Herald of the times. [volume] (Newport, R.I.) 1830-1846, 1840-04-30

ITSELF must be brought 10 close. SO long
ms there wasa National Bank, that bank would
have the keeping of the public moneys in its
own vaults, and the payment of the public
dues in its own paper. IL icas NECESSARY,
therefore, to GET RID Of That Institution before
zoe could BEGIN TO erect The lNDEPENDENT
TREASURY. Demolition icas 10 precfde cree
lion; and for seren long years laLored al ht
preliminary uork. TmosE VINO DEFENDED
the BANk DURING THAT TIME, FOUGHT SEW
I'm YEARS AGAINST THE lNDEPENDthT lREA-
sURY SYSTEM; THosE WHO ATTACKED THE
BANK FOUGHT FOR TIL. SYSTEM. Ihey
were antagonist systems, and one must be
got rid of before the other could be adopted
True the transit was not direct from one u
the other. There was II haif way house be-
tween them, az indispensable to be stopped df
and ia,ried IN a phiie, ia going from Ma
iiondt Bank, as IN returning to one. Tins
haiC ,cny house, as every one understands
was the STATE BANK DEposiT SYSTEM
Ne stopped in IL THREE YE.4RS-iron
1884 To lS37-when II BLEW UP, and zoe ts-
c0ped. Congress aided to blow it up by the
State Depositc act of 1897, which called for
thirty six millions of dollars, which zoe ka6it
this half way establishment had lent out, and
could not return, in the prescribed time, With
om ruin 10 iseir or lis debtors. 1t blew up
aud we left IT; and the democratic party then
took the decisive ground OF going the whole
distance, and erecting the Independent Trea
snry; baslng 1t upon the Two pillars OF KEEP
ING its own money, and asing nothing but
h1rd money. This system had been present
ed before, but at periods of time not propl'
tIons TO its adoption. A member Of the House
of Representatives from Virginia, (Gcn. Cor
don,) presented it in that bocy IN 1884. 1T
was opposed by the Democratic party, aud II
had been in that body, should have opp0s-
ed II with them; for, although right IN itself,
ii was wrong timed, and would have cause
a reaction in favor Of the Bank of the United
States. In that light it was seen by both
political pories, and each acted accordingly.
The pubiic mind was not ripe for the step;
The haL(uay house was still the lodging place;
and it would not do to pass it or quit it, until
lis INSUFFICIENCY WAS AscIRrAINrp..-
Two years after. and before tins half way
establishment had failed, ] made two cXpcri-
menis III the Senate to see # we could grad-
ucNy get out of it. Both these experiments
faled--nnd left me without
WHICH FORESAW, and STATED TO
bb "a IN W.. Ht IlIst VI lnCSt
was made on the 9th day of January, 1896
and took the form Of proposed instruction
Ia raise a select committee Un banks and
III the District Of Columbla; and
among other things, 10 inquire:
"lur" the necessity, IL any for banks Of circulation in
The District Of Columbia, in colradisrction to bnnks
II discount and d,posite; nso Ia inquire how fu banks
VI any kind wanted 6r the ol the Federal Co
'.rnmeni IN thus districts and wherefore llc Treasurer
i The nitcd States may not act N KEEPER and PAY
Err OF the public money within the district of Colun'-
Iin aud drawer oi checks drafts in favor U those who
'hose Ia receive their money ,iaon here"
This was a gentle attempt at the expert
ncnt Of on Independent Treasury here, at
he scat of Government, where we have
Treasurer and Treasury building, aud Off
:ers enough to keep and pay out on money.
I was gentle attempt 10 sound the Senate
lpon the subject; but it did not get as far us
q sound them. As it was read, lis fate was
determined; and when It was finished being
cad, il was laid upon the table upon the mo-
ION of an Opposition Senator, wilhou, debate,
without ycas and nays,and without division.
The neat attempt was six months later, 10
VII, on The 18th Of June, Of the same year;
ud took tie shape of an amendment to the |
dmous Deposltc act; SO as to allow public /
moneys to be transferred from the deposite l
anks to The mints, for the two fold purpose |
1 supplying metal for coming, and for safe |
eepng. On this occasion the Senate was
oundcd: its sense in relation to the com
Iencemcnl of the Independent Treasury |.
ysicm was ascertaIncd; and us the circum.
lance is an era 10 the history of that system. Il
will rend what our journals present in re-
l'ion to It. J read from page 43O, of the
cssion IS3J-36:
con motion by Mr. Benton to amend the rcroricd n
cnllncns by inserting, AT the end Of the lwonh see
o', The following proviso:-"Provid.d That II may bc
Niu Ia" The President at tho United State. direct
asfIs Of public money to he nnle from time time
the Mint aud branch mHts of the United States, Of
cl ior supply ing metal or coming or for snie keeping
Remember, that all these plans were per-
cicd before whisper had been brcathcd.
'out The insuilicicncy Of the deposit banks.
In speaking of the failure Of the passage of
cse resolutions, MIR. Benton proceeds in his
eech To suy- Thus ended the second at. H
mpt to begin the great work of establishing
! independent, treasury for the federal 90.
rhnhont, II ended dlscouragingiy enough,
1t was not discouraged, and Iooked nhend
r the forthcoming OF an ARGUMENT
hich would Convince the nation"
Alter reading the foregoing remarks, need
" reader seek further for the secret cause \ !
r the issue OF the specie circular immcdi | {
ely after the rising of Congress by the A.,
TtW Hidn" who went "bCiore and behind" {
r. BcnIon.-And need any one inquire why (
Is circular was kept in force, ,altho' the next t
'ngress passed an act To annnl 1t by almost Il
unanimous vote IN both houses, there being y
I tive IN favor Of It's continuance IN the I
nate. f
The writer has before described, in pre- t.
'ns communication, he final means adopt,d u
The coGsplratVrs To break the deposit banks /
in speaking Of which Mr.. Benton says p
!" The catastrophe Of lc:G, was preparing: @
d saw 1t as distinctly before it happened il
In the winter OF lS:'6-7,I poin- "
out tins catastrophe 10 The then President o.
1.-THE now President Of the United u
ties. invited him into the Finance Com. a
Ice room OF The Senate lnihe winter of;aj- b
-four months before the banks exploded O
made known to Inn my opinion Of the q
nng danger. spoke 10 bun 10 his high b.
acter oi President elect, aud To warn hl,u C,
he tempest which was TO salute his nascent ii
do not mention this, If II h,
5 not that the President himself well re- f.
'nbcrs 1t, aud often mentions 1t. bad no or
re- DOUBT then oi The coming explosion, than q,
id after the nlnc hundred banks of the III
ION had aciusily shut up. My opinion =,
) not guess work; but u conclusion of rca y,
aud Judsm nj, formed from view of al
Is, and as dcmonstrable as proposition in p,
'hd. Judged from these facts: |. That the hi