Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1840-08-10
S7,434,43

dPWoP"to"i 'o"ch Mey or her ftpfeSehiduC'S s, as
aparty, euer resisted in The legislature. Toe the
mark, gentlemen.
A GOVERNMENT BANK ESTABLISHED!
It's capital unlimited, and its issues 10 The erient Of
the disbursements Of the government, al The abso-
luie control Of The Secretary of Treasury.
From the commencement of the federal
scheme of the ub'ireasury it has been urgently
objected and confidently predicted, that it would
result IN iactin nlOnstrous government bank, in
the hands of the Executive. Mr.. Clay, it will I've
remembered, took this ground in his speech last
winter, aud urged that the drafts (orders) OF the
Secretary of the Treasury upon the Receivers
General would be used as n circulating medium =
become to all intents and purposes paper money,
and constitute the Treasury Department Bank
in fact. Mr.. Buchanan, it will he borne III mind,
replied and declared that it was "impoSsible that
they (the drafts ever can become such circulat
ing medium because the bill contained provis-
ion to require the speedy presentation OF them 10
the receivers for payment Thus stood the matter
as between these two distinguished SENATOR'S and
perhaps on this statement of it, the peope-or at
least those supporters Of the administration who
have long entertained deep feeling against
| national bank entertained little fear that the
predictions of Mr.. Clay would soon, if ever he
realized. We have to undeceive them Bold as
was the declaration of Mr.. Buchanan, we shall
present evidence which cannot be resisted, that it
was as nlse as bold that the administration have
actually opened the way for the evil Mr. Clay pre-
dicted; and tiu from the beginning they have
acted from deliberate design TO produce this
same GoUernment Bank. We rely upon no Wing
declarations; no locofoco admissions; but upon
the subtrcasuiy law itself, and upon the official
action upon that law by The Secretary of the
Treasury. The tenth section of tie act provides
iha, the Secretary Of the Treasury may transfer
the public money to the United States Treasury,
the MINIS at Philadelphia and New-Orleans, OF 10
the Offices of the four recevers-g general, viz.
each at Boston, New York, New Orleans and
St. Louis; and coners upon the Treasurer an
limited power to draw upon either of these deposit
lurles, without any reference to the fact whether
the government has funds in them not. This
authority is conferred in these words
Sand for the purpose of payments on the pub
lie account, il shall lie lawful for the Treasurer Of
the United States 10 draw upon any ofthe said de-
posilaries, as he may hink most conducive 10 The
creditors or BOTH"
Such drafts have been issued not only now,
but for months past they have, as it is natural
TO suppose they would he-being in the shure Of
bank bills, and also the representative OF the spe-
Gle Of the governinent-also been used as q circu-
lating medium. What is more, in several inSlan-
ces drafts have been made upon deposimries
where the government had no funds; and conse-
quen,ly been protested, and the government has
been obliged to pay not only the face of the draft,
hut large amount of costs of protest. collection,
&c. But Buchanan declared that by the 23d
section it WAS rendered impossible to such
government bank currency. Here is the 23d
section of the act:
find be it further enacted, That it shall be the
duty of the Secretary ofthe Treasury to issue and
publish regulations TO enforce the speedy prcscn-
iation Of ali government drafts for payment at
the 3nce where payable, and TO prescribe the lime
according to the different distances ofthe deposit
: tories from The seat of government, within WHICH
all drafts upon them, respectively shall he preseil'
ted for payment; and, in default OF such present
4 alton 10 direct any other mode and place OF pay
] ment which he mny deem proper; but, in all
E those regulations and directions, il shall he The
! duty of The Secretary Of the Treasury to guard,
) as far as may be- against those drafts being used
1 or thrown into circulation ms paper currency, or
D medium of exchange
This IL all, all which Mr.. Buchanan pretended
: was to create The impossbiiity in Tie case and
e what is ii? Why, it is the 'duy of The Secrc-
3 tary to guard. as Gp as may be- against gov
ernment bank in other words, this molnenIous
question is left entirely the discretion ofthe Sec
! rotary of the Treasury What would have boon
said had the old Unitcd States Bank existed under
. such charter as ths--no restrictions, no regula-
Z tonssave such officer of The federal govern
. n,ent might see il to devise? And now 10 the
i denouement has the Secretary OF the Treasury
y prevented these dralls-wnich he himself can
issue TO an Unlimited extent and is directed TO is
sue, "as he may think most conducive to the pub
lie interests" i. o. as he may think il best to in
2 fate or depress the amount Of currency; we ask
y hns he "guurled against these drafts being used
g or thrown into circulation as paper currency or
D medium of exchange" Let the following off =.
q cial document answer:
o From The Globe Of July2s.
OFFICIAL.
> PRESENTlfENT Of 1'R E.1SURYDR.4FI,S
ID Among the circulars recently issued to carry
into effect the act of Congress "to provide for the
collection md safe kpouing &c of the revenue"