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SENATE.

Louisiana Land Titles.

[FEBRUARY, 1823.

that I shall thereby furnish the most satisfactory testi- | it; whether it was right for Congress to grant mony that can be offered of my high respect for this divorces at all, (it has never yet granted one,) body, as well as of my esteem and personal regard &c. for the individuals composing it.

On motion of Mr. MILLS, the Secretary was directed to wait on the President of the United States, and acquaint him with the election of Mr. GAILLARD as President of the Senate, in the absence of the VICE PRESIDENT of the United States, and also to inform the House of Representatives thereof.

THURSDAY, February 20. Christian Indians in Ohio-Failure of the Experiment.

On motion of Mr. RUGGLES,

Resolved, That the Committee on Finance be instructed to inquire into the expediency of making an appropriation to enable the President of the United States to take such measures as may be necessary for purchasing the right, title, and interest, which certain Indians have in and to three several tracts of land, of four thousand acres each, lying in the county of Tuscaroras, in the State of Ohio, which lands were granted by Congress, in the year 1796, to the "Society of United Brethren for propagating the Gospel among the Heathen," in trust, for the sole use and benefit of the said Indians; said purchase to be made with the knowledge and consent of the said Society.

MONDAY, February 24.

The PRESIDENT communicated the credentials of JOHN TAYLOR, appointed a Senator by the Legislature of the State of Virginia, for the term of six years, commencing on the fourth day of March next; and also, the credentials of NEHEMIAH R. KNIGHT, appointed a Senator by the Legislature of the State of Rhode Island and Providence Plantations, for the same term of six years; which were severally read, and laid on file.

Case of Divorce.

The Senate then took up the bill to divorce John Wheelwright, of Alexandria, and Caroline Eliza Wheelwright his wife.

It was agreed, on all hands, the facts being generally admitted, that it was a case of great hardship. Messrs. BARBOUR and SOUTHARD advocated the bill with much earnestness. It was opposed by Messrs. KING of New York, BENTON, MILLS, HOLMES of Maine, and CHANDLER. Mr. LLOYD, of Massachusetts, without taking sides on the bill, spoke in corroboration of the facts set forth by the petitioner, and as to the great respectability of the connections of the lady residing in Boston.

The question being taken on ordering the bill to be engrossed and read a third time, it was decided in the negative by yeas and nays, as follows:

YEAS.-Messrs. Barbour, Barton, D'Wolf, Dickerson, Eaton, Johnson of Kentucky, Johnson of Louisiana, Kelly, Knight, Lanman, Noble, Parrott, Southard, Talbot, Taylor of Indiana, and Williams of Tennessee-16.

NAYS.-Messrs. Benton, Boardman, Brown of Ohio, Chandler, Elliott, Findlay, Gaillard, Holmes of Maine, Holmes of Mississippi, King of Alabama, King of New York, Lloyd of Maryland, Lloyd of Massachusetts, Macon, Mills, Morrill, Palmer, Seymour, Smith of South Carolina, Stokes, Taylor of Virginia, Thomas, Van Buren, Van Dyke, Ware, and Williams of Mississippi-26.

So the bill was rejected.

TUESDAY, February 25.

Louisiana Land Titles.

The Senate resumed, as in Committee of the Whole, the consideration of the bill to enable the holders of French, British, and Spanish titles to land, within the State of Louisiana, which have not been recognized as valid by the Government of the United States, to institute proceedings to try the validity thereof, and for other purposes; together with the amendments reported thereto by the Committee on Public Lands.

Mr. JOHNSON, of Louisiana, explained the obMr. W. petitions for a divorce, on the ground|jects of the bill, and urged the importance of of the insanity of his wife, at the time of his marriage, (though then to him unknown;) of the increase of the malady until it became entirely settled and confirmed; of its having now continued for several years, and the belief, (in which he has the opinion of the physicians in whose care she has been long placed,) that the insanity is incurable.

A long and feeling debate took place on this bill-chiefly on these points: Whether the insanity actually existed at the time of marriage, so as to render the contract void; whether an affliction of this character ought to dissolve the marriage contract; whether, if it was entitled to relief, the tribunal appointed for the purpose of granting such relief in the State of Massachusetts, (where the marriage was contracted,) was not the proper place for the petitioner to seek

acting on the subject at the present session. He thought it was not only the duty but the interest of the Government to provide for the adjustment of the claims embraced by the bill. If they are not valid, they belong to the United States, and should be brought into market, which could not be done until they are decided

on.

But he complained of the injury done to Louisiana, by keeping large claims of land waste, within the limits of the State. Emigration had then been checked, and the prosperity of the country retarded. He said, when the subject was under consideration some days since, he had proposed to exclude from the operation of the bill three large claims known by the names of Bastrop's, Maison Rouge's, and Houmas's, not because he had changed his opinion since he introduced the bill, but because he understood

FEBRUARY, 1823.]

DEBATES OF CONGRESS.

Political and Commercial state of the Island of St. Domingo.

[SENATE.

all its branches. The call supposes something pecu-
liar in the nature of the government of that island,
and in the character of its population, to which at-
tention is due. Impressed always with an anxious
mation, I most willingly comply in this instance,
desire to meet every call of either House for infor-
and with a view to the particular circumstances al-
luded to.

it to be the opinion of the Committee on Public | interesting nature of the subject embraced by it, in.
Lands to whom the bill was referred, that it
was expedient to provide for their decision in a
separate bill. But as no such bill had been
since introduced for the purpose, he was now
opposed to the amendment under consideration,
reported by the Committee on Public Lands,
which proposed to exclude these claims from
the operation of the bill. He considered it of
the first importance in every point of view, that
these claims should be also adjusted without
further delay.

arose, It was

Upon this amendment a discussion which occupied more than three hours. ultimately adopted-ayes 27, noes 10. It appeared to be the opinion of the several members, that the three claims alluded to, should not be referred to the Judiciary, but be decided on by Congress itself; though the Senate seems to have acted on the ground that it was expedient to provide for their adjustment by a separate bill.

The gentlemen who spoke in favor of including the three large claims, named above in the bill, were Messrs. JOHNSON of Louisiana, VAN DYKE, BROWN of Louisiana, SMITH of Maryland, and MILLS; and those who opposed it were Messrs. TAYLOR of Virginia, VAN BUREN, EATON, LANMAN, BARBOUR, and CHANDLER.

After considerable discussion on other details of the bill, and the adoption of several amendments; and after rejecting a motion to postpone the bill indefinitely, the question was put on engrossing the bill for a third reading, and was decided in the affirmative by yeas and nays --yeas 28, nays 6, as follows:

In adverting to the political state of St Domingo, I have to observe, that the whole island is now united under one government, under a constitution, which retains the sovereignty in the hands of the people of color, and with provisions which prohibit the employment in the government, of all white persons who have emigrated there since 1816, or who may hereafter emigrate there; and which prohibit, also, the acquisition, by such persons, of the right of citizenship, or to real estate in the island. In the exercise molested by any European power. No invasion of of this sovereignty, the government has not been the island has been made, or attempted, by any power. It is, however, understood, that the relations

between the Government of France and the island

have not been adjusted, that its independence has not been recognized by France, nor has peace been formally established between the parties.

The establishment of a government of a people of color in the island, on the principles above stated, evinces, distinctly, the idea of a separate interest, and a distrust of other nations. Had that jealousy been confined to the inhabitants of the parent country, it extending it to the inhabitants of other countries, would have been less an object of attention. But, by with whom no difference ever existed, the policy asplanation. To what extent that spirit may be insumes a character which does not admit of a like exdulged, or to what purposes applied, our experience has yet been too limited to enable us to form a just YEAS.-Messrs. Barbour, Barton, Benton, Brown estimate. These are inquiries more peculiarly interof Louisiana, Brown of Ohio, Elliott, Findlay, Gail-esting to the neighboring islands. They, neverthelard, Holmes of Maine, Johnson of Kentucky, John- less, deserve the attention of the United States. son of Louisiana, Kelly, King of Alabama, King of New York, Lloyd of Massachusetts, Macon, Mills, Noble, Palmer, Seymour, Smith of Maryland, Stokes, Taylor of Indiana, Taylor of Virginia, Thomas, Van Buren, Van Dyke, and Williams of Mississippi. NAYS.-Messrs. Boardman, Chandler, Dickerson, Lanman, Morrill, and Smith of South Carolina.

WEDNESDAY, February 26.

IN EXECUTIVE SESSION.

Political and Commercial state of the Island of
St. Domingo.

The following Message was received from the
PRESIDENT OF THE UNITED STATES:
To the Senate of the United States:

By a resolution of the 27th of December last, the
President of the United States was requested to com-
municate to the Senate, such information as he might
possess, respecting the political state of the Island of
St. Domingo; whether the government thereof was
claimed by any European nation, what our commer-
cial relations with the government of the island were,
and whether any further commercial relations with
that Government would be consistent with the interest
and safety of the United States.

From the import of the resolution, it is inferred that the Senate were fully aware of the delicate and

Between the United States and the island a commercial intercourse exists, and it will continue to be the object of this Government to promote it. Our commerce there has been subjected to higher duties than have been imposed on like articles from some other nations. Is has, nevertheless, been extensive; proceeding from the wants of the respective parties, and the enterprise of our citizens. Of this discrimination to our injury, we had a right to complain, and have complained. It is expected that our commercial intercourse with the island will be placed on the footing of the most favored nation. No preference is sought in our favor, hor ought any to be given to others. Regarding the high interest of our happy Union, and looking to every circumstance, which may, by any possibility, affect the tranquillity of any part, however remotely, and guarding against such injury, by suitable precautions, it is the duty of this Government to promote, by all the means in its power, and by a fair and honorable policy, the best interest of every other part, and thereby of the whole. Feeling, profoundly, the force of this obligation, I shall continue to exert, with unwearied zeal, my best facilities to JAMES MONROE. give it effect.

FEBRUARY 25, 1823.

The Message was laid on the table for consideration.

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SENATE.]

THURSDAY, February 27.

Farrow and Harris.

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and progressed rapidly with the works; they had surmounted the difficulties that had impeded their progress; the materials sufficient The bill to authorize the adjustment of the for the completion of the works had been obaccounts of Nimrod Farrow and Richard Harris tained; and at the time Congress withheld the (formerly contractors for building the fortifica- appropriations which occasioned the progress tions on Dauphin Island, now abandoned) was of the works to be stopped, there was every taken up. A debate of considerable duration reason to believe the contract would soon be took place on this bill and the various amend- | fulfilled, to the entire satisfaction of the Govments offered thereto.

Mr. JOHNSON was opposed to the postponement of the bill. He said the object of the motion seemed to be to postpone the bill under consideration, which had been reported by the committee of the Senate, to whom the subject was referred, for the purpose of passing the bill from the House of Representatives for the relief of the petitioners. He did not approve of either of the bills, as neither of them is calculated to afford prompt relief. He thought the Senate's bill, however, best calculated to attain that object.

Mr. J. now explained the circumstances of the case, and exposed the hardships to which the petitioners had been subjected, and the cruel injustice which had been done them by Congress, as he conceived, in withholding the appropriations necessary to enable the Government, on its part, to fulfil the contract made with the petitioners. Farrow, one of the petitioners, and who was most interested, and whom he represented as being at the time of the contract a gentleman of high respectability, and one of the most wealthy citizens of Virginia, had, in consequence of this failure on the part of the Government, been reduced from a state of affluence and independence to that of poverty and want; and he had been harassed and oppressed for a considerable time, and, he believed, without the least fault on his part. He referred to the contract. In the month of July, 1818, Farrow and Harris entered into a contract with the Government to construct on Dauphin Island, Mobile Bay, a fort and other public buildings, and engaged to be on the island on or before the 1st day of December, 1818, for the purpose of commencing the works. And it was stipulated between the parties that the United States engineer would be on the island at the time specified, and designate the spot on which the buildings were to be erected, and prescribe the manner in which they were to be executed. It appears Farrow and Harris arrived on the island with their men, materials, and implements, to a very great amount, ready to carry into effect their part of the contract. But the United States engineer, who was to designate the site for the intended works, did not arrive till some time in January; so that the contractors, with all their mechanics, laborers, and overseers, had to wait nearly two months in a state of suspense and uncertainty, and were in consequence subjected to great inconveniences, and sustained heavy losses. Still, notwithstanding this failure on the part of the Government, the contractors had commenced,

ernment.

The Chief Engineer, in his report, states: "The contract for fortifications at Dauphin Island was in a prosperous condition at the time the appropriation was withheld; and, from the means applicable to its prosecution, as shown in the table, there is reason to believe its progress would have continued to be entirely satisfactory, and that it would be erected within the estimate." And it appears by a statement from the proper department, that on account of $162,877, advanced by the Government to Farrow and Harris, a credit of $48,899 is allowed, and that the value of the articles on hand applicable to the works is set down at $120,000-making together the sum of $168,899

showing a balance of $6,647 due to Farrow and Harris, independently of the heavy damages they have sustained from the violation of the contract on the part of the Government, and for which they are certainly entitled to compensation.

Contracts with the United States are governed by the same principles as between individuals; each party being bound to fulfil what they agree to do, and the party that fails to perform the agreement is liable to damages.

Thus it appears, from these statements, that at the time the progress of the works was stopped by the Government, the materials on hand were perhaps equal to the completion of the works contemplated, and the means necessary, in full operation, to complete them in a short time, and all the expenses incurred, on which the profits are predicated. Notwithstanding this view of the subject, which he believed to be correct, the contractors have been prosecuted by the Government, and their property withheld to a large amount, and a suit is now actually pending against them and their securities to recover back the amount of advances made by the Government on account of the contract; after deducting the value, by admeasurement, of so much of the work as was actually done, at the contract rates. The amount of the price of this work, added to the value of the materials on hand, at a fair valuation, would be no compensation to the contractors. By this mode of settlement, no allowance would be made for the great investments of capital, or for the labor and expenses bestowed in collecting the materials, and preparing for the execution of the work; nor would any allowance be made for the losses and risks incident to such an undertaking, or for such materials as were either paid or contracted for, though not actually delivered. The profits to

FEBRUARY, 1823.]

Government Deposits in Banks.

be derived from his contract could arise, not from the collection of the materials on the island, but from putting the materials together in the construction of the works.

FRIDAY, February 28.

Government Deposits in Banks.

[SENATE.

The PRESIDENT laid before the Senate a report from the Secretary of the Treasury, relative to loans or deposits made by the Treasury to banks from the year 1789 to the present time-rendered in obedience to a resolution of the Senate; which report was, on motion of Mr. EATON, ordered to be printed. The report is as follows:

Mr. J. proceeded to state, that about 80 or 100 slaves had been purchased on account of the Government, for the purpose of executing the works, and were mortgaged to the Government for the advances made, and are now held subject to the mortgage. And what is contemplated to be done, he asked, by the bill from the House of Representatives? It provides for the sale of the slaves and materials alluded to, TREASURY DEPARTMENT, Feb. 25, 1823. SIR: In obedience to a resolution of the Senate, of for prompt payment, with the view of giving the contractors credit for the amount of the the 29th ultimo, requesting the Secretary of the proceeds of sales. It was evident, he said, that Treasury "to inform the Senate if any loans of mothe property, if thus disposed of, would be sac-made from the Treasury, to any individuals or bankney to any amount, and for what purpose, have been rificed. Besides, the power of Congress to ing institutions, since the third day of March, 1789, adopt such a step might be questioned. If the and whether such loans, so made, have been repaid, materials furnished for the fortifications belong or in any manner adequately secured, so that the to the United States, they require no law to Government will ultimately be satisfactorily reimauthorize the sale of them. If they are the bursed," I have the honor to submit copies of letters property of the contractors, Congress has no from the Secretary of the Treasury, from the 19th of right to pass a law directing the sale of them. March, 1792, to the 17th of July, 1819, inclusive, to But, presuming the materials to belong to the the officers of the Bank of the United States, and of contractors, and admitting the power thus to its branches, and to the officers of certain State dispose of them, would it be just or politic to banks, and to other officers and individuals, which exercise it? He thought not. The materials contain the information required by the resolution, as are wanted, and may all be employed, as he is far as it can be collected from the correspondence of the department. informed, in completing the fortifications now building at Mobile Point, three miles from Dauphin Island. He was of opinion, therefore, that the Government should be authorized to receive them at a fair estimation, leaving the question of damages open for further investiga- By the first of these letters, dated the 19th March, tion. He was also of opinion that the Govern- 1792, the Secretary of the Treasury informed the ment should be directed by this act to receive President of the Bank of the United States that it the slaves in question at the price for which had been represented to him that an unusually large they were purchased, or at least to discharge sum of money had, and would become due to the the mortgage on them. The gentleman who United States, from importers in the district of Philahad purchased the slaves for the Government delphia, in the month of March, 1792, and reminded had not been credited with the amount paid for him that, in consequence of standing circular instructhem, nor was he permitted to use or to dispose the merchants, as cash, the post notes of the Bank of tions, the collector of the district would receive from of them. This seems to present a case of pecu- the United States, if not issued for a longer period of liar hardship, nor could he reconcile the course payment than thirty days, and that he would judge which had been pursued in relation to the sub-how far it might be convenient to make operations ject with his ideas of the principles of justice.

The bill under consideration, he said, requires the Secretary of War to cause all the facts of the case to be investigated, and to report the same to Congress at their next session, for the purpose of enabling Congress to act advisedly on the subject. There was one great objection to this plan. If adopted, the adjustment of the subjects in controversy will be suspended for another year, greatly to the injury of all parties concerned. He would prefer to see the bill modified, so as to make an immediate disposition of the materials and slaves alluded to, in the manner he had suggested, leaving the question of damages to be ascertained as provided for by the bill. Nevertheless, he preferred this bill to the one from the House of Representatives, and hoped it would not be postponed.

The motion was rejected, and the bill was ordered to a third reading, and passed.

By reference to the papers numbered from 1 to 11, inclusive, it is apparent that loans in fact, though not in terms, were offered by the Treasury Department to the Bank of the United States, and to the State banks to which they were directed.

payable in such notes, which might not be convenient if payable immediately in specie or cash notes. On the 29th of the same month, a letter was addressed, by the same officer, to the President of the Bank of Maryland, stating that it has been intimated to him that considerable sums of duties had become due, or were to fall due, in Baltimore, in the course of the month, and that it was at all times his wish to give to the merchants as much facility as the public business would admit; that he had, therefore, determined, if he should incline to make discounts for the importers, to enable them to pay the duties due on or before the 15th of April thereafter, he would leave a sum of money equal thereto, in his hands, for sixty days after the dates of the notes.

By his letters of the 10th of April, 1792, the Presidents of the Bank of the United States and of the Bank of Maryland were informed that circumstances within his knowledge induced him to state that the operation, suggested in his letter of the 29th of March, continued to be desirable in relation to those

SENATE.]

Government Deposits in Banks.

who have payments to make at the custom-house, in the course of that month. By his letter of the 8th of December, 1792, the President of the Bank of the United States was informed that the Secretary had no objection that notes in which the Government was interested should be renewed for thirty days in all cases where it could be done with perfect safety to the public. By the letter of the Secretary, of the of February, 1793, the presidents of the offices of the Bank of the United States at New York and Baltimore were informed that an arrangement had been made with the Bank of the United States, for the accommodation of the merchants of Philadelphia, whose bonds for duties were to become payable between that date and the last day of the ensuing month, by which the bank would discount the notes of such merchants as were indebted to the custom-house, for thirty days, for the respective sums that should become payable; the bank to receive those notes from the collector as cash, to be drawn for only by the collector. The president of the office was informed that, if a similar arrangement appeared to him to be requisite to the accommodation of the merchants of New York, he would not draw for the sums that had relation to the transaction, until about the middle of May thereafter. On the 5th of March, 1793, a similar letter was addressed to the presidents of the offices of discount and deposit at Boston and Providence. His letters of the 5th of April, 1793, and the 16th of February, 1797, marked 10, 11, have the same object in view; that is to say, they offer, as inducements to the banks to discount the notes of persons indebted upon duty bonds, that the amount of such bonds shall not be drawn from the banks until the notes discounted were payable, or that post notes shall be receivable by the collector in discharge of such bonds.

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[FEBRUARY, 1823' deposits are made, apparently not required for the public expenditure, cannot be considered as conclusive evidence that such deposits were made to sustain the bank against a run, or press upon it, or to aid in its operations; yet the presumption is sufficiently strong to make it proper to present a few of those cases. On the 6th of March, 1812, a draft was drawn for $50,000, in favor of the Mechanics Bank of New York, upon the State Bank at Charleston, and on the 7th of May, for $80,000. On the 2d of March, there was on deposit, in the former bank, $432,000, which was not reduced below $319,000 during the remainder of the month; and on the 4th of May, the deposit was $133,000, which sum was not diminished during the month; and at the end of the quarter it had increased to $224,000. There were drawn and deposited in the Bank of Pennsylvania the following drafts, viz: 12th March, 1812, upon the Union Bank of Boston, $50,000; 6th July, upon the State Bank of Boston, $49,000; in October of the same year, upon the Bank of Baltimore, $200,000; and upon the Manhattan Company, $100,000. At the date of the first draft, there was standing to the credit of the Treasurer, on the books of the bank, $133,000, which was not diminished during the month; and at its close, amounted to $294,000. At the date of the second, the deposit amounted to $164,000, which continued increasing, and amounted, on the 17th August, to $403,000; and at the end of the quarter, to $636,000. On the 6th of October, the date of the first draft, in that month, it amounted to $465,000, and at the close of the month, to $593,000. The records of the office afford no explanation of the reasons which induced the Secretary of the Treasury to make these transfers; and many others, of a similar nature, were made from time to time. But on the 4th of March, 1814, the Cashier of the Bank of Pennsylvania, by letter of that date, in

The latter of these letters relates to the case of an individual, in whose favor the Secretary of the Treas-formed the Secretary of the Treasury, that the great ury submits to the consideration of the bank, whether an accommodation could not be granted to him, on condition that the sum discounted should be paid in a post note, to be deposited with the collector of the customs. This representation was made in consequence of the individual's being unable to obtain a credit at the custom-house on a cargo of coffee, because he had duty bonds to a considerable amount then due. It appears, from the letter of the 23d of February, 1793, already referred to, that arrangements of that nature were made, verbally, with the bank, as the arrangement referred to in that letter is not of record in the office.

The correspondence between the Secretary of the Treasury and the banks, generally, does not show upon what account the deposits in those banks were made. The letters of the Secretary to the Treasurer are still more general, simply directing the deposit.

The accounts of the Treasurer with the banks, anterior to the last quarter of the year 1811, have not been preserved; no inference, therefore, can be drawn, from the state of the accounts, as to the object or purpose for which any deposit was made, previously to that date. From the accounts with the banks, from that period, it appears that many deposits were made by transferring public money from one bank to another, when the amount in the bank to which the transfer was made was much more than sufficient to meet the drafts drawn upon it. Although the inferences which may be drawn from the state of the accounts between the Treasurer and a bank in which

and unprecedented demand upon that institution for specie, principally from the eastward, induced him to request that, if consistent with the interests of the Government, he would give him drafts either on New York or Boston, to an amount that would counteract those demands, stating that the amount of specie in the vaults but little exceeded $200,000, and that the demands of the bank upon those to the southward of Philadelphia, if called for, might put them to serious inconvenience. Upon this representation, a draft was, on the 8th of the month, drawn by the Treasurer, in favor of the bank, for $150,000, upon the Bank of New York. Upon the 28th of February preceding this transaction, there was in the bank a deposit of $755,000, and on the 31st of March, $799,000. By reference to the letter of the President of the Bank of Columbia, which accompanies this report, it appears that, on the 29th of October, 1801, the Secretary of the Treasury made a deposit in that bank of $50,000, to enable it to sustain itself against a run which was then making upon it, and that other sums were subsequently deposited in that bank by the department, to aid in its operations. In the let ter of the acting Secretary of the Treasury, of the 27th May, 1813, to Stephen Girard, he is informed that "the arrangement made by Mr. Gallatin, relative to the deposit of the public moneys drawn from your bank, in favor of the public agents, was to shield you against the attacks of the incorporated banks, to whom such money would otherwise have been transferred; and the magnitude of your con

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