The Daily Cincinnati Republican, And Commercial Register

CINCINNATI
MONDAY, JUNE 26, 1837.

ALABAMA

The called session of the General Assembly, of Alabama, commenced on the 2nd inst. The Huntsville Democrat of the 20th contains the Governor's Message, which is not very lengthy and is to the point. His views upon the causes of distress, and his speculations, as to the best policy of relief, are clearly and forcibly expressed. He does not believe that the country can be immediately legislated out of difficulties, but thinks there is no cause for despair. He is of the opinion that, in the nature of things, it must require time and assiduity, to create means, and economy and prudence in their application, to extricate the country from pecuniary embarrassments. The Gov. speaks in commendable terms of the situation of the Banks in Alabama. The paper currency of the State, he says, is as sound and is entitled to as high credit as that of any other State in the Union.

The Constitution of the State declares—in case any Bank or Branch neglects or refuses to pay, on demand, specie for its notes, the holder of the notes so presented, shall be entitled to receive or recover interest thereon until the note is paid, at the rate of 12 per cent. per annum. The Governor, in order to relieve the Banks from the effects of this law, recommends the Legislature to sanction the suspensions which have taken place, and to adopt such regulations, as to the time and manner in which the Banks shall resume specie payments, leaving to the several Board of Directors such reasonable discretion, as may seem expedient. The propriety of restraining the Banks from excessive issues of paper, is pointed out. The power having been delegated by the Constitution to the Legislature, "to declare the charter of such Bank suspending specie payments forfeited," every such Institution in the State has become subject to Legislative control. He recommends a careful, moderate and impartial exercise of this power. As one of the conditions, upon which the Banks shall be permitted to retain their privileges, the message recommends that the Banks be required to extend indulgence to their debtors, inasmuch as there will not then be the same necessity for coercion. As a system of relief, Gov. Clay proposes the issuing of State bonds to the amount of $5,000,000, redeemable in four or five years. It is thought that this system will be adopted by the Legislature.

The following remarks, in reference to a recharter of the Bank of the U. S., which we extract from the message, are well timed, and are entitled to more than ordinary consideration:

“I regret to find that some are disposed to recharter the Bank of the United States, as a remedy for existing evils. It is due to candour, and my own sense of duty, to say emphatically, that, in my opinion, "the remedy would be worse than the disease." I am opposed to such measure, and equally averse to the establishment of any other Bank on like principles. The Bank of the United States did not prevent the commercial revulsion of 1819; it did not avert the pressure of 1825; nor, (though it is still in operation with a slight addition to its name, with the same capital, and perhaps as many agencies as it had branches,) has it arrested, or cured the afflicting distresses of 1837. In common with the other Banks, it has been forced to prolong its existence by suspending specie payments.

Independently of the absence of any express warrant in the constitution for the grant of such a character by Congress, I believe the tendency of such a bank is alike dangerous to the purity and stability of our institutions. We have but recently seen its capacity to do evil. We have witnessed its sudden expansions and contractions of accommodation; its intermeddling with elections and political affairs: its corrupting influence over the press; its refusal to pay over the public funds, and setting the officers of the Government at defiance; its menaces, through its friends, of civil war and revolution; its power to excite dismay and panic in the very midst of prosperity and shake our institutions to their very foundations. Its recharter would perpetuate its power. Shall we be induced by mere pecuniary embarrassments, which are temporary in their nature, to adopt an expedient we have found so full of danger; hazard the permanency of the best government ever devised; and jeopard the freedom of posterity? I know it is too natural for those who are struggling with difficulties which threaten to overwhelm them, to lay hold on any remedy which may seem to promise relief; but I trust and believe the enlightened freemen of Alabama will be found guarding their rights and safety with ceaseless vigilance, and repelling with inflexible firmness every attempt, open or insidious, to subject them to the power of a moneyed corporation.

Governor Clay is a thorough going democrat of the Jeffersonian school. He is a firm and decided friend of the present, as he was an able and efficient supporter of the late, administration; yet we do not believe there are many intelligent individuals of any party, who will take exceptions to the following extract from his message.

It is gratifying to perceive amongst our fellow-citizens, of all classes, that high toned moral feeling, unmoved by adverse circumstances, and that paramount regard for the principles of our constitution which have been evinced in all their discussions and deliberations upon the pressure of the times. So far from suggesting or recommending as a remedy, any measure tending to "impair the obligation of contracts," or to "make any thing but gold and silver coin a tender in payment of debts," they have uniformly repelled any such inference, by the most express and unequivocal disclaimers. The universal object appears to be to devise the means of alleviating pecuniary distress, without impeding the regular operation of the laws, or of the Judicial tribunals.—With such avowals, and a consistent regard for the salutary restraints of fundamental law, confidence in the good faith and credit of the State, as well as of her citizens, individually, must not only remain unimpaired, but be confirmed and augmented. I trust it will ever be the proud boast of Alabama, that whatever dangers may threaten, or evils overtake us, her honor and integrity shall forever remain untarnished.