The daily Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1841-1845, 1843-10-13
From he .Ns,s Bs4to,d Morning Regi'ifr

| The New York Herald furnishes concise history
OF the late Bank Of the United States, IN the item OF
its circulation, al different important periods The
Bank went into operation in 1916, and the Isl Of
January of the year following lis circulation amount
cd 10 st9l POO Jan. !, 1918, the institution be-
came involved ~ difficulty, and was the point Of
failure, the circulation amounting TO so33s4 4S In
1920 the circulation had been reduced to 50 $50 Ash
In 1923, Nicholas Bidde chosen President, cir
cuation 81 1861 05s. In 1924 there occurred gene
raj reyulsion in business circulation, 81 CAT O77-
In 1928 the Bank commenced its political operations
and its circulation at this period was 20, o55 GIL
From this time until 1882, it continued TO expand,
when its circulation had run up to s2l,355,124 In
1886 the charter of the institution expired crcua-
ton So, 075 400. Ia 1887, general rcvulsion oc'
Cured, followed by a universal suspension oil The
Bank, the u. IS. Bank turning cotton Spectator IN
June of that year. TO " sustain the price Of cotton
circulation, 81 l,447, 96S. In 1888, the New York
! Banks resumed specie payments circulation OF the
United States Bank SC, 1858, g. In 1883, Southern
and United States Bank resumed circulation oil lat
ter, $3.50, 62l. In April Of the same year, the
Bank the midst of its cotton specuaiions MIR. Bid
die resigned the Presidency OF the concern, received
the thanks of the Directors and service Of plate
worth $50, OO0-the Bank being voted " in prospe-
rous condon;" circulation, s6,63O, i4i. In June OF
the year the circulation reduced 10 four
hundred thousand dollars the Bank having sold bills
! OF exchange 10 large amount Ia New Yew York
more than So O,OOO--dfew the proceeds in specie
and shipped 1t TO England In October oil the same
year, the Bank failed after notice Of the dishonor Of
her notes IN Paris was received at New York circu
lation $500 600. In January, 1910, the circulation
bad increased TO 6,695 e6l-the Bank having been
in suspension since Oct. IL. In January, lS4l the
circulation amounted 81 l57, 5I7, besides So 4i5
$50 in Post Notes held by other banks IN order that
itself might resume. which il did In February Of
the same year, the final failure of the concern took
Decentralization being SO, Gs2 522 and Post Notes.
st, ls2, 963. In the April following the Bank was put
N liquidation lis circulation at the time amounting
to 81, 294 $40.
Here is concise history of the rise and fall of ma
tionai banking, and 1t Is full of instruction From
1917 TO 1928, period of eleven years the circulation
never Sc 900 Ot0 except in 1918, when IT
was brought within the brink OF destruction, and was
saved from suspension only by miracle. In 1923
the bank entered the of politics, which was
iDevitabe--so large and overshadowing an Institution
cannot exist in a country like this where party poll
tics high, without being seized upon by ambitious
lawyers for their own advancement In the iouI sue
ceedng years the "spreadn of the bank was very
rapid Its loans were pushed uto all sections. Like
an enormous political spider, its web was spread
wherever votes were to be caught-but the result
was very different from what il anticipated. Instead
OF defeating u opposing party, the imitation OF the
currency caused universal rise in prices, and IN
1882 with full currency and high prices, the second
election OF General Jackson was carried almost by
reclamation. The fact of high prices operated upon
the whole country IN favor of the party IN power,
and far effective than The immediate and
direct influence Of bank loans, which resulted only
in tie ruin of the concern. From that moment its
fate was sealed, The enormous loans then made
were recovered, and TO the extent Of $4,000,
600 exist characterized by the investigating com
mittee only not mercantile paper" From that
time up TO 1897, the safety Of tie bank existed by
the strength Of It's remaining credit and the universal
expansion Of other banks In 1887, universal sus-
pension covered It's insolvency. lis struggles were
desperate TO prevent the resumption of, the New
York banks in 1888, but in vain Public opinion com
PEELED all the banks to resume in January, 1893
From that time 10 June ii appears that its crcuia-
tion driven in upon il 10 the extent of six mil
lions in consequence of loss Of credit The immense
mass OF assets which the concern held were inactive.
To supply the active means of which II was
deprived by the return Of its circulation, post
notes sold at a heavy discount IN all
sections of the Union, and finally the sale Of
fictitious bills Of exchange resorted TO, ayowed
in the letter of Cowperthwaite the cashier, suisse
quently published 10 compel a suspension Of the New
York bauks in order that the universal insolvency
might again cloak the bankruptcy of the late National
Bank. The rusr faii-d. ho~"ver, ana The mask
torn from the corrupt remains oil one of the greatest
curses inflicted upon a people. In the final
failure Of the Bank, the country escaped, only by
three weeks Of the greatest caamiIes that could
have eoCellen it, The revolution of 1910, brought
about by the fall Of prices, occasioned by an APP
proach OF the currency TO specie level brought into
power the National Bank party March 4th lS4l
The Bank failed in February, ls4l Mr. Bddle ex-
planned IN a subsequent letter, the error the Bank
committed By rcsuming In January, 1871. lie stated
that If they had kept on until March l. they then
under the new administration, would have received
the Government deposiies; have again become the
National Bank, and with credit and means thus re-
I newed, have recovered their affair, The "6nan.
ciers" oycrshot themselves in this matter however
The Government could not have given It's deposites
TO suspended bank aud il with the view TO gain
little character prior to recovering the public mo.
nay hat tba ,t,fi,p
lS4l he rotten concern had however less strength
than even its doctors supposed. II could not with
the most prodgious efforts. not even by sadd ing the
other banks with 81 600 600 Of its post notes be made
to hold out the prescribed 90 days II staggered on nm
I'll the strength Of its supporters was exhausted when
II fell, carryiD with II the regulations of ali con-
nectcd with it. There it lays amid the desolation il
has created surrounded by bankrupt States ard dis
honored public faith, corrupt and fostering mass
! foul ulcer on the national character
Such brief history Of the late Bank Of the United
States Al the present time, II is full Of interest and
importance. Tho whig party again plucking 10
courage, and making bold TO put forward the ostab-
lishment OF another Bank, among its leading mca.
sures. The wings Of Georgia say that q. 5. Bank
Is called for in tones not 20 be misunderstood MIR
Clay, the whig candidate for the Presidency declares
that the failure Of the present administration 10 e,-
tablish Bark IS defeat Of the wishes Of the people
In the late election in Tennessee Bank was held /
up as the great purpose Of the wing party. In Indl-
ana, the same ground was taken and IN fact all over
the country there indications not TO be mistaken
of the designs of the whig party. The old Bank
therefore, must not be permitted TO sink INTO oblivion
Its crimes its mOnsrous deeds Of wckcdness tie de-
predsons upon public and private virtue, must not
be forgotten. They were part Of the system and |
will always be the incidents Of any similar institution
They must be held up before the people as a beacon
to admonish them Of the dangers and pcrils of estab
fishing another institution of similar nature The |
light Of experience is the safest guide add we should
not suffer At TO be dimucd or quenched. Let the ma
hp c,f
Bank, and TO this end let the first advances of its
friends be met by signal and decided rcbnke