Columbus Democrat. [volume] (Columbus, Miss.) 18??-18??, 1841-07-03
PLAN OF 4 FISCAL BANK OF
THE UNITED STATES.
The CHAIR then submitted the following COM
from the Secretary Of the Treasury

Treasury DEPARTMENT,
June u. Is4l
To the President Of the Senate Of the 4. 5
SIR In obedience TO the directions OF the |
Senate, contained IN their resolution OF tho 9TH |
INST, the Secretary Of the Treasury has prep ared |
and herewith submits, plan OF Bank and FIs- |
cal Agent
In the general plan and frame Of SAID insu-
non, ho has endea,ured to free from the uncost.
Iulonal objections Which have been urged against
those heretofore created by Congress, and as lar
as practicable ,wltsoul lmpaIlng It's ussiuluess
10 guard II m It's details against the abuses 10
which such institutions are liable. And he now
respectfully submits i TO the Senate, with the
hope that, IN the process OF consideration and en-
actment, It may become, what he did not presume
TO promise, but what he earnestly desires 10 see
in the possession OF the nation, Bank aud FiS
cal Agent, tree hom constitutional objection, and
adnplod to the wants OF the county and conyen
fence Of the Government
1t rs proposed to incorporate Bank in the
Dstrc, of Columbia by the name oil tie Fiscal
Bank OF the U. s., having capital OF thirty
million of dollars, with the power TO establish
branches OF Offices OF discount and deposls IN the
several States, with the assent Of the States; tAatl the
Government subscribe oue-dlth part Of The capital;
| aud on the suvpositoa that II Is the purpose oil
| Congress hereafter 10 direct that the louIh install.
meul, appropriated by the deposit. act of June
23d, 1896, shall be paid INTO tho treasures Of the
several States, II is also proposed that subscrp.
| ton TO that amount be made IN the name OF the
l.. S.. for the use of the States respectively; the
| .t,cL ~. Cd IN mud har ,ha
of, such States as shall accept the sans, IN the
manner aud IN the proportions, and subject 10 all
the conditions provided ard imposed by thai act
And for the amount OF Elk millions to be sub.
scrbed by the United States on their own account,
aud also for the amount TO be subscribed Tor the
uss Of the several States; II is proposed that a
stock be created, bearing an interest Of five per
cent. per annun, redeemabe at the pleasure VI
the Government at any time after fifteen years.
Ia case Congress should not SEE ht 10 make
such provision us is proposed Ior paying IL the
States the fourth lnslalment under the deposIle
act, II may be well worth while TO consider whelh.
et tho States might not be permitted to take the
stock OF the Bank according TO their respective
amount OF population, 10 the extent of ten millions
IN all, ISSUING therefor stock Of their own bearing
such interest, and reimbursabe at such periods,
as might be- pres ,rlbed the dividends on the
shales thus held by the States, respectively, to be
applied, N the FIRST place, 10 the payment Of The
interest on their stocks with further provision
if thought necessary, that n case the proceeds ol
the pubic lands should he assigned to the States,
those proceeds should be applied To the Ielm.
bursement Of the principal Of their debts, or
stocks, created or issued Tor the purposes aloIe-
said.
In the opinion Of the Secretary, i, is desirable
tina, The States should be permitted to take an
interest IN one Of the foregoing modes, or some
other mode. IN the new institution; but, II Con.
Qress should think Otherwise, then IT is recon-
mended tina, the Government of the L. 5.
subscribe for ten millions Of stock, leaving twenty
10 be subscribed by individuals.
II ID proposed that the affairs Of the Bank I've
managed by seven directors, two Of them TO be
appointed by lhe President, by and with the ad-
wee and consent Of the Senate, and five to bs
elected by The stockholders, at their annual mesk.
ing president to be chosen by the directors
ou of their own body.
That the branches be managed by not more
!, Than seven, nor less than five directors, two Of
them 10 be appointed by the States IN which the
: branches may be situated, If such Stale be a
sockholder, and the rest TO be appointed by the
directors Of the Bank
It's proposed that the Bank be the fiscal agent
OF the Government. That the public moneys be
+ deposited in il aud when there, that they be
deemed and taken to be in tue Treasury of the
u. S., aud that the deposltcs be not removed
, except by law, and that the notes Of the SAID
Bank be receivable in the payment OF public dues,
and thu, payments made by the Treasurer Of the
U. S. may be by checks on said Bank.
That the said Bank receive the funds Of The
Z, s. that il transmit them from one part Of the
Union To another, and distribute them for the
Payment of pubic creditors, and perform the duty
Of pension agent free Of charge.
r The ordinary powers and privileges Of banking
institutions being conferred upon IT, and tho or
binary liabilities and dulles imposed III order 10
prevent over.banklng, excessive issues tuclua.
tons III the price Of stocks aud consequent
speculatlons therein, and to secure the bill hold
ers and other creditors Of the Bank from danger
Of loss, It is proposed
To lrmll lhe dividends TO six per cent. per annum,
but If they fall short IN any year, the deficiency,
with interest thereon, 10 be allerwai nude
good-and when a surplus accumuIaes, exceed.
ing two millions, the excess to be placed 10 the
cred Of the Treasurer OF the U. s.
That the amount Of debts which 1t may at any
time owe, shall not exceed twenty millions over
and above its deposies. That The debts at any
time due to the bank shall not exceed the amount!
Of its capital and seventy five per cent. thereon
and that when the amount Of its bills IN cncuIa.
ton shall exceed three times the amount Of specie
in lis vaults, no new loan shall DO made.
, That it shall no, deal IN any thing except coin,
bullion, promissory notes, and inland bills Of ex.
change.
That it shall take no more than six per cent
upon loans.
That II shall discount no promissoy mole, and