Daily Richmond Whig. [volume] (Richmond, Va.) 1840-1842, 1841-04-21

u soon exhausted, and application was made TO IN,
l. Agent OF the Pare House in New York, for a fur
!, Their supply, Who drew considerable amount be.
! sides The proceeds OF these immense sales of ex
c change, created very heavy balances against the
o New York Banks, which after ALL sgnally failed in
producing the contemplated effect. The bills no,
oeng provided for, not even regularly advised had
c uniformly been the custom of the Bank were dis
honored and although the agent IN London did eve
ry thing, which skill and udgm could accomplish
tue cred OF the Bank was gone, and from that day
the present, ITS effects upon the institution have been
more and more disastrous Other causes might le
adverted to-the connection with the Common
"eAih-the over estimate Of the value Of the char
ter-and various matters, all however subordinate
tothe particular unhappy measure that have thus
hSs''y brought TO your notice-which Mr. Jaudon
) ana myself equally depo,ed asthe immediate cause
OF The disasters which have afflicted the Bank.
Very respectfully,
J. C0wPERrHwAIT.
Here then IS revealed the zeal and secret e,u,s
OF the disasters Oft the Bank. Now without me,n
Ing TO say single word about the object of these
oEalts ana without intending tue slightest censure
oiany one. is impossible TO see IN this single
circumstance the solution OF many Of the difficulties
OF me Bank The Bank, as understand, suddenly
draws an immense amoant Of bills on Messrs. Hot
unsuer y CO. without having a dollar Of funds IN
ths'r hancs-wiIhouI having any authority 10 draw
Tor dolIar-wiIhout line Of EXPLANATION A, TO the
nature and extent Of these unexpected drafts--and
without even The usual commercial notice that such
MSSSrS- MOtlfnguer 4 n
eed!d not As psudeni men do otherwise Ihan protest
these Sils; and thus the Bank IN the very fullne<s
I O. Us hSH credit was suddenly ciScraced in the eve,
I O 8 sUUope- The talents Of Mr. Jaudon rep,irra
20 certain extent N disaster, but Il obliged him
IN cscer - pTo'ect the drafts cFawn on hlnSaf az
I We NeSSrS- Hossinsce. 4 CO, to make lo,rx,rJ
D % e1Se SsSaNS ~hseA Ws-e thGs instead OF being
49, NeNec - - 2Na-s Ire eprscialson which h,
Si'es ovsr-&Ae .ss-,- An- no~ e ere ask in a.
ia.-cs>s~ sh;..c- ,tls scs-es N-c-ri-thrs r,sIe,,
/. = \ - "..-
ar; w. ohHHss-ss Sg----s Ness Eo.tin.,cr
"a O. .hcsss a-H 81 ing ukssA e .on-,,i 70
Ne 'r-aih- os-sls o. -; - S-e.n 5e charged
sNht MT usImtn ss--E.isr sAtsA AaS cease. to,- he
in't shhS sims a. shsss 80 oScers. As We see
% iht nhuvt 's--, --c1-. .-Ai "sS The immediate
citsf N -lt atSs1sr - A1vs Al -cei the Rank
1vnr 'ii'r -hs sAn,S- ~ss ne vitality ei the
smut, .ht. . have ~ oo-os ); might have revived
ana i''st'-eS s-. - .as .A.s fatal RESUMPTION of
sarst IA r-rr--ss
j. . aH7o-s-e- = ;--s, Ia; the only lawful and
fF'-E- "a - : - 2aVraen; Of specie. But where
y n sAltt s-S7ssSso1 onee takes place the
- = s.''a $ question OF eIpediency de-
80 = . 1nA7y Src--,s-srees on the position of
- S.IE 80 i-.ss position Of lis pssbIorS tbs
a'-l.a1 9; o.as9 Banks n o;her sections of tbe
si-l's. * zs - q : ihs natural condition of
zfa-- -; = - sc--'er; ne are sex prudence must
as'aat - - nay venture out wilhou; the dan
- c. - alS--. The Bank Of England continued
: s1s-ens7ol Tor twenty-five years, and If /, had
sSea 'o-c-c lnto a premature resumption. would .
second
zoe oAnas nor the community OF Phliede. phia nor
the banks nor the communities with whom PbiI,.
de phll Prn- pa.y deals, were ready for re,un1n-
Hon, and 10 my Judgment the project and execution
OF II were equally unfortunate.
was IN town during that period, though merely
as private spectator, and 1t seemed to me that the
true position and the only safe policy of the Bank
was hls:-The new administration Of the eovcrn.
ment oil the United States will find itself on the 4ih
OF hareh WIN very sma. funds, and its policy will
nOr n en- -
ole question OF national Bank whatever may Ia !
IT'S disposition hereafter. Ii then the Bank of the
United States Is IN position to do the public busi-
ness temporarily, 1t will from its extensive conner.
ons throughout the Union be more useful than ,nv
Other existing institution, ard thus may gradually
become one OF the fiscal agent&-To accomnIiSb
ms u must ne IN situation of strength on the
OF March, lSil, and should reserve us powers for
ha' Perioa' Hitherto the Banks believed that thew
nae oeen contenung against an administration nj |
pGoiic affairs hostile 10 the interests with which
Banks are most connected. great politic,I
ehange has taken place, but the effects of il on the
Puo'e interests cannot be till the new men
come into power. Wat then for that moment sec
what the administration intends To do for The
country, what relief j! means TO afford. and then
eo0cufrng with lis measures. you may resume ner
manenty. Until then the Bank Of the u : vas
no. o"!ged to resume. The Legislature had de- /
cared Of all the Banks, that Il they did no, resume
on gwen day, thsir charters were liable TO forEi
Iure, out tina; did not affect the Bank ii the u s
When the charter of that Institution was n,.ssd
through the Legislature, the provision, common TO /
al other Banks, authorizing the Legislature 10 al
ter or repeal II al pleasure, was inserted ButI
then deciared that ! would not receive II on surb
terms, and unless that provision was stricken out /
the oil need 90 no further. Accordingly II va,
stricken out and when this very question yyhe,her
the Legislature had a rlght TO declare Co,fe;- |
ture for the nor-paymenI Of specie, was recently
brought before the Courts the Judges unanirnousIv
decided against the power otthe Legislature on the
very ground Of this rejection ofthe clause
The Legislature, 1t IS true, had fixed the 18th Of
January as day OF resumption. But that d,v /
had been 50 fixed because they were in session ana
had wants which the banks alone could re lieye. so
that the Legislature was much more in the power
Of the banks than the banks we're in the power Of
the legislature. How easy was IL for the banks To
say to the Governor, you want to borrow 100000 |
dol.ars-the State breaks on the LIST Of February |
unless you can borrow it-yCu can borrow IL onIv /
from us-ani II we lend 10 you and resume specie |
payments we inevitably break ourselves Let us
agree that neither shall break. Authorize n sus |
pension beyond the 18Th Of January, and we will |
protect you on the LIST OF February. Thi, ,youl5
have been wise and easy. But instead OF this course
the D'n" rssumed-then lent the 500 OOO-and |
then broke down Immediately.
Believing the resumption Unnecessary al we'll a, !
inerpedient, think that all the BORROWINGS OF IN.
0aak, both at home and abroad for the purpose of
resumption, were very unfortunate They complI- !
eated the affairs Of the bank, they embarrassed the
DF'lN' c1l't anu Httt NJ .d5L Wholly Intellectual
One Of the reasons which made them in. fTsrtu,I
was the publication Of the report Of the lst OF Janu
ary' lsil giving particular list Of IT'S assets with
out tue mems of est'miing them, and calculated
to inspire doubt and suspicion Of Il, sovency In
TACT, just on the eve Of attempting TO resume specie
payments, state Of the Bank was put forth which
made every body believe AZ the Bank could not
resume permanently, and induced the creditors 10
come Immediately for their money before It was too
late.
These counssls could Offer only as a private
cuZeD~-tiad occupied he position once did.
most certainly would not have permitted that re
SUMPTION and though itmay seem rash 10 say 81, I
have not the least doubt that but Tor that act Of IN
sanity, The city would have been spared the suffer-
ings Of the last two months the Btnk would nj his
day have been strong and s,fe-that j, would have
obtained large portion Of such GOvernm ept busi.
ness o. was done by banks, md that ~ Stockhod.
ers ins.ead Of depoung they nov do rs pros,fa.
uon, would lave found ~ condition prosperous. and
rs stock worth We times IS much as Il now H.
bsZnn by saying that I would provs that IN.
Bank when ieit u was strong and prosperous-
and that Us present prOstration cannot 10 the reno
test way DO ascribod 20 me-
DO you not think have provedI7
With great esteem, yours
". BIZ DIE.
10" The Ladies composing the Powhatan Cir.
Gle Of Industry, will hold n FAIR NJ povbot,o