Banks and Banking. lation was to be ascribed the high price of provi "The book!"--Something is still said in Philadel- sions, which continued even to this day without diphia about the book found in the office of the bankmunition or abatement. He suggested a restriction of the United States at Baltimore. It is probable, confining the issue to notes not exceeding the sum of five pounds." that the eminent appellation of this thing will be lost, by finding three or four similar books at other places! We have good reason to believe that attempts have been made to rival Baltimore in *peculation! Glorious conflagration! Bank notes, to the amount of 80,000,000 of roubles, were burnt in St. Petersburg, on the 26th of May, by the commissioners of the sinking fund.-But there is a great deal of this sort of work to do in Russia. The above is as a drop in a bucket. U. States' bank stock at London, June 23-23 to 231. 10s. with dividend from January last. They had not learned that no dividend would be made. Wilson Cary Nicholas, esq. has resigned the presidency of the office of discount and deposit of the bank of the United States, at Richmond. The Farmers' and Mechanics' bank of Cincinnati suspended specie payments on the 29th ult. for the second time, and probably for the last. The ar rangement, by which it received the treasury deposites from the land office in that city, was not able to save the institution. Kentucky. The friends of the paper system are getting up some meetings in that state to encourage ments," as the term is for the bankruptcy of banks. the bank of Kentucky to "suspend specie pay Specie. It is triumphantly noticed that several vessels have lately arrived from foreign places with specie. It will always come to us when, as a remittance, it is no more valuable to us than foreign goods. North Carolina state bank. We learn by way of Petersburg, that this bank has resolved upon an entire suspension of specie payments. There is a very large amount of its notes in circulation. The Milton bank, of Pennsylvania, has stopped payment. Its notes in circulation are said to be 55,000 dollars, and the debts due to the institution to amount to 190,000. City Bank of Baltimore. The board of directors elected since the "blow up" of this bank, have, at length, appointed a day for laying a statement of the affairs of the institution before the stockholders -viz. the 20th of October next. This distant date, after so long a delay, has excited no little surprise; but we are told by those we have a right to believe, that the books and accounts of this bank were in such a state of confusion, that an earlier period could not be fixed upon, though the new cashier and clerks, (well skilled in accounts) had la- at home, and Charity lies sick; Benevolence is under bored and were yet laboring excessively, to ascer-arrest, and Faith is nearly extinguished; the Virtues go a begging, and Tuth has long since been buried; Credit is turned crazy, and Conscience is nailed on tain the true state of the bank!!! The stock of this bank is quoted by the brokers at $7 for 15 paid. Farmers' bank of Virginia.-A number of the stockholders in the Farmers bank of Virginia, have had a meeting in Winchester, at which they passed resolutions censuring the mother board of directors for not publishing the reasons for a failure of the last dividend, requiring a reduction of the salaries of the bank officers, and expressing their sense that no one individual or firm ought to have an accommodation in bank exceeding 20,000 dollars. Jacob Barker has published a pamphlet of fifty pages about his banking matters, &c. We understand, by an extract from it, that he has reinstated the credit of the Washington and Warren bank, but that he cannot yet fix a time when he will pay the notes of his "Exchange bank," though he says that he will pay them. In this pamphlet he announces himself as a candidate for the state senate! The Silver Lake bank has stopped payment. The directors say that they will pay its debts promptly. The editor of a Philadelphia paper offers to take its notes for debts due to him at 50 per cent. discount. The bank of Washington, Pa. is preparing to close its concerns. A meeting of the stockholders for this purpose is called for the 20th of next month. Bank of St. Louis. The stockholders of this institution are invited to meet on the 15th of Sept. next, to take into consideration the propriety of continuing or closing the concerns of the institution. May the latter be resolved upon! BAD TIMES! Honesty has fled from the world, and and Justice cannot find the way-the Helper is not Sincerity is fallen asleep—Piety has hidden herself, the wall.-Freeman's Journal. A question for lawyers.—[ A communication in the Aurora.]-Suppose a bank, which refuses to pay its notes in the lawful currency of the United States, holds the promissory note of an individual, who stops payment-suppose the bank brings an action against the individual for the recovery of the amount of his note, and when the cause comes on before a court, the defendant should produce, (no matter where he got it) a promissory note drawn by the bank for the same amount, accompanied by a regular protest for non payment. Could the aritrators or judges refuse to allow the set off? Could they compel the parties to cancel or exchange the notes on the spot? Could they oblige the defendant to place any mark upon the bank note by which its subsequent negociability should be destroyed? Or would the bank be obliged to advertise and caution the public against receiving it, as their only remedy against being obliged to pay it to a third person into whose hands it should afterwards fall? A case of this kind would make a good deal of betheration in the wigwam. From the National Intelligencer.—We understand that the directors of the bank of Washington, of this place, influenced by the unpleasant Incidents which have recently occurred in some of the banks of a neighboring city, as well as by general principles, have adopted the following rule: "No officer, other than the president, shall deal, either for himself or for any other, excepting this Paper money. We accidently met with the follow-bank, in money, bills of exchange, merchandise, ing extract from the proceedings of the British house of lords, on the 1st of June 1801-"The earl of Suffolk called the attention of the house to the subject of paper currency, which, he said, was 20 immense through every part of the nation, as to fill it with the most serious apprehensions for the state of the public credit. To this immense circu stock of the United States, or stock of any company, incorporated or unincorporated: provided, that this resolution shall not prevent such officer from selling any such articles as he may now possess, or prohibit any purchase thereof, which the board may sanction by express authority, given and enter ed on the journals." Pay - A rule similar to that above recited, and, in some Adjt, and insp. general's department— respects, even more rigorous, has been adopted by the bank of the United States, for the government of the institution and its branches. It is presumed the rule will become general, as to all banking institutions. [If a recent failure of the president of a cer tain bank had been known at the time the preceding resolution was passed, the president might also have been restrained, and real property been added to the list of things prohibited. A man may get as mad in buying lands as in buying stocks.] Clothing, (25 servants) Quarter master general's department— Subsistence Forage Clothing, (14 servants) Paymaster general's department- 14,028 6,354 4,704 930 26,016 9,708 4,015 2,400 520 16,646 12,000 7,154 1,824 1,264 22,242 Army of the United States. Abstract of the returns laid before congress at its last Adjt. and Inspec. gen. Quarter master general Post surgeons Apothecary general Assistant 2[Colonels 4 Lieut. colonels 8 Majors 1Quarter masters 2 First lieutentants 2Sergeants 40 Corporals Commissary general of purchases' dept.— Clothing, (2 servants) 61 Ordnance department 55 Pay 115,460 4 8 21 Clothing, (18 servants) 1,785 } 22 181,376 305 292 Com. gen. of purchases 1 Matross, privates, Clothing, (75 servants) 2,790 2 and laborers, 4070 70,005 Assist. com, of issues 6 Sick, aggregate, Corps of engineers— 524 18 In arrest, do. 232 Com. gen. of supplies 732 Clothing, (41 servants) 1,525 125,064 92,543 $13,824 43,508 71 727 768 2,976 361,076 621 116 Eight regiments of infantry- 515,760 45 69,204 3,072 Clothing, (108 servants) 4,017 592,058 On account of double rations, 32,000 Subsistence of the non-commissioned offi- Clothing of do. 572,937 Literary studies of Youth. 590,057 professional characters, in my humble estimation, not from the most meritorious class of the commu S24,500 nity, but too much like the class through whose hands we are continually cursed with a wickedly 728,280 depreciated "paper currency." Our laws, our medicines, our literary and religious instructions are likely to be managed, if not already so, too much by men not duly acquainted with and tender of the rights and feelings of the middling and lower classes of the people. I mean the middling and lower classes of the people, not in the qualities of good citizens, but in property and shew. I long to Observing that some writer in the Albany Re- see other men than these wholly from rich families, gister was sorry to find in your Register, the piece enabled by their priviliges to have a due influence you lately published, which proposed "a salutary in the affairs of this country. The farmers, mereformation in the system of classical education,"chanics and manufacturers of moderate estates are who also had the boldness to denounce the senti- often required to patronize our colleges by their ments of the excellent Dr. Rush, as "inconclusive bounty, bestowed through legislative acts, whilst a reasonings and erroneous opinions," I hope you will grant me the favor to insert this reply. MR. NILES. system is pursued to carry the primary benefits of these colleges entirely beyond the reach of their This writer expresses his surprise and regret sons. What, I again ask, are the benign effects "that a gentleman from the land of scholars, should of the study of Latin and Greek classics? Where endeavor to check this taste for elegant letters, are the men produced in these times more distin when the study of the Latin and Greek classics is guished as benefactors, or indeed more truly learnso deservedly popular in all our literary institutions, ed, than were our Washington, Franklin, Ritten. and its benign effects are daily becoming more and house, Sullivan, Fulton and a host of others who more visible in every section of the United States." never experienced the "benign effects" of Latin and The proposal was expected to meet powerful oppo-Greek classics: or than our Rush, who discards sition from those who live by the employment of these classics; or than our Dickinson, Jefferson, the teaching Greek and Latin, or who, perhaps, may Adamses, Ilenry, Hamilton, Madison, Munroe, and acquire the reputation of scholars by merely ad-numerous others, who obtained collegiate honors vocating the study of these languages, for, indeed, when much less knowledge of the Latin and Greek pretensions to these have a sort of magical influence. classics was required, than is now required? There is, at this moment, a great number of gentle- The writer in the Albany Register tells us, "there men in the United States, as well as in other coun- is no exercise which brings into play so many faculI suptries, supported as professors and teachers of these ties of the mind as the study of language." Languages. In them these gentlemen naturally feel pose he means the Latin or Greek language. "The a lively interest, "sirs, ye know that by this craft, attention, judgment, reasoning, memory, imagination and taste, are simultaneously exercised and ye have your wealth." But that the study of Latin and Greek is de-improved." I would ask if there are not studies in servedly popular, and its benign effects are daily our own language to exercise all these powers of becoming more and more visible in every section the mind, even to greater advantage than any Laof the United States," are assertions, in my view, tin or Greek author? If there is no superior aptness wholly indefensible. What are the proofs of in the Latin or Greek language to perfect the pow these benign effects? Within twenty or thirtyers of the mind, then I ask why we should study years colleges and universities have nearly or quite Demosthenes, Cicero, Livy, or Plato as superior to doubled their demands upon our youth, requiring the rest of mankind? I know of no evidence that them both for admission to a college-standing and they owed their superiority as writers or orators to for a degree twice as much study of Latin and the study of any other than their own language? Greek as was formerly requisite, or rather twice as Admitting there are important ideas contained in much time and labor to be sacrificed at the shrines the writings of Demosthenes or Cicero, which canof heathen gods and goddesses, with which these not be expressed by our translations, I would ask "elegant letters," except the Greek testament, whether we can have any practical use for such greatly abound. With boldness i repeat that the ideas? If all practical benefit can be derived from the Latin and Greek classics abound with fictious, friv- translations of these authors, then the study of the olous and obscene stories, and with extravagant translations must save great expense of time, labor rhapsodies, and I am ready to adduce proofs of this and money. Dryden, Pope and others, have furassertion. Alas! that our instructors, physicians, nished excellent translations of a number of the lawyers, judges, statesmen and divines should waste Latin and Greek classics, the reading of which so much precious time upon such studies, to the ne- would give the scholar much more knowledge of glect of weightier matters. Such requisitions of the authors than he can acquire by reading the ori Latin and Greek made upon our youth must tend ginal. After all, the best translations of the Latin to exclude those belonging to families of moderate and Greek classics lie upon the shelves of our librafortune from the benefits of college education, and to ries as useless lumber Strange that works of such create a combined literary and monicd aristocracy. superior merit have no communicable excellence to Young men of talents without fortunes, can scarce-attract the attention of more readers! That, "in all countries and in all ages, these anly hope to obtain by their own exertions, college benefits, as were many of our most valuable pro-cient authors have been admired and imitated, 'as fessional men who were graduated forty or fifty furnishing the finest specimens of elevated senti. years since, and who were the "ornaments" of the ments, elegance of style, and refinement of taste," is but a poor argument in their favor.-It may age. This management operates to cause a great de-be said of idolatry and of monarchical and tyranficiency of professional men throughout this ra-nical governments, that in all countries and in pidly growing republic. This operates to furnish all ages, these have beca admired and imitated, whist democracy or republicanism has been de- paigns. This money he appropriated to paying nounced as the most odious of all pests. What and supplying the force called out for the defence though "Pitt and Fox, Burke and Curran, never of the state, and to paying the demands of the offorgot to renew their libations at the fountains of ficers and citizens of the state for public services." ancient literature?" There were other fountains- These payments were always made in current fountains of depravity, where, it is allowed, some of money only, and "never in a depreciated currency them never forgot to renew their libations. And or stock. The general government had at this there have been multitudes of others who, doubt-time borrowed of individuals and corporations, to less, drank as deep as they at the "fountain of ancient literature," who never rose to their eminence as orators and statesmen. Again let us hear the great and good Dr. Rush. He says "the rejection of the Latin and Greek languages would greatly increase the number of studens in our colleges, and thereby extend the bencfits of education through every part of our country. The excellency of knowledge would then be obvious to every body, because it would be constantly applicable to some of the necessary and useful purposes of life, and particular y to the security and order of a wise and just government." the full extent of its credit, current money, for which they allowed a large discount or premium; and it is alike discount or premium, for the money he so borrowed, and paid for the defence of this state, with the usual interest and commission upon it, that the late governor claims to be allowed in his account; and were we now to audit and adjust the accounts of the late governor, we should allow him a credit for these claims, and we recommend their allowance accordingly." That committee rejected (under a compromise and arrangement agreed upon by them, myself, and the comptroller, after various interviews and dis Should you, sir, give this a place in your invalua-cussions) all the items allowed and admitted by the ble paper, other specimens like this, of "inconclu-commissioners, except that above referred to, not sive reasonings and erroneous opinions," may pro- because the rejected charges or allowances were bably be offered. A FRIEND TO LITERATURE, Vice-President's Affairs. not equitable and just, but because they were more properly charged against the United states than the state. In their report to the legislature, the joint committee refer to the report of Messrs. Colden From the notoriety given to certain reports of long and Bogardus, on this subject, and especially to the standing, respecting a supposed deficit of a large allowance mentioned in the above extract, as folamount against Mr. Tompkins, as governor of the lows:-"Your committee have examined the said state of New York, during the late war, we have report, and the reasons of the said commissioners, thought it right to publish the following corres-in favor of the several items recommended by them pondence. As a distinguished public man, his character is a public concern. to be allowed to the late governor, and however fully satisfied they may be of the justice and equity NEW YORK, JULY 19, 1819. of these items as claims against the United States, Gentlemen-By a resolution of both houses of the they cannot discover the legality of those claims legislature of the state of New York, of April, 1818, upon this state. Among the allowances recomthe settlement of the residue of my accounts with mended, however, there is one arising upon monies the state of New York, upon principles of justice borrowed upon the personal responsibility of the and equity, was referred to William Bayard, Cad. D. late governor, for the purpose of paying and supColden, and Robert Bogardus, The first named plying the forces called out for the defence of this gentleman declined acting in the commission, and state, and to pay the demands of officers and citi the two latter, having met previously to the last zens of this state for public services. These loans meeting of the legislature, adjourned to meet again were made at the time when the credit of the gein Al' any during the session, without adverting to neral government was exhausted, and when they the phraseology of the resolution, which required were obliged to borrow current money upon a large them to report previously to its commencement. discount or premium, and as these loans were ge They, however, met in Albany during the session, nerally paid, as the committee are informed aud and after many investigations and interviews with believe, either in uncurrent money or in depreciated the comptroller and mysesf, made a report, which, treasury notes, which depreciation has been charg for the reason abovementioned, could be regarded ed by the United States against the late governor, as advisory or recommendatory only. That report the committee deem it no more than equitable that was communicated by the comptroller to the legis-the like premium, &c. paid by the general govern lature, and referred to a joint committee. That ment for current money, at the several times the part of it which was accepted and adopted by the said loans were made by the late governor, should joint committee, is contained in the following ex-be allowed to him, not on the ground of his having any legal claim to this allowance from this state, but "The militia which had been brought from the on the ground that the state reaped the benefit of country to New York, in the summer, as the fall ad- the services for which the money was paid, and vanced, were clamorous for that pay which was ne-that nothing has been allowed or received by him cessary to provide them with the clothing and co- from the general government, on this account, alvering the season required.-Supplies of every though the justice and equity of his claim fupon kind and from every quarter were demanded; the them is palpable. And the committee are more inresources and credit of the general government clined to make this allowance from the circumwere exhausted; the state government had not stance, that this state has in its possession the means thought proper to extend its aid; he could, there- of indemnity from the general government, which fore, only meet these exigencies, by pledging his the late governor has not." A bill was introduced personal responsibility to raise the necessary funds; at the same time with this report, which passed this he did, and borrowed thereon, with the assis- both houses. A copy is annexed. Whilst that bill tance, in some instances, of a deposit of depreciated was under discussion in assembly, Mr. Oakley mo currency as a collateral security, large sums of curved to strike out that clause, which directs the reat money, over and above what had been furnish-comptrolier to pay the balance that might be found ed him by the United States in the previous cam-due to me which was lost. Mr. Oakley also made tracts: a motion to strike out of the first clause certain which would limit the discount or premium to such words, and in lieu thereof to insert the words "al- loans only, as were effected by the late governor, on lowed by him on any pledge of any treasury notes, or his personal responsibility exclusively, would lead other govermental securities, on obtaining any loan to the greatest injustice,because it would be to deny of monies for public purposes during the late war, to him the bounty of the government in proportion and also the same premium or discount as was allow- as he involved, beyond his own, the responsibility ed by the government of the United States on loans of his friends, or pledged his own property or theirs, contracted by that government during the late war, for the performance of his contracts. It seems to for all monies raised by him for public purposes on us, therefore, that it would be repugnant to natural his personal credit, without the pledge of any secu-justice to allow to the late governor a premium or rities." The object of this amendment was to li- discount on monies which he borrowed on his own mit the allowance on those loans, where, in addi- responsibility, and refuse it where he borrowed it. tion to personal responsibility, collateral security on his own note, endorsed by a friend, or on his own was given, to a different premium or discount than note or bond, secured by a mortgage on his own prothose where there was no collateral security. But perty or that of a friend. This, however, would be this amendment was also rejected. Some of the the necessary consequence of any other interpretamonies were borrowed on my note, endorsed by tion of the law, than the one we give to it. We are, friends, and some on a deposite of treasury notes as therefore, decidedly of opinion, that the late gocollateral security. After the passage of the law, vernor is entitled, under the law referred to, to the the comptroller and myself had several interviews, discount or premium, which it provides for, on all at which he partly questioned the propriety of mak-loans in current money made by him for the public ing any allowance to me for the current monies, use, which he became personally responsible or liaborrowed, advanced and expended for public pur-ble for the payment of the money borrrowed, and poses on my personal responsibility, if any collate- where such money was expended or disbursed by ral security were added to my personal responsibili-him in the public service, notwithstanding he may ty for the payment of the loans and interest. I have, have given, as collateral security for such paytherefore, to request the favor of your opinions ment, an endorsement on mortgage, or made a deupon this question: Whether, under the proceed-posite of stock, treasury notes or other property. ings and law aforesaid, I am not entitled to the allowance mentioned therein on all current monies borrowel and expended by me, where, for the repayment of the whole loan with interest, my per sonal responsibility was pledged, and where the proceeds of the loans were carried to my private credit in the banks, whether that personal responsibility was fortified by collateral security or hypothecated stock of treasury notes, or not, with the same interest thereon, from the dates at which the respective loans and advances were made, that others, who loaned current money to the govern ment at the same periods, on their stock, have received or been allowed. I am, gentlemen, yours, &c. DANIEL D. TOMPKINS. To Richard Harrison, Thomas A. Emmet, Josiah Ogden Hoffman, John Wells, Samuel Jones, jr. David B. Ogden, Peter Jay Munro, Abraham Van Vechten and John V. Henry, esq'rs. OPINION. RICH. HARRISON, JOHN WELLS, JOS. OGDEN HOFFMAN, DAVID B. OGDEN, ABM. VAN. VECHTEN, New York, July 23, 1819. State of New York, Comptroller's office, Albany, August 3, 1819. SIR-After much serious reflection I am constrained to declare, that I cannot give the construction to the act for the final settlement of your accounts, which you do. It may be considered extraordinary, that I should set up my judgment in opposition to that of the very able and respectable counsel who have supported your construction. I confess that the weight of their character has made me seriously distrust my own judgment; but yet, as I am not If we take into consideration the reports and other convinced, I am compelled to forbear yielding assent. proceedings stated in the foregoing case, we can en- The question is one of great magnitude and retertain no doubt, that it was the intention of the le-sponsibility, and ought, I think, to be determined gislature, in passing the act referred to, that the late governor Tompkins should be allowed the same discount or premium on the money which he borrowed and expended, as mentioned in the act, whether collateral security was added to his own personal responsibility or not. Independent, however, of those circumstances, and looking to the act itself, we are clearly of opinion, that such is the true construction. It is the personal responsibility or liability of the late governor that is the test, by which his right to the discount or premium is to be determined. Wherever he borrowed the money and became personally responsible or liable for the payment, we think him entitled to the discount or premium on it, although he may also have given a collateral security, because it is obvious, that although the personal responsibility might be diminished by such collateral security, still it was not extinguished; if it made a part of the contract, it is suffient to satisfy both the spirit and the words of the act. A contrary construction, by the judicial tribunals of the state; and this may be done, I presume, without delay, should you think proper to make an application to the supreme court, now in session, for a mandamus. I respectfully, therefore, propose this course: your rights will then be determined in the same way that the rights of our citizens are determined. I know not of any other alternative left than this, unless it be to refer the matter back to the legislature. An endeavor was made, your excellency knows, to obtain the opinion and advice of some of the judges; but this failed, as they utterly declined taking extra judicial cognizance of the matter. I return enclosed the contracts and other evidences relative to the loans which you handed me last evening. I have the honor to be, very respectfully, sir, your excellency's most ob't serv't, (Signed) ARCH. M'INTYRE. His excellency Daniel D. Tompkins. |