Columbia Democrat and Bloomsburg general advertiser. [volume] (Bloomsburg, Pa.) 1850-1866, 1857-11-21
The Sub-Treasury, and its Socu-
rity against Panics and Fluc-
tuations.

The sub-treasury originated in the ILL.,
faith of banks and the defects of the paper
system. With his keen, perception, Gen
Jackson discovered the rottenness of the
Bsnk OF the United States, its mischievous
dabbling in politics, and the falsity of its
assumptions Of successfully csutrolaiag and
regulating the currency, aud, consequently,
vetoed the bill for its re-charter. State
banks, with lofty pretensions of horesty of
purpose and of substantial wealth and ca
pacity, became repositories of the public
money in 1888, and in 1886 an net was
passed attempting to regulate their action,
and to secure good faith to the government
and safe currency for the people. They
received government deposites and dis
counted upon them, and the public domain
was rapidly being converted into govern.
mept credits ON the books of the hanks
TO check the wild, unreguated spirit of
speculation in public lands, and to avoid
its swelling the paper bubble to bursting,
which he feared had become inevitable,
and to secure some real money for public
use, Gen. jackson, in the fall of 1896, is.
SUI d his famous specie circular, requiring
that gold aud silver only should be receired
at The public land Offices. The evil had
gone too far to be remedied by any means
within bis power, Soon after MIR. Van
Buren came into Office, in 1887, the whole
paper system exploded, and, with many
millions Of the nations money in their
vaults, every bank proved faithless, and
not adonar of real money could be obtained
to meet any public engagement, however
sacred. ..
Mr.. Van Buren, was compelled to con-
venc Congress on he 4th of September
The first act passed at this special session
was to prevent the payment to the several
States ef the fourth ins, s,alment of the de-
posite directed by the act of 1896, and the
second authorized the issuing of ten millions
OF treasury notes, receivable for public
dues Another, passed at the same time,
authorized the Secretary Of tie Treasury
to extend the time Of payments upon all
outstanding duty bonds, which had been
given under the then mode of collecting
duties from customs. The bills of The
banks were at least ten per cent. below
par, and these who were compelled to
obtain specie bought it at that rate of bro
kers, who generally had back door con-
ncxion with the banks, and mysteriously
procured it, The paper expansion had
teen striaingly rapid, but the contraction
more SO. The government and the people
sought good currency, but the banks,
despite all their boas,ing professions, had
furnished most faulty and useless one.-
The State banks had concurrcd with Gen.
Jackson aud the democratic party in pro.
nouncing the United States Bank to be
unconstitutional and inexpedient, and in
declaring it had wholly failed to redeem
its boastful promises. The public mind
was turned to the means of shielding the
government against recurrence of the
disastrous consequences of tho explosion of
1887.
Mr.. Van Buren took ground in his mes
sage against a national bank and in oppo.
sition to returning 10 the deposite-bank
system, and distinctly recommended the
government to act for itself without the
use of banks. One of the noblest and
least selfish of our great men, Silas Wright,
was selected to prepare and urge through
bill to separate the State from all con-
nexion with banks, and to es ablish assist
ant treasures Appointment points to receive,
keep, and pay out the public money. His
bill passed the Senate, out was defeated in
the House by union between the wings
and certain democrats, who left their party
to sustain the wishes of the banks. This
measure again passed the Senate at the
next regular session, and was again de-
feated in the House. The House in the
next Congress was democratic and anti,
bank, and Mr.. Wright had the satisfaction
Of seeing his great measure, which he had
go long, ably, and faithfully sustained, be-
come a law on the 4th of July, Is40. At
the first session of the next Congress, which,
] through hard cider and log cabins, and
bank influence, had become strongly whig,
this wise measure was repealed, and an
attempt made to churter and substitute in
its place a national bank, which, thanks to
President Tyler, failed through his veto.
Mr.. Wright lived to see the great measure
of the times, which he had perfected and
SO long and faithfully and ably advocated
re enacted in s46 and which now remain:
in successful operation, alike safe for the