The Camden journal. [volume] (Camden, S.C.) 1836-1851, 1840-03-28
FOR THE JOURNAL.

Mr. Editor: learn from an editorial ar
ticle in your last paper, that by a Resol u
ton of the Legislature, the State Taxes
are required to be collected in specie, or
the notes of specie paying Banks.
Does that Resolution also require that
the public creditors of S. Carolina shall
receire payment in the notes of specie pay
ing Banks? and could the Legislature con-
stitutionally, and in good faith have done
so? presume not.
Are not the salaries of our Jud ges and
all other public servants fixed with refer
ence to specie, and payable at the public
treasury accordingly!
Are the notes ofany interior Bank equi-
oalent to (conuertible into,) specie, at the
Treasury of South Carolina al Charleston,
Uhe Bank of the State,) or any where else.
in Charleston!
They are not so; but on the contrary,
are, notoriously, at 2 to 4 per cent. dis
count, compared with specie.
Would any public creditor voluntarily
receive such note from the Treasury, (the
Bank of the State?) or ought they to te
rendered at all? Surely not.
What, then, shall the Bank of the State
do! She is, imneratively, required to re-.
ceipe the nutes; but cannot pay them ont
to the public creditors. repeat, then,
what shall she do! There is but one al
ter1ative-she must convert them into spe-
Gle at the brokers' counter, at loss Of
from Ito 4 per cent. or convert them at
the counters of the Banks whence they
came, into that, which they promise to pay,
and which will be legal tender TO the
creditors of the State.
But there is to be great difficulty and
distress, you say, in consequence Of such
conversion!
Well: who are to blame! Not the Bank
of the State, certainIy-her duty is impe-
rative---Not the Legislature, for an act Of
common honesty-Not the public credit
or, for requiring his honest dues.
Who, then! THE BANKS! who, reck-
lessly promise what they cannot perform
without convulsing the country; or who
choose to throw it into convulsions rather
than incur the trifling expense of about
LOO part Of their last years gains, and
thereby avert the tremendous consequen-
ces Of contracting their circulate n $780,
600 tn sirty days! ..
I say 100000, because you estimated
the amount of specie at 100000 which
will be required Of them; and assume
their present circulation at four paper dol
lars 10 one of specie: and their curtailment
las you do in the same proportion.
And, say it would not Gust :hem more
than l-lO0 of their last gears gains, be.
cause the aggregate capitals Of the interior
Banks is about two and half millions, and
their profits including surpluses, perhaps
on an average of Is per cent. or about
1915, 900; while !hecosI OF providing $780,
600, in specie, or its eauiysle e7aAr,-.o ~; 70 meet
the supposed dena.aa1Iid for ta.,s, will not
At n the ordinary expense Of procuring it
exceed $1,000, or l-125 port Of their in
come for the last year, according to
the data stated; which is not materially
erroneous. | am aware that exchange
on N. York is nominally at3 per cent. in
consequence ofits being paid for in deprcci-
ated currency Bank Notes.) So. exchange,
in Philadelphia OIL New York is Seren per
cent. premium-but we must put them t.
the specie test, and then it will be found
that sight bills on New York could be had
in Philadelphia at mere trihe, or at par;
and in Charleston at small premium.
Will our interior Banks incur the tri-
fling l.ss stated above. to meet a Temporal
ry demand for specie, in consideration Of
their great dividends and surpluses, and
their legal and moral obligations; or will
they infict on the country the curse Of
such contraction as you predict!
They must not evade their own respon-
sibility, and attempt to make others the
scape goats of their iniquities. They
must not assume, Nth you, that the public
creditors will prefer their deprecated mo-
ney 10 solid cota or its absolute equivalPnt
where payablc?-No man in his senses
would do so. "Whom the Gods intend to
destroy they first make mad"
PREMONlTOR.
Extra ord1n1ry En et;nr-Calv;n Nor.