The Madisonian. [volume] (Washington City [D.C.]) 1837-1845, 1841-07-24

tend 10 raise surplus TO this amount deposit in the
Bank of the United States and also to distribute the
proceeds Of the public lands to the amount of three
millions dollars per year,
He objected 10 the mode Of this BILL Il was not TO
be redeemed in three years least without the Secre
tary made provision for this which was not probable
and perhaps for eight years The ofinteres was
be six per cent Il could be raised by Treasury notes
at three per cent Another preference for the Trea
sury notes was, that they never paid interest on them
until they used, whereas with loans they bor-
rowed them in masses, the immediate use of which |
not once required and thus drew interest with
out benefit These had all been pointed out, and yet
gentlemen had voted down all these proposed amend
ments. Why was this to be done2 Why this |
amount to be given away-he would say plainly, why |
il TO be gwen to Wall street. which was at the
head of the moneyed interest? Treasury notes Were
opposed by the banking interest, because il impeded
the circulation of their paper
Another and powerful reason against a permanent |
loan. You give bond paying six per cent. and take
the paper of banks paying no interest at all
II was his object to put himself right on this subject
and ne would conclude by saying that he held this
bill as the entering wedge to plunge and replunge into
that had been proposed at this session There
was not measure proposed that would not be, IT this
Senate instead of being representatives OF twenty,
six sovereign States, were but delegation from all
street. There was general rejoicing among the
Brokers of Wall street when this bill passed the House,
and well might Wall street shout at its passage
When he looked at all these measures could he, or
could any doubt but the interest, at the head Of
which was Wall street, predominaed, unfortunately
for the interests of the country in the proceedings of
Congress The two Interests, that of office seekers,
which they attended to in secret session, and this mo-
neyed interest in open session. were the great mea-
sures of thissession and the people were not looked
to- who were crying for relief How had they fulfilled
their promises against prescriptions These had all
been neglected. Another interest that existed in the
late electionthe States rights party-who voted for
General Harrison against Mr.. Van Buren--who pre-
ferred that to voting for Harrison alone-these also,
were to be pamed off disappointed
Mr. NICHOLSON would assign very briefly the
reasons why he should vote against this bill II was
a remarkable fact during all the discussions in this
and the other House. that two agreed as to the pre-
sent condition of the Treasury. He commended that
they should limit their supplies to the present but
it was urged the other side, that they should look
to next veal He would grant ample supplies for this
year. Six millions sufficient for this purpose ac-
cordng to the calculation of gentlemen OF the opposite
side. Nine millions the highest estimate that had
been made by the other side, and that they had pro-
posed but 1t was rejected. He had confidence In the
Executive greater than some who would vote for this
bill From his personal character he would be will
ling to entrust him with all the discretion of the BILL
But this power granted in the BILL if used in wrong
manner, might be productive of great injury to the in
terests of this country and that bare possibility was
sufficient to induce his vote against this BILL Again
indirectly by this proposition they authorized the Exc
cutive of this country to impose tax OF twelve anu
possibly eighteen, millions on the people. He would
cheerfully grant amount of six millions, which was
necessary, and further provision could be made by
Congress at the next session Copcentrate all the pow
Of the Federal Governmental one department. and
this Government was reduced to despotism This
bill was step towards that, by vesting the power OF
taxation in the President. 1t was, in his judgment,
designed to supply the immediate wants OF Govern
ment but one of system of measures to be adopted
by the present Administration and necessary, by
creating surplus to the passage of Distribution bill
| It proposed debt of twelve millions. The Bank bill
contained provision for permanent loan of one mil
lion dollars 1t made provision for an investment OF
ten millions dollars and in contingency, six millions
more. 1t was proposed to distribute three millions
yearly, the proceeds ofthe public land which equal
to fund of fifty million dollars at six per centum.-
The Secretary Of War had called for required i'm
mediately for fortcations twelve millions of dollars
These were all in contemplation by the Administra-
ton, to which this was the entering wedge. This
would create public debt, and thus necessity for
increase of the tariff would be created, which in
crease would never be made except when debt e1-
isted He regarded this loan designed to fill the
Treasury, which again to be empted by dstribu-
tion leaving public debt Immediately to he met by
an increase of duties. Under our Government, the
tariff system always worked unequaly. This was no
argument against the SYSTEM but that duties should
be kept as low possible to meet the wants Of the
Government. He believed this investment of power
to borrow twelve millions unnecessary, and should
vote against the bill.
Mr.. WOODBURY. had objection to the form Of
form. The bill would produce loss of one and a
half millions dollars. Treasury notes were used with
much more convenience. BY this bill they admitted
but large corporations TO invest in this whereas In
Treasury notes every person could invest to amount
low $50 Treasury notes were great conve-
nence in receiving dues, and saved the transportation
of specie. They also proved from the export
ence of France and England preferable to loan He
referred to the opinions of Crawford and Gallatln who
preferred these notes to loan If this loan were to
be made, it ought not 10 run but year.
As to the loss by the loan, the gentleman from
South Carolina had said there loss of two per
CENT and the interest of the money before was re-
CURED made per cent. more. But we were losing
the interest of three millions dollars The Secretary
of the Treasury had said if there power to
issue Treasury there should be three millions
in the Treasury. Under the loan bill they had to
employ an agent and give him salary at the rate of
twelve thousand dollars. These all amounted to the
loss of and half millions which was more than
was required foI the expenses of whole session, and
than enough to defray the expenses Of foreign
intercourse for two years. The Chairman OF the
Committee said they did not know when the Treasury
notes were to be did they not know the
amount issued and the amount redeemed and thus
the amount outstanding well as the amount OF the
loan But besides the losses, there was great proht
by loss or destruction of these Treasury notes. which
were never returned TO the Treasury, which had
amounted to hundred thousand dollars.
Mr. CLAY said there had been q sort of funeral Gu
his old friend and he would not disturb the solemnity
of SO ahectonatea scene. But he would say word
On Saturday they pressed to let this matter lie
over for speech. They had now had three, and
how many more2 Nous perrons. He had given a state
ment of the wants of the Treasury but for the sake
Of the Senator from Tennessee he would present it
in another view We were in debt ten millions for
Treasury notes and this made by the late Ad-
ministration. II was debt of their creation their
financial operation. That could not be contested. He
wanted to know how this debt to be paid Either
by absorption Of the current receipts of the revenue
or in the manner of this bill. But the revenue was
now deficient the current receipts not adequate
to the current expenditures. Since this debt was
created and to be paid and could not be by revenue
how was il to be paid2 They proposed to pay it by
an honest old-fashioned bond that the people might
know the amount. They must either pay il in this
manner or give and more Treasury notes; which,
il necessary, he could show the most announcement,
onerous, and expensive, Of any other FORM Here
waa n most unex nected nnnnstinn TO the payment OF