Imagens das páginas


Treasury Circular.

(Dec. 19, 1856.


this administration. One rash, lawless, and crude ex- complication of accounts, the lands were sold for what periment succeeds another. He considered the late is termed cash. But this was only another form cred. Treasury order, by which all payments for public lands it; for the banks, by lending to those who purchased were to be made in specie, with one exception, for a land«, took the place of the Government as creditors, short duration, a most ill advised, illegal, and pernicious and the Government received their notes as equivalent

In principle it was wrong; in practice it will lo specie, because always convertible into specie. This favor the very speculation which it prosesses to endeavor was the usage; this may be regarded as the law of the 10 suppress. The officer who issued it, as if conscious country. By the resolution of Congress, passed on the of its obnoxious character, shallers liimself behind the 30th of April, 1816, it was declared that no duties, name of the President.

taxes, debts, or sums of money accruing or becoming " But the President and Secretary had no right to payable to the United States as aforesaid, ought to be promulgate any such order. The law admits of no such collected or received otherwise than in the legal curren. discrimination. If the resolution of the 30th of April, cy of the United States, or Treasury notes, or notes of 1816, continued in operation, and the administration on the Bank of the United States, or in noies of banks the occasion of the removal of the deposites, and on the which are payable and paid on demand in the said legal present occasion, relies upon it as in full force,) it gave currency of the United States.' The Secretary no such discretion as he has exercised. This resolution presents various allernatives—the That resolution required and directed the Secretary of legal currency or Treasury notes, or notes of the Bank the Treasury to adopt such measures as he might diem of the United States, or notes of specie-paying banks. A necessary, 'to cause, as soon as may be, all duties, taxes, citizen had a right to choose any one of these modes of debis, or sums of money, accruing or becoming payable payment. He had as much right to pay for land with to the United States, to be collected and paid in the le the note of a specie-paying bank, as to pay it for duties gal currency of the United States, or Treasury notes, or at the custom-house. If this be denied, certainly any notes of the Bank of the United States, as by law pro one of them might be accepted by the Treasury; but to vided and declared, or in notes of banks which are pay-proscribe all but one--to refuse every thing but the most able and paid on demand, in said legal currency of the difficult thing-to do this without notice of the approachUnited States.' This resolution was restrictive and pro- ling change in the fundamental system of our dealing -hibitory (pon the Secretary only as to the notes of banks is an act of gratuitous oppression. not redeemable in specie on demand. As to all such “If he prohibits the receipt of any thing but specie, to notes, he was forbidden to receive them from and after correct land speculations, he may make the same prothe 20th of February, 1817. As to the notes of banks bibition as to the duties on hardware, or broadcloth, or which were payable and paid on demand in specie, the wines, whenever his paternal wisdom shall see us buying resolution was not merely permissive, it was compulsory too many shovels, or too many coats, or too much chamand mandatory. He was bound, and is yet bound, to re pagne; and thus bring the entire industry of the country ceive them, until Congress interfere.”

under his control. From the letter of Mr. Biddle to Mr. J. Q. Adams, “It remains to speak of the remedy of these evils. Mir. B. read as follows:

They follow obviously the causes of them. The causes “ PHILADELPHIA, November 11, 1836.

are the injudicious transfers of the public moneys, and the

Treasury order abont specie. “My Dear Sin: I proceed to the second subject of “The first measure of relief, therefore, should be the our conversation—the present state of the currency-instant repeal of the Treasury order requiring specie for which I shall treat dispassionately, as an abstract ques. lands; the second, the adoption of a proper system to tion of mere finance.

execute the distribution law. “Our pecuniary condition seems to be a strange an.

"These measures would restore confidence in twentyomaly. When Congress adjourned, it left the country

four hours, and repose in at least as many days. If the with abundant crops, and ligh prices for them- with Treasury will not adopt them voluntarily, Congress every branch of industry flourishing, and with more should immediately command it." specie than we ever possessed before, with all the ele. From these documen!s, said Mr. B., and from the ments of universal prosperity. Not one of these has un speech of the gentleman from Ohio, (Mr. Ewing,] the dergone the slightest change; yet, after a few months, charges wbich are made against President Jackson, and Congress will reassemble, and find the whole country on which this resolution is supported, and for which the suffering intense pecuniary distress. The occasion of recision of the Treasury order is demanded, are, first, this, and the remedy for it, may well occupy our thoughts.

a violation of the laws; secondly, a violation of the con. “In my judgment, the main cause of it is the misman.stitution; thirdly, a destruction of the prosperity of the ageinent of the revenue-mismanagement in two re country. Mr. B. would join issue upon each of these spects! the mode of executing the distribution law, and charges, and take each by itself, and all in their turn; and the order requiring specie for the public lands.

first of the illegality. This charge was bottomed upon “Such a measure was of itself sufficient to disorganize the alleged contravention of the joint resolution of the currency: But it was accompanied by another, April, 1816, for the better collection of the public revewhich armed it with a tenfold power of mischief. This nue,

and although partly set out both in the Kentucky was the Treasury order prohibiting the receipt at the speech, and in the Philadelphia letter, he preferred to land offices of any thing but specie; an act which seems read it entire, as the first part, though merely directory, to me a most wanton abuse of power, if not a flagrant yet was directory in the essential particular of showing usurpation.

who was to be the active agent in carrying the resolution “The whole pecuniary system of this country, that to

into effect. which, next to its freedom, it owes its prosperity, is the system of credit. Our ancestors came here with no mo.

The joint resolution of 1816. ney; but with far better things--with courage and indus.

“ That the Secretary of the Treasury be, and he here. try; and the want of capital was supplied by their

mutual hy is, required and directed to adopt such measures as confidence. This is the basis of our whole commercial he may deem necessary, to cause, as soon as may be, and internal industry. The Government received its all duties, taxes, debis, or sums of money, accruing duties on credit, and sold its lands on credit. When the sales of land on credit became inconvenient, from the led and paid in the legal currency of the United States or

or becoming payable to the United States, to be collect

Dec. 19, 1836.]

Treasury Circular.


Treasury notes, or notes of the Bank of the United the Secretary of the Treasury requireil others to be reStates as by law provided and declared, or in notes of ceived, they would not be taken in payment, but merely banks which are payable and paid on demand, in the noted as a special deposite at the instance of the Goysaid legal currency of the United States; and that, from ernment. This is the article: and after the 20th day of February next, no such duties, " Article 24. The offices of discount and deposite taxes, debts, or sums of money, accruing or becoming shall receive in payment of the revenue of the United payable to the United States as aforesaid, ought to be States ihe notes of such State banks as redeemed their collected or received oherwise than in the legal cur engagements with specie, and provided they are the rency of the United States, or Treasury notes, or notes notes of banks located in the city or place where the of the Bank of the United States, or in notes of banks office receiving them is established. And also the notes which are payable and paid on demand in the said legal of such other banks, as a special deposite

on behalf of currency of the United States."

the Government, as the Secretary of the Trea:ury may This is the law, continued Mr. B., and nothing can be require.' plainer than the right of selection which it gives to the Here (said Mr. B.) is selection-a selection by which Secretary of the Treasury. Four different media are a few State banks, in no event exceeding those in twentymentioned in which the revenue may be collected, and five places, for there were never more than twenty-five the Secretary is made the actor, ihe agent, and the branches, would have their notes received, while the power, by which the collection is to be effected. He is mass of the State banks, amounting to many hundreds, to do it in one, or in another. He may choose several, were entirely cut off. The legality of this selection and or all, or two, or one. All are in the disjunctive. No esclusion has never been questioned; yet there are pertwo are joined together, but all are disjoined, and pre sons who deny to President Jackson the right of making sented to him individually and separately. It is clearly the same selection; and who must stand before the pubthe right of the Secretary to order the collections to be lic as denying to the President of the United States the made in either of the four media mentioned. That the power over the execution of the laws which they conresolution is not mandatory in favor of any one of the cede to the President of the Bank of the United States. four, is obvious from the manner in which the noies of Mr. B. said that it might well be supposed that he had the Bank of the United States are mentioned. They now sufficiently repelled this charge of illegality. He were to be received as then provided for by law; for the certainly deemed the charge sufficiently answered; but bank charter had then just passed; and the 14th section he had other arguments yet to use--arguments belonghad provided for the reception of the notes of this in- ing to that authoritative class to which he had alluded, stitution until Congress, by law, should direct otherwise. and from which the gentlemen making the charge canThe right of the institution to deliver its notes in pay, not be allowed to appeal. It would be recollected, he ment of the revenue, was anterior to this resolution, and said, that, about a dozen years ago, a committee of the always held under that 14th section, never under this House of Representatives had been raised to investigate joint resolution; and when that section was repealed at certain charges against the then Secretary of the Treas. the last session of this Congress, that right was admitted ury, that hunted-down and persecuted citizen, William io be gone, and has never been claimed since.

H. Crawford. These charges happened to involve the The words of the law are clear; the practice under it has point now in discussion, not as a charge, but incidentally been uniform and uninterrupted from the date of its pas- and historically; and among the members of that comsage to the present day. For twenty years, and under mittee there happened to be a gentleman who was the three Presidents, all the Secretaries of the 'Treasury have author of the joint resolution of 1816, who is now a memacted alike. Each has made selections, permitting the ber of this body, (Mr. WEBSTER,) and who has signified notes of some specie-paying banks to be received, and an intention to speak in this debate. That committee forbidding others. Mr. Crawford did it in numerous in made a report, purporting to be the unanimous opinion stances; and fierce and universal as were the attacks upon of the body; and from that report an extract will now be that eminent patriot, during the presidential canvass of read: 1824, no bu.nan being ever thought of charging bim “At the time of the adoption of this resolution, (joint, with illegality in this respect. Mr. Rush twice made of 1816,) debts accruing to the United States, whether similar selections, during the administration of Mr. Ad. on account of the sales of public lands, or at the customams, and no one, either in the same cabinet with him, house, or from any other source of revenue, were in or out of the cabinet against him, ever complained of it. fact received in some parts of the country, but evidenta Por twenty years the practice has been uniform; and ly in disregard of the law, in the notes of the State every citizen of the West knows that that practice was banks which did not redeem their paper by cash pay. the general, though not universal, exclusion of the West.

By this resolution it was obviously made the ern specie-paying bank paper from the Western land duty of the Secretary of the Treasury to correct that offices. This every man in the West knows, and knows departure from law as soon as practicable; and it was, that that general exclusion continued down to the day as is equally obvious, imperative on the Department, that the Bank of the United States ceased to be the de. after the 20th of February, 1817, to allow nothing to be pository of the public moneys. It was that event which received in payment of debts due to the United States, opened the door to the receivability of State bank paper, but the legal money of the United States, Treasury hich has since been enjoyed.

notes, notes of the Bank of the United States, or those Mr. B. then approached an argument which he of State banks, the notes of which were payable and deemed authoritive in this case; it was the 24th article of paid on demand in specie. The Bank of the United the rules and regulations of the Bank of the United States States was incorporated in April, 1816, &c.

In the for the government of their branches, It was made early part of the year 1817, it is represented by the since the passage of the joint resolution of 1816, and re Secretary, and appears to be true, that an arrangement lated to the collection of the revenue of the United was made with the Bank of the United States, by which States. It made short work with the notes of the species the public funds were to be deposited in the branches of paying banks of the States, excluding the notes of the that institution in all places where such branches existed; whole of them from all branches of the revenue, except and where there were no such branches, that bank was of such banks as might be situated in the same place to designate certain State banks for which it would be where the branch bank was situated. The notes of responsible, and in which such public moneys would be these branches alone were to be received in payment; if | deposited; and notes of all banks which the Bank of the



Treasury Circular.

[Dec. 19, 1836.

ceive in deposite, as cash, the bills of any bank what

: Surely we have accumulated proof enough upon this

United States would receive in deposite as cash, and excluded from all the land offices, from the establishment none other, were to be received on sales of public lands. of the Bank of the United States down to October, 1833. It is further represented that, in the execution of this During that long interval, scarcely any thing was reengagement, difficulties and controversies arose between ceived but specie, or United States Bank notes. Local the United States Bank and the State banks bus em bank paper was in a state of general and permanent exployed in receiving the deposites of the public moneys; clusion almost the whole time, and the whole country and ere long the Bank of the United States signified to was quiet and contented. No complaint; no charge of the Department of the Treasury that it could not con illegali!y; no cry of oppression; no pretext of ruin on the tinue such arrangement; and that thenceforward it could part of the banks; no lamentations and denunciations on receive nothing in deposite, as cash, but the legal cur. the part of politicians. But the instant that President rency of the country, or its own notes. The agreement Jackson has done what the president of the bank did; with the Bank of the United States terminated, for these the moment he has restored things to their former footreasons, on the 30th June, 1818. About this period, ing, and put back local bank paper to the state of exclu. also, the Bank of the United States issued orders pro- sion in which it had rested under the administration of hibiting its Western branches from issuing any of their both his predecessors, that instant the storm of rage and own notes for circulation, even in exchange for, or on grief breaks out. A new impeachment must be got up; deposite of, specie.”

" That in a new panic must be excited; the Senate chamber is stitution (the Bank of the United States) is indeed bound again to become the laboratory of alarm; and a new cho. to give the necessary facilities for transferring the pub- rus must become the burden of the song-that the specie lic funds from place to place; but this can only mean order made the distress, and nothing can relieve the dis. cash funds; and it is bound also to receive money on de tress but the rescision of the order, or the recharter of posite it is not

the bank! ever but its own, although they may come within the point; surely there is no necessity for any thing to refute provisions of the act of 1816."

this charge, and to establish the legality of this Treasury This, Mr. President, continued Mr. B., was in 1824. order. But other proof is at hand, and, though unneces. It was eight years after the joint resolution of 1816 had sary, it shall be used. High as is the authority of the repassed, and two years after the author of the letter to port of the commiltee of 1824, and close as it is to the Mr. Adams, which has been read, came to the presiden point, there is yet a higher authority, and still closer to cy of that institution. It is, therefore, the report of the point, yet to be adduced; for it is the authority of the transactions to which he was privy and a party. The same author of the resolution, and that before the ques. report speaks historically, in reciting an agreement be. tion was raised, and while the resolution was on its pas. tween the Secretary of the Treasury and the directors sage; and in which he not only understood them, as of the Bank of the United States, by which, among shown afterwards in the report of the committee of other things, the selection of the State bank notes re

which he was a member, but in which he went farther, ceivable in payment of the public lands was to be left to , and expressed his fear that the whole good effect of the the Bank of the United States, and none should be re resolution might be lost, if the Treasury Department ceived except such as that bank would agree to credit should not execute it precisely as that Department, unas specie; that afterwards the bank receded from that der the splendid and beneficent administration of Presiagreement, and refused to receive any State bank notes dent Jackson, bad done! whatever, taking nothing but gold and silver coin, and its own notes; and finally refused to issue its own notes

Extracts from Mr. Webster's speech in the House of Rep. in the West, even in exchange for specie! and thus left

resentatives, April 26, 1816, on the resolution offered by nothing but specie to be received; and after making

him for the more effectual collection of the revenue in the these recitals, the committee conclude with the expres

lawful moncy of the country. sion of their own opinion of the law, that the Bank of the " Mr. W. said he felt it to be his duty to call the at. United States was not bound to receive in deposite, as tention of the House once more to the subject of the cash, the bills of any State bank whatever, although collection of the revenue, and to present the resolutions they come under the provisions of the act of 1816. which he had submitted. He had been the more in

These are the recitals, and this the opinion of that clined to do this, from an apprehension that the rejeccommittee, and certainly they are correct, both in the tion, yesterday, of the bill which had been introduced, narration and in the judgment. What, then, becomes of might be construed into an abanelonment, on the part of this charge of illegality in the Woodford speech, and the House, of all hope of remedying the existing evil. this letter to Mr. Adams, thus confuted and invalidated | He had had, it was true, some objections against proby the conduct of the bank itself? And what becomes ceeding by way of bill, because the case was not one in of the pretended injury of all those Western banks in which the law was deficient, but one in which the exehaving their notes excluded under an order from Presi.cution of the law was deficient. The situation of dent Jackson, when they had been previously excluded the country, (said Mr. W.,) in regard to the collection for nearly twenty years under the orders of the presi- of its revenues, is most deplorable. With a perfectly dent of the Bank of the United States? Why noi com. sound legal currency, the na'ional revenues are not colplain before? Why not apply to Congress !o rescind the lected in this currency, but in paper of various sorts, and order of the bank president, as they now apply for the various degrees of value. * * It is quite clear that by rescision of the order of the President of the Union? And the s'atule all duties and taxes are required to be paid in the politicians and presses which have lavished denuncia the legal money of the United States, or in Treasury ations upon President Jackson, and wept salt tears over notes, agreeably to a recent provision. It is just as clear the wrongs of these banks, and the oppressions of the that the law has been disregarded, and that the notes of people, on account of the specie order, where were the banks of a bundred different descriptions, and almost those tears and those denunciations when the president as many different values, have been received, and are of the Bank of the United States gave previously the

still received, where the statute requires legal money or same order so many years before, and enforced it up to Treasury notes to be paid. There are some pothe day of the removal of the deposites? The fact is, litical evils which are seen as soon as they are dangerand all the inbabitants of the new States know it, that lo. ous, and which alarm at once as well the people as the cal bank paper, with few and stinted exceptions, was


Wars and invasions, therefore, are not


Dec. 19, 1836.]

Treasury Circular.





always the most certain destroyers of national prosperi- are not to embark on the ocean of paper money. ty. They come in no questionable shape. They an. I cannot say, indeed, that this resolution will certainly nounce their own approach, and the general safety is produce the desired end. It may fail. Its success, as preserved by the general alarm. Nol so with the evils is obvious, must essentially depend on the course purof a debased coin, a depreciated paper currency, or a sued by the Treasury Department.” depressed and falling public credit. Not so with the Having disposed of the charge of illegality, Mr. B. plausible and insidious mischiefs of a paper money sys- took up that of the unconstitutionality of the Treasury tem. These insinuate themselves in the shape of facili- order. ' He read from the published speech of the Senties, accommodation, and relief. They hold out the ator from Ohio, [Mr. Ewing,] as found in a revised most fallacious hope of an easier payment of debts, and form in the National Intelligencer, the specific allegaa lighter burden of taxation. It is easy for a portion of tion of this alleged unconstitutionality, which ran thus: the people to imagine that Government may properly “ There is a provision in the constitution directly in continue to receive depreciated paper, because they the face of this order. Those who drew up the order have received it, and because it is more convenient to seemed to have been aware of it, and to have avoided obtain it than to obtain other paper or specie. But on employing the same words as are used in the article of these subjects it is that Government oughi to exercise its the constitution; but it is not, therefore, any the less own peculiar wisdom and caution. It is supposed to pog. in violation of its provisions. The constitution declares sess, on subjects of this nature, somewhat more of fore. that ibe citizens of each of the United States shall ensight than has fallen to the lot of individuals. It is bound joy all the privileges and immunities of the citizens of to forsee the evil before every man feels it, and to take the several states; even the States themselves cannot all necessary measures to guard against it, although they discriminate. But this order gives to the citizens of may be measures attended with some difficulty, and not one State a privilege which the citizens of no other without some temporary inconvenience.

Slate are allowed to enjoy--that of paying for public The only power which the Government possesses of re. land in the ordinary currency of the country. With straining the issues of the State banks, is to refuse their some this argument will have but little effect, especially notes in the receipts of the Treasury. This power it as it is directed against an exccutive act; but it is not can exercise now, or at least provide now for exercising therefore the less sound.” it in reasonable time, because the currency of some part Mr. B. said there was an error in the quotation in this of the country is yet sound, and the evil is not yet uni- place, and not only in the quotation, but in the gentle. versal. But I have expressed my belief on more man's head also. The constitution was erroneously than one occasion, and I now repeat the opinion, that it quoted by the gentleman, and that error had pervaded was the duty of the Secretary of the Treasury, on the his argument; and, if followed out to its legitimate con. return of peace, to have returned to the legal and proper clusions, would present a picture of the rarest absurdi. mode of collecting the revenue.

It can

ties and impossibilities. The quotation says, "the citihardly be doubted that the influence of the Treasury zens of each State of the United States shall enjoy all could have effected all this. If not, it could have with the privileges and immunities of the cilizens of the sev. drawn the deposites, and the countenance of Gov: eral States." The constitution said, “all the privileges ernment, from 'institutions which, against all rule and and immunities of citizens in the several States.” The all propriety, were holding great sums in Government

error of the quotation was in using the definite article stocks, and making enormous profits from the circu the, and the preposition of; and this error unhinged the lation of their own dishonored paper. That which meaning of the clause, and conducted the argument off was most wanted was the designation of a time for the on a track which would lead into boundless confusion. corresponding operation of banks of different places. The clause, as it stands in the constitution, is general This could have been made by the head of the Trea'. and indefinite, clearly meaning that the States were lo ury better than by any body, or every body else. treat each other's citizens as members of the same gen.

This Government has a right, in all cases, to eral Government, and not as aliens. The quotation, and protect its own revenues, and to guard them against de- the argument upon it, give individuality and particulari. falcation or bad and depreciated paper. It is bound, also, ty to this general right; and, by giving to the citizens to collect the taxes of the people on a uniform system. * * of each State the rights of the citizens of all the other As to the opinion advanced by some, that the object of the States, abolishes at a blow all State lines, and makes resolution cannot, in any way, be answered that the one consolidated Government of the whole Union. revenues cannot be collected otherwise than they now Thus, by this reading, whatever any citizen can do in are, in the paper of any and every banking association his own State, every citizen of every State in the Union which chooses to issue paper, it cannot for a moment be may come there and do also-vote with bim; hold offices attempted. The thing, therefore, is to be done; with him; exercise licensed trades and professions with at any rate it is to be attempted. That it will be ac- him; contend with him for the honors and emoluments complished by the Treasury Department, without the of the State, without owing it allegiance, or paying it a interference of Congress, I have no belief.' if from that tax, or residing within its limits. What scenes this source no reformation came, when reformation was easy, would give rise to! What crusading visits, or visitations, it is not now to be expected. Especially after the vote at the successive elections! Whole Slates would preof yesterday, those whose interest it is to continue the cipitate themselves in masses upon their neighbors! present state of things will arm themselves with the au Some zealous partisans, by aid of steam cars, and race thority of Congress. They will justify themselves by horses, and flying chariots, might succeed in voting in the decision of this House. They will say, and say every State in the Union! Suppose the gentleman was truly, that this House, having taken up the subject, and right, and this grand secret had been found out before discussed it, has not thought fit so much as to declare the late presidential election, what a moving food of that it is expedient even to relieve the country or its living heads we should have seen! such as has never revenues from a paper money system. * But while been beheld since Xerxes crossed the Hellespont, or some gentlemen oppose these resolutions, because they Peter the Hermit led his cruntless host to the Holy fix a time too near, others think they fix a day too dis. Land! But it will not do. The definite article the, and tant. In my own judgment, it is not so malerial what the preposition of, which figure in the gentleman's quothe time is, as it is to fix a time. The great object is, tation, and rule his argument, are not in the constituthat our legal currency is to be preserved, and that we tion; and so the citizens of every Slate are not to enjoy


Treasury Circular.

(Dec. 19, 1836.

the rights an:1 immunities of the citzens of every other Thus (said Mr. B.) the discrimination between settlers State. Little Delaware is not to give iwo millions of and speculators, and between residents and non resivotes at the next presidential election! Pursuing his dents, is as old as the first plan for the sale of the public error, the gentleman says the States themselves cannot lands; and with these distinctions the legislation of Condiscriminate between the riglits of their own citizensgress has corresponded from that day down to the time and those of other States. But we all know that they when propositions were made for dividing the proceeds an, and that they do discriminate. Every election proves of the lands. Up to that day pre-emptions were granted it; every tenure of office proves it; many trades and to settlers; since that day there has been a strenuous opprofessions prove it; the requiring or dispensing with position to such grants. The new policy is, not to settle bail proves it; the whole distinction between foreign the country with meritorious farmers, but to fill the and domestic attachment is founded upon this discrimina- Treasury with paper money for distribution. Formerly tion. Truly, the gentleman must choose between his settlers were favored; and hence the settled legislation pride and his patriotis:n-between his speech and his of the country for above forty years. The statute book country; for his error must be fatal to bis argument, or contains nearly fifty laws in favor of pre-emptions. They fatal to the States.

begin in 1792, and continue down to about 1830. Six Another branch of the constitution assigned by the or eight of these laws were applicable to the State of gentleman from Ohio (Mr. Ewing) is the temporary dis. Ohio, and may casily be found under the head of “pre. criminalion between payments from settlers and specu. emptions,” in the volume of laws relating to the public lators. He insists that all should have the privilege of lands. The pre-emption system, thus founded in a dispaying in paper money. Now, the constitution of the tinction resting on ihe nature of things recognised in United States does not recognise paper for money; it General Hamilton's report, and practised upon for does not recognise the existence of such currency; it is above forty years by Congress, makes two discriminain vain, then, to talk of violations of the constitution on tions--one as to classes of purchasers, the other as to such a point. Again, if it be unconstitutional to dis price. The pre-emptioner was a resident; he paid the criminate between revenue payments, then Congress minimuin price, without competition at auction salt 3. cannot do it; and yet Congress has done it, and that in Now, if these distinctions are unconstitutional, Congress relation to the lands themselves. In March, 1823, an could not make them; if they were unjust or unwise, act was passed to make the foreign gold coins of England, forty years' legislation would not have recognised them. France, Spain, and Portugal receivable in payment of Sir, (said Mr. B.) the Treasury circular, in making this the public lands. This was a discrimination, and an ex discrimination, only conforms to General Hamilton's reception; for an act of 1819 had illegalized the circulation port, to forly years' legislation, and to the common sense of foreign coins. But the discrimination which excites and common justice of all mankind. It bas the sanction greatest complaint is that between the classes of the pur of reason, law, time, and precedent; and the only reason chasers-between the settlers and the speculators. What why it is attacked, is because we live in timis when clause of the constitution is to be relied upon to favor nothing that President Jackson can do, or nut do, can these speculators? It is presumed it will be as bard to escape attack. find their names as the name of paper money in that in Mr. B. having now sully answered, and, as he believed, strument. But, in one respect at least, they seem to be entirely refuted, the legal and constitutional objection to in a favorable way; they are gaining new friends, and the Treasury order, would take up the other branch of finding advocates and protectors in those who denounced the general charge, namely, the ruinous and pernicious and stigmatized them six months ago! They are now effect of the order upon the banks, business, prosperily, in the hug of those whose kicks they received a few confidence, and industry of the country. The news of short months ago. But there is a distinction, founded in all this approaching calamity was given out in advance the nature of things, and recognised by laws, between the in the Kentucky speech and the Philadelphia letter, alsettler and the speculator. One is a meritorious class, ready referred to; and the fact of its positive advent and deserving the favor of all Governments; the other is a actual presence was vouched by the Senator from Olio pestilential and injurious class, discountenanced every [Mr. Ewing) on the last day that the Senate was in seswhere. The first report ever made under the Federal sion. I do not permit mysell (said Mr. B.) to bandy con. Government for the sale of our public lands recognised tradictory asseverations and debatable assertions across this distinction. It was made by General Hamilton, Sec.

this floor. I choose rather to make an issue, and to test retary of the Treasury, in the year 1790, and is explicit. assertion by the application of evidence.

In this way I ly to the point. This is an extract from the report: will proceed al present. I will take the letter of the

" That, in the formation of a plan for the disposition President of the Bank of the United States as beng of the vacant lands of the United States, there appear to official in this case, and most authoritative in the distress he two leading objects of consideration: one the facility department of this combined movement against Presi. of advantageous sales according to the probable course dent Jackson. He announces, in November, the forthof purchases; the other the accom nodation of individuals coming of the national calamity in December; and after now inhabiting the Western country, or who may here charging part of this ruin and mischief on the mode of after emigrate thither. The former, as an operation of executing what he ostentatiously styles the distribution finance, claims primary attention; the latter is important, law, when there is no such law in the country, he goes as it relates to ile satisfaction of the inhabitants of the on to charge the remainder, being len-fold more than thie Western country. It is desirable, and does not appear former, upon the Treasury order, which excludes paper impracticable, to conciliate boh. Purchasers may be money from the land offices. Here is his picture of discontemplated in three classes: moneyed individuals and companies, who will buy to sell again; ass ciations of “The commercial community were thus taken by surpersons, who intend to make settlements themselves; prise. The interior banks making no loans, and consingle persons or families, now resident in the Western Verting their Allantic funds into specie, the debtors in country, or who may emigrate there hereafter. The the interior could make no remittances to the merchants iwo first will be frequently blended, and will always

in the Atlantic cities, who are thus thrown for support want considerable tracts; the last will generally purchase

on the banks of those cities at a moment when they are emall quantities. Hence a plan for the sale of the West unable to affore relief, on account of the very abstrace ern lands, while it may have a due regard to the last, tion of their specie to the West. The crediior States sliould be calculated to obtain all the advantages which not only receive no money, but their money is carried may be derived from the two first classes."


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