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^CORRESPONDENCE—UNITED S T A T E S B A N K . ]
t h e political arena, a t t e m p t e d to c o r r u p t
'T^om t h e M i d d l e b u r y (Vt.) Argus.)
\ he following c o r r e s p o n d e n c e , b e t w e e n t h e p r e s s , a n d w a g e w a r w i t h t h e G o tlu i:on, R i c h a r d R u s h and a c o m m i t t e e , v e r n m e n t , w o u l d n o t b e d a n g e r o u s t o t h e
aj \ s u i t e d at a p v b l i c m e e t i n g in t h i s t o w n , p e a c e of t h e c o u n t r y a n d t h e safety of o u r
Vi- • = •)- before our r e a d e r s w i t h u n d i s g u i s - f r e e i n s t i t u t i o n s : a n d w h e t h e r , in h i s opined , e n s u r e . M r . H a s h r e s i d e s n e a r I J h i - i o n , t h e p r e s s u r e w h i c h lias b e e n so s e v e r e l y
1
v-'j>bia, w h e r e t h e B a n k of t h e U n i t e d felt, in t h e m o n e y m a r k e t in o u r p r i n c i p a l
' ..ites is l o c a t e d .
H e is p e r s o n a l l y a c - c i t i e s , h a s r e s u l t e d f r o m t h e r e m o v a l ot t h e
uainied w i t h t h o s e w h o h a v e t h e d i r e c t i o n p u b l i c d e p o s i t s , o r f r o m t h e c o n d u c t of t l t e
* f it; and m a y b e s u p p o s e d to h a v e a c o m - H a n k of t h e U n i t e d S t a t e s : a n d w h e t h e r , in
fj* tent k n o w l e d g e of its p o w e r s for good o r h i s o p i n i o n , a r e t u r n of t h e d e p o s i t s t o t h a t
# \ i l , from t h e c i r c u m s t a n c e , t h a t h e h a s i n s t i t u t i o n , w i t h o u t a c h a n g e in t h e c o u r s e
lf i »n long in p u b l i c life, is a c l o s e o b s e r v e r p u r s u e d b y t h e b a n k , w o u l d m a t e r i a l l y t e n d
t i m e n and measures, has held public sta- to relieve or mitigate t h a t p r e s s u r e : and
tjWss i n t i m a t e l y c o n n e c t e d w i t h t h e B a n k w h e t h e r t h e l a t e v o t e of t h e S e n a t e , c e n MR its o p e r a t i o n s : " and a c i r c u m s t a n c e , s u r i n g t h e P r e s i d e n t for t h e r e m o v a l of t h e
' ^ f i i c h will g i v e his opinion g r e a t w e i g h t d e p o s i t s , is w a r r a n t e d b y t h e i r c o n s t i t u iwith t h e public* is, t h a t h e s t a n d s e n t i r e l y t i o n a l powers.**
W*J£* m e c t e d w i t h e i t h e r p a r t y ; h o l d i n g n o
T h e u n d e r s i g n e d , in c o m m o n w i t h m a n y
ofliyv n o r e x p e c t i n g any from g o v e r n m e n t , of t h e i r fellow c i t i z e n s , h a v e w a t c h e d t h e
•*W s t a n d i n g e n t i r e l y b e y o n d t h e m e n a c e s p r o g r e s s of t h e B a n k of t h e U n i t e d S t a t e s
yr l a r g e s s e s of t h e bank* M o r e t h a n this, w i t h i n t e n s e a n x i e t y . T h e y h a v e s e e n i t s
jM**fcughout t h e w h o l e c o u n t r y , h e is r e - s t r u g g l e s for a r e - c h a r t e r c o n v u l s i n g t h e
ljfelrded a s a f e a r l e s s , h o n e s t m a n , u p r i g h t connti^y t o its c e n t r e , a n d b r i n g i n g in i t s
'lifflM intelligent in f o r m i n g , a n d f r a n k in t h e t r a i n d i s m a y a n d d i s t r e s s a m o n g l a r g e p o r ~o\^c1aration of h i s p o l i t i c a l o p i n i o n s .
W e tions of t h e c o m m e r c i a l c o m m u n i t y ; w h i l e
• c ^ i . m e n d h i s l e t t e r to t h e p e o p l e of V e r - t h e w h o l e land h a s b e e n filled w i t h t h e bit•f-Wnt a s a d o c u m e n t w e l l w o r t h y of a n
^Jlfctentive p e r u s a l .
•,
—
L E T T E R T O MR. f RUSUt.#
j ^
Middlebury,
A /irM<35,,iT83L
h a v e seen t h e U , 3 * « e r ^ ^ d e s c e n c l i n g from
:
Tton. R I C H A R D R t s i i ,
.•* **'**
J3ear S i r : T h e unders"kg1>£c].'citizen* ofc
A d i s o n c o u n t y , in t h e i?Wite* b f V e r n r A n t ^
w r e a p p o i n t e d , a t a j ^ M i j ^ m e e t i n g , herfc!-*
«» at t h i s p l a c e on t h j ? # l 7 l 1 / i n s t a n t , b y t h o s e p r i n c i p a l s c e n e s of c o m m e r c i a l * ^ e i i v i t y , w e
o p p o s e d to t h e re-ch*aVter of V)tp«B«iBlf of •haY^bJrt*limited ImtUns'of a s c e r t a i n i n g c o r tijc U n i t e d S t a t e s , to t r a n s m i t t t b l y j m j h e 4 - j ^ c t i/ifdrrftatipK, ViU* staring t h e r e o n t o t h e
subjoined r e s o l u t i o n s , a d o p t e d a? satd*rneec t ** b e V t ' o P b b r ' / u c l g r h e ' n t for t h e b e s t good of
o u r c o m m o n c o u n t r y , a n d for t h e p r e s e r v a -* R e s o l v e d t h a t t h i s m e e t i n g e n t e r t a i n tion of o u r f r e e i n s t i t u t i o n s ; r e l y i n g u p o n
t h e h i g h e s t r e s p e c t for t h e p e r s o n a l a n d y o u r c a n d o r a n d p o l i t i c a l i n t e l l i g e n c e , a n d
P " lie c h a r a c t e r of t h e H o n . R i c h a r d R u s h , w e l l k n o w i n g t h a t y o u r p u n l j c d u t i e s h a v e
<• " P e n n s y l v a n i a , a n d t h a t w e r e g a r d t h e m a d e y o u i n t i m a t e l y a c q u a i n t e d w i t h t h e
•*
frank and f e a r l e s s m a n n e r in w h i c h h e se- o p e r a t i o n s of t h e B a n k of t h e U* S t a t e s ,
cond* t h e efforts of t h e p e o p l e , t o r e s i s t t h e a n d its p o w e r for good o r for e v i l ; t h e m e e t u s u r p a t i o n s a n d c o r r u p t i o n s of t h e U . S t a t e s ing w h i c h h a s c h a r g e d u s w i t h t h e d u t y of
B a n k , a s r e f l e c t i n g t h e h i g h e s t h o n o r on a d d r e s s i n g y o u , a n d o u r s e l v e s i n d i v i d u a l l y ,
h i m as u p a t r i o t , a;id e n t i t l e s h i m t o t h e will be h i g h l y g r a t i f i e d if y o u will f a v o r u s
t h a i k s of h i s c o u n t r y m e n .
w i t h y o u r o p i n i o n s in r e l a t i o n t o t h e s u b j e c t s
** R e s o l v e d , T h a t a c o m m i t t e e of e i g h t ci- e m b r a c e d in t h e a c c o m p a n y i n g r e s o l u t i o n s .
t i z e n s of t h i 3 c o u n t y , b e a p p o i n t e d b y t h i s
W e a r e , w i t h s e n t i m e n t s of t h e h i g h e s t
i ^ e e t m g , t o a d d r e s s a r e s p e c t f u l l e t t e r to r e s p e c t , y o u r f r i e n d s a n d fellow c i t i z e n s ,
•* ** -n* R i c h a r d R u s h , a n d solicit from
E . W< J U D D ,
W M . B. S U M N E R .
"i!i- " - v i e w s in r e l a t i o n t o t h e p o l i c y of re*
SILAS W R I G H T ,
CII. LINSLEY,
»a: r i n g t h e p r e s e n t B a n k of t h e U n i t e d
; rt.--.L-fs, and w h e t h e r a r e n e w a l of t h i s v a s t
JNO. MORTON,
B I MINER, JR.

j t ary^d power, after it has boldly entered




A,

PARSONS,

C.

C.

WALLER.

[MR. RUSH'S REPLY.}
Sydenham^

near
Philadelphia^"}
M a y 2 6 , 1834.
5
G E N T L E M E N , — - I r e c e i v e d y o u r letter
o f the 25th of last m o n t h , e m b o d y i n g a
c o p y o f t w o r e s o l u t i o n s a d o p t e d shortly
before i t s d a t e at a p u b l i c m e e t i n g o f
c i t i z e n s of A d d i s o n c o u n t y in V e r m o n t ,
o p p o s e d t o r e c h a r l e r i n g the bank; the
first o f w h i c h d e m a n d s m y s p e c i a l
t h a n k s , as being 1 in t e r m s than w h i c h
n o n e could be m o r e cordial or o b l i g i n g .
C o m i n g in a m a n n e r s o u n e x p e c t e d and
s p o n t a n e o u s , it id d o u b l y grateful. Y o u r
s e c o n d resolution a s k s m y v i e w s on t h e
poitits f o l l o w i n g :
1. W h e t h e r the recharter o f the pres e n t batik o f t h e U n i t e d States, u after
i t h a s b o l d l y entered t h e political arena,
a t t e m p t e d to c o r r u p t the p r e s s and w a g e
•war w i t h t h e g o v e r n m e n t , w o u l d not be
d a n g e r o u s to t h e p e a c e of the c o u n t r y
and t h e safety of our free i n s t i t u t i o n s . "
2. W h e t h e r the pressure in the m o n e y m a r k e t " h a s resulted f r o m t h e rem o v a l of the p u b l i c d e p o s i t e s or from
t h e c o n d u c t of the bank* aijd j*Jftp*hpr «*,
return of the deposit&s» w u f & ^ u t V c f c u l ^
i n the c o u r s e ' jpurs\r^J by the bank,
w o u l d m a t e r i a l l y tvncf to relieve or m i t i g a t e that p r e s i u c e / *
3 . W h e t h e r " the l a t v v^tjp ofith<x ?US
n a t e o f t h e U n i t e d S t a r t s ceVsuring^tlte
P r e s i d e n t ior the r e m o v a l of the d e p o s i t e s , i s warranted tytf {lieit* VrQnstuvr*
tional powers/*
U p o n subjects s o m u c h d i s c u s s e d b e fore the c o u n t r y as the above h a v e been
i n official and all w a y s , I a l m o s t dread
t o enter, for fear o f t e d i o u s n e s s ; but as
y o u are pleased to ask m y o p i n i o n s , I
w i l l g i v e t h e m w i t h the c a n d o r e v e r y
Citizen should e x e r c i s e w h e n thus inv i t e d . T h e nature of y o u r c o m m u n i c a tion is a prooT, that a l i h o u g h the s u b j e c t s m a y h a v e l o s t their novelty, t h e y
h a r e not, in y o u r e y e s , lost their interest; nor have they in m i n e . O n the
contrary, s o blended are they with the
h i g h e s t c o n s i d e r a t i o n s of public p o l i c y ,
s o fruitful have they been of strife, and
s o b i g d o they still s e e m w i t h it, that
a p p e a l s are but the s t r o n g e r to the publ i c d u t y o f every c i t i z e n , t o contribute




h i s rnite,if called upon, t o w a r d s the H^ht
u n d e r s t a n d i n g of the-M.
1* I a m of o p i n i o * that th< a barter of the bank wc.;!•!. i:i t•• L w m J s
*
o f y o u r resolution, be dani^ro*.* r o the
p e a c e of the country and the <afi v of
our free institutions. 1 thin 1 so tor
your reasons* T h e hank has et u*p:d Mie
political arena. N o t t > sec this, \*ould
be blindness. Its friends d o not, in effect, deny it; but say that if it did g o
there, it w;ts from n e c e s s i t y , not c h o i c e , ^
and with no o t h e r object than to defend
itself a g a i n s t attacks. I regard the plea
as unsound. It puts the bank in a po
sition not given to it by the law, or ex
i s t i n g in the nature of t h i n g s . It starts
in error, and g i v e s a bad direction to
w h a t follows. It c o n f o u n d s first elem e n t s . T h e attacks m e a n t , are those
contained in the P r e s i d e n t ' s veto and
other state papers from that source.
T h e President is not the w h o l e government; but he forms the e x e c u t i v e branch.
H e represents the nation in that branch.
H e is l i k e w i s e a c o - o r d i n a t e branch of
the legislature. T h e concurrence of a
f»ti*i«r* President, w a s requisite to the "
law crffigSug, the bank* It was an act
of«duty it be t h o u g h t s u c h an institution n e c e s M r y
T h e veto o f the existi n g Presidettf'wa^ not l e s s an act of duty, if he, in tUVn, jTtmight that u s chartetr«Vic*uJcE cease* A n d is it for the bank
t<X fQn$K?jr t h i s constitutional opposit i o n , an attack? If s o , it a s s u m e s to
prescribe a course for t h e government.
It a s s u m e s to p a s s s e n t e n c e unon its
acts of indisputable authority. It und e r t a k e s , as your resolution remarks, to
w a g e war w i t h the g o v e r n m e n t H e n c e ,
the very n e w s p a p e r s o f Ku-rope, a* our
o w n , are, at this m o m e n t , from wh^t i s
too o b v i o u s l y the fact, s p e a k i n g o f a
w a r between our g o v e r n m e n t and t h e
bank.
T h e r e i s s o m e t h i n g novel in this fact.
T o have p r o d u c e d it, p r i n c i p l e s and
feelings fundamentally wro«g,nv*^t h a v e
been at w o r k .
IVhere^ will be the p u r p o s e of m y s e a r c h . It o u g h t not to h a v e
h a p p e n e d , that a b a n k i n g c o m p a n y
could h a v e raised itself t o a c o n d i t i o n

3
of s u c h c o e q u a l i t y w i t h t h e g o v e r n m e n t
of a g r e a t n a t i o n , o r any o n e of i t s
b r a n c h e s . I t is d i s p a r a g i n g to its d i g nity, to i t s a u t h o r i t y , I a d d , e m p h a t i c a l ly, t o i t s safety. T h e last is s t r u c k at,
if ever \o be t h r e a t e n e d with t h e h o s t i l i ty of an o v e r g r o w n m o n e y e d i n s t i t u t i o n
p l a n t e d in the h e a r t of t h e l a n d . N e i t h e r t h e "passions, n o r even t h e just int e r e s t s , of s u c h an i n s t i t u t i o n , o u g h t to
h a v e so d a n g e r o u s a s p h e r e open to
t h e m , on the plea of self-defence, or any
plea. I t s s p h e r e m a y be a very useful
one, if it k e e p w i t h i n it; h u t it is a s p h e r e
totally different. I t is b u s i n e s s l i k e , not
w a r l i k e . T h e p l e a is an a g g r a v a t i o n .
I t is d e c e p t i v e . I t h a s a first b l u s h of
j u s t i c e before t h o s e u n a b l e , or u n w i l l i n g ,
t o e x e r t t h o u g h t ; but n o t t h e least reality
of j u s t i c e . T h e d a n g e r s t h a t l u r k und e r it, o u g h t to a w a k e n t h e w h o l e nation; and would, b u t t h a t so l a r g e a portion of it feels the p o w e r , or c o w e r s und e r t h e influence of t h e bank. T h i r t y five m i l l i o n s of d o l l a r s , clad in c o r p o r a t e
a r m o u r , o u g h t n o t , u n d e r any given or
p o s s i b l e c i r c u m s t a n c e s , to be seen as a
p a r t y b e l l i g e r e n t d e f e n d i n g itself a g a i n s t
t h e g o v e r n m e n t , o r any p a r t of it. W h a t
i s to be t h e c o n s e q u e n c e of such d o c trine? H o w far is it to go? L e t s o b e r
m i n d s a n s w e r . If t h e b a n k m a y fight
t h e P r e s i d e n t , it m a y , on t h e s a m e
g r o u n d , fight e i t h e r h o u s e of c o n g r e s s ;
t h a t is, w h e n e v e r it d e e m s itself attacked
by e i t h e r , w h e t h e r t h r o u g h the a d v e r s e
r e p o r t of a c o m m i t t e e , a d v e r s e r e s o l u t i o n s , or o t h e r w i s e . It m a y fight any of
t h e p u b l i c d e p a r t m e n t s . I t m a y fight
t h e w h o l e g o v e r n m e n t conjointly, as any
p a r t s e p a r a t e l y . T h e p l e a is u t t e r l y ina d m i s s i b l e ; t h e s p e c t a c l e an o u t r a g e .
W e have so p l u n g e d into e r r o r after err o r upon t h i s subject; we arc so s t e e p e d
in influences as enfeebling to intellect as
r e p r o a c h f u l to p a t r i o t i s m and w o u n d i n g
to public pride, that the mind must
r o u s e itself as from s t u p o r , to g e t b a c k
to first t r u t h s . T h e l e m a r k a h l e s t a t e
of t h i » S s * a m t o ^ e a * w a h tinder y o u r
l e t t e r , n e v e r could have h a p p e n e d but
for t h e p e r i l o u s g r o w t h of s t r e n g t h , and
still m o r e r a n k p r o g r e s s of vicious n o t i o n s a n d p r a c t i c e s in the b a n k ; w h i c h ,
if n o t effectually c h e c k e d , will b r i n g
u p o n t h i s c o u n t r y a s t a t e of politicaJ




a n d social d e b a s e m e n t n o t t o b e con*
t e m p l a t e d b u t w i t h d i s m a y and d i s g u s t .
T h e b a n k h a s its r i g h t s ; b u t t h e y a r e
t h o s e of an official s e r v a n t . N o w , a l t h o u g h a servant m a y c l a i m t h e e n f o r c e m e n t of all his r i g h t s as s t r i c i l y a s a m a s ter m a y his, ihe two t h i n g s a r e e s s e n t i ally different—a d i s t i n c t i o n of w h i c h t h e
b a n k ' s w h o l e c o n d u c t h a s m a r k e d supreme disregard.
T h e f a m o u s r e s o l u t i o n s of its d i r e c t o r s , one of w h i c h a u t h o r i s e d t h e prefiaration
and c i r c u l a t i o n t h r o u g h t h e
p r e s s of "such documents and papers as
may communicate
to the people
information i?i regard to its nature and opera*
tions" I hold to h a v e been in t h e ' h i g h est d e g r e e bold and unlawful. T h e lang u a g e is i m p e r i o u s . C o m m u n i c a t e inf o r m a t i o n to t h e people! as if s p e a k i n g
from a u t h o r i t y ; as if, like a c o - o r d i n a t e
p o w e r e n t r e n c h e d in t h e s l a t e , i t was
about to e x e c u t e a t r u s t of d e l e g a t e d sov e r e i g n t y ! T h e very w o r d , s e e m e d a p p r o p r i a t e to c o m i n g e l e c t i o n s .
The
b a n k w a s c r e a t e d for no such e n d s . T h e
a v o w a l of t h e m , is an affront t o t h e
w h o l e c o u n t r y . I t w a s c r e a t e d , so far
as t h e g o v e r n m e n t w a s c o n c e r n e d , to b e
t h e m e r e s e r v a n t of its T r e a s u r y ; t h e
m e r e a g e n t of its r e v e n u e officers. T h i s
w a s t h e p r i m a r y , t h e sole, m o t i v e to i t s
c r e a t i o n . So far as t h e s t o c k h o l d e r s
w e r e c o n c e r n e d , and t h a t t h e i r i n t e r e s t s
m i g h t b e collaterally p r o m o t e d , it w a s
p r i v i l e g e d to d o t h e o r d i n a r y b u s i n e s s
of b a n k i n g . I n b o t h c a s e s , it w a s s u b j e c t to t h e m a u y a n d j e a l o u s r e s t r i c t i o n s
c o n t a i n e d in t h e l a w . T o e n l i g h t e n the
people^ t h r o u g h t h e p r e s s , on t h e n a t u r e
and o p e r a t i o n s of b a n k i n g , or on t h e
n a t u r e of its own o p e r a t i o n s , is a m o n g
n o n e of t h e p o w e r s g r a n t e d to it. I t is
d e r i v a b l e from n o n e , by any r a t i o n a l o r
e q u i t a b l e i m p l i c a t i o n . I t is in conflict
w i t h t h e e n t i r e p u r p o s e and s p i r i t of t h e
law, no less t h a n w r i t t e n g u a r d s v i s i b l e
in so m a n y o t h e r r e s p e c t s . It is n o t o r i ously in conflict w i t h
contemporary
o p i n i o n s and feelings in t h e n a t i o n
It
w a s not without travail, that that Jaw
p a s s e d . M a n y o b s t a c l e s w e r e t o be r e moved, m a n y d o u b t s to be obviated,
m a n y a n x i e t i e s to be t r a n q u i l i z e d . T h e
i l l u s t r i o u s h e a d of t h e g o v e r n m e n t w h o

ftntdlyr-gaye it his sanction, had ancient

4
and heavy scruples to vanquish.
The
c l a i m s u g g e s t e d is p e r f e c t l y n e w . It is
d e s t i t u t e o f ail s h a d o w o f e x c u s e .
It is
as unnecessary as dangerous.
In t h e
c a l m e s t m o o d o f i n v e s t i g a t i o n * it is difficult to s a y i f it be m o s t p r e p o s t e r o u s ,
o r offensive*
I f t h e b a n k , i n d u l g i n g its
o w n t h e o r i e s o f i t s o w n i m m u n i t y * had
t a k e n fire at s l a t e p a p e r s c o n s t i t u t i o n a l l y e m a n a t i n g f r o m o n e branch o f the g o v e r n m e n t , if t h e s e m u s t be c o n s i d e r e d
attacks^
t h e r e w a s defence
e n o u g h in
Slate p a p e r s i s s u i n g f r o m o t h e r b r a n c h e s . E a c h b e i n g published under public
a u t h o r i t y , and t h u s n e c e s s a r i l y c i r c u l a t e d ) m i g h t w e l l h a v e s t o o d , \*or purp o s e s o f j u s t i c e m e r e l y , o n e a g a i n s t the
Other. T h e s t o c k h o l d e r s o r d i r e c t o r s
w e r e a l s o at l i b e r t y , as o t h e r citizens* to
w r i t e o r p r i n t w h a t t h e y c h o s e in their
individual capacities, u s i n g their o w n
f u n d s . B u t , if t h e p r e t e n s i o n to firefiare
( m a r k t h e w o r d ) and circulate
^ d-zcu
merits and fia/:erst*'
as c o r p o r a t e a c t s ,
a n d w i t h t h e c o r p o r a t e f u n d s , h a d been
set up w h e n the charter was applied
for* w h o d o e s not s e e that it w o u l d h a v e
m e t w i t h instant reprobation?
Who
d o e s n o t s e e , as t h e c o m m i t t e e of w a v s
and m e a n s have justly remarked, that
i t w o u l d h a v e been fatal a: o n c e to e v e r y
hope of obtaining one:
Its friends
"would q u i c k l y h a v e d i s a v o w e d the pretension.
Its opponents would
have
s c o u t e d it.
Y e t , w h e n the g o v e r n m e n t
directors protested against a usurpation
s o u n e x p e c t e d , it m a y be added w i t h o u t
u n d u e s t r e n g t h o f l a n g u a g e , so a s t o u n d i n g , w h a t d o t h e m a n a g e r s do?
They
s h o w defiance.
T h e y r e s o l v e that it
shall be followed up with renovated
v i g o r , and for indefinite p e r i o d s .
Here
i s a t e m p e r sufficient, it m i g h t h a v e
b e e n s u p p o s e d , to a w a k e n the r e f l e c t i n g .
N e v e r w a s m o r e signally illustrated the
p r i n c i p l e o f p o w e r a d d i n g to itself. T h e
c l a i m i s o n e w h i c h t h e b a n k , at the
t i m e of i t s o r i g i n , or in the d a y s o f its
w e a k n e s s , w o u l d nevet h a v e d r e a m e d of
s n a k i n g . It k n e w t o o w e l l the s e n s i i i v e n e s s o f C o n g r e s s to any t h i n g thut m i g h t
h a v e s t a r t e d the bare p o s s i b i l i t y o f s u c h
an i n s t i t u t i o n e v e r g o i n g i n t o the polit i c a l field at all, n o m a t t e r w h a t the purp o s e or p r o v o c a t i o n .
It k n e w t o o well
w h a t had been said, w h e t h e r rightfully




or n o t , o f t h e old b a n k s t o run t h e moiK
r e m o t e h a z a r d o f e x c i t i n g fears wbichL*
m o r e t h a n a n y o t h e r c a u s e , prereiHcNf
the r e n e w a l o f that e x p i r e d charter. T*>
be told t h a t local b a n k s s p e n d their moM^
ney f r e e l y on c o n t i n g e n t o b j e c t s , i s H o
answer.
It is c o n f o u n d i n g all d i s t i n c tions.
It is l i k e t h e b a n k t r a n s a c t i n g
b u s i n e s s w i t h less than seven directors
as a b o a r d , t h o u g h t h i s is m a d e a **/W»damentaT*
a r t i c l e in i t s c h a r t e r , b e c a u s e
local b a n k s a c t on s i m i l a r principles*
T h e n a t i o n a l b a n k , w a s for national pfer*
poses. Its notes b e i n g receivable e v e r y
w h e r e for d e m a n d s o f the nation, g i v e s
t h e m ( n o t h i n g e l s e w o u l d ) circulation*
every where.
H e n c e , t h e i r restricted^
or a b u n d a n t i s s u e , m a k e s , for the t i m e
b e i n g , m o n e y s c a r c e o r plenty t h r o u g h
the n a t i o n ; in o t h e r w o r d s affects, i t s
w h o l e currency, its w h o l e property*
A n d Aence the w i s d o m o f C o n g r e s s i n
providing that so vast a discretion
s h o u l d not be e x e r c i s e d but b y a c o m *
p e t e n t n u m b e r of the d i r e c t o r s . *Y"et t
the a n a l o g i e s o f s t a t e b a n k s in*t heir b u s i n e s s , are to be held up as g u i d e s f o r s t i c H
an i n s t i t u t i o n , a g a i n s t the w o r d s of rtai
c h a r t e r , and t h e n a t i o n a l o b j e c t * i n
granting hi
T h e d e f e n d e r s o f the bank treat t h e s e "
e x t r a o r d i n a r y r e s o l u t i o n s as n o t h i n g - .
T h e y take p o s t u p o n t h e i r i n n o c e n c e . I t
i s the o n l y r e s o u r c e left to t h e m . T t i e y
w o u l d c o m p a r e t h i n g s the m o s t u n i m p o r t a n t , w i t h t h i n g s the m o s t m o m e n tous,
L e t u s h e a r in a w o r d w h a t t h i e i f
g r o u n d is* T h e y a l l e g e that s t a t i o n a r y ,
for e x a m p l e , m u s t be p u r c h a s e d for t h e
bank; and would' t h e r e be h a r m in t H e
b o a r d p a s s i n g an o r d e r t o that effect^
a l t h o u g h t h e y d i d n o t a c c o m p a n y \%
witli any a p p r o p r i a ! ion, o r l i m i t o f th«*
sum ?
Su;fio?:<;ri/ I and is t h e c o m m o n sen^e o f the n a i i o n to b e s o d e a l t
wi'h?
T h e purchase of paper and a c count b o o k s m i g h t well e n o u g h i n d e e d
be o r d e r e d , w i t h o u t l i m i t i n g 1 t h e s u m ,
l i u t w h o s o w a n t i n g in p e r c e p t i o n a s
not to s e e , t h a t , u n d e r t h e r e s o l u t i o n s
in q u e s t i o n , ANY T H I N G m a y b e d o n e tO
the w a y o f e m p l o y i n g and PAYiNt* ttftfe
I U F . S S : t h a t no l i n e w o u l d o r c o t i W fc*
d r a w n b e t w e e n t h e " information?9
t*tffB
w r i t t e n d o w u and d i s s e m i n a t e d t h f o n g h
t h e c o u n t r y , and p o l i t i c a l m u t t e r %k*i

Would r u n into it? t h a t the w h o l e c o u n try m i g h t t h u s be flooded \yith p a r t i z a n
p u b l i c a t i o n s , of every drift and h u e , acc o r d i n g to the t e m p e r of the p e n s e m ployed? All this is e v i d e n t . I t is s c a r c e ly h i d d e n u n d e r the surface.
AccordingljVhe positive proof c o r r e s p o n d s w i t h
the i n e v i t a b l e a n t i c i p a t i o n . T h o s e who
have r e a d S e n a t o r B e n t o n ' s s p e e c h , and
other s p e e c h e s , m a y see w h a t d e s c r i p t i o n
of " documents
and /iajiers'9 w e r e prepared and c i r c u l a t e d . T h e r e s o l u t i o n s
were an entering 1 w e d g e , w i d e e n o u g h
to a d m i t every t h i n g - Ffty t h o u s a n d
dollars a c t u a l l y e x p e n d e d u n d e r t h e m ,
with a justification of t h e i r p r i n c i p l e ,
and the a d m i s s i o n t h a t t h e r e w a s no
stint to the a p p r o p r i a t i o n for c a r r y i n g
t h e m into further a n d , it m a y be a d d e d
without the slightest
exaggeration,
b o u n d l e s s effect, is t h e m o s t a l a r m i n g
iact t h a t has o c c u r r e d in o u r h i s t o r y .
I t s d i r e c t t e n d e n c y i s , TO C O R R U P T T H E
P R E S S O F T H K NATXON.
T h e r e is no gett i n g rid of this c o n c l u s i o n , if we c o n s u l t
reason* T h e m o r e we reason, t h e m o r e
the c o n c l u s i o n b i n d s .
T h e premises
are n o t too n a r r o w . T h e y are a m p l e ;
m o s t a b u n d a n t . All t h a t men w a n t , to
achieve t h e g r e a t e s t p o s s i b l e results in
the p h y s i c a l world, is a g r a p p l e or hold
in the first i n s t a n c e . So in t h e m o r a l
w o r l d . S o , m o s t e s p e c i a l l y , w i t h the
p r e s s ; t h e w o r k i n g s of w h i c h m a y be
m a d e so i n t e n s e , so a m a z i n g , when once
a pass is o p e n e d to the r i g h t lever. T h e
b a n k , a r m e d with the p r i n c i p l e e m b e d ded in t h e s e ^ r e s o l u t i o n s , is essentially
enabled to g a i n over t h i s m o s t p o t e n t
of all e n g i n e s in a p o p u l a r g o v e r n m e n t ,
to i t s own p u r p o s e s w h a t e v e r
they
m a y be. T h e m i n d m u s t p a u s e , to est i m a t e the m i s c h i e f w h i c h h e r e b u r s t s
u p o n it- I t m u s t give itself up to reflection,
to survey t h e c o n s e q u e n c e s
w h i c h m a y u l t i m a t e l y flow to the destin y of t h e n a t i o n . If, even n o w , we see
t h a t it p o l l u t e s social life; if, even now,
it e x h i b i t s the d e g r a d i n g s p e c t a c l e of
e l e c t i o n s , from a P r e s i d e n t ' s to a Cons t a b l e ' s , m a r s h a l l e d u n d e r bank and anti-bank t i c k e t s , t h r o u g h o u t vast p o r t i o n s
of o u r t e r r i t o r y , w h a t may it n o t a r r i v e
at in future? I do not s u p p o s e , far from
i t , t h a t all p r e s s e s t h a t defend the b a n k ,
d o so from e n l i s t m e n t in its service; b u t




a m i d s t t h e din and fury which p r e v a i l ,
w h o can d o u b t t h a t m u c h c o m e s from
s o r d i d i n d u c e m e n t s s u p p l i e d by t h i s institution? W h a t o b s e r v e r of t h e o r d i n a r y s p r i n g s to h u m a n action, so asleep
in t h i s instance? w h a t i m a g i n a t i o n so
i n c r e d u l o u s u n d e r proofs so g l a r i n g and
p r o b a b i l i t i e s so vehement? B y the princ i p l e explicitly m a i n t a i n e d , any sums
m a y be e x p e n d e d as freely as those hit h e r t o , for h u n t i n g down a P r e s i d e n t like
a counterfeiter, and so, for it follows
u n a v o i d a b l y , all o t h e r s w h o o p p o s e t h e
b a n k . Is n o t this g i v i n g up the w h o l e
d i s p u t e ? Is it not fearful g r o u n d t a k e n
by the b a n k , and as t r u e as fearful, and
as p r e s u m p t u o u s as true? A n y citizen
w h o will e s c a p e from t h e s h a c k l e s of
t h e b a n k , place himself in a position to
look at it, as i u c o u t e s t i b l e facts really
w a r r a n t , a n d then h e a r k e n to the d i c t a t e s
of a r i g h t j u d g m e n t , m a y see e n o u g h to
a p p a l h i m . S u c h w a s the effect of these
facts upon m e , w h o had formerly been
t h e b a n k ' s friend; such t h e i r i r r e s i s t i ble effect.
W e h e a r of the r e s p e c t a b i l i t y and pur i t y of the d i r e c t o r s , as a g u a r a n t e e
a g a i n s t d a n g e r . 1 w o n d e r at such an
a r g u m e n t . It is u n w o r t h y of t h o u s a n d s
w h o i n c o n s i d e r a t e l y give into it.
It
m a r k s forget fulness of all sale p r i n c i ples in p u b l i c affairs. I t m a r k s forgetfulness, we m a y h o p e , of the t r u e c h a r a c t e r of the A m e r i c a n people* I t is
like the b a n k ' s plea of xe if defence for
g o i n g to w a r with t h e g o v e r n m e n t .
It
is s p e c i o u s , but will not b e a r an i n s t a n t ' s
e x a m i n a t i o n . I t g o e s t o show the cloud
of e r r o r t h a t s e e m s to h a v e d a r k e n e d
all sides of this d i s c u s s i o n . W h e n t h e
c o u n t r y put its r e p r o b a t i o n on t h e sedition law, was its d o o m a v e r t e d by the
p e r s o n a l c h a r a c t e r s of those w h o u p held it? 1 allow to the b a n k d i r e c t o r s
every r e s p e c t a b i l i t y ; but is any h i g h er c l a i m to be m a d e for t h e m
than
for t h e B a y a r d s , t h e R u i l e d g e s , t h e
H a r p e r s , the T r a c e y s , t h e S e d g w i c k s
of t h a t day? L o r d N o r t h , w h o would
h a v e enslaved o u r f a t h e r s b u t for t h e i r
r e s i s t a n c e , w h o a l s o , as m i n i s t e r , scatt e r e d l a r g e s s e s all a b o u t h i m , was of
u n b l e m i s h e d r e c t i t u d e as well as e m i n e n t a c c o m p l i s h m e n t s in p r i v a t e life.
L o o k at t h e p r e s e n t w h i g a r i s t o c r a c y ,

9
w h o w i e l d t h e g o v e r n m e n t of E n g l a n d ! H o w m a n y of t h e m a r e of exalted personal worth; but would we,
of t h i s R e p u b l i c , a d o p t t h e i r o p i n i o n s
and practices—their pension list—their
sinecures—their church establishment
•—their r e d b o o k , a n d all else? T h e arg u m e n t r e q u i r e s b u t to be s t a t e d , to be
exploded. It suits not the understandi n g s of a p e o p l e a c c u s t o m e d to r i g h t
m a x i m s in g o v e r n m e n t . I t should not
for a m o m e n t close t h e i r m o u t h s , o r repress their authorized indignation.
It
it flying f r o m t h e p o i n t to e x c l a i m , t h a t
we dare not c h a r g e the directors with
w a n t i n g private honor or honesty.
We
h a v e no s u c h c h a r g e to m a k e . B u t we
will m a k e a n y , t h a t d u t y r e q u i r e s ; n o r
s h o u l d p u b l i c a l t e m i o n be d i v e r t e d by
w h a t s e e m s d e s i g n e d to c a r r y m e n a c e s ,
if t o c a r r y a n y t h i n g , from t h e p r e c i s e
a n d only q u e s t i o n . T h a t q u e s t i o n is,
h a d t h e d i r e c t o r s , in t h e i r c o r p o r a t e ca*
p a c i t y , p o w e r to vote the c o r p o r a t e
f u n d s , for t h e p u r p o s e s m e n t i o n e d in
t h e i r r e s o l u t i o n s ; t h e funds b e l o n g i n g
in p a r t to t h e n a t i o n , and to vote t h e m
without the least limitation?
I pro*
n o u n c e it a h i g h - h a n d e d a b u s e of a u t h o r i t y , w i t h o u t t h e s l i g h t e s t p r e t e x t of
r i g h t , or s e m b l a n c e of justification—full
of d a n g e r a s well as u n l a w f u l n e s s .
I
h a v e given m y r e a s o n s . T h e m o r e c a r e fully 1 e x a m i n e t h e m , the m o r e I t r a c e
t h e m up to first e l e m e n t s , the m o r e f o r t e
d o t h e y a c q u i r e in m y m i n d . T h e m e r i t
of b o l d n e s s t h e r e s o l u t i o n s c e r t a i n l y
h a v e , and of m u c h c a n d o r ; b u t if to he
t o l e r a t e d , if to be c a r r i e d i n t o effect at
t h e will of t h e b a n k , I shall think the
s o u r c e s of p u b l i c liberty a m o n g us, poisoned f o r e v e r . T h a t i n s t i t u t i o n will bec o m e , t h a t i n s t i t u t i o n m u s t b e c o m e , the
m a s t e r p o w e r in t h e s t a t e . N o d e m o n s t r a t i o n in p h y s i c s , no a p o t h e g m in m o r a l s , ever rented on f o u n d a t i o n s m o r e
i m m u t a b l e , t h a n will this t r u t h in polit i c s . A n d are an intelligent p e o p l e , a
p e o p l e watchful over p u b l i c l : b e i : \ \ to
be d r i v e n from t h e m , bv c l o ^ n u s ' and
s o p h i s m s ? N e v e r : ihey will e x e r c i s e
t h e i r r i g h t s , l o n g e r than the b a n k can
e x e r c i s e its u s u r p a t i o n s . A s a n o t h e r
e x c u s e , it is s o m e t i m e s s a i d , t h a t the
l a t t e r did n o t , after all, s u c c e e d at t h e
l a s t election; as if t h i s p r o v e s any t h i n g




more than that fifty thousand dollar*
w e r e n o t e n o u g h ! B u t w h o can a a y
w h a t a m i l l i o n m a y a c h i e v e on future^
o c c a s i o n s ; or more, if m o r e b e r e q u i r e d ?
T h e u n d i v i d e d profits of t h e bank* i t s
m e r e s u m s to play w i t h , h a v e s o m e t i m e s
been m o r e t h a n a m i l l i o n , m u c h t n o r e j
the whole, of w h i c h , by its own u n w a r r a n t a b l e c l a i m , it m a y e x p e n d u p o n
the p r e s s , b e s i d e s its o t h e r m e a n s of i n fluence I
G e n t l e m e n , T m u s t h o p e for your ex*
cuse in m a k i n g an a l l u s i o n , not c a l l e d
for I a d m i t by y o u r r e s o l u t i o n s ; b u t
w h i c h forces itself u p o n m e when I r e collect t h a t it is to a p o r t i o n of m y fellow c o u n t r y m e n in V e r m o n t I am ad*
d r e s s i n g myself.
You h a v e , in t h a t
s t a t e , a l a r g e if n o t p r e d o m i n a t i n g
n u m b e r of c i t i z e n s w h o m I hold in t h e
h i g h e s t r e s p e c t , from t h e k n o w l e d g e , I
have h a d of o t h e r s e l s e w h e r e , e n t e r t a i n i n g the s a m e p r i n c i p l e s . I mean a n t i m a s o n s . T h e belief t h e y h a d , w h i c h I
s h a r e d with t h e m , of t h e influence o f
the m a s o n i c i n s t i t u t i o n o v e r the p r e s s ,
was a m o n g the p r i m a r y i n d u c e m e n t s t o
t h e i r p o h tic a I a s s o c i a t i o n . N o w , I d e c l a r e , on the fullest a t t e n t i o n I have b e e n
able to give b o t h s u b j e c t s , t h a t I t h i n k
the b a n k , u n d e r t h e t e n e t s it a v o w s , %
foe m o r e d a n g e r o u s to t h e p r e s s , t h a n
the l o d g e s of the w h o l e U n i o n p u t t o g e t h e r . If the c o - a s s o c i a t e s of the f o r m er, at its c e n t r a l h e a d , and five a n d
t w e n t y ant p o s t s , be not c o n n e c t e d b y
o a t h s , they m u c h m o r e t h a n m a k e u p
for t h i s , by m o n e y ; an a g e n t m o r e s t e a dy, m u r e a c t i v e , m o r e efficient by f a r t
vthen the s u p p l y is a b u n d a n t , t h a n a n y
o t h e r c o n c e i v a b l e a g e n c y , in w i t h d r a w *
i n g p r e s s e s from t h e i r i n d e p e n d e n c e *
'J" he m a c h i n e r y of t h i s m o n e y e d i n s i i t u *
t i o n , o \ e r the g r e a t s p a c e t h a t it s w e e p s ,
m a y be m o v e d by e q u a l u n i t y of impulses
and d e s i g n , an J w i t h tenfold p o w e r , X
leave t h i s t o p i c , r e s o r t e d to s i m p l y f o r
t h i s i l l u s t r a t i o n , and w i t h it, leave t h i s
b r a n d ) of y o u r i n q u i r y .
If I d o not go i n t o f u r t h e r r e a s o n s f o r
not r e - c h a r t e r i n g the b a n k , t h a n t h o s e g i ven by y o u r s e l v e s , a s I h a v e b r o u g h t t h e m
u n d e r review, it is b e c a u s e I d e e m t h e s e
enough. I think that there are o t h e r s ,
and d e r i d e d o n e s , f u r n i s h e d by i t s o w n
manifesto.
Alike clear a m If t h a t t h e

t r e a t m e n t of t h e g o v e r n m e n t d i r e c t o r s ,
as m a d e k n o w n in t h e i r m e m o r i a l , is
d e s t r u c t i v e of f u n d a m e n t a l objects in
t h e c h a r t e r . If I do n o t enter u p o n a
d e v e l o p e m e n t of t h i s a s s e r t i o n , it is not
that it would not, in m y j u d g m e n t , be,ar
it, and a s t r o n g one; b u t b e c a u s e it
w o u l d o v e r l o a d m y letter, and m a y at
t h i s d a y be d i s p e n s e d w i t h . B u t I cannot avoid a p a s s i n g allusion to t h a t vital errtfr in the b a n k , s p r i n g i n g from
the s p i r i t of u s u r p a t i o n I have a i m e d
at unfolding, w h i c h would view t h e
g o v e r n m e n t d i r e c t o r s in no o t h e r l i g h t
than the o r d i n a r y d i r e c t o r s , w h o r e p r e sent t h e p e c u n i a r y i n t e r e s t of the stockh o l d e r s . So t h o u g h t not the s t a t e s m e n
best fitted to i n s t r u c t us on the point;
t h e H a m i l t o n s , t h e D a l l a s e s , the M a d i s o n s . So would not h a v e t h o u g h t the
bank in t h e d a y s of its origin or w e a k ness. N o r would its d e f e n d e r s , in t h o s e
d a y s , h a v e v e n t u r e d to t e r m the r e p r e sentatives of the collective people of the
U n i o n at its board of d i r e c t i o n , s/iies^
for d o i n g w h a t h a s lately e a r n e d this
title. T h e i r p h r a s e o l o g y w o u l d have
been m o r e g u a r d e d .
I I . H o w far the bank has caused the
p r e s s u r e in the m o n e y m a r k e t , is a q u e s tion not r e s t i n g on g r o u n d s so p a l p a b l e
as t h e one 1 h a v e been c o n s i d e r i n g .
P e r h a p s it is p r e m a t u r e to a t t e m p t any
a n s w e r to it at p r e s e n t , the H o u s e of
R e p r e s e n t a t i v e s h a v i n g , by its late resol u t i o n , c h a r g e d t h e c o m m i t t e e of invest i g a t i o n to a s c e r t a i n , if this can be done,
w h e t h e r t h e b a n k " has h a d any agency
t h r o u g h i t s m a n a g e m e n t or m o n e y , in
p r o d u c i n g the e x i s t i n g p r e s s u r e . " 1 he
i n c i p i e n t r e p o r t of t h a t c o m m i t t e e , its
m i s s i o n u n e x p e c t e d l y t e r m i n a t e d , its
o b j e c t c o n t u m a c i o u s l y baffled, is now
before the n a t i o n . T h e r e I leave it for
c o n s i d e r a t i o n . If an i m a g e of t h e true
m a j e s t y of the nation is any w h e r e to he
s e e n , it is w h e r e its assembled R e p r e s e n t a t i v e s sit. T o t h e m I leave the h i g h
d u l y of p a s s i n g upon the R e p o r t ; of vind i c a t i n g their own and t h e n a t i o n ' s aut h o r i t y , t h e i r own and the n a t i o n ' s dign i t y , a s l , i e y m a J r t , l i , , k each h a s been
n e w l y infringed. N o r have I at h a n d
t h e latest s t a t e m e n t s from t h e b a n k . O n
t h i s a c c o u n t also, 1 a m less able to m e e t

your second inquiry.




The removal of

the deposits was nothing more than
t r a n s f e r r i n g t h e m o n e y of the g o v e r n m e n t from t h e Bank of the U n i t e d S t a t e s
and its b r a n c h e s , w h e r e it h a d been k e p t
before, to S t a t e B a n k s , w h e r e it is t o be
k e p t in future. T h e c o u n t r y was n o t
d e p r i v e d of a single b a n k n o t e , or a single silver dollar, by this step* In p o i n t
of fact, it fell out, from the state of foreign e x c h a n g e , t h a t silver d o l l a r s w e r e
i m p o r t e d at abotit t h i s epoch; so that of
h a r d m o n e y Ave h a d m o r e , within a few
m o n t h s after the d e p o s i t s were r e m o v e d ,
and of p a p e r m o n e y n o t less. It s e e m s
difficult at first to believe, u n d e r t h i s
state of t h i n g s , t h a t d i s t r e s s could h a v e
h a v e been p r o d u c e d w i t h o u t a plan to
b r i n g it a b o u t , l u r k i n g s o m e w h e r e . O n
the s u p p o s i t i o n of such a p l a n , n o t h i n g
easier than its a c c o m p l i s h m e n t , by t h o s e
w o r k i n g t h e m o n e y - s p r i n g s of t h e c o u n try.
I have before m e , a l e t t e r r e c e n t l y received from a L o n d o n c o r r e s p o n d e n t ,
perfectly a c q u a i n t e d with the o p e r a t i o n
of the s t o c k and m o n e y m a r k e t s of t h a t
g r e a t world. In t h e c o u r s e of it, he rem a r k s u p o n the u wonderfully s m a l l
a m o u n t of capital w i t h d r a w n or a d d e d ,
t h a t will be sufficient to m a k e m o n e y
scarce or plenty all over a country.** I
give his w o r d s , and they are t r u e .
We
h a v e t h e a u t h o r i t y of the P r e s i d e n t of
the b a n k , t h a n w h o m no one is b e t t e r
i n f o r m e d or i n o r e c a p a b l e of j u d g i n g ,
t h a t at a m o m e n t of i m p e n d i n g s c a r c i t y
in o u r c o u n t r y , i n 1825, a s c a r c i t y t h r e a t e n i n g d i s a s t r o u s c o n s e q u e n c e s to i t s
g e n e r a l b u s i n e s s , a b u n d a n c e w a s restored by t h e i n c r e a s e of bank loans on a
single m o r n i n g , in N e w Y o r k , to t h e
a m o u n t of only fifty t h o u s a n d d o l l a r s .
I t would s e e m , on t h e s a m e a u t h o r i t y ,
t h a t Kngland was m a i n l y saved from
w o r s e d i s a s t e r s t h e s a m e year, by t h e
u n e x p e c t e d a r r i v a l from F r a n c e of so
s m a l l a relative s u m as t w o h u n d r e d
t h o u s a n d sovereigns- the s i m p l e t x p l a
nation of all w h i c h i s , t h a t it is the p u b lic fears or confidence w h i c h , for t h e
m o s t p a r t , k e e p m o n e y locked u p , o r
o p e n its r e c e p t a c l e s to the public w a n t s .
I t is e v i d e n t , t h a t it lies with t h o s e w h o
s t a n d h i g h e s t in t h e m o n e y m a r k e t , to
o p e r a t e m o s t u p o n both*

There have beeu causes at work to

8
create a demand formoney w h i c h w o u l d
have rendered the supply m o r e difficult
than usual, had the d e p o s i t s not been
r e m o v e d . I here particularly allude to
the c h a n g e in our c o m m e r c i a l c o d e , by
the law that took effect last s p r i n g <*\nd
s u m m e r , s h o r t e n i n g credits for duties
on large p o r t i o n s of merchandize imported, and requiring cash payments on
other p o r t i o n s , where formerly credit
w a s g i v e n . T h i s cause has not been
overlooked by able s p e a k e r s in Congress; but little c o m p a r a t i v e stress has
been laid upon it, a l t h o u g h it deserves
so m u c h . It is c o m p u t e d that a demand
for additional s u m s to an amount scarcely less than ten m i l l i o n s of dollars, has
arisen in the port of N e w York alone,
w i t h i n the year, from this single cause.
B u t for i t s operation, this money would
have been left in the hands of the merc h a n t s , instead of being paid away at
the c u s t o m house. It would have been,
in effect, a loan of so much to thern by
the g o v e r n m e n t until the terms of credit e x i s t i n g previously, had run out.
W i t h this m o n e y , many of them would
p e r h a p s have made another v o y a g e , or
o t h e r w i s e e m p l o y e d it; so as to have
p.aid the duties when the time c a m e
round, with the chances of a surplus,
t h r o u g h gains w h i c h they would thus
h a v e had an intermediate opportunity
of a c q u i r i n g . Even if the deposits had
n o t been r e m o v e d , the bank would not
readily have been able to s u p p l y this
d e m a n d , to w h i c h others from the
s a m e cause m u s t be added for other
parts of the country; at least if we
take its own declarations, for it holds
to the prudence of d i m i n i s h i n g , not
increasing, its loans as the expiration of its charter draws near; and it
has no r i g h t to build upon the charter
continuing longer than March 1836.
F o r one, 1 entertained doubts of the propriety of this change in our c o m m e r c i a l
policy,and expressed t h e m , under an official call from the Senate in
1828.
W h i l s t desirous of seeing manufactures
e n c o u r a g e d , c o m m e r c e had its equal
claims; and I did not think our country
then old e n o u g h , or our merchants as a
body rich e n o u g h in independent capital, to dispense with a provision in the
laws, though aware of the objections




m a d e to it, w h i c h , on t h e w h°fe> fcSfcjd^
aided in advancing our commerug|^^n
prosperity with a rapidity perhap* W|§t^
e x a m p l e d in the s a m e c o m p a s s of t h a u f e ^
T h e c h a n g e h a v i n g been m a d e , we.^MMl|i^
hone for the best; but the first year^hffjjli^
brought a heavy demand for money h ^ j ^
iherto unknown a m o n g our m e r c h ^ M *
at periods so short. It would have h c ^ »
referred to universally as one cause o f
the pressure, and an important one*t>**t,
fur the policy of k e e p i n g political * ^ >
citement e x c l u s i v e l y to t h e deposg|&
question.
C o m i n g more directly to the p o i n t
you propound, I have to s p e a k . o n ifc
thus: By the bank's own committee* i ^ e
are informed, that during the two y c * r *
between M a y 1S30 and M a y 1832, i t *
loans amounted to m o r e than tweiltyw
seven millions of dollars. T h o s e a t i f c ^
first date, were only forty-three m i l l i o n *
and a fraction. For this great i n c r e a s e
the bank accounts, in part, if not e n t i r e ly, so iar as its means to lend were COfe~
reined; but the m o t i v e s to the increa§»^
must be weighed by the country- I t l e d
to an amount of outstanding loans*,eqtft*tl
to seventy millions of dollars. T h e c a l l ing in of this s u m , within the^ s h o * t
remnant of the bank's existence* c>ufe£
hardly have been done, had the d e p o s H a
remained, without pressing on its debjLors. A c c o r d i n g l y it appears, that U e *
tween M a y ' 3 2 and N o v e m b e r ' 3 3 i t r e ~
duced its loans thirteen m i l l i o n s .
Hjr
D e c e m b e r 935 the reduction was s i x t e e n
m i l l i o n s . Part was, of course, after tl*%
d e p o s i t s had been r e m o v e d . B u t i%
s e e m s , that whilst the d e p o s i t s Were r e - V
duced during the m o n t h s of A u g u s t ^
S e p t e m b e r , O c t o b e r , and N o v e m b e r
last, only t w o millions and a half> i u
a m o u n t / o r thereabouts, the loans w e r e v
reduced, during the s a m e time> m o r e
than nine m i l l . o n s . T h e s e fuels fchovr
violent o p e n i n g s and s h u t t i n g s in t t * e
floodgates of this great institution, Jet- ;
ting money in and out with a q u i c k n e s s ^
and in an amount,not usual a m o n g c a r e ful bankers. It g i v e s asuspicion»not w h o l ~
ly unreasonable, in c o e x i s t e n c e w i t h p o litical events, that both had s o m e rele***
ence to the bank's o w n a i m s in r e g a r d
to the renewal of its charter* If t h e s u ^ '
picion be well founded, t h e p r e s s u r e im

g
accounted for. T h e disappearance of
phoney from the channels of circulation
toagreat commercial country and its
feiujrfi again, although so often depending on mere confidence, and always to
beeflTected by concert among powerful
capitalists, will sometimes spring from
causes that seem to elude search,because
interwoven with the complicated and
unseen operations of tratfe throughout
the world. T h i s will be more the case
in a country where, as in the United
States, there is an undue proportion of
papi'r monev; besides that fluctuations
•n*e more likely to occur in such a country Within its own limits, and on the
scale of its own operations.
As to the other part of the inquiry,
* iz: whether a restoration of the deposits, without a change in the course purSued by the bank, would tend to relieve
the pressure, it may be dispatched very
krirHy. I cannot even touch it, however, without premising how much I
'liould deplore the restoration, could I
conceive it possible,of what I think were
so justly taken away. But I do not believe that the restoration, were it possible, would do good, under any course
that the bank would pursue*. T h e step
would tend to fresh embarrassment rather than relief. T h e bank would probably not receive them back, unless it
expected to be re-chartered; so at least
1 should conjecture. T h e time has arrived when it is apparent that it must be
looking to measures for narrowing its
business. It ceases to exist, by the present law 5 inless than twenty-two months.
It has two years of partial life afterwards, but not for banking. It is for
nothing more than the purpose of
bringing or carrying on suits, and the
sale of its property.
III. Your last question is, whether
I think " the lattf vote of the Senate of
the United States censuring the President for th<^ removal of the deposits,
warranted by their constitutional powers:
A n d here, what answer can I give ?
W h a t ts left for me to say, after the convictions I have been expressing?
The
Juestion, in effect, has been answered.
t has been answered, unless I am to
fiii>g away all regard for what I con


ceive to be the character of our institutions in their very essence, and the highest dictates of public administration
under them. W i t h the views 1 enter*
tain of both, that there should have been
room lor the question, is, with me, the
source of surprise. 1 am at a loss, not
for matter, but expression, 1 hardly
know how to proceed. An imperious
institution, feeling its p o w e r , but forgetting its sphere, girds itself for battle*
T h e object of its attack, is the executive branch of the government. T h e
motive to the attach, the opposition
which the latter made to the renewal
of its charter; made constitutionally,
through official communications to both
Houses of Congress, and on convictions
of public duty. T h e means of attack,
the treasure under its control, partly belonging to the nation, yet most unwarrantably applied in gaining over, as far
as it could, the press; that clamor, and
passion, and every kind of movement,
might be rallied against this branch of
tlie government* T h e ultimate scheme
of attack, to draw public opinion to its
ends, giving out that the public good
was identical with its own; as if, being
charged like the first power in the State
with the public good,t he preparation and
circulation of " documents
andfiafier*"
were the appointed means of fulfilling
this call upon its superintending authority! All this is proved; proved, as
by the verity of legal records* T h e bank
has set down much, in its confession.
T h e executive head of the government
seeing it all, and more, sees also his duty. H e stands not with arms folded.
Under the highest obligations to his
country, he takes the field too- H e discerns a foe there, armed cap-a-pie for
war; not with the weapons of chivalry,
which m i g h t have alarmed him less, but
weapons of avarice. H e resolves to
eject it from the public enclosure into
which it had unlawfully broken. He resolves to drive it from this arena of its
bustle and noise, with the club nearest
at hand, and likely to be most effectual.
H e resolves to cripple its power of mischief, by diminishing its means of mis*
chief. H e resolves to remove from its
keeping the public treasure, of which it
proved itself so dangerous a depository*

10
And this, thia is his crime! Why, to guage of accusing eloquence*
my judgment, he has earned gratitude, over to sharp condemnation be&j
instead of censure. Not the doom of country and the world, all he asl
the constitution-breaker, but laurels due freeman's privilege of being
to the watchful patriot should await WHICH IS REFUSED HIM. I f C a s t r *
him.
Thi* is the light in which I view ghost could return, it might thii
his conduct, How,then,am I to proceed? strange, considering whom we
In truth, I am embarrassed* Principles rant. It might inquire, "who thu*
of transcendant importance come into not the life of a veteran soldier i|
my mind,accompanied by solicitudesand past,serving his country with rem
forebodings* The celebrated Castruc- no, such a soldier is generally wif
cio Castracani< of Lucca, about to die, lay down his life; but who rivet^lfJK**
when factions tore his country, desired him chains of dishonour? Who i W P f
to be buried face downward, saying that him to this agony, yet will not lisit*ifl60
in a short time affairs would be all lop- his defence? the body over whose d«WN^
sie turvey, and then he would be in the rations the sages of your revolutiott|^f<?same posture with other rneiu So, for sided—Clinton
Jefferson
Ad&BfiS**-?
J can get no better illustration, I should Impossible! But, if otherwise, 10 what
think affairs in our Republic topsie tur- moment of forgetfulness has it h*j*fWO~
vey, if the constitution has been broken ed? What omens, what u n h a p p y w j i by the President. I should think wrong sions, does it portend? Is your yp*tl*ftll
turned into right, and right into wrong. republic about lo fall?" So might lti*
I should think that a bank committing spirit speak. So might it carry bftck t o
and avowing usurpations, never before its shades, the impression of violated
%
avowed, I dare say, in any country un- justiceder the sun, even if committed,was about
Again if it be asked, who is this Presito rule our country; a country full of dent, again I will answer. I will atrive
hope and glory hitherto, but darkened to see tilings as they were, and as ttiey
of both. I should think the constitution are.
To the cause of the difference—not worth living under* 1 should think —its frightful cause—may our people
its primordial principles all reversed; every where get awake.
Majr tkeir
that like an inverted cone, it was totter- voice re-establish the safety and dignity
ing on its apex, instead of towering from of the Republic, rescuing both from
its base* I should think that future the grasp made at them. It is now lea*
Presidents would have no motive for de- than a year since this same President
tecting public abuses, but the strongest passed through the city,so near to whicH
for hiding them. I should think that I live as sometimes to catch iti the wind
penalties were to be annexed to official the echo of its bells. Its inhabitants
integrity, and bounties to official delin- ca.Tie forth to greet htm, as one moving1
quency. It is so that I should think mass. They " climb'd to walls and batCastracani's condition of things realized tlements, to towers and window^, y^ra
among us; even so, I should see more to chimney tops/* and there they sat,algrounds for public grief, than I have most the live-long day, to see the man
ever seen before—more for public des- who, more than any other, was believexl
pondency.
lo have SAVED THE UN:OX FROM IMPSKDAnd who is this President? Not de- ISGWKECK. All parties seemed tovtiife,
siring an answer from among the many til hearts to expand. The morning
Who assisted in raising him to power, beamed as with enthusiasm and joy*
but would now trample upon him, I will So he passed through the Jersies—•^New
hazard it myself, being of neither class. York—New England,—as in one long
I will strive to make it impartial. I line of triumph. The classic capita! o f
will aim at sheer justice. Does he bridle the latter, kindling at the sight o f
Tnen*s tongues, put an iron mask round Bunker's Hill, as he of New Orle&n*
approached, seemed especially emuiotii
in fervent demonstrations. Not content
gest lan- with the pageant of the streets* unsatie-




11
fied with o u t d o o r honors, it laid also 'ustice, and I think against its words,
t may be remarked,that the Senate have
at his feet, those of literature and scinot, in terms, censured him for the reence; it crowned him with chaplets in
it* revered halls of learning. A n d now, moval of the deposits* Their resolution,
*tt. are gone! Rejoicings are at an as it finally passed, simply runs, that the
*
Cud! T h e voices are hushed! N o , * President in the late executive protJ*ey burst out in other tones! W i t h - ceedings in relation to the public revein a year, a ** little year/* all are to nue, has assumed upon himself authoribtfc turned to maledictions, because he ty and power not conferred by the conremoved the deposits!
N o other charge stitution and laws, but iu derogation of
V -brought against him. He stands both." In the elaborate discussions
latere he did. T h e r e is but this single, which the subject led to in the Senate,
,t6iftt*ry, exception. He has removed the it has been said, and I think justly, that
*fcpo«tW W a s , ever, in any age o r n a - the resolution iu this shape is more ob^SfP» such an effect seen, from such a jectionable than if it had specified s o m e
^ i Mt ^ W a s ever moral proof more act or acts. In the latter case, posterity
^ f& ?
W
j^ ctaar, than that this nation is under could have judged for itself in the matwrifcg influence? T h a t which ought to ter. If the removal of the deposits had
*-, tone gained its chief magistrate double beenspecified, it might have asked why
glory, his sagacious estimate and reso- they were removed. T h i s would have
r t * punishment of misdeeds, is made brought out the whole case. T h e methe cause of his loudest persecution. rits on each side, would have been
I h e patriotic tendencies of the nation, known. T h e resolutions of the bank
its noblest impulses as they were rising*, appropriating the public money to act
the bitterness of party as it seemed ex- upon the press, and all else that it has
piring, a disposition to harmony—to done, would have been known, Posft magnanimous oblivion rather than terity would then have judged how far
Vengeful recollection of the faults of there had been any breach of public
public men—all these good feelings and faith towards such a bank* T h e charge,
prospects are changed and blasted by a as it now stands, is merely a s w e e p i n g
bank! The defioxits have been removed* one- W e , of the present day, know inand bolts fall thick upon AndrewJackson, deed that it covers the removal of the
An " arrowy sleet" darkens his horizon, deposits, and so may have been meant*
The worst passions are roused through- It i s , in its very nature, criminatory. I
out a great but insulted nation, by the do not hold it to have been the province
mercenary influence of" a bank! For con- of the Senate, thus to brand a President,
duct that ought to have consigned it to If he had done any thing criminal, it
universal condemnation, he simply re- would devolve on that body to try h i m ,
moves the deposits; when, as iu an in- on impeachment by the House cf Repre j
v slant, testimonials of respect—jubilees sentatives. T h e former ought not there;
of welcome—strains and acclamations fore to be accusers in any sense, seeing
thai rem the very air—plaudits-—flatte- that they may be called upon to be j u d g ries—all, all, are turned to execrations! es. It is blending characters that the
May the nation soon put an etui !o the constitution intended to keep apart.
cause o f so much mora* and public mis- There is natural injustice iu trying or
;
chief. May it effectually put down the accusing any man in his absence* JJO
batik, never to rise more. T h i s is my matter for what; no matter how s h g h t
.'hope, rny aspiration.
the censure, or bare inference to that
Hut I m u s t revert to your ques'ion, effect. All our cuustituiiuns, all our
unless answered sufficiently. I would not laws, of the states and union, guard
shrink from a close examination of it if against such a course, by thei- entire
needful; or did I not fear to encroach on spirit, and careful enactments. Still less
j-^ur patience. T h e vote of censure should it ever be adopted by one branch
upon the President has, in my opinion, of the government towards a co-ordin o warrant under the constitution. It nate branch. T h e artificial claim to lei s against itfe whole spirit, against its gislative rights or privileges, or to inci-




i

12
dent* g r o w i n g out o f either, cannot e x tinguish the prior c l a i m t o natural
a n d constitutional j u s t i c e .
T h e President should not be solemnly charged by either house cf c o n g r e s s with
offences of any kind, or with breaches
of the Ia%v in any w a y , unless by i m p e a c h m e n t , or resolutions intended as
i t s groundwork; and only then by the
H o u s e of Representatives, H e would
then have full opportunity of m a k i n g
h i s defence. T h i s I consider our constitutional law, in all its broad intendm e n t s , flowing necessarily from the
w o r d s of the clauses that bear upon this
subject. T h e resolution of the Senate
runs against t h e m . It has the effect o f
i m p e a c h m e n t as far as intended dishonour is concerned, whilst it allows to
t h e President none of the justice of its
f o r m s . In England, the approved mode
of proceeding against ail state offenders
i s , as w e know, by i m p e a c h m e n t . It
h a s been laid by, in revolutionary or arbitrary t i m e s . In such t i m e s , contendi n g parties attack each other with bills
of attainder, and w h a t they call in
England, bills of pains and penalties.
O u r constitution recognizes neither o f
these proceedings. The vote of the Senate censuring the President, m a k e s
s o m e approximation in principle to the
latter, so far as laying a foundation for it




g o e s . I repeat, that I can see
rant under our constitution for
sure, &nd none in justice. T h e
dent's protest against it, althou,
placed on the archives of the Se'
before the reading public of A
It has doubtless reached each
and would supersede, did nothi
the n e c e s s i t y of m y e n l a r g i n g
head.
M y letter, already, I fear too lo
for the deep interest o f the s
but your t i m e , m u s t be closed,
m e to say, that I should have wril
sooner, but for hindrances sin
c a m e to hand* putting it out
W i t h renewed expressions of &
lity to the terms in which you add
me,

To

I remain your
fn'**
fellow citizen
**- ^
and friend, p>&^
RICHARD RU|
K. W . Jui)D,
SILAS W R I G H T ,
J O H N M O K I OX,
ASAHKL PARSONS,
>
W \ B. SCMXKR,
ClIAS. LlXSLEY,
B » N J . MIXKH, JR.
C A L V I N C. W A L L I S H , J

Esq's* jflftij*<**-,