Jeffersonian Republican. [volume] (Stroudsburg, Pa.) 1840-1853, 1841-08-25


anticipated from It's incorporation. A uni
form currency was not provided, exchan-
yes were not regulated. and little or no.
thing was added to the general circulation;
and in 1920 its embarrassments had be-
come so great, that the Directors petit
toned Congress to repeal that article Of the
Charter which made its notes receivable
every where, in payment Of public dues.
1t had, up TO that period, dealt out to a
very small extentin exchanges, either for
eign or domestic; and as late as 1882, It's
operations in that line amounted to little
more thanS7 100000 per annum; a very
rapid augmentation soon after occurred,
and IN 1888 its dealings in the exchanges
amounted to upwards of l00,000,000, in
cludng The sales of its own drafts; and
all these immense transactions were ef-
lected without the employment of extra
ordinary means. The currency of the
country became sound, and the negotia-
tons in the exchanges were carried on at
the lowest possible rates.
The circulation was increased TO more
than $22,000,000 and the notes of the
Bank were regarded as equal to specie all
over the country; thus showing, most
conclusively, that it was their capacity to
to deal IN exchanges, and not in local dis
counts, which furnished these facilities and
advantages. ltmay be remembered, too,
that notwithstanding the immense trans
actions Of the Bank, in the purchase of
exchange, the losses were merely nominal;
while in the time of discounts, the sus-
pended debt was enormous, and found
most disastrous to the Bank and the coun.
try. Its power of local discount has, in
fact, proved to be fruitful source Of ia
vortism and corruption, alike destructive
to the public morals and TO the general
veal.
The capital invested in banks of dis.
count in the United States, created by the
States, at this time exceeds SS50,O00, 900;
and if the discounting of local paper could
have propuced any beneficial effects, the
U. States ought to possess the soundest
currency in the world, but the reverse is
amentaby the fact
Is the measure now under considera-
tion, of the Objectionable character to
which have alluded? 1t is clearly so,
unless by the 10Th fundamental article of
the lth section it is made Otherwise
That article is in the following words:
"The directors of the said corporation
shall establish one competent Office of DIS
count and deposite in any State in which two
thousand shares shall have been subscribed,
or may be held, whenever, upon application
of the Legislature of such State, Congress
NAV, by law, require the same. And the
said directors may also establish one or more
competent Offices of discount and deposite in
any Territory or District the United States,
and in any State, with the assent of such
State; and when established, the said office
or Offices shall be only Withdrawn or removed
by the said directors, prior TO the expiration
of this charter, with the previous assent OF
Congress. Provided, in respect 10 any State
which shall not, at the first session of the
Legislature thereof, held after the passage OF
this act, by resolution, or other usual legis-
lative proceeding, Internationally assent or
dissent 10 the establishment of such Office OF
Offices within it, such assent of the said State
shall be thereafter presumed; and provided
nevertheless, that whenever it shall become
necessary and proper, for carrying into exc
cution any Of the powers granted by the Con.
stitution, 10 establish an Office or Offices in
any of the States whatever, and the estab.
lishment thereof shall be directed by law, il
shall be the duty Of the said directors to es.
tabIish such office or Offices accordingly"
1t viii be seen by this clause that the d.
rectors are invested with the fullest power tc
establish branch in any state which has
yielded its assent and having once establish
ed such branch, it shall not af,erward be
Withdrawn, except by order Of Congress
Such assent is to be implied, and to have the
force and sanction Of an actually expressed
assent provided in respect TO any State
which shall not, at the first session of the
Legislature held .hereof after the passage o
this act, by resolution or other usual leglsla
tive proceeding, Internationally assent or dis
sent to the establishment of such Office or OF
| fees within it, such assent of said State shal
be presumed" The assent or dissent is Il
be expressed Internationally at the first ses
sion of the Legislature by some formal legls
lalive act; and if not so expressed lis assen