The North-Carolina standard., 1840-11-25

Inc pubic money was then removed FROM ~
lawful place of deposite, in the Bank of tho
United States; to the local Banks, bv the pro
sident, under the plea that it was uneato
This ground, taken by the President, was d;.
proved by report from committee of Con-
gress.
The Senate of the United States became
alarmed at these indications of violence and
uSurpatlon, and declared the removal of thu
| deposites unconstitutional. The Presidpn,
appealed to the people, against both tho
Bank and the Senate declaring the BonL
dangerous to the liberties of the countrv-Na
monster of foreign materials and that hot
ter currency could be given by the Local
Banks, without the danger; and the Senate
had done him gross injustice. The apnesi
was sustained. Nothing was recollected Int
his splendid and successful military career
Several of the State Legislatures were filled
by his partizans, who supported his opposi-
ton to the Bank, and instructed their Sens
tors to eXpunge the resolution declaring hio
act unconstitutional for removing the demo,
sites, or to resi- On their seats to more unscr1-
pulous hands and it was done. Some Weld
ed to the servile act, in defacing the iotirha1s
of the Senate and others, through che.
rished though mistaken abstraction. aban-
doned their posts which has impaired
and, if continued, will destroy, the most
stable and valuable part of our Constitution,
and, in all probability, the government itself
The House of Representatives could not
but feel the influence ofthe will of the Leople
concentrated in the Executive HiSpower was
tremendous enough to intoxicate the brain of
less philosophical chief The fate of the
Bank was decided. The deposites were re-
! foiI, in
tobe loaned out. Banks increased rapidly.
and discounted freely. The disbursements
of the government increased some fiftv pey
cent, or about twelve millions of dollars an
nually. Property and labor Of all kinds
rose in price. Public works were connenc.
ed, and some completed, Of vast magnitude.
and general prosperity reigned, not only in
this country, but in Europe. Up to 1884.
under the operations Of the chill of aboni.
nations" the payment of the public debt,
mostly due to Europeans, filled that countrv
with money seeking investments; a great
deal of which was taken by our States, Banks,
Rail Roads, Canals, and Manufacturing Com.
panies, and returned to this country at rate
of interest higher than had been given bv
the government. Whether designed or moi,
this command and disbursement Of large A.
mounts of money completely, at the time,
covered the consequences of the destruction
of the Bank of the United States, and gave
to the country q. hollow and fictitious pros.
perity.
Notwithstanding the great increase. of ex-
penditures, some forty millions of surplus
had accumulated in the vaults of the local
Banks. Upon previous occasion, the Presi-
dent had advised a distribution and, after a
fierce struggle in Congress, an act was pas
sed directing it to be deposited with the
States; and, although his views had subse-
quently undergone change, he reluctantly
approved the measure.
Foreign capitalists used to wars and con-
vulsions, watched the operations of our gov
ernmelt with a vision true to their interests ;
and, taking alarm at the attack of the Presi-
dent on foreign capital, his revolutionary sp-
rit, and daring usurpations, withdrew their
funds, in time, to place of safety. The
Banks commenced curtailing, to meet the pro-
visions of the distribution act But it was
soon discovered that it could not, with other
demands, be met and a suspension of spe-
Gle payments ensued throughout the land,
A tremendous and frightful revolution, in
every branch of business, took place: and
credit and confidence were shaken to the CEN
tire. Money became more scarce in both hemis-
pheres; it seemed, indeed, to have vanished.
Interest rose, and with difficulty negotiations
could be effected on any terms Instead ofcool-
ly inveStigatingth causes, and applying such
reliefas his elevated & powerful position might
command to save thousands from ruin and
distress, the President denounced the local
Banks as worthless and faithless-pursued
them with an inveterate rancor-and turn
ed upon them the full tide of public indgna-
tion-lnade them the stalking horse of the
demagogue-robbed them Of the pcopIes
and paraIyzed all their useful en-
ergies. But, by his own act, the deposit ofthe
public monies, the Banks had been stimulated
to wild expansion; they were, for the most
part, controlled by his own political friends
and were the creatures of his devoted States.
In the Treasury Circular, the President ad-
ded another link to the already lengthenca
chain of Executive usurpation. This circu.
Far required specie only to be received at the
land Offices, which checked sales, and, by
further alarming the capitalists, added anoth-
er blow to the already sinking credit of the
Banks. Congress venturcd on a vote of dis
by large majority in both hous-
es, repeating the order. But the President