF the public creditors" And yet it
expressly agreed by the Secretary Of the Trea-
slr that interest should cease each of these install
ntN," not from the time when they paid out, or
drawn for but from the day which they car
ned the credit Of the Treasurer the books OF the
Bank Now, gentlemen, | think you will say il
nOhng short ofdownrigh sporting with the public funds
committed to his charge, for the Secretary Of the Trea-
AIRY, w,hou, warrant of law, and without necessity,
o %ho can aAege that with an authority in the Sc
cTetaEy hands the time, TO Issue Treasury notes 10
the fall amount Of the Bond, there any necessity
to anticipate It's payment, only six and two weeks be-
toe II became payable by ns limitation )-as SEN
sole and unsophistcated men, say, gentlemen, you
cannot but demand what right or Justification the Sc
e'eay mad thus to make an arrangement with the
Bank for stopping interest upon public debt, bearing
interest, before it was paid drawn for
Such fellow citizens detail The Illegal unau-
oTled aud gratuitous character Of the transactions
between the Government aud the Bank Of the United
States But II was the general scope, design and re-
ui Of 'hese transactions, all aiming at and terminating
making the Bank Of the United States. Gin despite Of
Mmer declarations of incorporating hostility the
adng depository and fiscal agent Of the Government
and the dangerous consequences and evil example Of
alliance thus brought about between the Executive
rd the most powerful banking institution Of the coun-
y that manly attracted ard aroused my attention In
the negotiations respecting the sale or anticipation
he bonds Of the Bank, it was Fundamental stipua.
Nn that the proceeds were TO remain depose in The
Dunk TIL called for by the public necessities aud tina,
hey to be administered and applied by The Bank,
the fiscal agent Of the Government, at whatever
points, however remote, the public service should re-
lNe pa, mcn.s to be made at In addition to the pro.
reeds Of these bonds, sum OF $500, 900, received
TON the Bank of Kentucky had been placed and left
"aposc with the Bank Of the United States. clearly
nnIestIng that II was not the intention OF the adm-
D'tasion at the time, to limit its relations with
lie Bank to the asaIls of its own bonds only In viz
"'" Wese dlHereht arrangements, pubic moneys 10
Tie amount of foe millions Of dollars had been deposit
ted IN the Bank of the United States, and that at a
Nne too, when all The rest Of the money belonging to
ne Treasury, with the exception of what ia the
MINT was stated by the Secretary OF the Treasury him
sell TO be sometimes less than $500 000 (two hun
Gr'd thousand doars Besides the advantage Of these
"tge d,posites Of the public money, the Bank had
t'eu 10 itself by its arrangements with the Govern
NeN' an ncacuable benefit in the stipulation that its
PSEMe3s were TO be made not a, the counter of the
lazy ~ Philadelphia, but at remote places, chiefly in
"e 9ounand est, the difference of exchange between
wac" ana Philadelphia enabled it TO realize an enor-
IIus gam In these ramifed financial operations on
,.""a Of The Government, extending from Boston TO
.T""7eans and from Norfolk to st. LOUIS the Bank
" seen aud felt every where to be reinsated in its
'0'ea' connection with the Government piihout ann
+ tar, and stood confessed to The view OF the ma
''n Inc accredited fiscal agent and representative Of
"s administrations, So sudden and extraordinary a
revolution in the relations Of these recently antagonist
"4 warning powers brought about only without the
occurrence but 10 despite Of the legislative authority