f7779242Accommodated withdrawals, Public signal of financial health, Full suspension, Books examined
Other: Chancellor issued an injunction and receivers placed assets with Mechanics' Bank for collection.
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RUN ON THE DRY Dock.-During the tremendous run on the Dry Dock Bank on Saturday, a man asked another in upper Broadway, " How is the Dry Dock ?" "Dry enough," said he dryly enough.The other, after a hard trot, got the specie, came out, wiping off the perspiration,- "rather a wet dock this!"
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MONEY MARKET. Monday, May 8. evolution never goes backwards. Every impediment placed is way, only gives it more fearful energy onward. Political itation adds to financial panic. Accordingly, Saturday last s the most exciteable day we have yet seen, the effects of /aich will be experienced all this and the coming week. We are on the verge of a new and more serious panic. The return of the committee from Washington-the announcement of the stoppage of the three Buffalo banks-the fall of United States stock below par-the run on the Dry Dock Bank in Wall street -and the failure of twelve or fifteen more commission and dry goods houses, were some of the events that characterised the close of the week. Every thing adds to the horrible condition to which the country has been reduced by charlatans in politics and charlatans in finance-miserable politicians! more miserable bankers! The "constitutional currency" is rapidly returning, and gold and silver, recommended by General Jackson, are now taking the place of all bank paper. Vivele Roi! The failures on Saturday, consisted principally of smaller houses, brought down by the curtailment of the banks and the panic in commercial affairs. Banks now, so useful in the beginning of speculation, only produce ruin at the closing scenes. Stocks also continue to fall-all except the rail roads. These are advancing. Capitalists are rapidly withdrawing their bank deposites, and placing them in rail roads. The revenues of rail roads are in gold and silver-their capital cannot waste-while bank capital in commercial paper is considered, in this revolution, merely of nominal value. The run on the Dry Dock Bank began about midday on Saturday, and continued as long as the Bank was open. In the morning, the Manhattan, State, and Union banks, refused to take the notes of the Dry Dock on deposit. This intelligence soon spread around, which, coupled with the news from Buffalo, immediately created an excitement, and a run on the Dry Dock bank. The other banks, we understand, would not sustain the Dry Dock, in consequence of its not belonging to the Safety Fund League. On referring to the Bank Commissioners' Report for last January, it appears that the following was its condition in 1836:
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SCENES IN WALL-STREET.-All yesterday this thoroughfare of money changers was crowded with bankers, merchants, editors, loafers, and now and then a pretty woman. The bankers were feeling the pulse of public sentiment, to see if it would do for them to suspend specie payments-the merchants were cursing Van Buren and the times; the editors picking up news for this morning's papers; the loafers looking on and enjoying the excitement, and the rest, men and women, were crowding with their V's, X's, L's and C's, of the Dry Dock Bank, to exchange them for specie. Such a crowding! A widow lady, who lives up town, had a quantity of the bills, which she appeared very anxious to get rid of, but she found it impossible to get into the bank. A friend came along, and volanteered his services. The bill was redeemed, and he brought her a heap of the real chink. Her eye sparkled as she looked for a moment at the glittering treasure, and then as she tied it up in her white handkerchief, she was heard to say, "There, I shall sleep tonight."
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MONEY MATTERS. We copy from various New York papers the subjoined paragraphs, in relation to commercial affairs they contain all the information on the subject, that we have been able to collect. From the New York Herald. Saturday, May 6. The rapid and acenmulating suspensions astonish the week, as near as mate, large or suspenjobbers- for an to ted at thirty millions, but many ded-principally twenty million all. sixty-eight During of dollars. houses Their have believe, assets amount failed we that are can equal estima- owing estito the derangement of business- the fall of goodsthe dullness of the times not two out of ten will ever 100 cents in the dollar. The whole number of failures, pay up to this day, is 303 for New York alone, of which 98 are jobbers. Monday, May 8. Revolution never goes backwards. Every impediment placed in its way, only gives it more fearful euergy onward. Political agitation adds to financial panic. Accordingly, Saturday last was the most exciteable day we have yet seen, the effects of which will be experienced all this and the coming week. The announcement of the stoppage of the three Buffalo banks-the fall of United States stock below par-the run on the Dry Dock Bank in Wall street -and failure of twelve or fifteen more commission and dry goods houses, were some of the events that characterised the close of the week. The failures on Saturday, consisted principally of of smaller houses. brought down by the curtailment of the banks and the panie in commercial affairs. Banks now, so useful in beginning of speculation, only produce ruin at the closing scenes. Stocks These also continue to fall-all except the rail roads. are advancing. Capitalists are rapidly withdrawing their bank deposites, and placing them in rail roads. The revenues of rail roads are in gold and silvertheir capital cannot waste-while bank capital in commercial paper is considered, in this revolution, merely of nominal value." From the New York Evening Post of Saturday The stocks to day show a most singular state of things. U. States, which is the great gun of Whiggery, and about which so much has been said by the presses, as a regulator of the currency and the main stay of the country, was sold at the board for 98two per cent below par. Since the 1st of last month this stock has declined 21 per cent. Mechanic's Bank had advanced from 80 to 85. This stock week back brought 128. The failures yesterday were few in number, and unimportant. Those of "previous days this week were numerous and for very heavy amounts. From the N. Com. Adv. of Monday reveuing. Wall Street.- One O'clock.-' The excitement continues in Wallstreet and the people yet linger there in crowds Among the calamities of the day is the suspension of the strong house of John Ward & Co Like many others who have given way, they have a suberabundance of means, but cannot command them. In order to illustrate the true state of things, we state a fact. Among the suspensions of Saturday was one for fifteen thousand dollars, to pay which they offered the best securities for fifty thousand dollars-but could not obtain it One of our friends had been obliged to suspend with in actual bonafide surplus of seven hundred thousand dollars-And with many others. Stocks to-day are all down with the exception of Newti Jersey and Utica Rail road. The former closed at 74, the latter at 105, cash. United States closed a: 95. decline of 3 per cent on Saturday's prices Bos Delaware and Hudson 50s; Harlem at 40; ton and Providence at 84 and Worcester at 76. The prospects at the south and west are as discouraging as they are here. c The Boston Atlas of Saturday, says-" The week has passed away without any failures. Our merchants stand the pressure with remarkable firmness. Dry Dock Bank.-The Commercial Advertiser of Monday evening states, that during the run on this II Bank that morning, a meeting of bank officers was a held, and at 11 clock it was announced that all the IS Dry Dock bills would be promptly redeemed at the counters of all the banks in the e city. This informa$ tion caused an abatement of the panic. LATE FROM ENGLAND.--By the packet 0 ship Hibernia, arrived at New York from Liverpool papers of that place to April 1st, are received-and by the Charles Carroll from Havre, papers to march 25th. The moneyed and commerical affairs have not improved. A promise has been made to sustain American houses. Something substantial has heen done-but all m predicted on the expectation of receiving gr remittances from America, in gold and silver, by the next packet. Cotton is down and affairs generally are by no means enincouraging. H In relation to the money market, the w London Times states the arrangements between the Bank of England and that of the 40 United States, is on the point, of completion. fro It will make the U. States Bank, indebted to England, instead of the houses to whom advances have been made. Or failure of Fry & ton has excited great as merchants, The Lightfoot, surprise, bullion they had an excellent business they were na probably compromised in foreign exchanges. Bently and & Co. is another large failure at Liverpool. The English funds are without any fluctations. toy The Morning Chronicle has a very strong pig are and apparently semi-official article, advocating the repeal of the duty on cotton. his SANCE-Ministerial changes were spooth ken of, at the latest date, March 29th, and and been a leading topic of rumor and conif lecture for some time; but nothing definite for seems to have taken place. General Damremount, the new commaner-in chief at Algiers, had gone to Toulon o hasten the preparations for the expedition against Constantine. app It was reported at Paris that the King ten of Prussia was dead. of the at unt was still very distressing, caused Lyons The condition silk-workmen and A subRep much anxiety to the government. B cription for their relief had been opened to A n Paris, which in two days amounted last 12,700 francs. Cal The defeat of the British auxunso Pr SPAIN. under General Evans, has been fulcline owed a similar disaster to quot advanced some leagues beyond liaries who, having by Espartero, Bilboa, was met, on the 21st of March, by first
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Dry Dock Bank. -The Commercial Advertiser of Monday evening states, that during the run on this Bank that morning, a meeting of bank officers was held, and at 11 o'clock it was announced that all the Dry Dock bills would be promptly redeemed at the counters of all the banks in the city. This information caused an abatement of the panic.
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to be an extraordinary crowd and excitement on the corner, near the Bank of New York. Hastening to the spot, wesoon ascertained the reason. The second editisn of the Herald had arrived, and every body was pressing forward to obtain a copy. It is impossible to describe the struggle. The run on the Dry Dock was nothing to be compared with it. The news boys had no time to fold them, and were unable to make change fast enough to satisfy the eager multitude
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THE TIMES continue to be "out of joint." The Boston Courier of the 8th says that it believes the merchants of that city are sounder and better able to bear up under the present distress than those of most other cities. Some failures have. occurred there of late, but none of great magnitude or involving others. The last New York papers state that the run on the Mechanics Bank had ceased, and the stock had risen 10 per cent. On Saturday a run was made upon the Dry Dock Bank, but it redeemed all its bills on that day. On application of the bank commiss'rs, the Chancellor has issued an injunction on the 3 Banks at Buffalo. This created a great stir in Wall street. No fears were entertained of the solvency of the Buffalo banks; the ground of complaint was that they did not keep within the limits prescribed by the Safety Fund Act. A bill has been framed in the N. York Legislature in reference to these banks, and provision was made in another bill for the immediate payment out of the Safety Fund of the bills of any banks that should suspend payment. On Saturday the brokers bought little Western money, and there was one sale of Safety Fund bills at ten per cent. The Com. Advertiser says-" The number of failures yesterday, including many for sums comparatively trifling, is twenty-one; and the aggregate is two hundred and ninety."
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NPA PET BANK GONE. THE BETTER CURRENCY.-Gen. Jack son and his friends promised us a better currency. Much noise was also made about the Government funds not being safe in the U. S. Bank, and this was the excuse for re moving the deposites. The plan of having eigthy or one hundred state banks was much safer ! Besides, government business was to be mainly done with specie. Now mark the fulfilment of these golden promises-one of the 60 or 80 pet banks (the Dry Dock Bank) is gone already, and ONE HUNDRED AND EIGHTY THOUSAND DOLLARS of the peoples' money swallowed up. While the U. S. Bank did the government business not one dollar was lost. Will our readers have the goodness to turn and read that passage towards the lat. ter part of Mr. Webster's speech where he speaks of the specie humbug. Where now is all the specie, that so much noise is made about? Not one dollar is in the hands of government. It is all in the pet banks and government has BANK credits for it. It is no better than though it was in bank bills. That is good enough for us, but not for a Jackson man Dry Dock Bank stopped Payment.-The upon the Dry Dock Bank in New York, ou Saturday was much more serious than that made upon the Mechanics' Bank on Thursday-upwards of one hundred thousand dollars having been paid away in Specie before the Bank closed. The Courier and Enquirer says that "in consequence of this state of things, a meeting of the Presidents and Cashiers of all the City Banks, was held at the Mayor's office last eight, when the affaits of the Dry Dock Bank were critically ramined into, and a resolution unanimously adopted, that they were such as rendered it unadvisable to sustain it. This resolution was communicated to the officers of the Dry Dock Bank, and that institution will not again open its doors, or 10 othes words, the Dry Dock Bank stops payment this day," (Monday.) We learn from the Courier that the Dry Dork Bank is not a safety-fund institution, but is a deposite Bank of the General Government, and has in is vaults about two hundred and sixty thousand dollars of the surplus revenue, one hundred and eighty thousand of which it had been directed to pay over to the Treasurer of this State. This order however, had not been complied with; and of course the geueral government must share the same fate as other depositors! n The New York Commercial says:-"Long before ten o'clock the street was crowded, and the doors of the bank were thronged to 'high pressure.' There were some two or three thousand people in the street, far the greater number of whom, however, were not bill-holders, but merely lookers on in Vieuna'-helpof ing, by their presence, to swell the crowd, and to increase the excitement. Another meeting of the bank officers was held, and e at about 11 o'clock it was announced that all the Dry Dock bills would be promptly redeemed at the counters of all the banks in the city. This information caused an abatement of the panic, and the crowd gradually melted away, so that by 12 o'clock, the assemblage of citizens in the street was not much greater than is usual in these days of 'peril and alarm. of At the same time it was announced that the Chancellor had laid an injunction on the Drv Dock Bank, and t that its assets would be deposited with the Merchants e Bank for collection.
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NEW YORK, May 6. WALL STREET - One ()' Clock,-The - brokers. to day, are buying little if any Western money. We heard of sales of safety fund notes made at ten per cent. In stocks, it will be seen by the report of sales that some have improved and others fallen off. United States, for instance, at 98, a fall of 4 per cent -while Utica closed at 1018, an improvement of nearly the same. The accounts from the manufacturing towns are gloomy in the extreme. The Worcester, Mass., Spy savs the proprietors of the woolen factories at Clapville have determined to close their gates. 150 persons will be consequently thrown out of employ. Several other manufacturing establishments in that vicinity are also suspending operations. From the cutlery establishment of J. Russell & Co. at Greenfield in that state, fifty workmen had been discharged. From Connecticut, we have the news of the stoppage oftwo heavy manufacturing establishmentsone at Wolcotville, the other at West Goshen. The Litchfield paper says that failures and stoppages are taking place in all the manufacturing villages, and many workmen thrown out of employment in an 111terly destitute condition. By the stoppages recorded above, probably 600 persons have been deprived of work-and yet we are told distress is only felt by the speculators! NEW YORK, May 8-2 P. M. THE DRY DOCK BANK.-A meeting of the Bank Presidents and other managers was held on Sunday evening. The state of the affairs of the Dry Dock Bank was laid before the meeting. It was evident that the Bank could not continue to pay through Monday, without the assistance of the other Banks. After a full consultation it was judged inexpedient to afford that assistance, and accordingly the doors and windows of the institution are closed this morning. Some of the items in the Bank's accounts are about as follows :Capital $420,000 Of this, $220,000 was invested in real estate and the erection of Dry Doch.
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now estimated at COST Circulation about 125,000 1.000,000 Indebtedness of all sorts, about 750,000 Loans secured by notes and bills Over-drafts 400,000 This last item is the point of weakness, and has caused the present trouble. A committee from the Banks had a consultation this morning, as the result of which His Honor the Mayor. in a suitable speech announced that the bills of the Dry Dock Bank would be paid at any of the Banks in Wall street, and assured the crowd around. that the bill holders would all be protected and paid to the full. At the same time it was announced that the Chancellor had laid an injunction on the Dry Dock Bank : and that its assets would be deposited with the Mechanics' Bank for collection. The City Banks have acted nobly in coming forward to redeem the bills of the Dry Dock. It is generous towards the bill-holders, and will, we have doubt, do muchto allay the unreasonable asperity which is felt towards those institutions. It will do much to prevent excitements, as a guarantee that in all possible cases a liberal policy will be pursued towards bill-holders. This is right for the bill-holders are many of them persons who do not engage in the hazards of credit; and to many, the small sums they hold in bills, is of vital importance to the comfort of themselves and families. The Dry Dock Bank had a portion of the government deposites, amounting to about $260,000. The bills receivable of the bank were made use of to provide for the bill holders, before the injunction was laid. 3 o'clock.-The excitement in Wall st. has in a great measure subsided, and the crowd have dispersed. A good many persons have carried home the bills of uptown Banks, and there are reports of runs, but we know that it amounts to little. [Jour. of Com. WALL STRET-One O'dock.--The excitement continues in Wall street, and the people yet linger there in crowds. Among the calamities of the day is the suspension of the strong house of John Ward Co. brokers. Like many others who have given way, they have a superabundance of means, but cannot command them. In order to illustrate the true state of things, we state a fact. Among the suspensions of Saturday, was one for fifteen thousand dollars, to pay which they offered the best securities for fifty thousand dollars-but could not obtain it. One of our friends has been obliged to suspend with an actual bona fide surplus of seven hundred thousand dollars. And so with many others. Oh the blessings of such an administration : Stocks to day are all down with the exception of New Jersey and Utica Rail road. The former closed at 74, the latter at 104, cash. U. S. closed at 95, a decline of 3 per cent. ou Saturday's prices Delaware and Hudson at 504 : Harlem at 40 : Boston and Providence at 84 and Worcester at 76. In bank stocks, besides those mentioned above, 50 shares of Phenix were sold at 75, 83 of City at same rate, and 20 State at 70. The prospects at the south and west are as discouraging as they are here. We understand that a run upon the Seventh Ward Bank has been in operation about half an hour. The Commercial is spoken of as the next object of attack. [Commercial. Numerons failures on Saturday and to day. There will he more. and important ones. There 18 nothing but gloom, and deepfeelings of wrong. [American.
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The following letter from the New York correspradent of the National Intelligencer gives a see cinct view of the most important matters by Satur day's mail: New YORK, May 9. I have London papers to the 7th, and Liverpool to the 8th ult. The city article of the London Times announces that the New York packet-ship of the 1st March was telegraphed at Liverpool, and this announcement appears to have created quite a sensation in London. The effect of the news in London we do not learn. She carried out no specie. Re mittances from New York were expected with intense anxiety. Payments had been delayed for the packets. They hope that the returns from America will set all right! Alas, what a delusive hope ! The French ministry had not been re-constructed. The failure of the attempt was the principal topic of discussion 111 the Paris papers. Nothing of impor tance from Spain. In a rapid run over the papeis, see DO other political news. It is certain that there is to be a change iu the French ministry. MOLE iss forming it. COTTON is about the same, or a shade lower, in any thing. Sales are few. Not many have money to buy. The English money market is not in a good condition, and when we are heard from, it will not be bettered. I find no crumbs of comfort for our own afflicted land. The London Tittles of 1st of April says, each of the New York packets due (five were due) is ex pected to bring 200,000 pounds sterling, each, in bul lion ! The merchants held their great meeting last night to receive the report of the committee from Wash ington. Resolutions were passed, but they propos ed no action. All was quiet and calm. The news papers will give you, the day after you get this, the proceedings in detail, but they are not of sufficient importance for me to embody them. A The runs upon all the banks here continue. large sum has been taken from them in specie. Th developments about the Dry Dock Bank have ver much shaken public confidence, and depositors ii some cases are withdrawing their deposités. The banks up town are run hard by the mechanics.
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The Dry Dock bank, New York city, has suspended operations. It was a pet, and had about $220,000 public money in its vaults! Of these funds, 80,000 belonged to the Nation. al Treasury, and 140,000 to the state of NewYork. Hurra for Jackson & Co! P.S. Thebank shows a large surplus on paper, and other banks redeem its bills, the vice chance llor having issued an injunction against it.
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HILLSBOROUGHo Friday, May 19. The commercial difficulties of the country appear to be rapidly hastening to a crisis. All the banks in the city of New York, Philadelphia, Baltimore, Washington City and Richmond, have suspended specie payments. It is presumed, by the complexion of the Tennessee papers, that the banks in that state, and in the south-west generally, have also by this time suspended specie payments. It is probable that most of the banks throughout the country will find it necessary to adopt the same policy. So great is the demand for specie, and so high the premium, that runs will doubtless be made upon all banks which shall fail to do so. By suspending specie payments, the Philadelphia banks forfeit their charters, end the New York banks will, if continued for three months; but in consideration of the emergency of the occasion it is presumed they will be sustained in the measure. The Dry Dock Bank in the city of New York, and the three banks at Buffalo, have been closed by injunctions issued by the Chancellor, under alleged violations of their charters. The Dry Dock Bank is a deposite bank, and has 260,000 dollars of the publie money in it; 180,000 dollars of which it had been directed to pay over to the Treasurer of the State of New York, as a portion of the surplus revenue; but the order had not been complied with. A treasury draft for 200 dollars on the Bank of North America, another deposite bank, has been protested! It would seem, therefore, that after all the boast of a better currency," the Government itself cannot command specie for the payment of its debts-even the small sum of 200 dollars! So great is the distress and inconvenience resulting from the impossibility of procuring change, that it is proposed in Philadelphia to resort immediately to the issue of small notes, from one dollar to five cents.
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AND NINETY. The catalogue was swelled last evening to the number of THREE HUN- DRED AND FIFTY-TWO. From the National Intelligencer. The first of the Deposite Banks to give up the ghost is the Dry Dock Bank in New York. The amount of public money in its custody was about two hundred and sixty thousand dollars. This amount may, we suppose, be con- sidered a total loss. It is a small be- ginning; but, it should be borne in mind, it may be, and probably is, only the beginning. Sooner or later, with a Bank conducted as this Bank appears to have been, (having incurred liabili- ties for 1,500,000 on a capital of 200,- 000, and having in its credits an item of overdraws to the amount of $400,000,) this catastrophe must have happened. So that the failure of that bank cannot be by itself as great an evil as the Bank itself was. The only light in which the incident is of serious importance to the country in general, is that of the forerunner of a more or less general failure of the weaker deposite banks, whom the Executive of the U. States will have lured to their ruin by the temptation of profit, not merely upon the public money, but upon the addi- tional credit given to them by their known connexion with the Treasury. NEW YORK, May 10. The Banks of this city, each and all, have suspended specie payment! The bankers met last night, and deliberated till a late hour, when all but three re- solved to suspend specie payment. This morning the other three did the same thing. The Common Council being in session at midnight, the banks making a representation to them of what was to be announced in the mor- ning papers, they, in concert with the Mayor, ordered out two regiments of the military, who were on parade this morning as soon as the morning papers were in circulation. The city is, there- fore quiet. There is no alarm. Wall street has been thronged with great crowds. The excitement is great, but there are no riotous movements. I have some anxiety about the night, but I presume the military will be kept at hand. If the banks had not taken this course voluntarily, they would have been compelled to do it to-day, for the run was universal, not only of bill-hold- ers, but of depositors also. There is no doubt that all the Safe- ty Fund Banks in this State will now suspend specie payment. Gold and silver being at a premium, and paper being necessarily the circulation of this great city, the State must inevitably follow. The Chamber of Commerce meet to-night to deliberate upon the crisis. The banks have agreed to send a com- mittee to Albany to ask for a suspen- sion of the safety-fund law, which in- flicts upon them a forfeiture of their charter if they suspend specie payment 90 days. The merchants held a mee- ting to-day at the Exchange, and a- greed to stand by the banks in uphold- ing confidence as far as possible. "Stocks have gone up of course from five to ten per cent. People who have money to pay are much happier, as they can pay it now. There is no rea- son why people should be alarmed, and as yet they are not. There is confi- dence in the solvency of the banks. Failures will cease in a great degree after this week is over. I hope the Government at Washington is now sat- isfied with their "EXPERIMENT."
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M. VAN BUREN. DRY DOCK BANK. In consequence of some improper publication in a whig paper printed in New York, a run was made, last week, on the Dry Dock Bank of that city, and the institution was obliged to stop payment. A statement of the affairs of the bank has since been published, from which it appears that the bank is in possession of assets sufficient to meet all its liabilities, and leave a surplus of more than two hundred and eighty-seven thousand dollars. The notes are now redeemed at all the other banks in the city.-Pa. Reporter.
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From the Boston Morning Post. # NEWS FROM BOSTON. The deposite banks in New York were forced into the suspension of specie payments by the combination of Whig banks against them. They at first refused compliance, and did not come into the arrangement until the day after the other banks had agreed upon it; but were obliged, finally, to yield to the strength arrayed against them. The stoppage of the New York Banks compelled all the New England banks to follow suit, and thus commenced the flame which is consuming the credit of the whole country. By such deception as this, the Van Buren party is sustain-ed. The first Bank in the U. States which suspended specie payment was a Pet Bank in Natchez (Miss.) The first movement upon the New York Banks was made by the Bank Commissioners upon the Banks at Buffalo. The first run upon the New York City Banks was made by small bill holders upon the Mechanic's (a Pet) Bank. The first bank that suspended specie payment in New York City was the Dry Dock (a Pet) Bank, and the first Bank that discredited its notes was a (Van Buren) President of another Pet Bank. The first meeting called for the suspension of specie payments was held in a Pet Bank, the State Bank, and Cornelius W. Lawrence, an Ex-Mayor presided over it. The Whig merchants were the last to discredit the Banks. They made no run upon them, and did not, to any extent, withdraw their deposites. The run was made by men whom Benton and the Globe have taught to believe in the "yellow boys" and "the silken purses with gold peeping out."-Ex-press.
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CHARLOTTESVILLE, May 26. More hidden treasures found.-We understand that Mr. Burrus Munday, while engaged in removing a heap of stones on the land of John Douglass, Esq., in the northern part of this county, a few days since, discovered the remains of a wooden box, containing four hundred and forty-nine doubloons of gold coin !—amounting to near $7,500. MATTERS TO BE REMEMBERED.- It should be constantly borne in mind that the first suspensions of specie payments were made by the Pet Banks at Natchez. It should be borne in mind that the next suspension of specie payments was made by the three Safety Fund Banks at Buffalo. It should be borne in mind that the next suspension of specie payments was made by the Dry Dock Bank, one of the Pets in New York. Finally, it should be borne in mind that all the Banks in New York, including four or five Pets, stopped payment of specie before any one of the Banks in Philadelphia. We will add one word by way of comment. When so many Pet Banks, sustained by all the influence and the immense surplus fund of the General Government, stopped paying specie, it is not at all strange that other institutions, standing on their own unaided strength, should follow the example before them. Hagerstown Torch Light.
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⑉ One-fourth her (5,000 or 6,000) have left the city If we come to specie currency shall still want exchange, and that must be in paper and all history assures Us there is no exchange like the paper of responsible banks. It was very well known to every reading man that one of the greatest evils which oppressed the country before the adoption of the consti tution, was the various currencies which were afloat When the convention met. the currency was paper and continental. To Congress was given the power of coining money. Was it exclusively for the Govern ment No one believes it. No rational man puts any such construction on the power. He asked gentlemen to point to any provision on which the President founded his doubt, expressed in the message, whether we have any thing to do with paper money. Congress has power to regulate trade, a provision which embraces every thing. The inferred power of Congress, under the provision regulating trade, extend to capital indictment and execution. The constitution established money system and currency He wished to know gentlemen contended that, on this point, there was hiatus in the constitution In the message of General Washington to the second session of Congress, in 1790, the attention of Congress was called to the question of the currency and in 1791 the first Bank of the United States was chartered. He referred to the history of that bank to show that one of the objects of its establishment was to give to the country a sound currency He quoted Mr Hamilton's opinions on that point, from the third part of his advantages of a National Bank, as well as the sentiments of other distinguished statesmen, to prove, at the same time, that the bank was not created exclusively for revenue. The small Bank of the United States which was first established, he considered as having admirably performed its duties. He contended that no state bank could be regulated into an equality a with National Bank You might as easily turn satellite into one of the principle orbs. What was the object of establishing the late Bank of the United States ! There was sufficient revenue But the mo ney of the country lay sluggish in the channels of circulation it wanted currency. Mr. Madison, who was ready writer, but who found great difficulty in speaking, said he had never a copper in his So could draw for thousand pounds. we had no money, but we could draw. He recited the facts connected with the creation of the second bank Mr. Madison and the Secretary of the Treasury put this bank on the ground of its necessity, to furnish a general currency Their argument was, that a national medium and national currency could only be established by National Bank. He quoted some remarks then made by Mr Calhoun, to show that the Senator from South Carolina advocated the bank for the purpose of currency. No administration had exhibited more recognitions of this fact than that of General Jackson, whose first complaint against the U. S. Bank was that it had not performed its duty in keeping up sound currency And General Jackson made it one of the grounds for putting the deposites in the State Banks, that they would prove sufficient agents for sustaining the currency. The last message of General Jackson was marked with high tone of exultation on the success of the State Banka, and if they had not all gone in crush, we should have had repetition of that exulting strain in the late message. When this erisis took place, nothing was left but to undo what had been done, or to re-read the constitution, throw Madison, Hamilton. &c. in the back ground, and say, the regulation of our currency is put beyond our reach by the constitution. He contrasted the language used in 1806, with that used at this time. In the former case, the object was to relieve the people now it is only to relieve the government He next proceeded to examine for what purpose Congress was called together. He read from the message on this point to show that the object of the President was solely to provide for the safe keeping of the public money, and to provide for the deficiencies in the Treasury No unimportant corporation could hav pursued a policy more exclusively selfish than that pursued by this great corporation of government. The great question to be decided by the people is whether, except in the regulation of the gold and silver coin, has any thing to do with the currency We must go all one way or the other. We must be embraced m the gold and silver arms of the Senator from Missouri be hugged to his hard money breast, or go back to the tried and approved measures of government He thought the State Banks had been somewhat hardly used He was not one of their accusers, although he believed some of them were chargeable in the outset with giving very bad advice to the Secretary of the Treasury He did not concur to its full extent in the charge of overtrading He adverted to the remarkable inconsistency between the language of Mr Taney in 1833, and the language of this bill. Mr. Taney invited the banks to make loans to merchants, while this bill up the public money with triple keys, and if you lend dollar. you shall be pursued with indictment, and subjected to punishment, to pains and penalties: Government participated in the expansion, by inviting the banks to lend. The message of 1835, quoted the great sales of public lands proof of the prosperity of the country, and now these sales are set down to the charge of overtrading Mr HARLAN, of Kentucky, opposed the report of the majority of the Committee and Mr. BROWN supported it. Without taking the question, the House passed to the order of the day. DEPOSITE ACT. The House then proceeded to consider the " bill to postpone the fourth instalment of deposite with the States, reported last night, without amendment, from the Committee of the Whole Mr DAWSON who was entitled to the floor, yielded it to Mr CAMBRELENG, for the purpose of enabling that gentleman to make an explanation in reference-to an interogatory addressed to him by Mr. D., last night on the condition of the New York Banks Mr. CAMBRELENG having the permission of the gentleman from Georgia, said he would explain more fully his answer to one of that gentleman's questions, last evening, concerning the condition of the bauks in the State of New York. He did not mean to be understood that any of them strictly speaking, were insolvent, or that they could not ultimately pay all their notes. Mr C had referred to the Dry Dock Bank, which was placed by the chancellor in the hands of receivers, and to the heavy losses sustained by many of the banks in the late revulsion. By reference to the Treasury Report, it would be seen that one of the city banks alone had $1,200,000 of suspended debt yet even that bank would, in a few years, restore its capital to its original amount, by its collections and profits. He had merely intended to express that the actual capitals of many of the banks had been diminished dur ing the revulsion. He begged to be understood as entertaining no hostile feelings towards the gentlemen interested in those institutions, nor to banks as the mere agents of trade, but to that legislation which is perpetually and improperly interfering with this as well as other branches of trade. His hostility was exclusively directed to this mischievous and corrupting interference with the business of men, which was not among the legitimate duties of Government. Mr. DAWSON then concluded his remarks in opposition to the bill, and went on to point out what he con ceived to be its partial effects Mr TOWNS replied to his colleague on the particular points referred to by that gentleman. till Mr. GRAVES spoke at length against the bill about 3 o'clock, when he gave way to a Mr. PHILLIPS, who moved that the House take recess. After some conversation on the subject and various motions, it was finally ordered that the House take a recess for one hour. and hereafter that it take a recess from half past till 4 o'clock. In the evening session.
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MIDDLESEX BANK, CAMBRIDGE MASS. Capital, 150,000 Specie, 2,769 Circu. 85 and over, 33,625 Bills fother bks 21,140 Do under $5 20,201 53,826 Due fm other bks 5,000 Profits, 3,184 Loans, 299 244 Due to the other banks, 16,518 Deposites, 12,125 Do. with interest, 92,500 104,625 $328,153 $328,153 The reported failure of this bank is attributed to its connection with the Commonwealth Bank. It is generally alledged that both these banks have been ruined by their connection with the government, and the influence of speculators. One half of the Boston and Massachusetts' barks are in a very weak and crippled condition. We are preparing full statements, separating the good from the bad in detail, and shall publish them in a day or two. The subject has been taken up in the Massachusetts Legislature and there are symptoms of some severe examination. Great efforts are making by the public prints of Boston to create the belief that all their other banks are sound and solvent. When were declarations of perfect solvency not made, just before any bank failed? Can we forget the conduct of the Dry Dock and other banks here? We a e perfectly satisfied that the revulsion among the banks will proceed till half of the existing institutions are closed forever. Nor is such a thing to be feared or lamented. It can produce no panic. The foreign and domestic trade is, at this moment, reconstructing itself on a better and sounder basis than ever. Those only who were demolished cry out. From Philadelphia we have received the aggregate bank statements of Pennsylvania for November last. They are curious and instructive. The following comprehends the banks for the city of Philadelphia:-