Martinsburg gazette. [volume] (Martinsburg, Va. [W. Va.]) 1833-1855, 1841-05-06
Mr.. BiDDLE's ADMINISTRATION OF THE
BANK Of THE U. S.

/ The Charleston Patriot in the following
article places Mr.. Bldle's management
in lis true light light 10 which il mus,
be viewed by dispassionatc and sensible
men.
1 "It is the general impression of candid
men who have read the letters Of Mr.. Bid.
! die, that he has succeeded far better IN IN
| culpdting others than erculpdfing himself
4 in the management Of the Bank Of the
! United States. While he is acquitted Of
moral turpi,ude, his case shows the dan
ger OF placing at the head OF so large q
monied establishment one Of his sarguine
1 Temperament. He took MS the guide Of
Of his conduct Of the Bank illus,se signs
ofprosperity. He shipped his admln'stra-'
lion bysuch deceptive indications OF tran
! guilty as are 10 be found in excessive en-
/ terpriss. overweenng confidence and the
forced abundance OF money. Now these
are symptoms that should Induce 'no'c
than common WARM IS on the part OF 'nose
who guide the affairs of Banks. fea.
sonable d;strust during excitement shou'd
| form one of the elements ofthcir adm'n's-
\ tratlon. The confidence that more tnan
meets bold adventure is perllous IN iinancc
and banking. Now Mr.. Biddlo sympa-
thized with oil degrees and kinds OF enter,
prise, public and private. He dis.rusird
nothing. His response 10 all applications
whatever FOR loans seemed to have pec'
Aye, and we really believe that "
scheme Of mining in Mexico had been pre-
scented TO him, to be worked out oy 'no
funds of the Bank, he would nave 'eh'
those funds for that purpose.
"The siurcfs ofihe Encouragement VI
the Bank were long anterior to the re','e-
ment Of Mr.. Bidlle. We observed DUR
ing an Investigation made in this paper
two years since, which we supported ny
statements, tina; Mr.. Blddlc's interference
with the foreign exchanges, and the exten.
sion of the issues Of the Bank ~ 1000
we're facts Of administration that must
lead finally to embarrassment, ana m'sio.-
tune. |, was in that year that Mr. pa
die commenced his system OF provioing
for the commercial debt of the Un''cu
States by drawing extensively against inc
credits he had obtaincd in England, IN
stead Of permitting an adjustment o. tue
mercantile balance in the ordinary way.
This was the first attempt he made TO en-
ploy the credit OF the Bank to discharge
a commercial debt from over importatiops,
by which mercantile indebtedness Yves
concealed from general view, and which
led to new impor,aiions ~ rapidly m
creasng ratio. The success oil that A.
chievement, by which the wholesome ex-
port Of specie was impeded, and the COM
mercial balance remained unajIusted, was
the commencement Of tina, system Of in
reference with the foreign exchange that
induced Mr.. Biddle subsequently, TO open
n market with IN expensive agency, Tor
the sale of American Stocks in England,
that the credits against which he was IN
the habit OF drawing, and which had been
closed by the action of the Bank oil Eng
land, might remain open to hun.
"lf Mr.. Biddle's management at that
period admits in fact Of any plea, II IS to be
found in the rapid repayment. OF the pub
lie debt. The Bank held n large amount
Of II. S. Government Stocks. Their re-
demp,on threw back upon il great masses
Of lis capitul, which it was found d'iilcuI'
to invest. Hence the offers OF large a.
r mounts to certain mercantile firms IN Phil.
delphia--hence the proiuss investments
10 fancy and state stocks, &c. But this
very circumstance of the rapid repay.
ment Of the public debt ought 10 have in
spired caution in Mr.. Biddle. The release
of such large sums from public stocks, in
which Trey had been locked up since the
war, and which tended TO make money
too cheap, should not have been met with
an extension Of issue ard enlargement oil
banking operations, increasing that ten
dency, and leading necessarily to specu-
| lation, and thence to reaction. 1t then
became the function of the judicious bank
err to look not only to the character Of the
new invt stments he was compelled TO
make, but also to the amount of his issues.
But both these rules ofsound banking were
grossly disregarded."