Office of Discount and Deposite, Boston, April 11, 1817.

SIR: I have received from the Department the drafts of the Treasurer as follows:

On the Cumberland Bank, Portland,

On the Portland Bank,

On the Bath Bank, Bath,

$40,000

10,000

10 000

The Cashier of the Cumberland Bank advises me that the draft on that bank" shall be paid within the time limited by the Secretary of the Treasury." The Cashier of the Portland Bank says, "The Treasurer's draft for ten thousand dollars will be paid soon, not exceeding thirty days." The Cashier of the Bath Bank advises, "That arrangements will be made for paying the same within sixty days, agreeably to an agreement with the Secretary of the Treasury."

Will you have the goodness to inform me what arrangements exist with the Department for the stated accommodations?

I have the honor to be, sir,

Hon WM. H. CRAWFORD,

With the greatest respect,

Your obedient servant,

SAM. FROTHINGHAM, Cashier,

I had the honor to receive, in due course, your's of the 24th ult.

Bank of the United States, April 17th, 1817.

SIR: The selection of the banks for receiving the public revenue in the districts which you have been pleased to designate, has produced some embarrassment and uncertainty, as well from a defect of information, as to the real situation and present practice of many of the banks in respect to specie payments, as to the manner in which it is proposed to conduct the public business with the banks of which you may approve.

I have the honor, respectfully, to submit the enclosed list of banks in the selection of which we have adopted as a general criterion the confidence hitherto reposed in them by the Treasury Department.

The list is imperfect, but will be completed as soon as circumstances will admit, and in respect to the debtor banks in Ohio, Kentucky, and the interior of Pennsylvania, we have supposed that the selection at this time might have an unfavorable influence upon the pending settlements now in train, which have given rise to considerable negotiation and correspondence. If, however, the motives assigned shall not be deemed sufficient to countervail the inconvenience of delay, an intimation to that effect will receive immediate attention.

In suggesting for your consideration, a plan of operations for conducting the business of the Treasury with the Bank of the United States, its offices, and the banks appointed in lieu of offices, I beg leave to be distinctly understood as presenting it with entire deference, and to assure you of our ready acquiescence in any plan which you shall deem 'most conducive to the public interest.

You are aware, sir, that it is of great importance to the Bank, at all times, to know the precise situation of the offices, and of the banks employed in lieu of offices, in respect to the public revenue, and the drafts made, or

about to be made thereon; and also to enjoy the benefit of circulating the public deposites as the exigencies of the institution may require, as far as may be compatible with the public interest and the views of the Treasury. It appears to me, that the plan which I am about to propose, would af ford more facility, and security from error or misconception, than the present practice, and greatly simplify the transactions between the Treasury and the Bank.

I propose, 1st. That all the transactions of the Treasury, in respect to the offices of this bank, and the banks to be employed in lieu of offices, be conducted through the Cashier of this bank.

2d. That the deposites and collections made on account of the United States, at any of the offices, or banks employed in lieu of offices, be passed to the credit of the Bank of the United States, for the use of the United States.

3d. That corresponding credits be given on the books of the Bank of the United States, to the Treasurer of the United States, according to the weekly statement of every such office or bank, required to be transmitted to the Treasury, and the Bank of the United States.

4th. That all the drafts of the Treasurer of the United States be drawn upon the Cashier of the Bank of the United States, designating the office or bank at which payment shall be required.

Thus would the whole of the transactions of the Treasury with the Bank of the United States, be condensed into one account on the books of the Bank, and the same on those of the Treasury, instead of forty or fifty accounts, and as many distinct sources of correspondence, which the present system requires of the Treasury Department; and, in this way, by a single instruction, preparation might be made in due time to meet the views of the Treasury at any point, and the bank would be in full possession of all the information necessary to enforce those views, and to regulate the conduct of its agents, so as to ensure a prompt and faithful execution of the duties required.

I presume the lapse of time by the post between Washington and Philadelphia, in the case of the offices and banks south and west of Washington, would not constitute a material objection.

If the convenience of the Treasury should render it necessary, the office at Washington might form an exception to the rule.

I also transmit a form of the instruction and engagement proposed to be submitted (if approved by you) to the banks which may be appointed. I have the honor to be, With great respect,

Sir, your obedient servant,

WM. JONES, Prest,

SIR: The Bank of the United States has submitted to the Secretary of the Treasury, for his decision, the appointment of the Bank of for the purpose of receiving the Public Revenue for the Should the Directors of your Institution agree to accept of the will be necessary to comply with the following conditions, viz. All moneys

agency,

it

which may accumulate to the credit of the Bank of the United States, for revenue received on account of the United States, to be paid on the draft of the Cashier of this Bank, on demand, or if required, to place the amount, from time to time, in any of the Offices which are or may be established in and to transmit to the Treasury Department, as well as to this Bank, monthly statements of the situation of your Bank, and weekly statements of the moneys received, on account of the Revenue, according to the enclosed forms. I am, with respect,

Your obedient servant.

Designation of Banks for the collection of the Public Revenue, respectfully submitted for the decision of the Secretary of the Treasury, by the Bank of the United States.

MAINE.

Bath Bank.

Cumberland Bank, (Portland.)

A bank in the Penobscot, or east of that river, will be named as soon as the necessary information is obtained for that purpose.

Mechanics and Farmers' Bank, Albany.
Utica Bank.

Another bank to be named on obtaining the necessary information.

NEW JERSEY.

The Trenton Bank.

This bank has been named, in consequence of Trenton being the seat of government and the place where the Loan Office is kept.

As the demands of the Treasury, in the State Banks, in the States of Ohio and Kentucky, and interior of Pennsylvania, are in train for settlement, it is deemed inexpedient to make the selection of Agents in those places, until the settlements are complete.

INDIANA.

Bank of Vincennes.

DISTRICT OF COLUMBIA.

Bank of Alexandria.

Office of Discount aud Deposite,

Baltimore, April 18, 1817.

SIR: I have purchased 100,000 guilders, at 40 cents, as authorized by you, under date of the 14th; best bills, two good indorsers.

They are on London, payable in Amsterdam. Sterling bills are heavy at 3 per cent., and remittance from London could be made, by last quotations, at 6 per cent. gain, if that would not probably vary much and soon. To buy sterling at 3 premium, would place guilders, in Amsterdam, at less than 40 cents. Yet, guilders are held here at 41 cents, in small sums. I could not get them a fraction below 40, not were my commission of per

cent.

Would it not be well to buy sterling at current rates? It is dull at S premium here to-day.

I have bought some 6 per cents. of the Banks, at 99, and will give you particulars to-morrow. I preferred buying openly, as agent of the Commissioners. It is quoted to me from New York, to-day, at 983 to 99.

By one of our Banks, I am asked to receive $50,000, which it subscribed at par, in the first loan, whilst the officer was at Annapolis, and for which a certificate, it is believed, was never issued.

The Loan Officer cannot tell, whether he ever issued it. The Bank Officers say, they never received it, and they would comply with any arrangement which you might require, provided I was allowed to buy it. It is on the Maryland books.

Please instruct me on this head. The amount which I shall get of the Banks, will be near one million. you, $300,000 specie, nearly, to to part with funded debt at all. pressed.

They have had to pay me, since I saw send to Boston. They are very reluctant They should sell all, to prevent being

Very respectfully, yours,

Hon. WM H. CRAWFORD,
Secretary of the Treasury; Washington.

JAS. W. M'CULLOH, Cashier.

Office of Discount and Deposite, Baltimore,

19th April, 1817.

SIR: I enclose herein certificates of six per cent. funded debt of the United States, amounting to six hundred thousand dollars, which I have bought of the Baltimore Banks, and had transferred to the Treasurer of the United States.

I gave for it ninety-nine per cent. Please send me on receipt of this a Treasury Draft on New-York, for five hundred and ninety-four thousand dollars to pay for it.

I also enclose S. Smith and Buchanan's drafts on Baring, Brothers and Co. London, payable in Amsterdam, endorsed by Lemuel Taylor and Jas. Calhoun, for one hundred thousand guilders, bought for you at 40 cts. per guilder. Please send me forty thousand dollars to pay for them.

I shall probably get more stock of our Banks, as it is promised to me. And probably as many more guilders from the same house by 1st May. Sterling Bills 3 per cent.

Six per cts. 99 in small sums.

The Banks may sell at par to merchants on time, and they may throw it for money into the market; I think I had better buy all I can at your limits, thus thrown into the Market. At any thing less than par the Banks are very unwilling to sell, and even at that. Nothing but being called upon for specie induces them to think of selling at all. But for that fear, they would not sell a dollar of it. If you think well of it, I will buy secretly all that I believe to be thus thrown into the market, at your limits. It is quoted to me at $99 from New-York, and I have seen sales at 991 at Boston, of small sums.

I saw a quotation of sterling from Boston to day from a very respectable quarter at 3 to 3 per cent premium.

I do not meet with many guilders, but few hold any, and none can yet draw largely. Bye and bye more will be able to draw for large sums, when our tobacco is shipped, and our cotton, say June and July.

I am at a loss to decide how sterling will operate; sometimes I think it fall to par, at others, that it will rise to 7 and 10 premium; considerable sums may be soon had at about 3, unless there should be a bright prospect

of a rise..

I think considerable sums of Bank Shares will be sent to London, and valued upon, and in such bills there would be every security. The stock would be transferred most likely to Baring, Brothers & Co. or other able bankers, and bills be predicated thereon.

The opportunity will be a good one to buy if you contemplate purchasing at all above par.

Perhaps the parties might do as S. Smith & Buchanan have done in this case, prefer to draw guilder bills even at 40 cts. to sterling at 3 premium. Very respectfully,

WM. H. CRAWFORD,

Your obedient servant,

JAS. W. M'CULLOH, Cashier.

Secretary of Treasury, Washington.