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H. OF R.
"Bank of the United States.

JANUARY, 1811. hands of collectors, and affords one of the best securities declared that upon the question of incorporating against delinquencies.

this bank. in 1791,' originated the division of pac“ 2. Transmission of public moneys-from one quarties which 'has since existed in this nation. Uater of the Union to another. This is done by the bank til this time sir, this discovery has not been made. at its own risk and expense. “3. Collection of the revenue.---The punctuality of origin of party. I have heard, I have read, for

I had understood a very different history of the payments introduced by the banking system, and the you!h did not permit me to witness, that at the facilities offered by the bank to importers indebted for formation of our present Constitution many perrevenue bonds, are amongst the causes which have enabled the United States to collect with so great facility sons with different views were opposed to its for and with so'few losses the large revenue derived from mation and adoption, preferring inat shadow of impost.

union ia which ibę States, as with a rope of sand, « 4. Loans.—The bank has been eminently useful were attempted to be bound under the Confeder in making the advances, which, under different circum- ation, to the strength, firmness, and unity, in which stances, were necessary. At one time Government we are knit by the Federal Constitution. The owed it $6,200,000, exclusive of 6 per cent. stock ori- good sense and good fortune of our country preginal subscription, and a similar disposition to accom- vailed, the Constitution was adopted, and those modate has been repeatedly evinced whenever the aspect who as anti-federalists had opposed the adoption of public affairs has rendered it proper to ascertain of the Constitution were organized with very few whether new loans might, if wanted, be obtained.” exceptions, under the name of Republicans, in

The report then states, that although the banks opposition and decided uniform hostility to the established under authority of the States might measures of the Federal Goveroment. afford considerable assistance to the Government. The charter to the baok thus indeed became in its fiscal operations, there is none which can with some of its opponents a question of party, transmit moneys with the same facility or to the although it received the support of others who same extent; none which can afford so great se- were anti-federal. In this party opposition it curity against any possible losses, or greater re-only met the fate of every oiher measure, how. sources in relation to loans. "Nor is it eligible ever wise and salutary, originated and perfected that the General Government should, in respect at that period. Lei us hope sir, that the blindto its own operations, be entirely dependent on ness and injustice of such rule of action is not institutions over which it has no control what. again to be revived. ever.” He also notices the objection of foreign- Let' me now, sir, rapidly glance at the conseers holding stock, but this he declares "does not quences which are to attend the rejection of this at all events appear sufficient to outweigh the bill. The intercourse between the States, and manifest public advantages derived from a re- the dealings of the citizens of a State with those newal of ihe charter."

of different parts of the same State, require a eirMr. Speaker, gentlemen may disregard, but they culating medium far above the quantity of gold cannot despise, nor can they destroy, this high and silver which exists amongst us. No man testimony, which, while it establishes the utility contends that the demands of commerce, or even of the bank, bears honorable testimony to the up- the ordinary transactions of individuals, can in the right and patriotic spirit in which its operations present scarcity of gold and silver be carried on have been conducted. This testimonial outweighs without the intervention of bank noies. Hitherto, all that the bickerings of interest, the suggestions sir, the notes issued in each State have answered of jealousy, or the apprehensions ofthe uninformed. some of the domestic uses; but for the purpose can assert against the institution. For myself, of remitting to, or receiving payment from other sir, had I no other knowledge of the subject, I States, no reliance has ever been placed upon the should feel no hesitation upon the question of noles of State banks. It has frequently happened constitutionality and necessiiy of a bank which that notes have got into circulation, purpurting Hamilton recommended, WASHINGTON approved, to be issued by a bank which in fact never existed, and Gallatin, after twenty years experience, con and others issued by banks which had failed. tinues to advocate. The shade which has been The difficulty of knowing the real from the spuattempted to be cast upon the fame of Hamilton rious, and the solvent from the insolvent, has so as the progenitor of the bank” must when ex- far restrained the circulation of the notes of State amioed, like every other attack upon it, but add banks within the limits of their own Slate, as to to its lustre. Sir, I shall not attempt to eulogize have prevented any late frauds and losses except the name of that great man; were my feeble among the very uninformed part of the cominü. powers equal to the task I should deem it unne nity. In these circumstances, the koowo ability cessary: Party rancor, which impotently fol- of ihe Bank of the United States, the receipt of lowed him to the grave, cannot now obscure one its paper in payment of debts to the United Siates, ray of that sun of glory which shines upon the has given it a currency and credit equal to gold tomb of the illustrious dead.

and silver in every purpose of domestic or foreigo As if satisfied or fearful that no argument use, and its frequency among us has so far faniiagainst the bill could be urged which would plau- liarized all men of business with the noies as, if sibly destroy its claims to support, the question not entirely to prevent frauds from counterfeits, has been called a party question. To rally a party at least greatly to diminish the injury. In de round its standard, to excite the pertinacity and stroying this bank, you are about, sir, to strike awakęo the severity of party feeling, it has been all this most valued paper medium out of exist

JANUARY, 1811.

Bank of the United States.

H. OF R.

ence; to dissolve an artificial capital of the Bank of the United States would have progressed to of the United States of ten millions of dollars, the end undisturbed by any intervention of mine. and not merely this capital of the Bank of the If a train of reasoning be adopted that tends to United States, but, by withdrawing from the other disturb this Constitution, and io give to it a conbanks the very large portion, if not the whole of struction and interpretation that it will not bear, their specie capital. with which they must part it then becomes a duty to state opinions respecto to pay the Bank of the United States the debts ing it, and to vindicate the true intent and exdaily increasing against them, by the receipt of press understanding thereof. their poles in discharge of individual debts to the The Constitution was solemnly and deliber-, Bank of the United States, you inevitably render ately made by wise men, who'composed the Conthe State banks less able to accoinmodate, and vention, in the name of the people of the United diminish greatly that portion of the circulating States, and it was solemnly and deliberately ratmedium emitted by these banks.

ified by conventions of the States, respectively. of the distress which this measure will occa- It is simple and easy to be understood by any one sion, I need say nothing. The evidence of its who, knowing the objects and ends for which it existence and magnitude surrounds you, and have was ordained, will candidly examine it. · A debeen already repeatedly pressed upon your atten. fence of the Constitution is a defence of the great tio... You are in fact to destroy all confidence and good men who made it what it is; for, if the in bank paper. Can my constiluents know whe- Consillution be dark, of obscure intent, and duther the bank note of New Hampshire or Geor-bious meaning, it is not what it ought to have gia, which is offered them, is genuine or spuri- been. If it be dark, obscure, and dubious; if it ous? Can they know whether a bank is in be capable of inconsistent or contrary interpretacredit, or insolvent, of which tbey have never tion, the conventions of the ratifying States have before heard? Yei, sir, as gold and silver is not not examined it with that careful attention which to be had, and the United States' Bank notes it required. Vain and empty surmises will evapwill no longer exist, you reduce the people to orate, the characters of the men who made it this dilemma; either they must receive the notes being considered; the scrulinizing inquiries of of State banks, ignorant as they must be of their the several ratifying conventions being contemgenuineness of credit; encounter the daily risk, plated, and by a candid examination, without of being defrauded, or keep on hand their pro- prejudice, of the Constitution itself. duce. In this state of uncertainty, bank notes The Constitution is a compact between the must lose their credit; will cease to circulate; individual States and the United States. It is musl soon depreciate, and scenes of speculation the great charter and bill of rights delegated and and embarrassment will ensue pot unlike those given by the several States composing the Union which have heretofore nearly ruined our country. to the United States. It contains rights, powers,

Mr. Speaker, the present is not a time for dan- and principles, to be acted on by the United gerous experiments upon the prosperity of our States, in order to form a more perfect union, country. With foreign nations our relations are establish justice, ipsure domestic tranquillity, more ihan at any other period perplexed. In provide for the common defence, promote the my apprehension the bations of Europe, with general welfare, and secure the blessings of libmore than one of whom we have advanced in a eriy; and we, the people of the Upited States," warlike attitude, will have more forbearance and have ordained and established it the Constitution less tem per than is usual with them, if they do of the United States of America. not meet us with decided, not-secret hostility. The rights, powers, and principles, epumerated And, in this time of danger from abroad, while in the Constitution, are void of elasticity; they with a non-intercourse law in one hand, you fet-arė firm, fixed, and unbending; they will not ter all external commerce, sink your revenue, and yield to discretion on various assumed construcreduce the value of property; with the other, by, tions; unchangeable in their nature, intent, and destroying the bank, deranging the finances of object, they are mutable only by the Constituthe Government, overturning private credit, and tional authorities. destroying commercial confidence, you press with “The enumeration in the Constitution of cer-, the deadly weight of an incubus upon the exer- tain rights shall not be construed to deny or distiups of domestic industry and enterprise. The parage others relained by the people”-article inevitable effect of these measures must be to eleventh of the amendments to the Constitution." turn loose a torrent of overwhelming calamity, This article manifests that all the rights delethe extent of which you cannot estimate, and the gated to the United States are enumerated in the force of which you cannot: slay. The conse- Constitution, and the enumerated rights shall not quences are awful, and the responsibility seri- be construed to deny or disparagę, to bring into Let gentlemen look to it.

disrepute, or diminish, other rights retained by Mr. Ruen, of Tennessee.-Il, in the course of the people; and to that end it is absolutely neces. this debate, observations had not been made which sary, that the rights delegated be expressly and appear to deprive the Constitution of the United distinctly, enumerated, otherwise it would be imStates of its ionate virtue and honor ; to destroy possible to ascertain and distinguish the rights its beauty and simplicity; and to transform it I delegated to the United States, and the rights into a deformed and distorted something, the de- 1 reserved to the people. “The powers pot delebate on this bill to renew the charter of the banklgated to the United States by the Constitution,


H. OF R.

Bank of the United States.

JANUARY, 1811.

nor prohibited by it to the States, are reserved to tain a navy," and to make rules for the governthe people”—ariicle iwelfth, amendment to the ment and regulation thereol ; and to define and Constitution. By this article it is manifest that punish piracies and felonies committed on the a power, not distinctly and expressly delegated to high seas, and offences against the laws of nathe United States by the Constitution, nor ex- tions;" and consequently to make rules and rego pressly and distinctly prohibited by it to the ulations for the government of seamen of every States, is reserved to the States respectively, or description. It has been asked, by whaç deleto the people. These amendatory articles ex-gated power does Congress make laws to prevent clude and prohibit an assumption of discretion- settlers on lands, the Indian title whereof has not ary powers; of constructive powers; and of all been extinguished? If the gentleman who made powers and rights not expressly and distinctly the inquiry had considered ibat land, the Indian enumerated in the Constitution. By the word uitle whereof was not extinguished, remained by "power,” or the word "right," is understood a treaty for the use of the lodian tribe until the fundamental principle of the Constitution; the extinguishment of title, and that, a treaty being Congress cannot change, alter, vary, or destroy a supreme law of the land, the Congress is emit, it assumes form when it is clotbed with a le powered to give it complete effect, the inquiry gislative act of the Congress, and ordered to probably would not have been made. operate.

It is urged that a discretionary power is pecesIt may be proper to notice some observations sary to carry the enumerated powers into effect. made in the course of this debate, which ap. If the discretionary power alluded to intends only peared to evidence a disposition to show that the a power to legislate on the delegated right or Congress was vested wiih discretionary or con- power, in a proper time aod adequate manner, this structive powers in matter of principle. It has is no more than a' power to make laws to carry been intimated that Congress had not power to the delegated power into execution; but if by disband an army, if the power was not assumed. “discretionary power," is intended a power to If the Constitution had been well considered, assume at discretion' a right, or principle, not this and other similar intimations would have enumerated in the Constitution, under presence been omitted. An army is raised in consequence of carrying a delegated power into execution, it of a law, bottomed on the clause in the eighth is denied that the Congress has that power; for section of the said article, which empowers Con- if a delegated power cannot be carried into ex-. gress to raise and support armies. By the eighth ecution without assuming at discretion a right section, the Congress is empowered to "make not delegated, it will only prove, that the Constirules for the government and regulation of the tution, in this respect, is deficient and requires land and naval forces.And the Congress is amendment,' and will not prove, that Congress prohibited to make an appropriation of money to to effect a measure, may ai discretion do an unsupport an army for a longer term than two years. constitutional act. The Congress, acting on these powers, will dis It has been argued, that the Convention left band an army. A law may be made to expire Congress to adopt the means, as circumstances by a limitation in itself; if not, the Congress will might admit, to carry the delegated powers into make a law to repeal it. A law may be enacted effect. What is intended by the word means to repeal the law whereby an army is raised, and ought to have been explained in a Constitutional, then that army will be disbanded. The writ of not a discretionary manner. To produce an efhabeas corpus is a prerogative writ of the peo- fect of a general nature the means ought to be ple of the United Siates, and was in use previ- commensurate and co-extensive. Water is a ous to the existence of the Constitution; it is means to allay the thirst of all mankind; and not prohibited by the Constitution to the people ; there is no substitute. Ships and sea-vessels are it is a duty of the judiciary to issue writs of a means of carrying on commerce between nahabeas corpus, proper cause being shown. The Lions separated by the ocean, and there is no subprivilege of that writ does not depend on the stitute. The Constitution vests Congress with clause in the ninth section of the first article of power to regulate commerce with foreign nations, the Constitution ; that clause only contains an but no man will believe that, in virtue of that express condition or 'reservation, that the Con- power alone, the Congress would attempt by a gress shall not suspend the privilege of the writ discretionary or a constructive power 10 adopt of habeas corpus, except when, in cases of rebel. another principle, that is, to provide and maintain lion or invasion, ihe public safety may require it. a navy to protect commerce. A writ of habeas corpus being issued by the judi. The last clause of the eighth section is in the ciary, a law suspending the privilege of that writ following words—“And to make all laws (that is, is a law regulating the proceedings of the judi-Congress shall have power to make all laws) ciary, and is bottomed on the powers vested in which shall be necessary and proper for carry the Congress by force of the third article of the ing into execution the foregoing powers, and all Constitution. "No bill of attainder or ex post other powers vested by the Constitution in the facto law shall be passed." This is an express Government of the United States, or in any deprohibition, and requires po illustration. * No 'partment or officer thereof." title of nobility shall be granted by the United, This is the clause which is called the sweeping States." This, also, is an express probibition. clause, pretending to vest all powers and authors The Congress have power to provide and main-lities, although not expressly enumerated. It may

JANUARY, 1811.
Bank of the United States.

H. OF R. be proper here to inquire what is intended by the difficulty; and this Constitution is not elastic, it words"" and all powers vested by this Constitus will not bend to discretionary opinions. tion in the Government of the United States, or I will now, said Mr. Rhea, with all due respect, in any department or officer thereof,” or what are approach the main point of inquiry, viz: is a powthe powers intended by the words all other pow. er or right to create the Bank of the United Siates, ers," jpasmuch as it is probable that an opinion expressly enumerated, to be vested or intended may have obtained, that by these words are under- to be vested in Congress by the eighth section of stood some hidden occuli powers, not expressly the first article of the Constitution. It may be enumerated in the Constitution; that these pow previously observed that if in the ninth section. ers are for the peculiar exercise of discretion, and of the first article there hau been even a negative that they are certain discretionary powers, to be expression or enumeration of power, or right indiscovered and assumed in extraordinary cases. serted, empowering Congress to create the Bank If any such opinions are' entertained, a careful of the United States; as if it had been stated in examination of the Constitution will dissipate the words following, or words to the same effectthem. Powers other than those enumerated in Congress shall not create the Bank of the Unithe eighth section of the first article of the Con- ted States prior to the year one thousand eight stitution—these powers might all be mentioned hundred”—there might have been some reason but that is unnecessary; some of them will be to presume upon. But a negative expression of noticed. “Congress have power to provide by a power or right of that import is not in the ninth law for taking the census of all the people of the section enumerated, nor in any other section of United States every ten years.” Congress have the Constitution. The words in the eighth sec. power to appoint by law a day to convene other tion of the first article of the Constitution, which ihan the first Monday, of December. To deter- have caused such amazing solicitude and inquirmine by law the time for choosing electors of ing anxiety to discover some obscure occult powPresident and Vice President of the United States.. er or right to create the Baok of the United States Section-fourih of first article" The times, places, there, are the following: "Congress shall have and manner of holding elections for Senators power to lay and collect taxes, duties, imposts, and and Representatives, shall be prescribed in each excises, to pay the debts, and provide for the com* State by the Legislature thereof, but the Con- mon defence and general welfare of the United gress may at any time' by law make or alter States,” i and (as expressed in the last clause of such regulations, except as to the places of choos- the section) to make all laws which shall be neing Senators."

cessary and proper for carrying into execution "To make laws respecting the District of Co-l the foregoing powers, (that is, the powers enulumbia." "To declare the punishment of treason."merated in the eighth section) and all other powSeveral of those powers denominated “other powers (that is, powers enumerated in other sections ers," are enumerated in the ninth and tenih sec- ' of the first article, and enumerated in other artitions of the first article of the Constitution. Con-cles of the Constitution) vested by this Constigress have power by law to establish courts inferior rution in the Government of the United States, to the Supreme Court. Congress have power to or in any department or officer thereof." make all peedful rules and regulations respect- Let these words be carefully and attentively ing the territory and other property of the Uni- examined, and all obscurity and difficulty will be ted States. • This enumeration may at present be removed ; let them be connected in the manner sufficient to show what powers are intended by they were intended to be connected, and no reathe words other powers, and also to manifest son will be, to presume some unknown occult incontrovertibly that the words " and all other power, on which a pretension to create the Bank powers vested by this Constitution in the Gov- of the United States can exist. “Congress shall ernment of the United States, or in any depart-have power to lay and collect taxes." Let the ment or officer thereof,” refer only to powers ex- words be connected, so that they shall read, “ Conpressly and positively enumerated in the Consti- gress shall have power to make all laws neces. tution, and by it vested in the Government of the sary and proper to lay and collect taxes, duties, United States—ihat by these words are not un- imposts, and excises." Here, said Mr. R., a derstood, as some may have fondly imagined, any question presents itself, that is to say, for what powers of discretion, fitted, when discovered, to purpose shall Congress have power to make all fill chasms in the Constitution of the United laws which shall be necessary and proper to lay States; and that by tbese words are not to be un. and collect taxes, duties, imposts, and excises ? derstood some concealed occult powers, waiting The first clause gives the answer—" To pay the to be revealed by superior wisdom to meet par- debts, and provide for the.common defence and ticular purposes, for instance, the creation of the general welfare of the United States.” The exBank of the United States, or to be dragged out pression of the delegated power or right will then by main force to support unconstitutional preten- in plain and intelligible language be-"Congress sions. In the Constitution are clearly expressed shall have power io make all laws which shall and enumerated all the powers, rights, and prin- be necessary and proper to lay and collect taxes, 'ciples, which have been vested in the Government duties, imposts, and excises, to pay the debts, and of the United States or in any department or of provide for the common defence and general ticer thereof, by the individual States ratifying welfare of the United States." This reading the Constitution. Nothing is left in obscurity or I presents to the mind clear and distinct ideas, re


H. OF R.
Bank of the United States.

JANUARY, 1811. moves doubtful interpretation, and establishes the sáry and proper to promote the progress of scitruth contained in this section of the Constiru-l'ence and useful arts, by securing for limited tion. Let this reading be prefixed to every clause times to authors and inventors ihe exclusive in the 8th section, and the propriery thereof will right to their respective writings and discovebe more apparent; for instance, Congress shall ries.” The insertion of that right or power afhave power to make all laws which shall be pe- fords sufficient reason to conclude, that if the cessary and proper to borrow money on the credit Convention bad intended to delegate to the Conof the United States, to pay the debts, and progress a power or right to create the Bank of the vide for the common defence and general welfare United States, the right or power to establish it of the United States. And here let it be ob- would certainly have been expressly enumerated served, that the words " for the common desence, in the Constitution. “The enumeration in the and general welfare of the United States," are Constitution of certain rights shall not be conwords of limitation and restriction, and not of strued to deny or disparage others retained by amplification of powers; these words direct to the people."-1lth article of amendments to the the end for which all taxes, duties, imposts, and Constitution. Here, then, it may properly be excises, shall be laid and collected, and it follows observed, that the rights enumerated in the Conthat taxes, duties, imposts, and excises, shall not stitution are certain, that is, identically and disbe laid and collected for any purpose whatever tincily enumerated rights, and that those rights other than to pay the debts and provide for the shall not be by discretion construed to deny or common defence and general welfare of the Uni- disparage other rights reserved to the people. A ted States.

right or power lo establish the Bank of the UniThe rights, powers, and principles, delegated ted States is not enumerated in the Constitution; by the individual Sales to the United States, that right or power, therefore, is not denied to the and enumerated in the Constitution, are substan- people, and the certain rights enumerated in the tial, not formal; and, being substance, are un-Constiiution shall not be construed to deny that changeable in their nature, and must continue right to the people, that is, to the people in their until altered by the Constitutional authorities. individual Siate capacities. "The powers not An institution or principle which bas power 10 delegated to the United States by the Constituput bank paper in the place of gold and silver, is tion, nor prohibited by it to the States, are resubstantial-not formal and never can be fixed served to the States respectively or to ihe peoas à form, by way of appendage to the business ple."-121h article of amendments to the Conof collecting taxes, duties, imposts, or excises, or stitution. The eighth-section of the first article by way of appendage to aid commerce, or' 10 of the Constitution enumerates certain powers borrow inoney: With as much propriety may it or rights, delegated to the United States. The be said to aid in establishing an uniform rule of 10th section of the first article enumerates cernaturalization, or in making uniform laws on the tain rights prohibited expressly or conditionally. subject of bankruptcies throughout the United to the respective States; but in the tenth section, States. A principle, or a right or power to cre- or in any other section of the Constitution, a ate the Bank of the United States is not inserted right to create bank institutions is not prohibited or enumerated among the rights and powers enu. absolutely or conditionally to the respective merated in the eighth section of the first article, States or to the people; that right therefore is nor in any other section of the Constitution. not delegated to the United States, but is reserved Let it pot ihen be presumed that the Convention to the respective States or to the people. The who made the Constitution, or the ratifying States respectively have legislated on that power States, did, in an occult and obscure manner, vesi and right reserved, and have established bank inthe Government of the United States with a stitutions, and the United States have not interright or power to create the Bank of the United fered to prevent them. Siates in the niander and form belonging to the In the eighth section of the first article of the bank, the charter of wbich labors to be renewed. Constitution a right is enumerated. “The ConThe Constitution contains no enumeration of agress shall have power to exercise exclusive principle which can give any pretence for such legislation in all cases whatsoever, over such presumption.'

district (not exceeding ten miles square) as may, In the eighth section of the first article are by cession of particular States, and the acceptenumerated rights and powers of minor importance of Congress, become ihe seat of Goveratance than a right to establish the Bank of the ment of the United States." The power deleUnited States. The right to establish uniform gated to the Congress by virtue and force of this laws on the subject of bankruptcies throughout clause, is eminently great, and requires no illusthe United States is of minor importance that tration to prove that Congress has power to creright is enumerated. Certainly, then, if the Con- ate bank institutions in the District of Columbia. vention, or the ratifying States, had designed to lo favor of a renewal of the charter of the vest Congress with the right to create the Bank Bank of the United States it is argued, that the of the United States, that right would have been Congress, having power to lay and collect taxes, expressly enumerated in the Constitution. duties, imposts, and excises, has also power to

By virtue of the eighth section of the first ar-establish the Bank of the Voited States as a means ticle of the Constitution : " Congress shall bave to aid in collecting taxes, duties, imposts, and excipower to make all laws which shall be neces. I ses. It will not be said that the Bank of the Uni


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