The Madisonian., 1840-02-22
SPEECH OF MR.. CLAY,
OF KENTUCKY,
ON THE sUBTREAS SURY BILL.
IN sENATE-January 20, 1910.

Du', OH, iooh AZ the matter OF thIs reStrlc-
ton in higher point Of view. You cannot
maintain il. Why should youl You have
provided all the means, you profess TO be-
lieve, Of perfect security for the custody of
the public money in these public depostaries.
Why should you require the holder of Co.
vernment draft, often ignorant Of the Iegisla-
ton Of the Secretary Of the Treasury, to pre-
sent it for payment by given day, under
severe penalty, depending upon his discretion!
| Will not the inconvenience 10 the community
Of a precise day and short day, for the pre-
sentaiion Of the draft be vastly greater than
that Of the Public in retaining the money for
an indefinite day, until it suits the holders
convenience to demand payment And will
you not be tempted to keep possession of the
specie for the Incidental advantages which
it affords All sir are we TO overlook the
possible uses to which, in corrupt days OF the
Republic, this dormant specie may be APP
piled in the crisis Of political election or
the crisis of the existence Of party in
powerl
Congress will be called upon, impcrativeIy
called u;,on, by the People, TO abolish all re-
strictions which the Secretary Of the Trea-
sury may promulgate for the speedy presenta-
tion for payment Of Government drafts. The
wants Of the People and the necessity of the
country for paper medium. possessing a
uniform value, and capable of general circu-
lation, will demand it at your hands, and you
will be most ready to grant the required boon.
We should regard the system according to its
true and inherent character, and not be de-
ceived by provisions inevitably temporary in
their nature, which the policy or the prudence
of its authors may throw around it. The great
est want of this country, at the present period,
IN its circulating medium, is some convertible
paper, which, at every extremity Of the Union,
will command the confidence Of the Public,
and circulate without depreciation. Such
paper. will Ne supplied in the form Of these Co
vernment drafts.
But if the restriction which have been
considering could be enforced and continued
it would not alter the bank character Of this
measure. Bank or no bank rs question not
depending upon the duration Of time which
its issues remain out, but upen the office which
they perform whilst out The notes Of the
Bank Of the United States OF Pennsylvania
are not deprived of their character Of compo-
sing part Of the circulating medium Of the
country, although they might be returned 10
the bank in some ten or twenty days after
their issue.
know thai it has been argued, and will
be argued again, tha, at all times, since the
commencement Of the Government, the prac-
tice Of the Treasury has been to issue its
drafts upon the public depositaries; that these
drafts have not heretofore circulated as mo-
ney and that if they now do, it is an Incl
dent which attaches no blame to the Govern
ment.
But heretofore these drafts were issued up
on banks, and the holders of them passed
them to their credit with the banks, or receiv-
ed payment in bank notes. The habit of the
comtry--and habi, is great thing-was to
use bank notes. Moreover, there were bank
notes of every kind in use-those which
were local and those which were general in
their credit and circulation. Now, having no
Bank of the United States in existence, there
are no bank notes which maintain the same
value, and command the public confidence,
throughout the Union. You create, there
FORE an memorable necessity FOR the use of
Government drafts as a medium Of general
circulation, and argue from state OF things
when no such necessity existed
The protcstations of the friends of the bill
in this chamber, the denunciations of its OPP
ponen,s, and the just horror which the Peo-
pie entertain of Government bank, may
prompt the Secretary Of the Treasury slowly
and slyy to lift the veil which masks lis true
features. Government bank may not sud
denly burst upon Us, bu, there it is, embodied
in Mis bill And it is moi the least objection
to the measure ,ha, it depends upon The dis
cretion of Secretary Of the Treasury 10 re-
tard or accelerate the commencement of its
III I a. tho -alar-
ton of the present Chief Magistrate be Sc
cured, and youwil soon see the bank disclo-
sing its genuine character. But thanks be to
God, there is day Of reckoning at hand
All the signs Of the times clearly Indicate its
approach And on the 4th day of March, in
the year of our Lord, ls4l, | trust that the
long account of the abuses and coTuptions OF
this Administration, in which this measure
will be conspicuous item, will be finally and
forever adjusted.
Mr.. President, who is to have the absolute
control of this Government Bank We have
seen, within few years past, most extraor-
dinary power asserted and exercised. We
have seen, in free, representative repub
can Government, the power claimed by the
Executive, and il is now daily enforced, Of
dismissing all officers of the Government,
without any other cause than mere differ
ence of opinion. No matter what may be the
merits of the officer; no matter how long
and how faithfully he may have served the
Public no matter what sacrifices he may
have made; no matter how incompetent,
from age and poverty, he may be to gain a
subsistence for himself and family, he is
driven out 10 indigence and want for no other
reason than that he differs in opinion with the
President on the Sub-treasury, or some other
Of the various experiments upon the prosper
ty Of this People. But this is not all. II you