The Madisonian. [volume], August 26, 1837, Image 2

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ill it tW wiwltwitml thieittnril lo firo at them. Tiiis
aaaault was promptly returned with tfie fragments of
?Mite udl mortar which had been knocked by the c.m
iwn into tHeir apartmenu. With the view of increasing
tho littsluiw'i prejudice i^iuiit tho pcrnown, it wm 1111*
rm.aul. ly reported to him lhat they were making an at
tempt to i iH ?pe Snsaey, the chief of the alarc guard,
promptly ipfieired, and threatened vengeance uhImi
the officers coudueted themselves more submissively.
Aa Captain Bambndge could not descend to enter into
explanation with this scowling Cerberus, he handed hint
a note to Sidi Mohammed Dgheis, sudobe* ved thai he
waa very aure that the minuter would decide uroperly
the subject Captain Bainbridge waa informed, in the
course of a few hours, that the guard who first threw
stones into the prison waa severely baatinadoed, and
dismissed from the guard. .
All the damages which the vessels auatained in the
action of the twenty-acventh being repaired, ihc commo
dore resolved on another attack. Soon after the com
mencement of the action the eneiny'a galleys Rave way,
and the American gunboats, schooners, and brigs, pur
sued them within musket shot of fort English. Here
our little squadron separated, a part of it continuing the
attack on the Tripolitan boats and galleys, the remain
der tioldly engaged the fort. The two bomb ketches
threw she'ls into the town with great effect, but being
exposed lo fire from the castle, crown and tuple batteries,
were threatened with destruction. There danger being
discovered by the commodore, he ran his frigate between
them and the batteries ; and though he was within uiua
ket ahot of seventy guns which were brought to bear
upon him from the batteries, vet so rapidly and effectu
ally did he discharge his broadsides, that he again drove
the enemy from their guns, and did great injury to the
city. . .
The wind now commenced to blow fresh on snore,
which obliged the commodore to order all vessels to
willulraw under cover of the Constitution I he Ameri
can vessels received considerable injury in the engage- ^
incut, but strange as it may appear, not a man was kill
ed. Failing in the last several attacks to capture more
of the Tripolitan vessels, in consequence of their un
willingness to venture beyond the protection of their
forts, it was determined by commodore Preble to send
in a (ire ship with a view of burning them. For tius
purpose he fitted out the ketch Intrepid, with one hun
dred barrels of gunpowder, snd one hundred and fifty
shells in her hold. Trains were so arranged as not to
endanger the ship Captain Somers, Lieutenants W ads
worth, Israel, and ten men volunteered for the e*|?cdi
tion. Two first rate rowing boats were selected for the
purpose of retreat after applying the matches At
eight o'clock in the evening on the fourth of September,
tho Intrepid stood into the harbor under convoy lot
some distance, of the Argus, Vixen, and Nautilus.
When slie had nearly reached the point ofWentiiuUon, the
fire ship was boarded by two hundred 1 ripolitans from
two gallevs. At this instant an awful explosion took
place, which hurled to destruction, not only Captain
Somers and his brave companions, but two hundred
Turks ; not a soul was spared to explain the cause of
the disaster. The trains may have been ignited by the
wads which were fired bv the enemy, or us some suppose,
on Captain Somers perceiving no means of escape, resolv
ed to die, and with his own heroic hands fired the vessel.
On the sixth of September, Captain Bainbridge and
several of his officers were permitted to view the dead
bodies of their self-devoted countrymen, who had per
ished by the explosion. Their features were so mutila
ted and disfigured that none of them could be identified.
Thia circumstance, however, did not lessen the poig
nancy of grief which such a spectacle was calculated
to awaken. It was sufficient to know, that they were
bravo Americana who made themselves willing sacrifices,
to cffect the release of their captive brethren. Several
of our imprisoned officers were allowed the privilege
and consolation of paying the last melancholy duly to
the remains of their unfortunate countrymen
After each of these bold awl repeated attacks of tho
dashing Preble, the Bashaw renewed his negotiations
for |>eace. As might be expccted from the injury in
dicted by our squadron, he gradually lessened in the
amount of the ransom which he demanded.
The Tripolitan demands being still thought extrava
gant, the United States government sent out ajarger
K juadron, under the command of commodore Sauiuul
Barron, who being senior to commodore Preble, took
command of the whoic Preble relinquished lo his
young and distinguished friend Captain Uccatur the fri
gate which he commanded, and returned to the United
States, where he was most cordially received and hon
ored wherever he appeared. Before he left the squad
ron. however, an address was presented to him, signed
bv every officer of the squadron, expressive of "the
very high estimation in which lie was held as an officer
and commander, and regret that he should have been su
perseded in a command in which lie had acquired so
muck honor to lumself and country."
Commodore Barron's squadron retire! to Syracuse,
where he was engaged to repair it for active operations
in tho spring. Arrangements were also making to pro
cure the co-opetation of the deposed Bashaw ol I rijKili,
with whatever forces he could command and bring into
the field.
The captive sailors being uninformed with regard to
these movements and [ireparations, and deeming their
liberations almost hopeless, planned a method for escape,
. which they found means to communicate to their offi
cers. The sailors were to rush iu a^lwuly into tho castle,
force ojien the prison doors of the officers, who were to
head them iu an attack on the 'palace, which forms a
part of the castle. The Bashaw and his family were to
lie treated kindly, but secured, and the castle was to be
retained possession of, until the arrival of some Ameri
can vessels The enterprise was countenanced by Cap
tain Baiubridge and his officers, but the attempt was de
feated bv the suspicions of the Bashaw. 'I he carpenter,
boatswain, satlmaker, and master's mat 6 were in conse
(pcnci'-takcn from among the crew, and lodged with the
offifxr* The prisoners were rigidlv searched for con
cealed arms?the guards without the castle were in
creased in numbers, and an additional force placed at
nil their outposts ; so that the scheme, like all the pre
vious ones, failed of Us object through causes beyond
the control of the intrepid and almost desperate projec
tors of them.
The scene of these brilliant operations on the wa
ter with a view to procurcijtlie liberation of the prisoners,
changed for the same objects to the land.
From the Saratoga Sentinel.
THE I-OCO FOCO DOCTRINE.
The Plaindealer of flic 1st July contains an address
adopted by the loco focos, at a meeting held by them iu
New York on the 27th June. As it purports to give m
a condensed maimer the doctrines of that party, which
arc but imperfectly understood in the conntry, we have
inade such selections as our limits will permit.
" The spirit of traffic isof.-dl others the most incompati
ble with the spirit of liberty* The desire to buy cheap,
mid sell dear, to make much and give III tie, whether it
shows itself in the highwayman or the speculator, is
equally hostile to the happiness and the virtues of society ;
and from the birth of Carthm- down lo the present tunc,
the. tendency of excessive trade has been, to Mend the
pride of the tyrant with the meanness of the slave in each
individual wherever it has beea suffered to predominate.
If we understand the sentiment here advanced, it
would pot a stop to all trade or exchanges, and would
deprive the farmer or mechanic from bartering the pro
duets of his farm or workshop, ot from receiving there
? tor anything more than their absolute cost.
" It ought ever to Ik" l?>rne in mind, that no man can ac
quire the doubtful good of extreme wealth w ithout subject
ing others to the undoubted evil of poverty. No man can
????un the whole soil of n district, without snipping all other
occupants of snch district of thejr nglrt to the soil; nor
engross any jiortion of the fruit of other men s hilnir with
out subjecting others to a loss equal to his own gain.
? Jicnce, no don(a? the severity of the denunciations pro
nounced by the carjM'iitcr of Saxarelh ujion the engrossers
?f wealth ; who, in the very nature of things, over must Ito
little better than beasts of Jirey lying in wait for the honest
laborers of society."
Without stopping to comment on the irreverent man
ner in which the Saviour is here spoken of, we dissent
ui lolo to the doctrine inculcated It is nottruc that none
can become wealthy, without making others poor That
auclj instances occur we admit; but how many are there
who by their industry and enterprise, not only enrich
themselves, but add to the support and comfort, at least
of hundreds around them, who were it not for the skill
of a masterspirit, unchecked by a system which would
blight all enterprise, would be suffering the evils inci
dent to poverty ! How many a yonng man is there,
loo, with example thus before hun, who is aiming at
so elevation which, in this country, is denied lo no one
itossessmg industry and perseverance ! No man, it is
true, can acquire the soil of a neighborltood without de
priving otliers of a rigid to the thereof?But this
cannot be done by robbery or ojtpressioti, as the address
would seein to convey Our laws forbid anv thing of
the kind, and the position is supremely ridiculous, and
unworthy a serious refutation.
"It is necessary that we should advert to some of
those schemes which have been devised to strip the la
borer of his earnings, and which we are anxious to anni
^'"'we will first speak of the fraud of a spurious currency.
The legitimate office of money is, to regulate the divi
dends ot the great partnership of society to secure to each
contributor to the wealth of society, dividends proportioned
lo the extent of his contributions. Money enables its
holders to take wealth or laU>r from such members of the
ImmIv politic as mav have wealth or labor to part with ; and
nothing can be mote just than that he who has oM tuned
money koncstly who In* giotit wealth or lal?ir to sociaty
for the money lie own*, should rarnr< waeith or lulur in
return. Hut our resigning office bolder* have fur year*
keen tha practice of licensing the caucusc* lo which tliey
owed their elevuliou, and aucb *peeufalor? M w?Hild pay
handsomely for ihe privilege*, lo issue atrip* of ailk paper
aa money : they ami their confederate* haw been allowed
to engrot* nearly all the land*, ami l*m*e?, ami wculth
of the atalo, wimwl??er lia? nig contributed the value of
a ample broomstick lo the wealth of any man. 'I hey hum
alao drawn interest Iroin society oil tha whole amount of
money they owed the aoeiety. They and their conferler
atea hare tfiua robbed nearly the whole of the working
classes of all the fruita of their industry ; and we imut
now decide whether they ahall be suffered lo continue their
game, or to tetain their plunder."
The forcpoiug i? mere rent, based on no argument
whatever. Every one know* that a bank cannot lie crea
ted without an actual capital paid in, a* fixed by law.
If any one ha* money lo invest in ihu manner, he can
become a stockholder ; if not, he is prepared, accord
ing to loco foco ethics, to a ftnrale hanker merely. Un
der the present system, the banks are reatricted in their
issue*?a fund, beyond their control, but to which they
are obliged to contribute, is created for the redemption
of their bills, and a supervision of their concerns is had
by the officers appointed by the stato for that pur|K>sc.
That they arc licensed by office-holders for fxiy, is too
absurd to require denial; and so far from rohbwg the
laUoruij; classes, they have in the language of the ad
dress of the Albany committee, " extended our com
merce over the whole world?peopled the wilderness?
built our cities and villages?founded our colleges, and
established our schools. They hive given us national
wealth ami individual prosperity ; and if they have brought
some evils in their train, they are not for a moment to
beconi|iared with the advantages which we have so abun
dantly realized."
" Our |>rc*ent laws have jnlso given full scope to that
great curse of the human race formerly called 'usury* or
' increase,* but now better known by the terms ' interest'
and ' iprchlation.' This mean mode of robtiery, the na
ture of w hich is such that it can only lie practised by the po?
seaaorsof wealth against the poor and needy, has proved
the ruin of hundreds of empires, and received the attention
of the best and earliest lawgivers, 4 If thy brother be
waxen poor, and fallen in deray with thee, then thou
shill relieve hiin ; yea, though he lie a stranger, or a so
journer ; Take tliou no usury of him or incrnue ; but feur
thy God, that thy brother may live with thee. Thou shalt
not give him thy money upon usury, nor lend him victQala
upon inereMe. ?(Lev. xxv, Ilfi.lKxekiel classes the usur
er with the hired assassin ; the Fathers and early Councils
of the Christian Church sqioke of him as u wrecker, draw
ing aliment" from human misery and human tei\rs ; and for
more lhan a thousand years usury was reckoned through
out Christendom, not less criminal than other species of
caiinihulisin. Yet has this sin tiecn tolerated to such an
extent among us, that it has now little left but the starved
carcass of the laliorer to feed upon."
If the rates of interests were not legalized, or if tho
usury laws were repealed, we have repeatedly shown,
on former occasions, that there would he no limitation
lo usury and oppression. The legislature were of the
same opinion at the last session, and when the question
of repeal came before the senate, there were but two
votes in its favor. But if no interest whatever could bo
obtained for mone'v, which is a bail thrown into shallow
water, to allure lish still more shallow, how would it bo
possible to proceed w ith any branch of business ! The
rich, surety, are not going to give away their money ;
neither will they, if deprived of banks or other places of
investment, loan il w ithout compensation. In the sus
pension then, of business, as a necessary consequence,
the poor and the laboring classes would be the first to
fjulTer besides, the prohibition in the Mosaic law rela
tive to interest, applied to the Jt\c? exclusively. " Unto
a stranger, tlion mayest lend upon usury," is a |>erriii8
sion given in Dcut. 23, VO The servant, too, who hid
Ins Isird'ti talent, and did not put it out so that he could
reccive, at his coming, his own with utury, was cast
out as " unprofitable," so that there is not much scrip
ture authority for loco focoism.
" I'nilwlJr Ihe beirt mode of completely destroying tx>lh
the curse of paper money and the curse of usury w ould lie,
simply, (a Irt cmht alone ; to leave each man's credit to
stand solely on its own lottom, without any attempt to
strengthen or weaken it by legislation; ami by our con
stitution, to perpetually prohibit the law from ever inter
fering in any shape with airy contract of debt, either to
enforce or annul it. This measure would make all debts
contracted after its adoption what all debts should lie,
of honor. It would prevent the man of doubtful lion
csty, whatever inighf be hi* wealth, from oUaintng very
extensive credit; arid it would enable the honest man,
however |NM>r7to'obtain aa much credit as he ought. It
would subject the man w ho should lie guilty of trusting a
speculator or knave to the just punishment of loosing his ?
debt ; and it would caime a single dishonest act to blast
its perpetrator's credit wherever he should lie known! ,
The ftenefunsl effects of sueh a measure will appear tha
more complete and extensive Ihe more it is examined ;
aud would have the great merit of lieing simple, efficient
and just."
W hat a process for collecting debts ! Even with our
present wiiolesome laws, and the restraints which they
impose, it is oftentimes diliicult to secure the payment
of honest dues, and to guard against innumerable frauds,
lint with every barrier removed, and a resort to honor
merely as an arbiter to determine how" far debts should
he liquidated, or contracts enforced, who does not see
that anarchy and eiiote would predominate, and a pros
titution of our evil compact ensue ? There is a bold
ness iu the pro|>osition niore befitting rtic character of
* revolutionist than of a supporter of our lepublican in
stitution*. '
"A reform of the judiciary system would naturally en
gage the attention of the convention w e propose * If our
judges are lo have Ihe power of drawing' their decisions
from an interminable fog-bank of laws, and precedents and
dead men's opinions, they ought to lie made more nearly
responsible to ihe people vylio are compelled to pay their
w ages and lo submit to alt their decisions."
To carry out the doctrines previously advanced, a re
form in the judiciarv would follow as a matter of course
?or rattier, no judiciary at all would be requisite. Hon
or would supersede the neccssilv of judges, or any re
ference to the legal decisions of the wisest and best men
of this or any other country.
"The practice of preserving the public Iambi for the
benefit of speculator* and w ild beasts, while thousands of
Cod's childen have not where to lay their heads ; and the
practice of stripping every poor man's child of his natural,
inalienable right lo a share of the Itountie* of our common
Father that he may lie compelled to wear out a shortened
existence in the service of sloth and luxury, are subjects
that should at this time lie considered with serious attcu
Hon, and acted upon with deliberate caution, by our whole
people. It should be I>orne 111 mind, however, that these
w rong things come, more w ilinn the province of conscience
than witliiu that law.''
It is not true that the public lands have been reserved
for the benefit of speculators. Then we are free to
admit that it would have been more conducive to the
public good, and that much of the present pressure
would have been avoided, had the sales been confined
to actual settlers ; still no one could furnish payment
therefor, has Ihe right of purchase been denied. At
present, extensive sales h-w ccarfed, and it is altogether
probable that a law will be passed at the next session
of congress, restricting the number of acres to be con
veyed to each individual.
" It would l>e both inconvenient and unnecessary to ad
vert to all the Subjects that might lie submitted to the con
sideration of the proposed convention. What we ourselves
w ish is, n NKW CONSTITUTION, tiased not upon un
coriipiMirii.se, not ti|ion Hny narrow views of temporary ex
pedicnry, but upon the broad and eternal basis of KIGIIT.
VV e w ish law to become (lie mere echo of conscience. We
wish that no man should evcrhereafter be privileged to do
unto others lliat which he would not have others to do unto
bun, or exact from other* th it w hich ho would not havo
others exact from him. And this i'.i all."
This caps the climax. A constitution which shall
make law the mere echo of conscience! Tho ideajs
too absurd to warrant a serious comment. It is, how
ever, the essence of loco focoimn A proposition of tho
present compact?of all law and order?u.id the erec
tion on their rums of a system which shall strip one of
property and give it to another?which shall destroy all
incentives to enterprise, and annihilate every impedi
ment to anarchy and misrule.
These principles, the offspring of several foreign
agrarian*, now residing in New York, we are happy to
believe, are confined to themselves and their infatuated
followers iu that city. Whatever diversity of opinion as
to banks or banking may exist among our cities, we do
not believe that loco focotsui, or more properly agrari
anisin, has oh.-.ined any foothold in the country. We
We should be miwilltng to believe that any person pre
tending to respectability among us conld entertain sen
timents so utterly at variance with morality or common
sense.
From the liiehmond Enquirer.
THE ALTERNATIVES.
We are so much crowded by the Communications of
our Correspondents, that we cannot easily command the
space, which would be necessary for the long Exposi
tion we promised this morning Our only resource is,
to present our views in detachments We begin, there
fore, with bringing before the public the opinions which
we expressed in 1833. One of our Correspondent* m
to-day's |iapcr reminds us of the discussions of the
Press, which then took place ?The following Extract
is a part of the article which we then laid before our
readers. 'I"hey touch iijmjii the objections which we
* The convention here referred to is rccomfaca led to lie
holden at I'tica on the second .Monday in S<ptcni'nr
next.
entertained three year* ago against the Sub-Tieaaury
?ystem.
We still entertain the aame opinions They bow
constitute our principal objection to Um Suk-Treaaury
system?not the only one. We object to the time, in
which u m |iru|Kj?t<l to lutroducc the system. We Jo
not bclteve it to lie expedient, or perhaps practicable,
until the Banks ahall have resuiuwd specie payments.
But more of auch questions hereafter.
On the (treat question of the tendency of thia system,
to ciliary the power and patronage uf the Executive,
we entertain the aame opinions which we expressed lu
the following Extract. We atill go for the State Banks
aa depositories of the public reveitue, in preference to
tlie Treaaury system We have adopted llua concluaiou,
after giving aa much reflection lo the subject, aa our
very limited facultlea and even more limited information
were aide to beatow upou it. We confeaa, tliat we were
at one time somewhat disposed to adopt the Treaaury
system?Some of our moat intimate friend* go for it.
The Adminiatration, to which we arc attached, will
probably bring it back lo the view of Congress. llut
when we viewed llua question in all ita lighta ; when we
reviewed tlie reasons which had awayed our judgment
m '34?when we considered the consequences winch it
might produce u|*ou the opcrationa of our Government
?in increasing the Executive (tower, already loo great
?when we alao couaidered the lime, and the embarrass
ments, under which llua ayatem la to be introduced?
the ditficullica of carrying it into execution, while a
large proportion of our s|tecie waa locked up in the
vault* of the Hank*?and the great importance of re
lieving the country from ita present pressure, before any
great and "untried lytpedient" waa adopted, we could
no longer hesitate about tlie Alternative which ought to
be pursued. We go for a Treasury System?for any
alternative?in preference to an unconstitutional, inatn
inoih Hank of the United Statea. Hut we go for the
sound State Hanka?those which will answer the pur
poses of the Government?those which are honest in
their wialiea and zealoua ru their efforts to resume specie
payments, in preference to the Treasury System In a
in Octolter, 1834. We do not think the Experiment of
the Slate Hanks has been fairly and fully tried?'They
have aiis|M-nded specie payments under unparalleled cir
cumstances, not likely to occur again?(with forty
milliona of surplus revenue lo disturb the entire bank
machinery ; with an inordinate spirit of apeculation and
over-dealing in public lands ; foreign goods, in every
line of life, that is unexampled, &c., Ac )?Besides, the
verv lights which have been struck out by recent ex|>e
riertce, will enable ua to reform thu scheme, to guard
against the abuses of the Uankmg System bv adequate
restrictions, to control the issue of small notes, and to
make wiser arrangernenta for the public deposites in
these institutiona. With these impressions, we lay
before our readers the following
" We have just read the Correspondence between the
twenty-six citizens of Richmond, and Mr I^eigh, con
cerning " the h lie meaning" of u passage in one of Ins
speeches jn the Senate, ami his " future course towards
the Hank of the United Statea."
" The letter of the twenty-six citizens contains one
passage which has excited some conversation in this
City, mid has called forth two or three explanatory
Cards in the public papers. It up/tears to be intended
as a hit at tin* press?and under other feelings than
those which we now entertain, it might prompt us to
retaliation, upon the manner of ita expression, the time
of its publication, and the strictures it convcys. We
should have expected a different sentiment from most of
the gentlemen who have signed the paper, &c. They
ought by this time to know, that we have no office, and
no luvor, to ask at the hands of the administration, which
could induce us to sacrifice our ' long-professed maxima
of Constitutional Government, in the ' service'and at
the shrine of 'power.' They tinghl also have known,
how,strongly we have been opposed to tlie Bank of the
United States, as clashing with all our ' professed max
ims of Constitutional Government'?and how grateful
we have full, for the (patriotic and moral courage of the
veteran, who put his veto u|?on the renewal of its char
ter. We disapproved, it is true, of the removal of the
Deposites?but the events wluch have since transpired
the strange ' Revolutions' which parties have under
gone, the coalitions which have been effected between
the most discordant and ambitious ' leaders,' the Canal
which has been formed in the Senate, the gross disobe-,
dience oftinstructions which has been shamefully dis
played by live or six Senators, in the very face of all
oqr ' maxims of Constitutional Government' the panic
Speeches which have been poured forth, the panic Me
morials which have been penerated in the hot-bed of
parties ; the astonishing efforts which have been made
to restore the Deposites and to re-charter the Hank ;
every thing satisfied us that the Administration was to
be hunted down, and this monstrous institution was lo
rise upon its ruins. Were we to remain silent under
this alarming condition of things ' Were we to coalesce
w ith its professed enemies in pulling down the Adminis
tration ! What influence was lo he sulistituted in its
place ! Who so capable as that ' firm old man' to copc
with the power of the Hank ! At the same time, which
of these twenty-six citizens is more anxious than we are
to throw additional guards against the Executive power
over the public press 1 Who has more anxiously called
for the interposition of Congress} not to restore the
Deposites?which seems to us alniost equivalent to the
renewal of the Charter?but to> regulate the gold cur
rency ; still more to regulate the deposites of the public
moneys in the State Banks, which are alike constitu
tional and responsible to the Slate authorities?and
especially to restrict the Executive control over the
Public Deposites iu these State Institutions ' If we
have erreu, indeed, in maintaining these propositions,
we hid hoped we might claim at least'some indulgence
for our intentions. If we have believed Mr Leigh to
be mistaken in taking a different view of souie of these
propositions?if wo have believed him not sufficiently
zealous iu extinguishing the Bank, now and forever?
and therefore, not the man after our own heart?if we
have thrown open our columns freely, to Correspond
ents, both for him and against him, we might have
hoped to escape the imputation of being ' the leader
among his defamers'?and of sacriticing all our princi
ples at the footstool of ' power.' But let these things
pass!
"As to ? the letter of Mr. T/eigh, it may satisfy his
twenty-six friends, but it certainly does not satisfy us.
The letter which they have called forth, should call forth
in its turn, another letter tc* explain 'the true meaning
of that passage,' which speaks of ' divorcing all connec
tion with Banks, State or Federal.' ' Do you mean
(they might say,) that the public money is to be left in
the hands of the Custom House officers rexponnhlr. to
the President and removable by him1' If so, is Mr L.
prepared to incur the irresistible objections urged bv the
Globe?and to ' increase (in so alarming a degree) the
patronage, power and influence of the Kfcculive ? the
great ' key,' which he says is to ' open the ruling, and
indeed the only motives of all nty conduct, since I have
had a share in the National Councils.' What! does not
putting down the bank also form no part of his ' motives
since (he) had a share ill the National Councils 1 Ills
twenty-six friends might also ask him: 'If vou should
be brought to the alternative of selecting the Stale
Hanks, or the National Hank, as the Depositories of the
public moneys, which will you prefer!' This great
question has not been noticed by his friends or by him
self And yet this is the great Alternative, which will
he presented to the Senators of the United Stales And
what will Mr. Leigh do in this alternative ! Will he
take the State Banks, whic'j are constitutional, which
are established by the Slates, responsible to the States,
regulated by the States, as the depots of the public
treasure, under such restrictions upon the Executive
control as may seem wise and necessary to be made by
Congress! Or, will betake the Bank of the United
Stales, contrary lo the Constitution, spreading its arms
throughout the States, and thus exerting a'i enormous
influence, which is in defiance of all Stale authority?
and as dangerous lo the liberties as to the Constitution
otour country. V\ Inch will he do' Judging by one
of his speeches in which he appt ars to allude to this
alternative, we should suppose that Mr Leigh considers
the National Bank as less dangerous than the State
Dinks-?or, what has been extravagantly called 'the
Itfagiie oj State Hank* ' In this opinion it would be
our misfortune to differ essentially with Mr Leigh.
" In his letter, indeed, he does not present this alter
native, which we think will be the true one?but he
makes another, which we do not believe is lo be the
true one :
"I am mow deliberately of opinion, that the question
will ultimately be, between (not perhaps the present
Hank of the United Suites, but) a National Bank, con
stituted as the present Bank is, hi all essential particu
lars? anj a National Bank varying in its construction
from the present, only in placing the direction under the
absolute control of the Executive."
" But wc are ' as deliberately of opinion' as Mr L.
can be, that this will not ultimately be the que*'ion.
The President himself, we understand from the best
authority, has abjured all ides of a Treasury Bank?and
which of Us influential friends maintains it! Mr. For
syth's appointment lo the Stato Department, to which
Mr. L. refers, is no evidence of the fact; because Mr
F. was appointed from other reasons?his office is
moreover not connected with the Finances?whereas
that of Mr. Woodbury is so, and he (Mr W ) is op
ftosed to any National Bank.
VIEWS IN 1H34.
Ejctfarti from the tarn*.
Lrmu r*0M wa.hixutom, 4ulc4 IS/A August.
CURRENCY.
" In what way can the collection of the
revenue in specie, and paying it out to the of
ficers of the Government, civil and military,
and to other Government creditors in specie,
tend to restore to the community at large a
sound and uniform currency f
" Will the Sub-Treasury system proposed
| by Mr. Gouge, aid the Bank to resume specie
payments, or will it not have directly the op
jHwite tendency, nnd prolong the period when
they will resume ?
" I propose to make some dispassionate re
marks on these questions, without looking to
the right or to the left, to see whose theory I
may attack, or what party interest I may af
fect. 1 think the time h;;s arrived, when we
should look alone, to the happiness of our com
mon country, ' the blessed mother of us all,'
and let ulone the interest of purtizun leaders,
and the deplorable bitterness of party strife,
in a great deal ol which there is no principle
whatever involved. A great portion of this
strife is nothing more, than the old war of the
up town boys and the down tou n boys; the
question being, not what is the l>est course to
insure the real happiness and prosperity of
our blessed country, but what is best to insure
the triumph of party or to effect its overthrow.
In other words, it is a wur, not upon the great
leading principles ol Republican government,
which divided our forefathers, but a war of
taunts and jeers, of crimination and recrimi
nation, and arguments to prove that one side
is more in fault than the other side The time
has arrived, 1 think, when sensible men ought
to look alxive these things?when we ought
to think of our country, and forget men alto
gether.
"If the nation could be induced to come to
the consideration of this question with feel
ings of this kind, how easily it could be set
tled,and the prosperity of the country restored !
Am I really guilty of an act of moral turpi
tude in the estimation of a friend, by express
ing opinions differing from his own on the
subject of the currency ? Ought it to be a
cause of personal offence or of dislike 7 Can
we not let reason decide the question between
us, without exciting the angry passions ? Is
not freedom of opinion the birthright of us all ?
Did not our forefathers encounter all the hor
rors and privations of a seven years' war, that
their children might enjoy it ? Most unques
tionably they did.?And we surrender it, we
give up <>110 of the choicest blessings of our
Republican Government. With these pre
liminary remarks, I proceed to the subject :
W hat is tin; first object to be accomplish
ed, to insure the restoration of specie pay
ments ? I answer at once?confidence in the
solvency ol the Banks, and equality of value
between bunk paper and specie. If specie
bears a premium, how can they resume specie
payments ? And will it not always bear a
premium, so long as the Government has for
its operations alone nil exclusive metallic cur
rency?whilst the community has a paper
medium ? If paper money "or Bank notes is
as valuable as spccie, certainly the Govern
ment would not hesitate to take one as soon
as the other. It is in consideration that spe
cie is more sound, certain and valuable than
hank paper, that the Government prefers it.
The Government, then, by this system, pro
claims the fact to the community, that specie
is more valuable than any bank notes. The
community, will certainly not hesitate to fol
low the example. The system at once fixes
a difference of value between bank notes and
specie. The separation of the Government
from bank notes, separates spccie from bank
notes.
" W ill any man keep his bank notes in his
pocket, when the specie it represents is more
valuable to hnn ? Will he not draw upon the
Hanks instantly for the specie, to avail him
self of the proiit ? How then ran the Banks
hear the runs, that will be made upon them,
so long as specie bears a premium ? And
will it not always bear a premium, so long as
the Government depreciates and dishonors
bank paper, by refusing to receive it in pay
ment of the public dues ? Ought the Govern
ment, the agent and servant of the community,
to adopt a measure for its own benefit alone
calculated <o fix forever upon its principal, the
community, the evils of a depreciated curren
cy ? -For what purpose lias the Government
been established, but to take care of and pro
vide for the interest of the community ?
" And if the community are not to be bene
fitted by this new scheme, I cannot for my
soul see for what purpose it is to be esta
blished.
" How can the community he benefitted by
it ? Let us look at its practical' operation,
upon the supposition that it is to go into
effect.
"Specie in six months, should the Banks
not resume specie payments, (and 1 have de
monstrated, I think they cannot, so long as
specie is at a premium,) will be at an advance
of some 10 or 12 per cent. A ship comes in
to New York and has duties to pay to the
amount ol SI0,000. Specie must be purchas
ed from the brokers at this premium. Now,
| wht) pays the premium ? The consumers?
i the community at large. The merchant cul
\ dilates the cost of the goods?the price of
shipping them to the United States?the
amount of duties and other expenses he has
had to pay, which, together with his proper
profits and expenses added to their price.
| Here we see clearly, that it is the community
that pays the amount of the premium at which
specie can alone bo obtained, if this system
?joes into effect. 'Of what conceivable bene
fit is it then to the community ? A system
that will lix upon it forever a depreciated paper
system, and exacts of it the premium nt whit h
specie alone can he purchased to pay the dues
of the Government! !! That we shall have
hank notes in circulation as long as we have
Hanks, and that there will be Banks as long
as there are State Governments, I think, is a
proposition that requires no arguments to es
tablish, to the entire satisfaction of every sen
sible man ol ordinary understanding.
1 he great object of the Government should
be, to make this paper system as perfect as
possible, by reducing its quantity in some way
or other, and making it as nearly equal to gold
and silver as possible. Hut here is a system
calculated, in my humble judgment, to have
directly a contrary effect. It will ultimately
enlarge the quantity of paper, by preventing
the Banks from resuming specie payments, in
consequence of sjiecie bearing a premium
under its operation, and it will depreciate the
value of paper for that reason, and for others
which have been stated.
" I am totally unable to see, how its opera- ?
(ion tends to insure a sound and uniform cur
rency throughout the United States, with the
people at large?such a currency as is de
manded ol Congress, by the provision of the I
Federal Constitution, and which in fiat, was j
one of lite principal objects of the establish
ment of the Government. It wus the disor
dered state of the finances?uf the circulat
ing medium, and of consequence, the com
merce of the country, and the waut of public
credit, that first brought together the illustri
ous men at the clone of (he American Kevo
lution, to commit on the proper remedy for
these great and growing evils. The Federal
Constitution wait the fiuit of their delibera
tions. And they believed, they had insured
to the people of the United States, a sound
and uniform currency, by giving to Congress
the |Mtwer of coining money, and regulating
the value thereof; and by expressly prohibit
ing that power to the Suites, as well as the
power of' emitting bills of credit,' or making
any thing a tender in payment of debts, but
gold and silver coin.
" They prohibited these powers to the
States, be it observed, and not to Congress.
The great object was, that Congress, the le
gislative power of the nation, should provide
a sound and uniform currency for the people
of the United States. To have this currency
souiul ami uniform, its regulation wan given to
one Govemmeut, viz. the National Govern
ment. It must be sound, and it must be uni
form ; but it is not essential, in order to coin
ply with the Constitution, that it should be of
gold and silver. And the truth is, that it never
has been exclusively of gold and silver.
"A few months after the adoption of tiie
Federal Constitution, the revenue was remit
ted, by order of the Government, in bank notes
of the old banks that had been established be
fore its adoption. Ami it Was of course paid
out in bank notes. Yes, even at that pure
period, when American patriots were just
fresh from the struggle for American liberty,
the revenue was received and disbursed, to a
certain extent, in bank notes?the Govern
ment thus contributing to make them a circu
lating medium.
? ??? t ? ? | ?
" What says the writer in this article, on
the subject of the restoration of specie pay
ments, and the re-establishment of our credit
and prosperity? How are.they to be effect
ed ? ' Confidence being in some rrieasvre re
stored,' says he, 4 and money having again
begun to circulate in the Union, every thing trill
gradually resume something like a quiet state?
and all those indebted to Furope, who have
the power and the inclination to cancel their
debts, may no doubt procure the means'
" Confidence, must be restored, and money
must begin to circulate.?And prnv, how are
those two things to be effected ? Hy the Sub
Treasury system, which abandons the com
munity to its fate to struggle through a disor
dered currency as it can?which proclaims to
the world, that no sort of confidence is to be
placed in the solvency of the banks?and
which dishonors and discredits the only circu
lating medium we have at this time, viz., bank
paper, by refusing to receive it in payment of
the public dues, under any circumstances ?
Is this the way in which confidence is to be
restored in ba:-k paper, and specie gradually
thrown again into circulation '? Restore con
fidence in the banks, by raising a premium
upon specie !! Put specie into circulation,,
by depreciating bank notes ! ! Fnable the
banks to resume specie payments, by depre
ciating their paper, .and inevitably producing
a premium upon specie !! Is this the way in
which a sound and uniform circulating me
dium is to be restored to this country, that
has at this time 800 banks with charters, ex
tending to 20, 30 nnd 40 years '1 and a circu
lation of bank paper at this time amounting
to more than 180 millions!! ! llow can the
Government restore to the community a sound
and uniform circulating medium, by collect
ing its own debts in specie and paying its own
creditors in specie ? It could no more do it,
than could a wealthy merchant in Richmond,
give to the whole State of Virginia a specie
circulation, by collecting his debts in specie
and paying his debts in specie. The number
of debtors and creditors to the Government
bears perhaps the same pro|>ortion to the num
ber of debtors and creditors throughout the
United States. The Government to collect
its debts in specie, and pay its debts in spe
cie !! ! How is that operation to induce or
compel A, 13, and C, who have nothing to do
with the Government, to collect and pay their
debts in bank notes, when it is the only cir
culating medium of the country ? For, I deny
that specie ever will circulate, so long as it is
more valuable than bank notes, and it always
u ill be more valuable, so long as the Govern
ment so estimates it and will only receive it
in payment of the public dues. If one man
in society demands hikI pays specie, can his
conduct compel 20 others to do the same, who
have nothing but bank notes in their pockets,
and no way of obtaining specie, except by
paying a premium T
" We have now in circulation a new kind
of currency, to an extent, I believe, never
known before in this country, which is degrad
ing and disgraceful in the last degree to our
national character. It has been denominated
by some wag, " shin plasters"?an appropriate
epithet to distinguish the diseased state of our
circulating medium. It consists of paper of
all sorts of private banking. Hotel keepers,
shop keepers, store keepers, barbers, and
every kind of corporation are issuing their pri
vate bills of credit, by the way of making
change. Specie being at a premium, it is
driven out of circulation nearly entirely. Now,
I would ask, if some ten or a dozen gentle*
men in one of our cities, should refuse to re
ceive " Mr. Shin-plaster" in the way of change,
would their refusal drive him out of circula
tion ? It would not. Nor would the refusal
of the Government to receive Hank notes in
payment of the public dues, drive them out of
circulation, so long as we have 800 or 'J00
State Hanks, with the potter in 2G sovereign
States to charter as many more as they
please.
" Congress is bound by the mandates of the
Constitution to give to the country a sound
and uniform circulating medium ; and I say it
can only be done by making bank paper equiv
alent to specie?and not by keeping up premi
um upon it."
From l)it tnmr.
THE fcUB-TRF>ASURY SCHEME, AMD
THE STATE HANK SYSTEM.
? ? ? ? The experiment has not been
fairly tried,.because, the Deposite Hanks have
been placed in a situation hitherto unparal
leled in our history, and not likely to occur
again for a century or longer. With forty
millions of surplus and unnecessary revenue,
producing all the confusion which might be
expected from su< h a circumstance in our
whole monetary system-^and moreover, with
a spirit of over-dealing in every department of
society, which has thrown every thing into,
confusion. This over-dealing, too, is without a
precedent in our annals Yet it is under such
extraordinary and unexampled circumstances,
that the Hanking system, unrequited an it,
loo, has bwD lorced to contend. As u* arr ?t
present situated, alter so long and intricate u
connection with Banking institutions, it u
worse than idle to talk of divorcing oursehi,
from them altogether.
And now, may we ask, what are the ad
vantages proponed to be derived from the jn
trodnction mto the States of thin SuIh 1 rca
Bury iy?lem ? For my own part, 1 do most
candidly own, that deeply and anxiously as I
have revolved the subject in my mind, I have
hitherto been unable u? discover one single
circumstance that can justly entitle it to a
preference over the employment of State
Hanks, even as these at present exist. Will
the public funds be more safe under its aus
pices, than when deposited in the most re
spectable Banks in the different States ? This
I utterly deny ; and I confidently appeal to
the experience of the past to bear ine out in
the assertion. From September, 1833, tho
public money has been kept in the State
Hanks, and we are not aware that any portion
of it has been lost. Even now, after one of
the severest commercial revulsions on record,
we have the authority of the Secretary of the
Treasury for the fact, (see his circular dated
July 3d,) that "he has received satisfactory
information from all the Deposite Hanks ; and
that a strong conviction is entertained, that no
loss will be ultimately sustained by tho Go
vernment." Hut, grant that some inconsider
able losses may unavoidably be incurred, arc;
we to suppose, that under any plan which tho
ingenuity of man may devise?let it be Sub
Treasuries, or what you will?that the same
effects w ill not be experienced, when the like
causes occur ! Are we seriously to expect,
when the nation itself is bankrupt, and when
the whole people are more or less embarrass
ed, that the Government will be able, through
the agency of some unexplained miracle, u>
avoid the contagion ; or, rather, that when the
only source from which it can derive health
and strength, viz: the general prosperity of
the country, is palsied for a time, it will lie
able even then to wallow in luxury and plen
ty ? The idea is absurd in the extreme. In
a* Republic, too, this seems doubly strange.
In prosperity or in adversity, our Government
to be rightful and faithful to its trust, must al
ways represent our precise situation, our
wishes and our peculiarities. It is well, that
the governor should ever be liable to share
the different vicissitudes of the governed.
Beside#, what right have officers of Govern
ment, in a season of general ruin and distress,
lo be paid in a currency that commands a
premium, while the great body of the people
are under the necessity of giving and receiv
ing a depreciated medium in their daily trans
actions ?
Thus then, sir, we see at once (anil it must
require a prejudiced and perverse mind, in
deed, not to see it) that in every aspect in
which this question can be viewed, it is diffi
cult to find one single good or even plausible
reason, in behalf of this Sub-Treasury scheme
over the State Banks. 1st. Because we have
seen, that so far from having given the latter
a fair and final trial, we have permitted them
to exist to this late hour, without ever having
once successfully engrafted on them those
Salutary checks and reforms, which our own
reason tells us are proper, and which the long
experience of other countries has demonstrat
ed to be necessary. 2d. Because it is clear,
that the public moneys are as safe or safer in
them than under the proposed substitute : in
consequence of the additional risk (always
imminent) attending the continual transporta
tion of large sums of money ; ami also because
of the great number of persons necessarily
employed under such a system, which always
has a tendency to divide responsibility, and
to encourage fraud. 3dly. Because of the
increased power and patronage which it be
stows on the Executive branch of the Govern
ment. 4tidy. Because of the very expensive
preparations' that must be requisite to carry on
such an establishment, amounting probably to
hundreds of thousands of dollars. 5thly. Be
cause of its useless or nugatory character
altogether. In ordinary times it can prove
but an incumbrance; because we all know
very well, that then the transfer of the funds
ol" Government from place to place, can bo
more easily, expeditiously and economically
accomplished through the agency of tho
Banks, as has been the case for the last three
or four years. In times of pressure and em
barrassment, of what possible benefit or use,
1 ask, can such an institution be? Is it sup
posed that in such times when specie always
commands a large premium, men will be
found simple enough to purchase it at an im
mense sacrifice in order to pay it over to the
Government? Oil the contrary, we are .ill
well aware, that in such a season of pressure
the commerce of the country becoming stag
nated, and all importations being nearly at a
stand, of course no duties are paid, and their
Sub-Treasuries will not be ol the least use,
but may as well be locked up till the times
have bettered. Most truly, may it then be
said, that under such a system, whether the
title of prosperity elevates, or the returning ehl>
of adversity depresses us, one only result is
sure, increased burthens on the people tn ordii
to meet the expenses of so complicated an esta
blishment.
Sir, let us profit whilst we may from the
experience of the past, and the knowledge ol
other countries on the subject. The ':u't
seems clear and irrefragable to my own mind,
that a mixed currency of paper and the pre
cious metals, cautiously restricted, and right
fullv proportioned, is the very best ; the most
suited to the situation and actual exigencies
of society, and entirely devoid of all reasona
ble objections. The legitimate question wo
have lo decide is, not whether the institution
of Banking be theoretically good or bad ; but
whether or no it l?e so leagued and interwoven
with our social fabric, that we cannot eradi
cate the one, without necessarily destroying
the other. And whether this is the precise
truth of the case or not, 1 readily leave it t<?
tbe decision of every sensible, clear-headed
citizen in the State. France and England
present to us the instructive phenomenon ol a
good, healthy, convertible currency, excel
lently adapted to all the purposes and conve
niences of trade and travelling. And to what,
sir, do they owe these peculiar advantages
Obviously to the fact of their excluding a I
small notes from circulation. It is a degrad
ing reflection, sir, that while we who are so
J far in advance of them as to all improvements
in the science of Government, should lie so
backward in all that relates to a true know
ledge of business, and the higher laws <.i
commerce. I.el us, then follow the,r wt-e
example in this respect. Let other nib i"
considerations give way to this: perini
party prejudice and divisions to influence r .
LiJ-onte-ubj.-,. if
mixid clirrwicy. ci.mbm. J "I""1 ? J
U a,,! mnnin a ,??,(? r.u,? a ,1 I an.?>
nioi. people. A Goocitt.AXn hi " ?