The northern galaxy. [volume] (Middlebury, Vt.) 1844-1848, 1845-12-09

which
nre moi hid for revenue, out LOT uie P'o'e0
60, merely, of a favored interest.
'ioi ,ho jeIberations Of Congress on this
Il, II is hoped that spirit oil mutual
9sssion and compromise between conflict
;og interest may prevail and that The result
ol their labors may be crowned WIN INC nap
piest consequences,
By the constitution oil the Ohiieu S'u'ee
is provided, that mo money shall be drawn
from the treasury but in consequence Oh "p'
preparations made by law A public treas
ury was undoubtedly contemplated and m
tended 10 be created in which The public
money should be kept from the period OF col
lect;on until needed for public use. In the
collection and disbursement of public money
no agencies have ever been employed by
law. EXCEPT such as were appointed by the
Government, directly responsible 10 it. and
under its control. The safe keeping of the
public money should be confided to public
treasury created by law, and under like re-
sponsibllity and control 1t is not TO be i'm
agined that the trainers of The constitution
could have intended that a treasury should
be created as a place of deposit and safe
keeping of the public money which was ir-
respo sible 10 the government. The first Con-
gress under the constitution, by The act olthe
second September, 1889, TO establish The
Treasury Department. provided for the ap-
pointment of a treasurer, and made IT his
duty Ito receive & keep moneys OF the Unit
ed States and 'at all times 10 submit 10 the
Secretary Of the Treasury and the Comp
toller, or either OF them, the inspection 9th
moneys in his hands,
That hanks, national or stuie. could moi
have been intended TO 10 be used, as SUD-
siitute for the treasury spoken oil IN the con-
g. r,,,hl &c
manifest from the fact that at that time there
was no national bank, and three or four 5 tate
banks oflimited capital existed in the coun-
try. Their employment as repositories was
al first resorted 10, TO limited extent, but
with no avowed intention Of continuing them
permanently, in place OF the treasury of the
constitution When they were afterwards
from time 10 time employed, IT was from mo-
tives of supposed convenience.
Our experience has shown, that when
banking corporations have been the keepers
o. the public money, and been thereby made
in effect The treasurer, ile government can
have no guaranty that it can command the
use ofits own money for public purposes
The late Bank Of the United States proved
10 be laithless. The State banks which
were afterwards employed, were iathless.
But few years ago, with millions oil public
brought almost 10 bankruptcy, and the pub
lie credit seriously impaired, because OF their
inability or indisposition 10 pay, on demand,
10 the public creditors, IN the only currency
recognised by the constitution. Their fail
ure occurred In period of peace, and great
Inconvenience and losses were suffered by
the public from it. Had the country been in
volved in a foreign war, that Inconvenience
and loss would have been much greater, and
might have resulted in extreme public ca
lamity. The public money should not be
mingled with the private funds oil banks or
individuals. or be used for private purposes.
When it is placed in banks for safe keeping,
il is in effect loaned TO them without interest,
and is loaned by them upon interest to the
borrowers from them. The public money is
converted into banking capitol, and is used
and loaned out for private profit OF bank stock
holders; and when called for, Cas vas the
case in 1887, )it may be in the pockets ofthe
borrowers from the banks, instead of being
in the public treasury contemplated by The
constitution. The trainers of the constitu-
ton could never have intended that the mon
ey paid into the tresury should be thus con-
verted TO private use, and pluced beyondthe-
control Of the government
Banks which hold the public money are
often tempted, by desire 10 gain, 10 extend
thus stimulate, If not produce n spirit OF spec
ulation and extravaganza, which sooner or
later must result in ruin TO thousands. 1.-THE
public money be not permitted to be used,
but be kept in the treasury and be pail
out the public creditors in gold and silver,
the temptation afforded by IFS deposite with
banks 10 undue expansion of their business,
would be checked, while the amount ol'the
constitutional currency left in circulation
would be enlarged by its employment in the
public collections and disbursements and
the banks themselves would, in consequence,
be found in safer and sounder condition.
At present, State banks are employed as
repositories, but without adequate regula-
ton OF law, whereby The public money can
be secured against the casualties and excess
ses, revulsions, suspensions, and defalcatons,
10 which, from ever issues, overtradinG, and
inordinate desire for gain, or other causes
shey are constantly exposed. The Secre-
tary OF the Treasury has in ali cases when |
il was practicable, taken collateral security |
for the amount which they hold, by the |
pledge of stocks of the United States or such |
ofthe states as were in good credit. Some
Of the deposite banks have given this descrip- |
ton ofsecurity, and others have declined TO
do So
Entertaining the opinion that the separa-
uon oil Inc moneys oil the government lrohi
banking institutions is indispensable for the
safety ofthe funds of the government and |
The rights of the people, l recommend TO
Congress that provision be made by law
for the safe keeping Of the public money
The constitutional treasury recommended
is designed as secure depository for the
public money, without any power 10 make
loans or discounts, or 10 issue any paper
whatever as a currency or circulation. /
cannot doubt that such treasury as was
contemplated by the constitution, should be
independent of all banking corporations.-
The money of the people should be kept in
The treasury of the people created by law, e be
in the custody of agents Of The people chos-
en- by themselves, according 10 the form of
che constitution; agents who are directly re-
spsnsible TO the government, who are under
adequate bonds and oaths, and who are sub
ject 10 severe punishmeHel for any embezzIe-
men, privateiuse, or misappication Of the pub
1icl - - Col, other |