The Camden journal. [volume] (Camden, S.C.) 1836-1851, 1842-03-09
From Kendalrs Union Democrat.
THE EXCHEQUER PLAN,

of the Secretary of the Treasury, the Trearurer
and Commissioner appointed by the president
and Senate for fonr years ata salary OF S3Oto per
annum
The Board may establish Agencies at Boston,
New York, Philadelphia, Charleston, New Or
leaus and five other places to be selected by
themselves.
For each Agency there is proposed Superln-
tendeat and Register to be appointed by the Pre-
sident and Senate, and competent number ol
Clerks.
The Exchequeranl its Agencies tobe Gene
raj Agents Of the Government, &c. in all pecu-
mary transactions.
The Exchcquer and its Agencies, unless pro-
hibited by the States where located TO receive
On deposite, coin or bullion, the property OF IN
dividuals, and issue certificates of deposte there
for in sums from S5 to 800, to an amount NOT
exceeding ten millions. of dollars; said certlll,
Gates to be payable at the Offices where issued
and receivable every where for public dues. :,
To draw Bills at and on its Agencies ana sell
them for cash, at reasonable premium never to
exceed two per cent.
To buy domestic Bills of Exchange when re-
n,ired by the Secretary of the Treasury "lor the
purpose OF transmitting the public funds oi the
and for no other purpose whatever"
PAYMENTS by the Government be made in coin
or certificates of deposite at the option OF the
public creditor; public dues to be received IN
coin. certificates of deposite, Treasury Notes, or
notes of Banks convertible into specie where re-,
ceived: settlements with Banks 70 be made and
balances collected weekly, and no individual to
be debtor on account with the Exchequer. :,
ol,-,n cold
and silver or otherwise embczzng any funds de-
posted in the Exchequer, public Or private to
be punished by fine and Imprisonment.
The rest of the Bill is matter Of detail.
REMARKs.-The Exchequer Scheme has been
improved by the Committee, and with some au-
ditional amendments, would be Practlcd6te. =:
Its most Objectionable feature; practically, as
now presented, is the recevabIlty OF the certill-:
Gates Of prirate depostc egery 'ohere ior pnDnc l
dues The practical effect will be tins: Inc
St. Louis Merchant, having thousand dollars 10
paw in New York, will dc?osite his funds IN the
Agency at St Louis, take out certificates OF de-
posite and transmit them tohis creditor IN New
York. Being receivable for public dues at New
York, they will be paidinto the EEchclucr there
for duties on imported merchandize. The result
will be. that for the thousand dollars paid rs du-
ties at New York, the Government wiH hare a
dollars in specie funds at 81. Louis.
When it is considered, that the same process
will be constantly going forward from every
,oint of the Union, it will be at once perceived,
hat the millions of public money now accumnla-
ing at New York where specie funds are most
valuable and most available, will be scattered as
asst rs received, into every section OF the Union.
The Government will then be obliged TO send It's
own creditors to those distant points torpayment
,r bring The funds back again 7cht much trouble,
'rpelSc or risk.
There are but two modes in which these funds
IAN be brought back: One is by Transporting
he specie, the other is by purchasing DWs
on New York or other central po.'us.
The former process would bc expensive, haz-
lrdous and to great extent unnecessary, COM
nercially speaking; and the latter would open
he door to those unlimited dealings IN eTchange
which it seems to be the desire of the committee
o avoid. Indeed, the apparent restriction mi
heir Bill, will turn out to be no restriction, tor
IS soon as the Certificate is paid in for public
lues at New York, the private dcposite of thou
sand dollars at ST. Louis becomes public funds
md may then be transferred to New York by
he purchase of asDomestic Bill, the restrictions
only serving to embarrass and delay
he Government III tle opefatoi.
In fine, the plan as it now stands, is IN effect
I proposition to transfer prirate funds from any
section of the Union to any other section WITHOUT
CHARGE; and if adopted aDiH throp rpon The 60
.ernmen the chief burden Of the Domest7c Er-
changes. What merchant is simple enough to
,uy bill Of the government at premium,
when he can get with the same money ccrt!ii.
cate of deposte without premium, which Will
answer precisely the same purpose? The En-
,beGner will be found without an income to pay
is EXPENSES, whilst it will bring upon the Trea-
sury the charge, not of regulating merely out
If carrying on the domestic exchanges:
These consequences can be averted only by
restricting the receivability Of these certificates
o the EXchequer Districts within which they
nav be issued. Constituting sound local
currency, they would still be used to great
extent for remittance, thus keeping down the
rates of exchange, but leaving those rates as
thew are now, and always ought to be, q charge
upo1 The general business ofthc country With
out such a restriction, the provision that indi-
viduals shall not be debtors to the Exchequer is
wholly illusory; for, in the purchase of the
countless millions in bills necessary 10 carry on
the domestic exchanges of the country, it can
not be otherwise than that many of them Will
not be paid at maturity, and an account with the
parties is a necessary consequence.
Bv giving public creditors their option to take
in paymcnt either specie or certificates of de-
,os;+o receivable every where for public dues,