of Congress to make this separation, by compelling the payment of all dues to the government in gold and silver, dissolving all connection with banks, and making each collecting officer a special depositary; thus extending most alarmingly executive patronage and power, and leaving the people to manage as they are able, with a depreciated or a fluctuating paper currency. But it may well be doubted whether, by such a course, the great object for which government was constituted will be answered, or whether a thinking people will long consent to a scheme which must benefit the few, to the injury and distress of the many.

A Government which aims at nothing higher than to sustain itself, as an independent or even antagonist power to the people which created it, and which regards no other view than to keep itself in motion, is not such a government as our fathers instituted, and we ought to enjoy. The great and leading object of good government is the welfare of the people, and the operations of its machinery are only important as they subserve those ends. The interests of such a government and those of the people, are one and inseparable. One currency for the people and another for the government and its officers, would be absurd as well as ruinous. I regard it as clearly within the power, as it is clearly the duty, of the general government, to take care of the National currency, and to adopt those measures which shall speedily and surely restore to us a sound and healthy circulation; which will be doubly welcome and valued from the sufferings we have experienced since its destruction.

The recent demonstrations of the popular will clearly point to this duty on the part of our national rulers, as one demanding prompt and efficient action; and we have a right to expect, that those who profess obedience to the popular will, as a cardinal principle of action, will follow without hesitation the course demanded by the voice of the people.

In the course of untoward events, occurring under the unfortunate system pursued, a general suspension of specie redemption by the Banks was almost simultaneously adopted in the different States in the month of May last, and such suspension has been continued until this time.

The course was, in New England at least, unprecedented, and can only be justified by stern necessity, and the intention and hope of preventing greater evils and more extensive embarrassments, which would be likely to result from any other

course.

It has produced a state of things which ought not to exist

one moment longer than such necessity exists-and the Banks should be required to resume specie payments at the earliest moment that it can be done consistently with the best interests of the whole people.

An irredeemable paper currency is justly obnoxious to the community, and can be but temporarily endured as a choice of evils. The only paper currency which can or ought to find favor is one based upon the precious metals, convertible, at the will of the holder, into gold and silver, without hindrance or delay.

The present state of the Banks, and the peculiar relation they now sustain to the community, call for a watchful guard, and strict investigation into their means and modes of conducting business. But in addition to the confidence the public justly feel in the integrity and capacity of those who administer their affairs, we have a strong guarantee of safety in the provision which, to a certain extent, holds individual property liable for the debts and promises of the corporation.

But at all times, and especially in the present aspect of affairs, the Banks must expect, what the people have a right to demand, that the constituted guardians of the public interests will carefully investigate and fearlessly adopt all measures deemed necessary to bring the present unfortunate course to an end, and restore again the former safe and satisfactory modes of conducting their affairs.

It cannot, I think, be expected that the Legislature will legalize by statute the suspension, or release the Banks from their legal obligations to their creditors, as such a course, I apprehend, would be unconstitutional and inexpedient; or, that on the other hand, it will take advantage of a state of things so extraordinary, unprecedented, and unexpected, to declare their charters forfeited.

The forbearance of the people, and the creditors of the Banks, demonstrates that they regard the course pursued, if not with favor, at least with forbearance, and there can be little danger of vexation or injury to these institutions, so long as the people are satisfied that they are acting upon honorable principles, and with a sincere desire to redeem their notes as soon as circumstances will justify the resumption of specie payments. The condition and operations of the Banks, during the recent difficulties, will be laid before you in the monthly returns, and the Report of the Bank Commissioners; and from these you can judge whether, in any instance, there has been a want of care, and circumspection, and caution, in their management, or evidence of a design to improve their temporary release,

any

to issue bills beyond their available means. Such a course would deserve most pointed animadversion, and would be a just cause for the forfeiture of their chartered rights. If the present state of affairs is to continue, I submit to your consideration the expediency of a full investigation of the subject, and the enactment of such laws as may be necessary, in addition to the existing Statutes, to prevent that worst of all financial evils, an irredeemable currency; in which the people have no confidence, and which may daily sink in public estimation, and in market value. It would be infinitely better to suffer all the evils of a currency insufficient in amount to meet our wants, than to seize upon such a temporary relief, which must result in final fraud and ruin. It is a question deserving your consideration, whether any Bank should divide any part of its profits, or means, during the suspension of specie payments. It would seem the dictate of prudence, as well as justice, when, from any cause, an individual or corporation suspends payment, that all means should be faithfully and scrupulously husbanded, to meet eventual liabilities. In making these remarks, I trust I shall not be considered as insinuating any thing against the character of those who conduct our banking institutions. I believe that an enlightened self interest, and a high sense of their obligations to the Banks and to the public, and strict moral integrity, have led, and will still lead them, to act with reference to eventual redemption, and to preparations for the event. But the rights and interests of the public are first to be regarded and secured, and honest men will not object even to strict regulations, when the rights of a whole people are in question.

In the present state of affairs, it is not probable, that any new bank charters will be asked for, but I cannot forbear the remark, that the multiplication of small local banks seems to be inexpedient and unwise; and that if a consolidation of the existing banks, by which the number should be reduced but the capital not diminished, could be effected, by the consent of the corporations, the public good would be promoted by having institutions which would not be sensibly affected by small or trifling causes, and so located and conducted as to accommodate the commercial community. The chimerical and utopian notion, that the vast and extending business of a public so full of enterprise, vigor and zeal as the American nation, can be carried on in a currency of gold and silver only, is now, I believe, exploded. The authors of such a proposition can never be regarded as safe counsellors or practical statesmen. The history of the whole commercial world refutes the proposition, and the only wonder is that any man should have proposed such

a plan, or any yielded assent to such a proposition. It is manifest that we must have a mixed currency, if we would remain what we are, or advance in our career, and the duties of legislators would seem to be plain, to take care that, as far as possible, it should be both safe and convenient, and subject to as few fluctuations or changes as practicable.

The law which forbids the issuing, or passing, or receiving bills of a less denomination than five dollars, which originated in the expressed hope that thereby the precious metals would take the place of those bills in general circulation, has been found by experience to be inefficient and powerless, except in its operation upon our own banks. The bills of banks of other States have taken place of our own bills, and it is an admitted and undoubted fact, that the law, so far as concerns individuals, is disregarded in practice. The almost absolute necessity of having a medium of exchange of smaller value than five dollars, and the withdrawal of specie from circulation, has probably led the people to this open disregard of a statute of our State. Such a result is much to be deprecated, as obedience to law is cardinal virtue in a Republic, and a disregard of one law however obnoxious, serves to weaken the reverence for the whole code. But it is manifest that the object proposed, the introduction of gold and silver into the circulation of the country in place of small bills, can never be effected but by the concert of the several adjoining States, the bills of whose banks circulate in each, and that our present restraining law only compels this State to pay a large annual interest to the banks of other States, and deprives our own banks of the privilege of supplying the circulation. It would seem to be expedient to repeal the existing law, and wait for calmer times, and more mature deliberation, and mutual concert of sister States, before attempting to effect the object, which to many is still desirable.

The State, whose interests are entrusted temporarily to us, is rich in resources already discovered, and we have reason to believe is still richer in those undiscovered, or undeveloped. With a sea coast and harbors unrivalled in extent and capacity, with a tonnage second to that of but two other States in the Union, with a hardy race of unequalled seaman, shrinking from no toil or danger, but prompt in action and ready in every emergency-sustained and fostered by the intelligence, capacity and enterprise of our commercial and mercantile community, Maine may justly rejoice in her maritime character and capacity. In our exhaustible quarries of granite, slate, lime rock, and beds of iron ore, we have sources of employment

merce.

for our vessels, and wealth for our citizens, and even the solid ice of our northern climate is converted into an article of comThe immense forests of pine, and other valuable timber, within the rightful limits of this State, are justly regarded as of immense and unquestionable value, for from them must be drawn the supply for a large part of the Union, and the demand must steadily and permanently increase. Temporary embarrassments or fluctuations may produce a check in the sale, or a distrust of the real value. But whoever calmly considers, and carefully and deliberately calculates the cost and charges and the ultimate value of manufactured lumber, must be satisfied that there is no safer investment, at reasonable prices, corresponding with such estimates, than in timber lands, situated upon or near navigable waters. The value of such lands yet unsold and belonging to this State, is very great, and with prudent management and foresight on the part of Legislators may yet yield a revenue sufficient for all our wants. But whether the title to the lands is in the State or in individuals, we have within our borders this source of wealth and profit, and it becomes us to protect and cherish it. In the developement of the resources of our State by measures of internal improvement, the improvement of the navigation of the rivers, lakes and streams, through which lumber is transported to market, claims early attention. I have been informed by practical and judicious men, that by an economical expenditure of small sums of money in clearing those streams and erecting dams, a vast amount of our best timber, which is now almost valueless, may be easily and safely transported to market. If, upon investigation, facts should sustain these opinions, it is deserving your consideration whether justice and expediency do not authorise you, as Legislators and guardians of the interests of Maine, to aid in the prosecution of such undertakings. The State is yet the principal owner of the lands to be benefited, and in a mere pecuniary view it would seem good policy to encourage and aid in these improvements, as adding immediately and visibly to the market value of our timber lands, and eventually to an increase of our receipts into the Treasury, from the sale of those lands, much beyond the amount expended. The more liberal and extended view, which looks to the developement of all our resources, and to the advancement of public interests, with those of individuals, by decided action, will regard such operations as an encouraging commencement of a system of internal improvements, which shall hereafter bring into vigorous and successful action the powers and capacities of our State and its citizens. If Maine is ever to take and to hold the rank she is