, 1841-08-28

ted. He said experience had ~abundantly
proved that a National Bank was not indis.
pensible TO give effect to the granted powers;
and that was the true meaning of the term
Unnecessary"
But, Mr.. C. said, to come more immediate
" to the point made by the Senator from
Mississippi, i, could be easily shown that it
had been at least twice, proposed 10 the con.
vention by Mr.. Madison to give Congress
the power to create corporations and thai 1t
failed on each occasion.
There Mr.. HESpERsoN was understood to
say. that the power to create q corporation
would no, include the power to create a
Bank.1
Mr.C. asked him il q Bank could be estab.
|lished without an act Of Incorporation
Mr.. HENDERSON replied il could.
Mr.. CLAY replied, though there might
be private bankers, or private banking COM
~panies, without an act Of incorporation that
he had never known u public institution Of
the kind which waanot a corporation. That
was the understanding of the whole country
now, and i, was equally so when the Consti-
tuition was adopted, as would sufficiently ap.
pear bya portion of its history, which he
would presently bring to the notice OF the
Senate. He said the Bank established in
1871 was n corpora,ion--so was that which
was established N l8l6-and the bill which
had passed the Senate the other day, also,
created q corporation. to be called the aFis.
cal Bank Of the United States" Indeed,
every attempt heretofore made to establish
a National Bank had been by act Of incor.
poration-no other plan, so far as he (Mr.
CO. was advised, had been attempted by Con.
Igress in more than half a century.
Mr.. C. said NJ. Madison had, in the first
place, submitted a proposition, in the conven
ton, to give Congress the power to create
corporations, amongst various other powers,
some of which had been adopted and now
composed parts Of the Constitution; but the
the committee to whom the subject was re.
ferred. had repudia,ed the power in question
and refused to give it their sanction. Al a
subsequent stage Of the session the same gen.
tleman moved TO grant the same power, by
way of amendment 10 n motion which had
been made by DR.. Franklin; and. as the sub.
jrct was one Of deep and pervading interest
Mr.. C.. said he would ietain the Senate bv
reading the account given Of it by Mr.. Madi
son himself. He then read from Sd volume
of the Madison pages 1876 and 1877, as fol.
lows;
"Dr. Franklin moved to add, after the
words spost roads, article l, section 8, pow
er 'to provide for cutting canals where deem
ed necessary
sMr. Wilson seconed the notion
"Mr. Sherman objected. The expense,
in such cases would fall on the United States
and the benefit accrue TO the places where
the canals NAV be cut.
"Mr. Wilson. Instead Of being an ex
pence to the United State, they my be made
n source Of revenue.
"Mr. Madison suggested an enlargement
of the motion into a power so grant char
tiers cf Incorporation where the interest O
the United States might require and the leg
%islaiive provisions Of individual States may
be incompetent His primary object was
however, TO secure an easy communication
between the States, which the free inter.
course now to he opened seemed TO call for
The political obstacles being removed, a re
moval of the natural ones, as far as possible
ought to follow.
"Mr. Randolph seconed the proposition
sMr. King thought the power unnecessa
ry.
"Mr. Wilson. 1t is necessary {" proven
a state from obstructing the general welfare
"Mr. King. The States will be preiudi
ced and divided into parties by it. In Phlla
dolphin and New York it will be referred Il
the establishment If a Bank, which has BEEF
a subject OF contention in those cities. Il
other places it will be referred 10 mercantile
monopolies.
Mr.. Wilson mentioned the importance O
facilitating. by canals, the communicative
with the western settlements. As to bank
he did not think with Mr.. King, that tn
power in that point of view would excite III
~prejudicrs and parties i?prehended. As t
mercantile m~onopolies, they are already in
clud-d in the power to regulate trade.
.Cnl. Mason was for limiting the power I
The single case Of canals. He was afraid @
monocoIies of every sort, which he did no
Il, ink were Nv any means already implied b,
the Constitution, as supposed by Mr.. Wi
SON..
THE motion being SO modified as to ADM
a distinct question specifying and limited I
the case OF canals.
Pennsylvania, Virginia, and Georgia