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1833.]

DEPOSITS-BANK OF THE UNITED STATES.

411

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from other quarters, decided to sell it to the Bank. a credit for the proceeds of the sale of the bill in Lon.

Secondly. It is not the fact that this money "was left don, but its actual disbursements on account of the bill in the use of the Bank, being simply added to the Trea. | were upwards of $1,800,000. sury Deposits.”

What makes the case stronger is this—that on the Suppose that it had been, it would not in the slightest 2d of March, the day when the protested bill came degree affect the question of damages. When a party back to the Bank, the whole amount in the credit of sells a bill, and is paid for it, that is, has the funus the Treasury throughout the whole United States, with placed to his credit to be drawn whenever he chooses the exception of the Danish indemnity money, was without further notice, the party is as much paid the $1,827,048 88. Now the Bank had advanced $903,fund belongs as little to the Bankas if the party had 585 89 in Philadelphia, and $921,590 18 in Paris, maactually withdrawn the whole sum in specie. But not king $1,825,156 07, so that although it had credit in only was the fund in this case drawn from the general England for the bill sold there, the Bank had actually resources of the Bank, and placed to the credit of the advanced on account of this bill a sum equal within Treasury,but immediately after that was done Congress less than two thousand dollars, of the whole funds of passed a law to lend the money, and the Secretary of the Government in the Bank. the Treasury issued a notice that this money was to be When the bill returned protested, the Bank, as the forth with lent out to capitalists, that is to say to be im- endorser, called upon the Government to pay the prin. mediately withdrawn. The credit given to the Trea- cipal and the damages. It did this as a matier of course. surer was on the 11th of February, 1833. The notice it did it as a matter of the clearest duty to the Govern. of the Secretary dated the 6th of March,offered to lend ment, because if the Government had any right at all out this money after the 20th of March-of course the to draw the bill, it had a right to make France pay the Bank could make no use of it-on the contrary, as it damages for its breach of contract, and it had no mode would probably be withdrawn immediately, it became of claiming against France, unless in the first instance not merely useless as a deposit, but required the Bank it paid the damages to the Bank, which it might the to shape its loans to others, so as to provide for the im- more readily do, as being one-fifth partner of the Bank, mediale payment.

its own share of the $158,000 would be $31,600. Nor is this all. Not only was this sum passed to the

But whether the French Government pays these dacredit of the Treasurer-not only was the early with mages or not, it is manifest that the American Governdrawal of it from the Bank announced by the secreta- ment must pay them—and this upon the simple princi. ry, but the identical proceeds of this identical French ples, not of equiry, but of ordinary honesty. bill, were actually used by the Government for the pay.

From the foundation of the Government to the prement of its ordinary expenses.

sent day, whenever the Government has purchased a

bill from a private citizen, and that bill has from whatThe account of the Treasurer at the Bank stood

ever cause returned protested, no matter how bard the thus

case may be, no matter what circumstances of excuse February 11

$717,264 22 or mitigation may be offered by the citizen, no matter 18

1,735,460 40 whether damages were actually sustained or not, the (in consequence of the payment of the

Government has rigorously enforced its claim for damaFrench bill.)

ges. It has not merely forced a solvent merchant to p:y, February 25

1,842,658 14 but has insisted that its claim for damages should have March 4

1,620,699 89 its legal precedence over all the just rights of the other 11

1,551,627 97 creditors of an insolvent; and now when the case is 18

1,560,783 63 changed, when the Government sells its own bill to its 25

1,496,907 43 | own citizens, and that bill returns protested, with what 30

1,052,862 10 propriety, nay with what pretensions to common honesApril 8

1,082,560 88 ty, can the Government presume to deny the same jus15

918,816 61 tice to its own citizens. The books of the Treasury are 22

746,613 61 crowded with cases of damages exacted by the Gu. 29

826,070 90 vernment from American citizens—and one is now se

814,046 61 lected merely from its peculiar aptness to the present 13

774,630 47 | occasion. 20

431,560 43

Some years ago Mr. Stephen Girard sold to the Trea. when the money was paid.

sury four bills, two of which returned protested owing It will thus be seen, that there was at the credit of the to the insolvency of his correspondent in London; when Treasurer on the 18th of February, the sum of $1,735,- the two others became due they were paid for the ho. 460 40, of which $903,565 89 were the proceeds of the hour of Mr. Girard, by the Messrs. Barings, who also French bill, and as in the month of April there was to agreed to pay the two first in London, as of the day on his credit only $746,613 61, the difference between which they were payable. Mr. Girard applied to Conthese two sums, that is to say $156,952 28 had been gress for exoneration from the claim of twenty per cent. drawn for out of that fund of $903,565 89.

damages, allegingAccordingly when the Treasurer came to repay the "That from the said sum of £22,500 stesling, due on money, he had not enough of it remaining.—but was the 18th August last, being passed by Sir Francis Baobliged to draw on funds elsewhere, so that in acknow- ring & Co. to the credit of the Secretary of the Trealedging the receipt of his draft on the 11th of May, sury of the United States, “as on the day the same be1833, the Cashier of the Bank added,

came due' no real loss or damage can accrue to the " Your transfer check for $700,000 on the office of United States from the said bills being returned under the Bank of the United States at New York will appear protest.” at the credit of your account this day, and will thus Congress rejected the claim, and Mr. Girard paid the prevent the overdraft which the change now advised damages of twenty per cent. would otherwise have ocasioned.”

On that occasion, the Committee of Claims called on In the United States then the Bank had paid the the Secretary of the Treasury, Mr. Gallatin, and in his amount of the bill in its least convenient form. But answer, which makes part of their report, he says that when it was protested in Paris, the agents of the Bank he had rejected Mr. Girard's claim for four reasons, of finding a bill with its name upon it protested, came for which the two most essential are: ward and paid it on account of the Bank-so that the

“1st. Because, considering the large amount of bills Bank had actually paid for this bill twice over-once in (more than two millions of dollars,) annually purchased Philadelphia and once in Paris--that is, it had of course on account of Government, it appeared absolutely ne

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May 6

cessary never to give up the damages whenever a legal But the business of the Board is not exclusively nor right to them had accrued, and because that right has in primarily to make loans:-its business is to govern the every instance, without regard to persons or circum- whole Institution. If the charter required seven Distances, been enforced.

rectors to make a discount, it would have said so of “2d. Because if abandoned in this instance and for the Boards of Directors of the Branches, whose more that reason, every drawer who was solvent might by exclusive business it is to discount. But it places no making a remittance to the bankers in Europe, after such restriction on the Branches, where by far the bills protested for non-payment had been returned to greater discounts are made. The business of the Board the Treasury, induce them to make a similar offer, and is to prescribe how the details of the operations of the evade the payment of damages.

Bank are to be inade--it may delegate a portion of its The lapse of years at last reversed the state of the par-power of making loans to Committees; for in truth to ties. Mr. Girard becomes the largest stockholder in a require a Board of seven Directors to meet before any corporation called the Bank of the United States, and bill could be discounted, would entirely destroy the he and his partners, in the course of their business, most useful operations of the Bank-and accordingly purchase a bill from the same officer, the Secretary of the Exchange Committee meet every day for the purthe Treasury, which comes back protested after having chase of bills, and their purchases are submitted to the been twice paid for. Mr. Girard's heirs and his associ- Board at their next meeting. It would be supposed ates apply to the Secretary-not even for the same from the manner in which it is stated, that this was amount which Mr. Girard formerly paid-not for twen. some recent innovation So far from it, the discount. ty per cent, the damages in Pennsylvania—but for fif- ing of bills of exchange was formerly done by a smallteen per cent. the damages in Washington; and the on- er number than at present. On the 13th of February, ly answer vouch safed by the Treasury Department is, 1821, during the administration of Mr. Cheves, and bethat the claim “has no foundation in law or equity”-to fore the time of the present officers,a rule was adopted which the President now adds, that it is an attempt to that, “impair the credit of the Government, and tarnish the “In the absence of the Exchange Committee, the honour of the country.” Such a course tends to an ut. President and Cashier shall be authorized to purchase ter confusion of all ideas of justice; nor is it a thing to exchange which may be offered for sale, if an immedilerable by the American people, that an individual shall ate answer be desirel, and report such purchases to the go among the citizens purchasing bills and exacting da- Exchange Committee at its next meeting thereafter." mages, and when his own bill, sold to these same citi Thus giving the power here complained of to only a zens, returns protested, he shall wrap himself up in his single director of the Bank. Yet no one ever imagined official immunity, and refuse to do to his fellow citizens that it was a violation of the charter. In truth it is a what he has compelled them to do to him.

power exercised very generally by the officers of Banks But supposing all this to be directly the reverse of throughout the United States. what it really is supposing the claim to be questiona. The second is—"To cut off all the means of commuble instead of equitable, is there any thing in it which/nication with the Government in relation to its most im. can at all justify this denunciation of the Bank? Here portant acts, at the commencement of the present is a claim made by certain American cititizens for dama- year, not one of the Government Directors was placed ges on a bill of exchange, which they have purchased on any one Committee. And although, since, by an unuof the Government. The question is a legal one. The sual remodelling of those bodies, some of those Direcjudicial tribunals are to decide it. Yet while the Bank tors have been placed on some of the Committees, they is quietly waiting the action of the laws, the President are yet entirely excluded from the Committee of Exof the United States prejudges the question-denounces change, through which the greatest and most objectionthe Bank for having presumed to make the claim-and able loans have been made.” gives that to the country as a reason why he should in There are two things remarkable in this paragraph stantly remove a Secretary of the Treasury, in order to first, the strangeness of the confession; and next, the subject the whole public revenue of the United States fallacy of the statement. It is here asserted that not to to his own disposal.

have the Government Directors on Committees is to In further illustration of the opposition of the Bank to "cut off all means of communication with the Governhis election, he next proceeds to treat of certain acts of ment in relation to its most important acts;" that is to the Board of Directors. The annunciation of these is say, that the confidential opinions and the unreserved prefaced by remarks on the magnitude and importance expressions used by their colleagues on a Committee of the facts, their recent disclosure and their great are to be communicated to the Government. It is preenormity; and the whole is concluded by a complaint of cisely this fact, thus officially announced, which would the “ hundreds of thousands and even millions which make these Directors unsafe depositories of the confimay be employed in subverting the liberties of the coun- dence of their colleagues. “At the commencement of try, and in disparaging the Executive. How little foun. the present year," he proceeds, "pot one of the Gov. dation in fact there is for all this will be readily seen by ernment Directors was placed on any one Committee." examining the allegations in the order in which they are Now of these Directors, wbo could then be appointed, presented.

there were but two residents of Philadelphia—the third First. He says, that “although the charter and the not having yet been appointed. Why these two Di. rules of the Bank both declare that 'not less than seven rectors, one of whom had just come, for the first time, directors' shall be necessary to the transaction of busi. into a banking institution, were not named on the ness, yet the most important business, even that of Committees, in the place of old and valued Directors, granting discounts to any extent, is entrusted to a com- it would be more invidious than difficult to decide; but mittee of five members who do not report to the that there was no studied exclusion was obvious from Board."

the fact that at the very next quarterly appointment, Now, the charter does not require seven directors to two out of the three Government Directors were placed make discounts.

on Committees. Nor is there any foundation for the Nor do the rules of the Bank require seven direc- assertion that an unusual remodelling” of these Com. tors.

mittees has taken place. On the contrary, the ComNor is it true that any committee of five have this mittees were appointed quarterly, as they have for power to discount.

years been appointed, and not the slightest remodelNor does any committee discount without reporting ling of them, usual or unusual, has taken place. As to to the Board,

the Excliange Committees, who are charged with the The charter says that “not less than seven directors arrangement of the Foreign and Domestic Exchanges shall constitute a Board for the transaction of business. of the Bank, requiring commercial experience and

1833.

DEPOSITS-BANK OF THE UNITED STATES.

413

knowledge of the business and the credit of individuals, substantially owns—and by its money supports, some those who are presumed most qualified are most natur- of the leading presses of the country, is now more ally chosen. "These Directors have no claim to the clearly understood.” slightest distinction above their colleagues, and they This whole allegation is denied. must take their chance with the other members in the The Bank does not now control, and never did conformation of the Committees. In truth, meu will choose trol any press whatever-the Bank does not own and their associates on committees, as in every thing else, never did own any press--the Bank does not now supfrom confidence in their capacity of their personal port, nor did it ever support, by its money, any press. qualities; and not to be chosen to places of trust im- Created for the purpose of giving aid to every branch plies only that others are more trusted.

of industry, it has not presumed to proscribe the conThe third is—“It has long been known that the Pres-ductors of the press from their share of the accommodaident of the Bank, by his single will originates and ex. tion due to their capital and industry. Of the extent ecutes many of the most important measures connected and the security of these loans the Directors claim the with the management of the credit of the Bank; and exclusive privilege of judging. that the Committee as well as the Board of Directors, The course of this inquiry has now brought the Com. are left in entire ignorance of many acts done, and cor. mittee to the second paper referred to them by the respondence carried on in their names and apparently Board signed by the Government Directors. It appears under their authority,"

from their report that the President of the United States An assertion so general can only be met by as gener- addressed a letter to them, "directing them to examine al a denial; at the same time, the Committee deem it and report upon the expense account of the Bank of the their duty to declare, that this allegation so positively United States for the last two years," and particularly made, as of a known and acknowledged fact, while it that portion which embraced expenditures calculated charges the Board of Directors with a dereliction of to operate on the election”-which examination they their duty, and a surrender of their trust, does the great state "undoubtedly presents circumstances which in est and most flagrant wrong to the officer who presides our opinion warrant the belief you have been led to over this Institution. This officer has devoted eleven entertain.” This assertion of a right in the President years of the best portion of his life, and all his time and of the United States to inquire into the expenses of the all his talents during that period, to the service of the Bank, with a view to ascertain whether any money was the Bank: he has at all times, consulted freely with the expended which might directly or indirectly interfere Directors, and has never sought to make his “single with his own personal election, is alike novel and un will” the law of the Bank. The proofs of the ability tenable. His authority, as we have seen, is limited to and integrity of his administration, are to be read in the power of issuing a scire facias. But in no part of the prosperity and strength of the Institution; in the the charter of the Bank, in no law of this country is reiterated approbation of the stockholders; and in the there found any power in the President to interfere in unwavering confidence of the, successive Boards of Di. the internal concerns of the institution, or to direct se. rectors, who have been the witnesses of his labours. cret investigations. But that which they regard with And the Committee confidently believe that such surprise and regret is, that these Directors, having proofs can never be obliterated by such sweeping such a commission to execute from the President, never declarations, let them emanate from what source they communicated the fact to their colleagues nor to the may.

Officers of the Bank; and while these officers were 1'he fourth is in the following passage:

giving to them the freest and most unreserved “The expenditures purporting to have been made access to all the books and papers of the Bank, and under authority of these resolutions, during the years while their colleagues were sitting in perfect confidence 1831 and 1832, were about 80,000 dollars,"

by their sides, neither those Officers nor the Directors This, too, is another mis-statement. The expendi- had the remotest suspicion of this official investigation tures purporting to be made under these resolutions du into their conduct, begun nearly two months before unring the years 1831 and 1832 were, as will be explained der orders of the President-until they read it in the in this report, exactly $48,287 90.

newspapers. When at the meeting of the Board, after The fifth is; “That publications have been prepared its publication, the subject was introduced, one of the and extensively circulated containing the grossest in- Government Directors in effect acknowledged that they vectives against the officers of the Government; and had purposely concealed their object, lest if their col. the money which belongs to the stockholders and to the leagues had been aware of it, they would not have per. public, has been freely applied in efforts to degrade, in mitted it. What the Committee deem therefore a subpublic estimation, those who were supposed to be inject of just complaint, is the want of candour in thus strumental in resisting the wishes of this grasping and trying their colleagues, without apprizing them that dangerous Institution.”

they were on trial, or giving them any chance of "The fact has been recently disclosed, that an un- knowing or answering the charges made against them limited discretion has been, and is now vested in the by the President. President of the Bank to expend its funds in payment The report itself bears manifest evidence of the for preparing and circulating articles, and purchasing baste with which it was prepared. Thus "we proceedpamphlets and newspapers, calculated by their con- ed,” say they, “to look into such of the vouchers on tents to operate on elections and secure a renewal of its which they are founded as we had time and opportucharter.

nity to do.” They state that they would have sent co. Here are two mistakes: It is not true that any "pub-pies of these vouchers, but, “the time and labour nelications have been prepared and extensively circulat. cessary for this mode would have prevented our reed containing the grossest invectives against the offi- sorting to it at present.” When the truth is, that a cers of the Government. Nor is it true that any pow. few hours of tranquil industry would have enabled er is vested in the President "for preparing and circu- them to copy every word of these vouchers. lating articles, and purchasing pamphlets and newspa Again they say, "we were obliged to depend on our pers, calculated by their contents to operate on elecown partial inquiries." The errors of this hasty and tions and secure a renewal of its charter.” No such partial enquiry the Committee will now proceed to no. power is given, and no such power is exercised. tice,

The power actually given which has been exercised, 1st. The first impression attempted to be made is and will continue to be exercised, is for the defence of that, whatever is here stated are discoveries of things the Bank against the calumnies with which for four hitherto concealed, and which now see the light in conyears, the institution has been pursued.

sequence of their exertions. Thus they speak of the The sixth is,

expenditures “discovered by us,” and of their “inves“The fact that the Bank controls, and in some cases tigations," that they requested a particular statement

from the Board, which "request was not complied Duffie,

2512 06 with," and that they were“ obliged to depend on their Reviews and Ad. own partial inquiries." And, finally, they say with an dress to legislaair of despondency " we must infer from the course pur tures, and missued by the Board when our resolutions were submitted cellaneous items, 9848 21 to them, that a more exact statement can only be ob

$16,301 50 tained by an agent directly authorised by the Execu.

$29,979 92 tive." Nothing can be more erroneous than such an So that this enormous increase was occasioned in a impression. No one concealed-no one desired to con- great degree by having a new set of bank notes preceal--no one could conceal this whole matter. The pared and engraved, amounting to $11,696 75-and resolutions of the Board were on the minutes--the ex. moreover, nearly one half of this enormous increase penses under them were all recorded in a book, the has no relation to the expenses to which it is meant to vouchers all referred to by number in that book; and ascribe it. all of them — minutes-expense book and vouchers 4th. The next is, that among the expenditures noted were always to be seen and examined by the Directors, is one of $1447 75, for printing “agreeably to order -so that the whole process of discovery was to ask for and letter from John Sergeant, Esq.” The gratuitous the books and vouchers, and to receive them. In the introduction of the name of this gentleman is obviously same spirit, they remark that, “the expense account, designed to connect his agency with some political as made up in the book which was submitted to us, purpose. But there is not the slightest foundation contained very little information relative to the particu- for it. lars of this expenditure, and we were obliged, in order The fact itself was known to the Committee of Into obtain them, to resort to an inspection of the vouch, vestigation in 1832, and although urged to make the ers.” What did these Directors expect in an expense same use of it as is now attempted, they had too much book? This book contains the name of the party, the sense of justice to employ it. Early in the year 1831, sum paid, and the number of the voucher which sup- while Mr. Sergeant was a member of the Board of Di. ports it; and the voucher is at hand to verify it. If they rectors, he received a letter from Mr. Wilson, a respecmeant that each item of each account should be copied table printer, in Steubenville, proposing to reprint the into this expense book, they mean that which no ex- reports of Messrs. Smith and McDuffie, about the Bank. pense account ever did contain, or ever ought to con Mr. Sergeant presented the letter to the officer of the tain; and the objection shows only the spirit in which Bank, who was charged by the Board with the multipli. the inquiry was conducted.

cation of these reports. and was requested by him to 2d. Another effort is to make it appear that these apprize Mr. Wilson, that he might print à certain expenditures were exclusively at the Bank in Philadel. number of copies. He did so. In sending his account, as phia, leaving of course the inference open, that the ex- he had not communicated with any officer of the Bank, penditures at the Branches might be in the same pro- he referred to his authority to do the work, as having portion. “All expenditures of this kind, say the Com come through \ir. Sergeant, and thus the receipt stands. mittee, introduced into the expense account, and dis. So that thewhole agency of Mr. Sergeant was to ancovered by us, we found to be, so far as regards the swer an application to him as a Director, from a printer, institution in this city, embraced under the head of sta to print some reports of committees of Congress, and tionary and printing.

other documents on the concerns of the Bank. Now the truth is, that these expenses were not con. 5th. The next is, the effort to make it appear that fined to Philadelphia, but embraced all the United all the expenses reported, had been made to influence States. The expense book showed, and the vouchers public elections. This is not expressly asserted, but proved, that these expenditures were made in various it is so stated as inevitably to convey that impression. and remote parts of the Union-a fact too apparent to Thus they say, “We deemed it expedient at present to escape immediate observation.

confine our investigations to that portion which em. 3d. The next misrepresentation is this. After quot braced expenditures calculated to operate on the elecing the resolutions, they proceed-"In pursuance, it is tions. All expenditures of this kind, introduced into presumed, of these resolutions, the item of stationary the expense account and discovered by us, we found to and printing was increased, during the first half of the be, so far as regards the Institution in this city, enyear 1831, to the enormous sum of $29,979 92." braced under the head of stationary and printing. To

Now it appears on the very face of the expense ac- it, therefore, we chiefly directed, &c. &c. count, that the increase to this enormous sum, so far Then follows a list of expenses all of which it is infrom having been occasioned by these resolutions, was tended to represent as calculated to influence elections. caused by the purchase of large quantities of paper and Thus in the case just cited, they proclaim the enor. engravings for bank notes, and by the supply of com mous sum of $29,979 92, which they presume to have mon stationary for the Bank.

been expended in pursuance of the resolutions, and of The enormous sum in question was $29,979 92 course as having a bearing on elections. Now we have This consisted of the following items

just seen, that of this whole $29,000, more than $13,. Common Stationary,

$1080 32

000 were for bank notes and miscellaneous stationary; Printing black forms and rules, 443 76

that $3,941 23 was for Mr. Gallatin's book on currenBooks,

267 68

cy, which could have no possible connection with elecNewspapers,

179 91

tions; that $2,500 were for reprinting Mr. M'Duffie's Engraving bank notes,

4178 37

and General Smith's reports, which Congress itself had Paper,

300 00

reprinted in unusual numbers, and that of the whole silk for making paper,

2886 67

remaining sum of $10,000 for miscellaneous expenses, Sheeting for do.

1421 94

none could be spent on elections, from the simple fact Silks for do.

2121 64

that in this first half year of 1831, no elections of any Silks for do.

788 13

kind in which the Bank could, by any possibility, have Subscription to the Coffee House, 10 00

an interest, were impending for eighteen months to

come, or even in remote agitation; yet this report would $13,678 42

convey, to the majority of readers, the belief that the Printing and circu

whole of the $29,000 were lavished upon elections. lating Mr. Gal

But the most signal error is reserved for the last. latin's book on

They say “it appears by the expense account of the Banking, $3941 23

Bank for the years 1831 and 1832, that upwards of Do. Smith and Mc

$80,000 were expended and charged under the head of

1833.]

DEPOSITS-BANK OF THE UNITED STATES.

413

stationary and printing during that period, and that a l authority given him by a resolution of this Board, adopt. large proportion of this was paid to the proprietors of ed on the 30th day of November last, caused a large newspapers and periodical journals; and for the print. edition of Mr. Gallatin's Essay on Banks and Currency, ing, distribution and postage of immense numbers of to be published and circulated in like manner, at the pamphlets and newspapers," &c. Now it is true that expense of the Bank. He suggested, at the same time, the expense of printing and stationary for those two the expediency and propriety of extending still more years was upwards of $80,000, but by using the vague widely a knowledge of the concerns of this Institution, phrases of a large portion” and “immense numbers, by means of the republication of other valuable articles, the impression conveyed to the mind is, that the whole, which had issued from the daily and periodical press. or nearly the whole, of this amount must have been dis. “Whereupon, it was, on motion, bursed for the object to which the President objects; “Resolved, That the President is hereby authorized and accordingly the President, in his paper, states in so to cause to be prepared and circulated, such documents many words, that the expenditures purporting to have and papers as may communicate to the people informbeen made under authority of these resolutions, during ation in regard to the nature and operations of the the years 1831 and 1832, were about $80,000,” and Bank.” thus the mis-statement insinuated in the report, becomes And finally on the 16th of August, 1853, the followdeclared in the manifesto.

ing resolution: Now these Directors must have perceived that of "Resolved, That the Board have confidence in the these $80,000,

wisdom and integrity of the President, and in the proThere were paid for making and printing

priety of the resolutions of the 30th of November, 1830, bank notes

$24,591 96 and i1th of March, 1831-and entertain a full convicFor printing blank forms and other necessa

tion of the necessity of a renewed attention to the ob. ry papers,

1,848 08 jects of the resolutions; and that the President be auFor books and stationary,

6,053 88 thorized and requested to continue his exertions for the For various miscellaneous expenses,

653 25 promotion of said objects.”

The resolutions of 1830 and 1831, were passed openMaking a total of

$33,593 76 ly and unanimously by the Board, the two Government So that at once more than thirty-three thousand dol- Directors who attended concurring in them; and they lars of the eighty thousand are shown to have no con have been carried into effect without the least reserve nection whatever with the matter of this reproach. or secrecy. The form of the resolution was the same

It is moreover to be observed that the Committee of as that adopted on a kindred subject--the arrest of investigation of 1832, examined the subject-had this counterfeiters—a short time previous, on the 25th of very expense book before them-remark in their re. October, 1830. port the increase of the expense of printing, but it may “Resolved, that the President of this Bank be au. be presumed that neither they, nor any other authority, thorized to take whatever measures he may think protill now, thought such a subject worthy of being pur- per for the discovery and arrest of counterfeiters of the sued.

notes and drafts, and to incur such expenses from time Having thus exposed the errors of this report, the to time in effecting that object as he may deem useful Committee will briefly state the facts in regard to these

or necessary.disbursements.

The expenses incurred, as stated in the expense acThe course adopted by the Bank has been simple, count, in executing these resolutions, from December, plain, and avowed. It is this:

1829, when the first assault was made on the Bank by The Bank of the United States, like every other the President, to the present time, running through Bank, derives much of its advantages from its credit, the years 1829, 1830, 1831, 1832, and 1833, amount to and its general reputation for solvency; and the Di- $58,265 05, making an average for the last four years rectors are, therefore bound by official as well as per- of $14,583 76 a year. sonal considerations to remove unfounded prejudices, During that period, the total expenses unand to repel injurious calumnies on the Institution en der the head of printing and stationary, rusted to their care.

amounted to

$105,057 73 Soon after the first message to Congress, issued by of which, the proportion for the signer of the present paper, it became necessary the defence of the Bank, to counteract the schemes for the destruction of the

$58,265 04 Bank by the diffusion of intelligence among the peo- And for the miscellaneous exple. Accordingly the following resolutions have been

penses of books and stationadopted by the Board.

ary,

46,792 69 On the 30th of November, 1830, “The President sub

$105,057 73 mitted to the Board a copy of an article on Banks and Currency, just published in the American Quarterly

This will be seen more perspicuously in the follow. Review of this city, containing a favourable notice of ing statement: this Institution, and suggested the expediency of making the views of the author more extensively known to the public than they can be by means of the sub

Printing and Speeches in Con- Books and scription list—whereupon it was on motion,

circulating re-gress, and other stationary. "Resolved, That the President be authorized to take

ports to Con- miscellaneous such measures in regard to the circulation of the con

gress.

publications. tents of the said article, either in the whole or in part, as he may deem most for the interest of the Bank.” 1830 $5,085 671 2,291 471 6,704 33

On the 11th of March, 1831, “The President stated 1831 2,650 97 19,057 56 21,496 26 to the Board, that in consequence of the general desire 1832 4,395 63

22,183 74| 12,098 57 expressed by the Directors at one of their meetings of 1833

2,600 00

6,493 53 the last year, subsequent to the adjournment of Con. gress, and a verbal understanding with the Board, mea

$12,132 27 $46,132 771 $46,792 69 sures had been taken by him in the course of that year, for printing numerous copies of the Reports of General So that the general result is, that within four years Smith and Mr. M'Duffie, on the subject of this Bank, past, the Bank has been obliged to incur an expense of and for widely disseminating their contents through the $58,000 to defend itself against injurious misrepresenUnited States; and that he had since, by virtue of the ta tions.

was

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