The Weekly Georgian. (Savannah [Ga.]) 1839-184?, March 16, 1839, Image 1

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FHOIPEGTUS OP THl WEEKLY OIOl* QIAN. Thitamututl dependence eiist* between the upper end lower pot lion* of Georgia, between the rldienof tbe mountains tod nf the counties bordering on the distant Chattahoochee, awl him whose Ice la cast In the principal Seaport of the State, where the rich pmdncu of Oeorgla eeek an outlet to the ocean, no patriotic citisen of the youngest of the MMntn can. fbr a mo meet, doubt Oar people, spread ever ah extern of ceumry, in which there ealltl every variety ef soil and climate, have a community of inter*it which, If proper* ly regarded, and made tn centre upon the welfare of the mesa, will advance them In science, wealth and nodal prosperity. Our people are not only Agriculturists, and mar. chants, but many are divetling their attention to manu factures. We thus witness agriculture, commerce, ami manufactures proceeding, hand la hand, to make ua a community great and happy. That Georgia la rapidly reaching that commercial grandeur and Independence which her local position, aa die key stone of die long arch of the maritime atatea of our Union, aided by enlightened legislation, must ere long confer upon her, no citisen with die prophetic eye of a statesman can be unconscious of. It will be our study through the columns of the Georgian not only tn apread before the reader the lateat foreign and domeade intelligence, not only to inform him on national and state politics, but to convince him that the first duty of the citisen, concurrent with the welfare of his immediate family, is tocultivate an ahid* Ing attachment to the institutions of hianadve State and . encourage thataplrit, which will eventually make Oeor. gia assume that rank aa an independent state of diis confederacy, which her noble advantages, irdeveloped by die patriotism and enterprise of her aons, cannot fail to.secure to her. Aa auxiliary to the general proaperlty of our belov ed Buie wo would cherish a reciprocal feeling be tween thecitiseus of every section of our State, and seek by facta to convince every nidvc and adopted aon of Georgia, that no State in die Union contain* more elements of social happiness,—none a more fa vorable position to be independent, as she should, of those who seek (and in some measure with success) of making her tributary to their proiperity. To effect this, the Georgian will refer, on proper oc casions, to her own Savannah, the ancient city of the Bute, and invite the notice of the citisen ofthe interior to her improvement, which from her commanding situ ation, haa been gradually onward, and in recent years astonishing Exporting from her wharves near liziuti millions in value of die staples of the State, she is yet but Hide known to a large portion of die Agriculturists of Georgia; and the merchants of the interior, in many instances, pass her lu swell the profits of die Nurthern capitalist, and thus compel the purchaser within our limits to pay twenty per cent to our Northern brethren for those manufactures which could be furnished by our own citizens. Shall Georgians submit longer to this onerous tax upon their industry? Tbe patriotic re sponse will be an emphatic—No! Ont million, ttco kundnd thousand dollars, are thus paid as a tax by the consumers ol'Georgia.and not one year only, but every year. It requires little reflection to petceive how our pockets have, contributed to amass the wealth of the money kings of the North, how their cities have beceme splendid, and their public wurks magnificent. New York, the great city of a great State, exports but four millions mure than Savannah, while her im- partitions exceed those of Savannah nearly 8108,000,- 000. Tht profits on these vast importations, beyond the consumption of New York, would accrue to the con sumers of the articles, if they were their own import- tllcekly SOUTH WESTERN RAIL ROAD. Ws perceive by the Loufeisuisn of the 3th inib that the Legislature of Kentucky has finally tejedteH the bill creating s bank in connexion with the great Rail* road company. WESTERN Jc ATLANTIC HAIL ROAD. Extrsrt of a letter from a citizen of thid Btile-to his friend in this city, dnted •• ROSSVILLE, March 1.1839, The Commissioners have fix d the termination nf the Western and Atlnntic Rail Road at Rosa’s Landing without knowing the views of Tennessee upon tills subject This measure may seriously injure Georgia, and affect Savannah, should it lend (of which there is danger) Tennessee to embrace die Alabama route to West Point." NEW PAPER. •We have received the first number of "The Star,” published weekly in Tallahassee. Florida. It iaedited by J. B. Wrbb, Esq. formerly of the Columbus He rald. and is a fine large sheet, and occupies the place of " The Watchman." If we look at the shipping owned in Sarannnh, (which exceeds that owned.by the merchants of any Atlantic port South of die Cheeapeake) and employed by her merchants, a moment’s i eduction will convince our ren ders in the interior lliat die emerpriking merchants of this city are able with their own vessel* to transport a large portion ofthe exporting trade of Georgia, and the numerous ships and other square-rigged vessels, which during die business season crowd her wbnrvea, in pur suit affreights for Europe,would assist in bringing hack to her shore* die itch return cargoes demanded by the wants of our |K>pulaiion. We would ileaire too to direct the attendou of our fellow citizens in the interior to the rspid advancement of their Seaport within the last eig.it yeura. In 1830 die population oftne city, exclusive of the aounty of Chatham, waa 7778. In 1838 it had in creased to 12, 758, being an addition of more than sixty per cent, (exclusive of a in^ient population from November to March of about'301)0 more,) and in the three yeari ending in August last up ward* of IU0 build ings (many of them brick) of vurinus sizes have been erected in the city and suburbs, (several of tuein im posing fire proof ware House*, capable of storing lurge quantities of cotton.) while aitice that period many tub atanlial edifice* have been raised. One thousand feet of new wharves have alio been recently reclaimed from the river for dm use of die city, and eighteen aieiin.rice and saw mills, have been erected widiiti die past ten year* in the city and its immediate vicinity—five of them having been raised within the last two year*. The value nf her real estate has dma materially improved, at evoiced by die high rents and the sdll increasing demand for houses, sensi bly augmenting the ordinary sources of the city'* reve nue. If we tum to the river and enter into detail* we see twenty two steamboats, belonging to Uds port, with an aggregate tonnage of 3701 51-95, ahd engine* of 1021 horses power, beaidea many plying on ziur wa ter* and trading here which hail from odier places, aa Charleaton and Darien. We aee also ihirty-stccn aquare rigged vessel* owned in whole or in part in Savannah, of which eighteen are ships of the largest class, aver aging more than five hundred tons. We .would also point to our Rail Roud, which is now travelled by lo comotive more than sixty miles, and has been graded for 105 miles, and under contract for 132 from die city In this work our city as a corporation, have embarked half a million of dollars, besides extensive private sub- ■cripdons on the part of our citizens. We merely glance at these facta,that our fellow coun irymen of interior Georgia may perceive diat the- proaperity of Savannah is substantial. In die brief ■pace of a Frospectus, details exhibiting our resources, and our progress in the scale of cities, must be avoided. We must allude briefly to ndier subject*. Our columns shall of course be devoted to ell mat. ters interesting to the general reader. Agriculture (and.as connected with it the cultivation of silk,) Liter ature and die Am will receive all the attention which a Weekly Miscellany can furnish, while the latest markets, foreign and domestic, will be inserted. Qoewordssta our politic*. The character ofthe Georgian we will strive to sustain. Temperate and firm in tone, we shall support the measure* of the ad ministration while they adhere to the policy heretofore characterizing it—but be free to condemn when we udgo it to be wrong. The terms ofthe Weekly Georgian will be to single subscribers, in tbe city or country, thru dollars per an- flam,.payable in advance. Every postmaster who may remit twenty five dollar* (free of pontage) thereby fur nUhing ten subscribers shall receive eleven copies of Xhe Weekly Georgian, and any four subscribers in tbe -country remitting ten dollars (free of postage) •ball re- •cel re four copies of tbe same. 03" Our readers ire informed that all advertise ments intended for the weekly paper must be so mark* «d, and will be charged accordingly. B3" The late anhicribere to the Darien Telegraph will receive the Ktstnumber of the Weekly Georgian, Those who desire to become subscribers will be »o con* •Mered if they do not return the nxmber by tbe next moil. MR. NILES, OF CONNECTICUT. Amongst the greatest fences the republic will sustain in tbe next representation in the Sen te, may be class ed that of the Hon. Mr. Nttxs. That gentleman was deoidedy one of the most rendy debaters in Congress. He was always perfertly at home. No thrust or parry of his antagonist, could pul him off his guard. Hi* re- ply was prompt and unanswerable s and lie was more than a debnter. A warm friend nf tbe South, and a true disciple ofthe immortal JxFFKHSON, his reasoning often waxed into eloquence, and histropinallunguage wssonly equalled by the boldness of his conception- and the ease and fluency of his delivery. He hasever gloried ill speaking the truth, and the words drop from his lips, as those of n man who believes what lie says. Heis.in all respects, au honest man, and a credit to the party which it is his pride to be attached to. Like ml. ny oilier great men in our cou. try, lie his not been properly appreci-ted. by the mass; and it may be his fate to have little justice done him for some ti e to come. But, un.esa our republic, like some of antiqui ty, con net- r do justice t-» a man while lie lives, the usefulness of Mr. NlLKS, during a life of no shortdura- tion, cannot be overlooked. We are g'.ad to perceive that the democrats of Cornice tieut have selected him, as their candidate for governor, at the next election in that State. And we ate more rejoiced to find that they have a good prospect of sue- cess. Never was there o more honest pnliltran than John M. NlLKS. Had he been a tergivrrsator—or even a quiescent spectator, when wrong was committed —ho wouid not have been maligned, as he lias been, by the opposition press. But his noble nuture rose above consequences. He felt that justice required he should use tue powers with which nature bad endowed him, for the cause of truth. Hence, die true source of the opposition with which he has been assailed. "More true joy Murcelius exiled feels. Than (Jtcaar with the denote m Ids heels." And so, wc'riloitbt not, felt Mr. NtLt>. when party manoeuvre ousted him from his seat in the Senate of llie United State*. We are not the eulogists of any man, for his own sake j but certainly we would consider ourselves uti- .worthy ofthe post we hold, us observers of public tnen. nnd their conduct, did we uliow die present time to pass without paying this alight tribute to the putrioii-ui of Mr. NttEi*. And, let it notbe forge ten, that we have wailed until he haa retired to the shade* of private ll.i for a period, at lost, before we lmve ventured a word n his behidr. <• Vir bonus, dlctndlpirltus.'' was the expression which the old Romans applied to an orator, when they ap. proved of his discourse s and we wish die present generation outlaid red probity of character an essential in ad orators. We ara ourselves, however, rather old-fashioned in these matters, and it is because we believe Mr. Nilf.s to be "agood man nnd an able speaker," that we have introduced him to our readers. The Houston Intelligencer ofthe 22d, says: General Houston is expected, and will doubtless arrive in Texas by the steamer Charleston; alio is hourly looked fur. A rumor is ufloat that the independence of Texas has been acknowledge! by Fram e. liams. We have, so far. but glanced at i s contents,and have found ita pages replete with entertaining subjects We shall anticipate, with some anxiety, tbe reception ofthe next number which will he enriched with con- trihutinns from InviNO, in addition to valuable articles from those able correspondents, who have'given this periodical a character, as well as a name. American Cotlkrt.—Itls highly creditable to the mechanical genius of this couni ry that it is able, after the experience of only a few years, to furnish to the na tions of Europe articles for the supply of which we ware previously dependant on them. The following Instance, mentioned in the New York Courier, is a pleasing rase in point. If any person had suggested twenty years ago, that at this due we would be sufficiently advanced in the mechanic arts to rival In workmanship and elegance the most difficult branches of tbe English manufactures ia Iron, he would have been pat down as a fool or a modmin. And yet such is the fact. We have recent ly had exhibited to as • pair of tailor’s shesrs. inaou- factored by Robert Ward, of this city, lor t fashion- able tailor in London, which exceeds in finish and beau ty of workmanship any artinte of cutlery diat we have erer aeen The iron used waa from the Elizabeth Works, New Jersey, am) t l, e paie-il screw of brass, hot gilt, was msnurseuired at die works of Ronear Hoe k Co. of this eity. Mr. Wsao, die manufictu- rer nf this beautiful specimen of American s'.111. re ceived the first premium on his cudary at die fsirof tba American Institute last autumn. The Legislator# of New Jersey has repealed the law to encourage the culture of eilkinthttBiate- n pinte Iriiin ilie liiilititliml mom?)* ol the collect nr sand nf Ids " professions! clients i" and Ida returns cannot, therefore, be fmiinted upon them as w ee israte nntl independent Ihntl, belonging to Government) though in It a keeping. 5 It Tost, as appears hy the letter of G r- ham A* Worth, the c-elder of the Utly U»ok, the present collect- r h.m deposit'd public urn.-cys in his hands w tn u bank which could not, tinder the law nmhihnli g the stleeriuu of tiny bunk tn a deposit'Tl - Wldch has issued nuti • under 'lie dcutmvna inn nf five dollars, he hi lerted by the Secret ry nf the Irensti y himself as a depository nf money* curri-d tn tie credit ofthe Treasurer of the United Stiitrs, 6ih, Thu the mode adopted and practised by the •-* d rollector, of kcepiitft and n.ftki.'g returns nf the public money coll cied hy him tor ninn-cerlaineil do tie* hioI tinder pro'eat, in the language nf ih* present At'orney General ofthe United States, •• could never have been <lie intention of flungre-s, M mid be nft '•tol erated” it has made it, in the lutftnafte of the' suite high olfir, r, " the interest of the colli c- -or tn postpone the ascertainment o' duties, ua in the mean I me lie would have the uncon trolled use nf the money." It has. aim*, in ful filment of tlie reasoning of-the Attorney Gen. eta I increased "the d.-nger offaitl lessness in the roll cmr. by petmitiing large Running of money it* ren am with him, and tinder his in* •liv diinNremind, instead nt being In the Treu ►urv of the United S<utes 11 7'lt. That, in the lmginige nf the Attorney (Intend, •• the tenor anti spit t i f all nor rev enue taws seem to inculcate the idea that the -mention nf (longress has, at all 'lines, been, tlrd money collected for revenue should be promptly placed in the Treasury, and tint be permitted to remain in the hands of the col- le-'tor,** , 8th. Tied the rthunu of the naval i-flWr i New Yo»k have not been correct, us it is found in ilie testimony ofthe present rienti y ntiv -I officer, «• ih ,t the naval nffi -er, under its existing system, is not enabled, eiriier to tie er. mine whit ami-unt of h»nd-has been taki n In tl»i* collector Ibr duties In. ant q outer, or who ire 'he partes to said bonds, or the dates of Slid bonds, nr when they are pautble, or when suMi bonds a'C paid, or whether tit ■ collertor does*or does not account iiuly for hlicit bonds. RE- THE KNICKERBOCKER— ForFebruarg, Was received on Saturday from the agent—Col Wll- On Dit.—That Mr. Swartwnut, oar late collector, Invested nearly or q he all die amount of hi* rtefaln-- tion to government In Texas lands, and that ainre his arrlva in England, he haselT'ecied a sale of those lands to a company of capitalist* for about six millions, three hundred thousands (6,300,000) dollars.—N. Y. Sunday Morning Rtus. Sin John HaiiveT.—A pnraernph from a New- buryport paper, enined admission into our columns cnnibundinc this officer with Sir Feltnn K. B. Harvey, former Aid de-Camp of the Duke nf Wellington, and h- siiand of Miss L. Cal-n of Baltimore. Sir Felton Hmvey died some yea is aon, and his widow married the present Dukeof Leeds then Mar- q'm of Carmaerthen.—Baltimore Patriot. THE INVESTIGATING COMMITTEE. The report of the majority concluded. Fart II. THE DKFALUA ITU.SS OF Wil.I.IAH M IHtlUK. Conclusions of the Committee. 1st Wiliium M. Pri-'c, >•« -nati'ict attorney, a defaulter tu the Government in a large sum. 2d, That his defalcations are attributable to the loioiious ir-espousihdity and want of rharanUr of said P-tce at the period of h s up. pniiitnv'nt and re aoporn’meu , un-ldunug It s entire terms of nffi e, •me! the cnutiniicd neg leci of a. pi* -p=*r anti - ffi -lent «tis •hurge nf <lu tic* ut Hie office of Solicitor nf the I’-euatirj liv the late and present incumbents of tiia’ Part HI. THE CORRECTNESS OF THE RETURNS WHICH II WE BEEN M \1)E HY THE PRESENT COLl.KC.- TOR AND NAVAL OFFICER OF ITIE POUT OF NEW YORK, RESPECTIVE LY. Conclusions of the Committee. 1st. That tile returns ,,f the collector of «u»t .ms ut 'he part of Now York hive not been correct, as tin y Imve not at all times embraced, as paid into Ih- public Treasury, -hen-on yancev d bv him for tinisuertaiii- etl dries ami at no time for duties paid under protect. 2d. That said coUec'or, in his retirns, has violated tbe i-mtnot o s of the Treasury De partment t has put ut defiance tbe duties aigi.eil him b\ the Hterewy ol'tlteTreasmyt line repnd ate'd ih-* official decision of the respoi s ble law-offi ce of the Executive de- partm if t and ih guilty »i au iliegtl retention nnd n*e of 'he pubic money, in the amount then liehl by him lor protest and unascertain ed du iee. 3d. Tim' the Committee ban been prevent, ed from a*cer'ainiiig wltai in • lie extent of the illegal retention nn-l use of the public money hy the pre-ent collector «»f llie port of New York, either m I'otuU collected under protest, nr f r unascertained duties, nr n* oilier lun I- I'olledcd by him, beem-enf Ini icfiixd ti exhibit hi* own book of eish depon te* it it ink, or io p< r nil tin* Iwoks, mb- , iI in Irm oh tl-poil orie* t» exhibit their accounts of his drpo» tea. 4tli. That the public mnnetg received by Haul eolleetnr ure mingled wi< It Ids own mo- <m deposite, and are not kepi by him. iteye on deposite, end are not kept by him, nor by hit binkiof depotiie, distinct end nn-lI which l won d liavedesiri-il; ur.<| I idmuM hove nreferred, f ut this iva«ou, to have presented th" .journal oft his Committer, without comment, to iha House of Ill-presentntives. But a« conflicting opln- l »n* prevail hi tin* ahapd nf furmnl n-jMirts, l eon- shirr It my duty in sny tlmi I coneiir with thn Com- mitteit If* all thr rnmdnsinns nt which they huvmr- rived, sn fur ha those coucliisii-ns apply to die ex tent and nhiintrirr of thn dpfalciiiliitis of Samuel Swartwnut m.ilI William M. Piier. I-hoold ho Itith ns* to my duly, and do violence tothe must onnsciuniioos convictions nf my judge ment, if I did not nl«i d-mliiru my entire concur rence in those itonehision* of thn Cummitien which relu'i* to the conduct of th- lute nasal officer of th« nistnm-hnm* ut New Y-.rk t to the Inin nnd prosent Soliiiitnr of tlie Troii<urv; in llie acmuoting of- ffiurrs of Trmtenry D-pirtmiMU, ineloding thn Into Comptroller of that D •pnrimoni; and in ilint purl of the repott which reviews tin- conduct of J. Hoyt, present collector of iho custom- nt tin* port ofNew-York, GKO W. HOPKINS. Member of Ike Committee. \ -. «a '• ,exi h ^ MEP0 F.POHT OF THR MlNOIIITVOK THE SF.. IKCT COMMITTEE OF THE HOUSE OF HEI-HESKNTUTVES, Appointed on the 17th of January, 18-19, to in quire into the causes and extent of the late de falcations of the Custom-house at AV» York and other places. CoNORKSi OF THK UNITED StsTKS. In the House of Representatives, Jan, 1839. Resolved, Thni ih • eommunic-itioii from the President of tin* United Snues, «if the 8Hi Decern- her, 1838, rolntiug to iho defn cminn nf tlie lute e-dleetor of tlie port of New York, except so much ua relates tn the m-idificmiiui of the n v-rine laws be retired to n S ‘ en Committee of nino monilmrs, to h-appointed by *h" House, hy hiillot, whose duly h eh ill he 11 inqmie into tin* cau-e* and extent of th*' l«'e di-lnlcatinos of the nustom-hniisfliit N York nnJ nihe. places, the length nf time they have ex ist* d, th* correctness ofthe returns which have heon made by the colieators, naval nnd oilier offi cers. nnd the depositn hunks, respectively, and nil such facts connected with snhl tlefn cmiuns as may he doomed material to duvelopa their true clinrac- Be it further tssolved, That snid cnmmitt»o be requiied to inquire into, nnd make report of, any d--f ilculions among iho collectors, receivers, and disbur*ers of the public money, whirl* may now exist J win* are ihe default- rsj the amount of de fn lent ions: riie length of linn* they have nxisied, Hnd tlie causes which led to them, nnd that said committee have power tu send fir persons and pa* I’Anr IV DFF\l.*?A i IOVS AMONG UF.IVERS OF PUBLIC MONIES The Ctninu'uter, in fulfilimi nt nf Hint por tion ofthe duty in-Bigned the n, by which they were directed to impure into** Hit* dt-rnlciiliuos hii*niig receive*s, 8u*. which may now ex a • ejori n the Hi use, titit the limited period *vl» c i they had for a thorough mveatigutiim «-f tlie Aubj-ot* with winch they were charged, ii d tlie time nere*-B»ti*y consumed ip riie t-x- ammuiimi ofthe c s-« nf llie late co.lertnr nnd dwti-ct Hitornvy of New York, h*ve pr«ven'- d a oiinute invest'g;*'ion of theexien', iwtite nod cmiseH i-f the tit f-l mi ions o' rrc ivem • f I'tthl c moneys, arising fr m the salt-sot pu die 1-0111* • The committee have, however, pret a- • etl, from report* mule bv -he Secretary ol Hie Treiifltirj ut the lust and present xei-ston nl Cougre-H, u uuiri-r aiutement, exldbiiing the names of Mtrli defsitlte a. tlie amount tine from e ch, when due, an l the penalties o- their of. fiend bonds, respectively j also, the c-iriespui . d ore I* -d between the I real *r\ Department • ud fifieen of ti e out v du -la wlmae mime* up- P'-ir o Ktutl -'ut -men'—ihe commit tee huvii-g - Il-d tor, iiuti been iinn;i’-ed by the tie pot. m-*t, with the answer* oft' e receiters in the iflt I'H nf the tecr-1 ry nf the IVea-iir *, as c -ii'Ainetl in Ito-is.' d •rumeut No 287 These fi trell ruse* are reported specially, i-t exam- plea merely nf the in er io which ihe Pre sident of tile United S'a'es and the Secretary nl'the Treasury Inn e executed rite laws in re- apem to riie public money am! other property if tlie Unit-ii *viii'es So the h inds nf ti it plus* •f public officers, and in respect to their offi- si’d duty Tin* law provides for tlie npp-untment by the F.x- ncmive, with ihe poucurreuci- of iho Senaie, of n receiver of public moneys nl each of the places re peat ively where riie public ami private sales of riie l-ouls me tu bn made, who shall give bond, wirii approved security,for riie faithful di-rhntge of his trust; wlut shall transmit, wi'hin thing days, in case of publ esaie, uml quarterly io case of private -ill ,nn Hccomit of nil public, money* by him to- nened to the Seere ‘ary of the Treasury and tu the regitiers of the land offices, ms he case may he. He i- ii Inwi-d h salary of five Imudied d-d ar pur annum, uml ii commission of one n r ceiniim on iho monayeieceiv.-d; Imt his salary for m-y one y.-ar shall not exceed $1,000 The Serretury of the Treasury may allow to riie several receivers of the public money ai the several land i.fiices, n rea- -nnable iiompeiisaiKin for transporting to nnd de- poi-iiiiigsucli money-in nny hank or any other place of deposlie rimi may from tine- to lime he designr- ted hy tin* Secretary of the Tren*my for that pur pose. He is also uuih'-c.zed to prescribe such o- ther regulations in riie moon r of keeping hook* and Hceonnlshy thesev.-ral officer* in the Innd of fices as to him may appear necessary and proper. Ii is mule his nuty. ai leuai once in every venr to nHiise llie bonk* of ih« officers nf the land offices to ne examined, nnd iho balance of public moneys in he linn-ls of ihb several receivers in lie ascertained Tin* foregoing synopsis of ihe law relative to land receivers, aim! the corre-p -nd -nce with n portion of iho«e who fmvo proved defaulters and faithless to their Irosis, me submitted, wiiliout further com ment than that tho fuel* nnd circiirnsr-nc.es h rc exhit- d -hmv such a dereliction of duty on tlie pan of Hie Executive department as calls loudly fur searching examination into this branch nf the pub lic service, an I for n thorough refmin. Tlie practice whi-'hihe fnrvgoing corrnsdondence exhibit-, of remitting men in office after gross and re. pealed violation* of law in keeping and using the public moneys for private speculation, and the ehirncter of the coir-spondence itself, hot -too clearly jioint the infer nee ilmt such officers were retained in place because >huy possessed extensive political infhi-r.ee, a-nl w-rn u-cfiii nnd active par- -iciniis. Wnmh-'r-uah m il-adminisiration consti tute* official corruption in those siqierinr officer* ot the Executivede|wriment* who knew of nn-l per mitted in thidr subordinate* thn con-lucl whl -h has barn referred to, is a question w hich iho Committee submit to tho House uml tin* country to decide. Part V. FACTS CONNECTED WITH THE FOREGOING DEFALCATIONS. St DEEM ED MA'I Kill Ah TO DEVELOPE xHEIU TRUE CHARACTER. In conclusion, iho Committee cannot tin beer re marking, that, during their investigation, they have notf-iin-l ihe casd tn which the laws, as they alrta- Ay exist, do not apply, nor in which they an- do- fnctivo. The pnrman-nt provisou* of the lows con st it ue everv n-enssnry check upon collector-, re ceivers, ami di-burners of pith-lc money; nnd the checks which by law, have been and may bo creat ed, in the discretion of the Executive, have only io Iih nttooded to nnd applied hy those whose duly it is tn superintend the execution of the laws, to en- son* faithfulness' Hnd detect deieliciions or d-ifal- citions in public officers. Indeed, in nil the new recommendations which have been proposed hy the President or tho Secre tary of the Treasury, tlie Committee has found either wh it aimidy exists, or what might nlwej* been prescribed nn-l enforred in til" form of Trea sury legnlntions, nnd which, if enforced would nave prevented tho iate defalcations; ami these new re commendation* can, indeed, be regarded ns so many proofs of what regulations in respect to the I ito defaulting collectors, receiver*, Sec. have been hitherto wholly neglected hy tlie present Executive ■ml head* of D'purtments. Part VI. MU. HOPKINS' SPECIAL CON. CUR ENCE IN THE REPORT Of THE CO VI MIT TEE, APPENDED THERETO BY VOTE OF THE COMMITTEE. I hnvo not had rim r*q n-lte rime for scrutlnixlug tlie report uf the Committee with thutcaru and at tention whiob iu length end importenee desorve, The minority of the committee, appoint'd under the above mutations nf the House of Represen- tines, beg leave tu report .* Thai thecunvniuee entered on tlie duties as* signed I horn soon after the passage of the re-olu- ti-ns. At their first meeting nnd organization in the City of Washington, a resolution was ottered in these word-J "R>solved That thu President ofthe United Suite-In-requested localise ihi* committee to he furnished hy the proper Executive departments, with a table showing iho ilululcatious which have occurred tint -ng the collectors, receivers, nnd di*- hursersof public money,nod other public officer-, si i.-e the 41h day of March, 1829; tin-mimes ofthe defaulter-! the ammiiii of ouch iletalcatiuu 5 when each case occurred i the length of time each case h .« existed, wimt steps have been mkeuby tho pro per department* or nffi-vi* to prosecute the defaul ters. and in secure the Un led Sint sin cue i case, and what defaulter* uni retained m the same-dices in which i hey became defaulters, or have b on ap pointed to oilier offic ■*." Which in the opiniun of two nf the undersigned, thu third nut being then present, waa nutlio ized liv the tcimsur.lho spirit of ihe resolutions of tlie House, which Hre confined to ihi* late Hcfnlcnthms us far buck ns the 4Hi of Mutch, 1829, which had liecn h-relolioe rcpnriud hi Congress hy ihe Sucre- tary ol'tlio Trcusury, ami no potion hud thereon by the House. * Under tin's view of thn subject, and believing it in be tin- firsi step to give a latitudinariah construc tion tothe powers delegated, uml whieh opinion was coiifir i ed by subsequent events, one nf tho un dersigned d -emed it a duty he owed to the House, iu ofler Hn amendment iu these winds, "Tu strike rnt thn words ‘dttiiiiculions *» hirh hove occuired umoiig ilia c-tilectors, receiver*, nnd disbursers of poli.iu money, nod o lier public officers, since thu 4th day of Muich, 1829,' mid insert thu w ord* *ri.e hup defulent ions in tin-Custom llon-e at New York, nnd other place-, uml uny in h--rdeinlcatnuis prior to 1838, and not h-iotnlhru reported hy tho depart ment* to Congress and the country."' The mt)’ndmciil was rejected, uml the originul •otmion a -opt d. The commit lee being impressed with the heli-f that tlie groat object ofthe House in raising the committee, whs to investigate the causes and extent of tho defalcations at thu. Custom Hoiish ut New York, deemed it ptopertoa-ij-nirn to ilmiciiy whe the defalc.itinns hml arisen, iho witnesses, or n_ r* in thu sumo resided, uml tho d-animcutnry evi. delicti was to be found. In pur«unncti of this de termination, the committee assembled on the 24ili of J.iutiory in the ci y if Now York, and. without loss of time, engaged in the urduous duties of the n- v- siig -lion. At th- suggestion of one of the mem bers, wh-'th r iho c-imuotiee were to curry on llutir iuvcstlgaiion open lu the public ill large, it appeared to be lueil .y agreed dial -uc.li a course was c-ilculn- to-1 to i-m -urniss the cmnmiiti-e, us they hud no power to suppress di-order in cn-enny should arise but miinrimatiuii wn* given ■ Imt thn proceedings o the c-immiltee should In- secret. Jm <Iks mem, time paragraph* appeared iu tins uewspupers of New York, stating that iho committee sat wirii closed doors. It was evident, ulso from llie wide and ex tend-d range of ihe i-ves-ig*tioii, that ninny per- iMins were likely to Im i -plica ed, both uffieeis o| ■ he govurninem nnd private citizens. The under signed believed that tin* co nniittee, ill -ugh u select mm tie-, was not a secret committee; that the House, when if pn—ed t!n- resolutions, never intend ’d tbu pmc -rdmgs of the committee to b • kept -e- ret; thutjustice required that prompt nod eurly notice -ilmulil Im given ull purion* ncrii-ed; that the charge sh-iuld h-- imoleiu a public manner, rim ac cused confronted with llmaccuser, and thill secict inquiries were unknown to the constitution, and alien to the practice nod feeling* of the American people. I he minority of the commlltco entertain- ing these sentiments, nnd noi knowing the views ol the majority upon this im cresting aubj ctofsecresy, and finding, though other persons weio excluded, wii or three w.incases at one ami rim saino rime wore admitted into the cnnm iicu room, thereby subjecting the proceedings ofthe committee to mis representation, nnd tlm ad inn of individual mem bers to suspicion mid calumny, deemed it proper to bring the subject before ihe committee in ii substan tive form, ami to call for a disiim-i expression of opinion, by propo-iug tlm following resolutions. " Whereas all proceedings ol an inquisitorial character, nnd conducted iu secret, are ut variance with the principles of Itopnhlirun Government, and uhhoireiil to tlm tin-lings of rim American people; " And as justice demands that all person*, w-hel ti er they no officer* of ilio Government nr private citizens, who,in ih- coursu of lids invnstigniion, may be implicated orcharged with official miscon duct, or buingconcerned in aiding nr abetting such m i S"oniihct, should have immediate and prompt notice of the ohnrge, so riiat if innocent rimy may repel it; and that, whatever may he tlie naltiio of rim charge, it is hut reasonable anil just that the same ho publicly brought forward und publicly an- susred. I to satisfy thr just expectations of the |Htople, and to protect the righu and privileges of American clti- xun»." Which, afler an amendment offered, were nil finally laid on the table, to the astonishment and mortification nf tins ui.doisigned, nnd no doubt to the surprint of the nooplo of the United fitnle*. Under these extraordinary circumstnnrcs, thn pro- Carding* of the cymmiiiee being secret or public, according tu rite.judgment,discretion, or caprice of wii n***»a or mttmhenfttf tlm'commiitee. the investi- cation was carried on. Numerous witnesses were j*nmhird «a to the extent of iho defalcation. / Vk T h‘» Undersigned will notgo intnn detnileiistiRe- ment of th« heads of Item*, auch ns forfeiture*, pennltirs, Inin ls, Ac., upon which Swnriwnut baa ed his peculation*, but refer thn House tothe jour nal of the committee. They will simply remnrk the bona item gave the facility and Inid the founda tion nf tlie principal part of tlm defalcation. These peculations commenced at an early period nfSwnrt- vv.iut’solfii’inl life,und went mi increased and increas ing until it* close. The art and mnnngemant with which they were cnnrenlcd will attract attention. -„One occurrence referred tn in tlie leatlmony is not the least remnrkubln in this extraordinary affair. When Swnrlwoui, in 1834, wn* renominated hy the then Pi-nidem of the United Slates, tlm nomination waa referred, n* usual, hy tho Sennre, tn n commit tee, which committee was composed of a majority opposed tothe then Administration. In the irfves- lien i ion of Swart wont's nccdunts before ihnt enm- mitteo. suspicion arose thul im was indefault, Mr. Shulls, the ihen auditor nf thociistom-hnuse, n wit- ness examined hy this committee, was called upon hy the committee of the Senatn to aid them in the examination, and to give them information'in* re gard to Swai t wont's account*,; nudnfler, it is pre sumed, n thorough investigation, the committee re ported favoinhlyto the Senate, and i he appointment was confirmed hy ihe then existing Semite cnmpn*. ed of a- majority of Senators opposed tn tho 'Ad ministration, though there was at this time ■ defal cation to ii cousidernliln amount, known tn Mr. Slmltz. but nut eommiiidcnted in tlie committee of tho Senate, ns will he seen hy reference to tho fol lowing question* and nnswers: ' " Question 26. Did you know wlion you were he fore the committee of tho Svnnte.in 1034, that Mi. Swartwoui hud nnt paid over tn the cashier, 1 the sum of more than $30,090 roccivid by him for for feitures? "Answer. I knew that Mr. Sw-nriwout hnd nt ihnt time more than $30,001) for forfeitures, which ho had uni paid over to the enshier. "Question 27. Did you inform the committee of the Senate, or nny officer of the Treasury Depart ment, that Mr. Swnriwnut hud not paid’ over the money received by him for forfeiture* ? And ifnot, why ? Answer. I did not; because I did not think it my.duty- "Question33. Why did you not regard it asyourt duty to inform riie Secietniy of the Treasury, or Ihe committee of tho Senate, that Mr. Swillt’wnut hnd not paid ovr riie money received from the mur- ihiil tin forfciiuics? "Answer. Because we clerks ofthe Custom House consider uurielvs as in the service ofthe Collector and not in the service of the United Slates. The colteciiim law does nut scum to regard Ihe clerk* of the co lector as in tho service uf the United States, ns thn ma kers nnd weighers, thc. who ate appointed hy iho Treasury Department. We have always ibought ourselves ilia private assistants of the collector. It wu* my duty to render the ac count* truly, nnd credit the United States truly, as [did; hut not to inquire into tho private trausac*. lions of the collector. Theso auswet* afford a valuable instance nf cus- tom-tinusti morality and patriotism. That riie defalcation* should have been so long oiic-nlod from the department and tha public, ihougli ut first a matter ef surprise, will create nn great astonishment when Mr. Shultz’s testimony ia considered, Tlie manner of keeping tho nccountsin the aus- lom-hou-e wn* calculated to cfll-ci the object ofcon- ceulmeni. Tlm auditor uf (lie custom-house, mid the naval officer, intended ns checks upon ihn collec tor, were kept in toiul ignorance us to ihntruo slnto of the accounts; and, as the Treasury Department which, in his opinion, would have enabled the Sec retary In fifteen minutes to have detected thu defat- at Ion, so far ns these items are Ctftircrnrd, though instilled to with great confidence, and with an op- imrent knowledge ofthe feet, is totally disproved liy tho chief clerk of tho Treasury Department, nnd (lie documentary evidence derived from that depart ment, to wit: the weekly returns themselves. Mr- Shultz is nlso a very aged man infirm in body nnd mind, and, like must aid person*, better tilde to give a clour nnd distinct-account nf transactions of longstanding thnn recent nceuirencos. But whatever maybe the arenmte amount, tho •tensilile sum total.established by unquestionable testimony, is very large. Theacttlal nr raid nnvumt, however, lost to the Government, concerning which no information cm bo oli'alnml, it is impnjiiblo to say, and cpn bo only a suhject ofconjveturo. One feet brought forth by the investigation, is of u-remnrknlde cfi'ninctor, and deserves ‘notice. Mr. Thompson, the enshier nr die Bank of America, then one ofihn dcposlte banks, states that check* depended on tlutir statements, it was equally igno rant. .... .by placing bond* .-TSHIImm nmnunt,, m, for Very"niia SiJrtT.T R"3 •“"■“y, 1 "-" P-Whi.».,-kl,,cco U n( 1..J1— |L ..... „ transmitted to yourdepnriment, under the head of bnudt lumir>A*A ... if .L' _ - were indiscriminately drawn by Swartwnut, or his deputies, and paid by the bank. This prttcrica. dangerous at nil times to riie Government nnd the collector, was pitcu iarly hirxnrdous under tho nd- minisirntion of riie Into uolloi'tnr, whose business habits did not quality him fora strlrt scrutiny into the fiieal affairs of his officn. By it an opportunity was nHorded nnd temptution, given, fo peculation in tho cit.stora-hnuia. Thd causes Wlrich cotTihinud to produce tho do- felwnilnnare various. on liji ment. ofthe of Ne Tlie first was the unfortunate appointment hy tliq President, nod confirmation hy thu Sunute, for t wo successive terms, of n man like Swnrtwuut, who, from habits and pursuits,, was totally disqual ified to discharge tlie duties of collector lit New York; n port tlie most Important in the Uhion, and where one-half, ifnot two-thirds, nf the rovoiiuo of be Government is collected. The second, the disposition of Swnriwnut tn en gage in largo und hazardous sprcii’ntions; n passion the most, Insting in its excitement, and must dispns ed to increase hy the food it feeds on. And in an uffieer ofthe Government, intrusted with large sums of money, tlie most dangerous in tils operation up- individual, ns well hi tho Givern- Is mneli testimony nn this head. Some ics best qualified to judge| thehiukeia •into in technical language, he was ■ great operator in stocks in Wall street. Like nllhudnnss of tills description, it was HnMntn great flue.untions. Swnriwnut sometimes winning, at oih'-rs losing, inrgn sums of money. Tlie nvidence, ns toacttnil loss or gain, is hy no means sotiafectr ry. Thn third cause .which coni rihutetl in some de gree, was ihe wnnt of a regulnr and periodical ex- nminntio'i of the bond ucenuiit in the Auditor’s office in Wnsliinvtnn, One ofihn witnesses, nndn clerk in ihnt hurenit, says the bond nccnui.t, prior to the defalcation, had not been oxnmined sinco 1833 Bffora that time, it had bren the prumiuo in tho office. Why it was abandoned rvn know not, unless from nn npltfhm it was not necessary, or that t|roro was nofn sufficient number of clerks to discharge thu duty, at all times very onerous,, there being, nt n moderate cnlriilntion, not less than thirty thou sand bonds taken aycnfln New York alone, Iw» 'whatevermay have produced tho abandonment ‘*pf the practice, it was calculated to land bln *ucer»&r in office into error That succesor would natural^' follow tbe prnntlcoexisting nt tbe tlmo iH-his lu oau as tlie one adopted from experience, and found to answer ibe public exigencies. NtvbMfrto can, thore* fore, bo attributed to tho present Firil Auditor, tie having been, previous to these occurrences, but a short lime in office, and of course pot well qualife-d to judge of the practical utilliyriV ihis-'ttirrThsiJfcr " And a* tho members nf tho committee have no reason nr desire tu disguise nr conceal from public vi"w nil or nny of its actin;* and doing* in tho ex* urri-eof thedelioato tod responsible commission impnti'd on them; to the intent therefore, of hav- ing n-» misunderstanding on this subject, '* Be'it resolved, Tliut ii i» the opinion of this committee ihnt, though a select cornmilir, appoint ed hy the House of Representatives of tba United Stines, U n >t ii secret committees that, ihiugh in verted with the power of inquiry, as contained in lire resolution- of iho House, ih*t jaiwer ought to Ire exmei-ed in an upon nnd public manner; and should Ire nor only free from nny direct 6'iarga of connenlmHut, b'li from th'* remotest suspicion of it, "And be it further resolved. That ull th-* pro ceeding* of tills committee shall b * open nnd pole lie, as being the mode, in the opinion of this com- mittot, best calculated to attiin tbe ends of justice, -oof the witnesses, Ogdon nnd Phillips, cash ier nnd assistant cashier of the cusiom-hou e, say lin y frequently made no entry at all hi thn cusli hook of moneys abstracted hy Swnriwnut fur hi* private expenses. When bund* were paid no credit was given for them. Tho rush being in the possession uf those individuals, riiey furnished such statements to tho auditors ut suited ' .'r purposes, und con cealed tlie accurate and liuo-staio of the account. Sumo effort was made in the coor-e of llio investiga tion to show thul Swartwoui ulwnys made to the department nt Washington i.tre and accurate . into- m-nts of tlie aggregate uuiuiint of liisnccounis,iind thereby drawing an ml'erc ice dial, if they hud been carefully examined, the defalcnlinni could soon have been detect' d. The undersigned are ofopinioii such is not the feci, und thul it was seurcrly possible, un der uny circumstances, tu mtikotlui detection in any in her inuiiner than by lire personal in-poclion-rf the bonds uml tbe bunks nf rim custom-house. On tills brunch nf the subject, we beg leave to refer to tiro testimony of Mr. Woodbury und rim first auditor nt Washington, ns contained in the journal. Mr. Fle ming, the uiniimr at that rime, uml now auditor of the custom-house, a v- ry respectable and intelligent witrm-s, icrtU'm* ilmt ho Imd suspicions in June, 1837, tlmi them was it deficiency iu ihe bund uc- ci ■mil. He ciimnniiiiniU'd iho »u*picion to Mr. Phillips, the assistant cushfer, who nn-wnred him in n vi-ry I.iconic manner," that credit wns given in tho cash hook for all the bonds that were paid; the rest were iu suspense." He also suites,that i hough tlm account* of Swurlwout, transmitted to tiro de partment nt Washington, contnhitd a truetpid uc- u'irnti' statement of tho aggregate amounts, there was a deficiency and cinreulinciit of the true cash balance. n< wnsnfierwnrdsdi-covered hyiliRexnm- imii ion ofthe cathbooknf the custom-house, in n sum exceeding $(ji)t>,0tlU. In this milliner the fraud was curried wu mid kept secret. Mr. Fleming also state* tins;;-bnt for llio suspension of tho puyim-nt ot riie bonds, and a|iecie puymeuti liy the banks the I'ruuiia could nut hnvo be>-n carried on without exci ting suspicion und leading todetecrion. Great credit i* undoubtedly due to the present collector and auditor of iho custom-house fur mak ing the discovery as curly as it was made. The ur gency ofthe former to have hi* account* settled,und prepared for transmission tu Washington, ill a great degree produced and hastened tlm developemeni. But for ihis circumstance the combination und con spiracy existing in the custnm'house to defraud thu Government, would huvu hud the effect to eonceulit a much longer time. It may beconfidenily aaieried that under the ex isting itrws. and, indeed, under nny safeguards thni may lie e*t iblUlmd to protect the public pur-e,with out honor and integrity in the public officer it muy ai d will be plundered, and riie fact concealed fur n considerable time without thn possibility of discove- ry. The business of tlie cuatom-hnu*o nt Now York is various and complicated, tout under the provision ol'tlio act ofCongre-a, the collector is ullowcd three mnnili* Hfier thu expiration of each quarter to make his returns. Frequently from necessity this time has Iwen extended to four muntli*. Two nr tiireu months are consumed in the auditor's and comptrol ler's offices at Washington, in auditing and so; lling these accounts. Until this isdono thn defnlcntion* cannot he certainly known, so that they may bo cmi ecu led from five lu seven months, nnd that under ihe operation of the law. By reference to the journal, it will bo seen that thoro is some discrepancy in the testimony on the suhject ofthe extent ofthe loss. Most of tlie wit nesses agree ihnt the amount of defalcation corres pond* wirii ihti'statenv ms heretofore made hy jhe officers of tl»« Govoinm rat who were sent to New York, alur immediately after tlm'same was m-tJe known, and whoi« reports have been submitted the House. The witness, Mr- ShullxJrcforo alluded to, for mer auditor of the custnnv house, and who fOFa long period of time filled that station, reduces by his testimony iho amount in a considerable degree. Tho House bus In-fore seen what iulinnce should be p|*<vd on tho evidence of Mr. Slmlix. Aa additional evidence of tho confidnnee tn lie given him, the journal is referre t to whom Mr. Shultz stales t tbe weekly returns mud**lwrite Socrotery of the Trea sury. under rim refutation of the department, inclu de.; (Ia: items of forfeitures and penalties, and to refer to hit toatimnny as contained In the journal. The fourth-cause, was the non execution of Swartwoui’* official bond for a great length of time after hi* Inst appointment in 1834. Thtrbnnd bear* data in 1834, but remtiined In thocuitom- house unexecuted untij 1837, when It wns certified liy the district attmvtey of Now* York, Mr. Price,: and tlm Comptrollurnt Washington. For t «i»«|J> tlirao yens, no bond of the nolluoior of New York, tin* principal port in llio Union, waa in the Crarp trailer’* office, mid ilm collector wni left to carry on tho great fiscal operations ofiliu custom-house with out any security, except that based upon his own responsibility. As to rim»uffi«'lency of thmrcu.iiy niibrtled tlm Government by ihebourd when execut ed, ill rt ian suhject not suicoptihlo of positive proof until mated by legal decision, and must remain u matter of speculation nnd opinion. Should tho security in tho bond bo hereafter found insufficient, it 'will bo attributable to Price, ilio district attorney of thu city of Now York, where tho sureties resided, and who, hefuro he certified tlio bond, did nuiko, or ought to have made, iho necestnry inquiries as to ihuir pecuniary nsnnnsi- hility. The bond, though excciiiml at an late a period, will protect.thn Government a* far ns the amount extends, n lurgo part of thn d- feicatinn having ta- !.«n place after its execution, und therefore embrac ed liy it. It is true, little security will tin afforded hy it to tlm Government when ilia penal sum, contained in tlm Imiid, is compared with tho laigu amount of tlm diifalculiuu; and hud n regular account of the bonds been kept in the Audili-r’a office, there is very strong uml conslusivo testimony to show it would hnvo neither prevented nor detected tho dcfulca- ti- n. The hand of Swnrtw nut not being cx< ruled nnd deposiled in llie office, nor any entry of bis appoint ment a* collector mmln by IhuComptroller of 1834, wns such a want of official dilligonco as no onu could have supposed or anticipated, and could not hiva exriteil any suspicion in the mind ofliia immediate successor, [not tho present acting Comptroller,who came i .to oificu after tho discovi ry of I lies -defalca tions,) so ns toiuduco him to order nnoxnminnlinn, lie took ii for grained tlm usual course had been pursued in relation to Swartwoui’* uppointnu nt nnd boml. Tho neglect, therefore, nf the former Audi tor and Comptroller, in these panicUluii>,i< strange und umiccniuilnblo Tlm only excuse for it is to bo found in the fact, a short lima nnturiortU these occurrences, uml iong la-fore, tho bend* of theso bureaus were two aged men, incapable, from physicin) and menial iufirmi- riet, to dischaige tho diilies imposed on (hem with iho diligence nnd strict super-i*mg tirfnnriun that tliAse important offices demanded. Tho evidence on the journal on this suhject I* very fining. The relemiou of nged persons in office, whb have grown old in tho service of the State, Is an nvil incident to ull Governments, und more particularly to our d>- mocraiic one. To dismiss un officer under such cir cumstance* is a Imrsh meusure, nnd well calculated io shock the fueling* and enlist tho sympathies of rim penplo. To retain him wlion incapable of per forming his-function* it dangerous to the security of the public treasury, and injurious io the best in terest* of the poople. Better would it bn to let the civil officers of Government, who hove faithfully dischnrgod their titty for many year*, retire, ut n certain designated period of life, upon a-pensi-n. than to huvn them remuiii in office imt tlm shadows of themselves. Upon the principle! of economy a- Ion.', so dear to tlie American people, the course suggested would bo highly advnntageuus to tlie country. Tho fifth cause wns thn irregular and loose man ner lu which tlie whole business of tlie custom boose was conducted, and which has been adverted to before in this report, and from the feet that the naval officer, who, under the Inws, whs intended u- n check upon the collector, has not, in the execo.- tion of hi« functions, supervised tho'hcconhts wita that care and diligence tho imporl>tr.6t) of Uto sub ject demnnded, Thn sixth cause i* to ho found in a practice grown up of late years: the keeping hy th" collector what is termed 8 suspente account, under which head he retains large amounts of money to meet protest* and suit* upon duties over-paid, &c.: and which, for hi* own security hqi* in a great measure eompelh d to retain, thq court* of justice having determined in such case* that ft« i* personally Hails- Whether those decisions are founded on true and jiist princi ples nnd national policy, thv undersigned will not undertake to decide, bat they mey be perm tied to remark', the sooner there is some legislative a-‘tion ou this subject the better for the country and the c-dlmme. «... Theemeuthpause wa*lh« co.ivulsien and total- derangement produced in the badness of the Cus- t.-m Home by the suspaniion of the payment of bonds by tbe Government, gad the luipenilon ef -r-,- Ii, IU tanli,, Th, , mwM Jf- "p-mi-l limn tw-hw, nu». an oM.Innl lnil» ; r Mr. Wo.riUfjr, In iVh word, i. Qilf-iitm 3F. Wh.t.incH.t nr bnn.li wrr. do. mnuriljr « llm«;|«;fon-, at th. [Im., and dnrln, lb. llm. ortlt. wmiblOM nh^uMd t h. III. ,u....11.1.111 or.|I tI«' |..J.nrmi h, |L hanll., • 7*. W""* In.iruniwii. of. tb.SollcItof "V *fc. TumS h, tMAinr? . Answer. In reply, I wonld state tbef-rtfre .mount id Und, Inllin* du. Itetwran ih. firtt-of M.yoi'd tli. frit of Oclobor, 1U37. In tlm UnltM, Sloli'.,..... prol.nl.),from r.v» to •In.mUluol. I .,»• no. ....mln.d io.ro llm .tact omuoot. Uo|. ol t.o.r.om.ooropot io ...It, lm | n.i.hcr paid. nor o.i ...",, ..odor llio iottructiiioa of tlwiBrnW. 1 tot ill Mu., 1837. 00.1 Ollirr. «ero paid oi.hout iultor poilpoocnioott ... that thoomoLot poltpon- r.1 utid'-r tlo.,e io.truc.lno. *o« climated to b. act fur from four millions of dollar*. " Question. AVhnt amount of bond* coma tinder. the provisions of the acieof Congress «f 1837{thu one produced bv tl.o fiio in Now York, and the other produced hy tho eu-pension of specie pay* menu by the banks! •' Answer. In reply, I etnto that the postpones muite actually made under the two acts in October, u* to former bonds and meichnndige on which cash dutius hud i c:ruod, are estimated io hnve'.bedn from four to C,ur and a hnir millions. Tho amount coming within tho operation of relief asked and. grunted on account of tho fire, is supposed ta'hava been about $1,004,000." • A* also to tho following question: •' Qui stion 1. Please »taic, should a.cnmbinatiert exist between tin. district attorney und ihd collec tor to di-fraud iho Government, bonds suspended oi bonds in suit, ff there are any means in your power, us Secretary of thu Treasury, to make thedetcctiun, except by personal inspcc- and examination of thu bonds at New York ?" Mr. Woodbury answers in the negntivo, nnd given his reasons in extento, as will ho much by reforence to l lie journal. , , Tho sutraiidon of speeio payments by thebiuilie, sudden und unexpectid, nt a period of profound, peace, anti under the u|ipcurunco of great national parity, was well culeuluted not only to derange the business of tho Custom House of New - York, but did convulse the whola trndn of the cmintty,: nod in iu cunienuenco* alleclod that ofthoio Stttet or kingdoms w ith whom wo hud commorciul rela tions. A contingency to exiraqrdinnry could not huvo been nnticipiited, und consi-quently there wore no existing laws tu protect thu Government from its baneful ail'ccis. By rendering tlie acta of Congress in relation to the i fo keeping ofthe public money a deed letter, it mad the banks consn to be tho depusiturioauf the public money, took uwny tho authority of tho de partment to receive their paper in payment of pub lic dues, and from necessity threw thu payment of . the bonds into tlm Custom House,and into thu hands of Swurtwout and hisugenti, uncontrolled by any legislative provision, nr any olh. r safeguards that 1 oihurwise would liavu beon provided lo protect the pub.ic puree. It may be, nnd no doubt will be said, that not* wiihrtunding ihis act of tho banks, if their pnprr had been nceivrd by the Govi-rument, and the bunds still paid in iho hanks, thu loss, or a greater part ofit, would not have been sustained. The un-. dmigned will nui,unHiTtuko ludocidu wKat would have been its ultimate olfect. , Th • legality nnd propriety i.f such a measure- n* un act i.f the Government, is submitted to tlie (.and homo und intelligence uf tho American peo ple. Tho reason fur tho Summary ofthe Treasury nut adopting it, is to he found iu thu acts ot Con, gross and llm practice of iho Government founded ili.ncon, whi. ii prohibit the officers of tho revenue, receiving in payment anything but gold or illvftr, or its equivalent. Tlie Secretary of the Treasury wu* not wni ranted, by law, to receive the paper of these banks. If Im hud done so, ho would have, been liable taimpniichmcnt; und, from the known lomptr of the times, would, in ull probability, have been impeached. If nill)iuiity lu receive such pi per had bean given, it would bavo been notonfy a violation of thu law* of iho hind, bntdisreputab!* to the officer, and degrading to the country. It- ’ would have hud it tendency to give official counter . nance to ibi ■ act uf the hanks, sn unjust and highly 'pxrttctirfcr- Mrj-miiiutto the inlrrvst* of the people, and coleu* brunch of his duty. Oh this subject wo ling louvi*- vtmrd io fix u -tain on the national character, If an iptinn hud hi'on left him, ho could not, n« a public officer and a pqniotic man, have hesitated in look- •tng to nnd holding on in this great emergency le liar ?Airt1vidunl respunrttiiiiiy of the bondsmen, rather than rvcoivo thu paper of banka which hnd token Rio law into their own band*, hud legislated fur Ijmmsilvi'*, nnd themsolvex alone, and had vio* Wed thu obligations of thuir chartura and tho faith pledged to tin- public. This cause, therefore, open ed x field for tliose.engaged in the fraud* und pecu lations, by placing tho money of tho people in the hands of ,Swnriwnut und his subordinates uncon trolled by law, and was aeized upon to cany on a moat during svateir of robbery and plunder. By Tolerance to tba testimony, it will bo scon tho large defalcations occurred on iliu bond nfftitriif, and in tlie first nnd second quarters of 1837,a abort tlmo prior tumid subsequent to tho suspension;of specie payments by tho bunk*. The botm account,' however, had Leon deranged, no doubt, in i vor/t considerable degree, b» furu 1837, by the renewal of bonds, under tho uci* id Cmigre**, occasioned by the ' fire in New Yuik.and iidvnotogc tuken of It. ' > The eighth cause, uml one of the principal, wig. ' a combination of unprincipled men, officers in ther Custom House, to dofrnud tin* Govuromont and plunder tho people. Without thi* combination, Swurtwout could never huvo concealed bis fraud* a Uny—certainly nnt'n week, Thnt men of former goad character und atnnditig in society should hnvo ‘entered into the conspiracy, aiding and abetting SvVatlwout in hi* peculations of tlie pub'fc parse is a subject not only of deep mortification,butn nation al disgruco, It :i a doploraldo and rcmnrknhlcvlnstnnceof thtf c.irrupti n of tho times in which wo live. Kbecom * still morn ri niurknblo from tho fact, that one of the . men, (Phillips, thu assistant coriner uf tho Custom) House,) so nidiiig Swurtwout in liH pocnlations, when examined us n witnc**, and tho question was propounded to him by n member ofthe committee, . "why, knowing a* lie did, Swurtwout w asdufruudfng. thu gov. rniaaiit, liodi.l not give informution lo the Treasury Department ?" utiswered, with grent cool- nnss uml cunmo.-ure, in conformity w ftb the Custom House practice, and the reason given for it by Mr. Shulls, "that hn wn* the clerk of Mr, Swart- * wout, uml did not like to rlhclose the secrets of hiv employer." Apparently considering os a virtue hfa fUeiity to a public office, who,with the witness's Co*- operation nnd active agency, wn* defrauding the) people. Theso developeniont*, and the inferences naturally draw ii from them, must irresistibly lead the House to tho conclusion,- thnt tho safety of the- public money imperiously demand* that nonfficrF, .of tho Custom House, ronm cied with its fiscal con cern*, should lm appointed'hy the collector himself, l.ut should receive riio appointment frrim tho gov- . eminent, ami give Ids sole allrgience to tho country* Other causes, not known, may, and no doubt did comribntu lo produco tlie defalcations. Tho subject mnttor, however, both in relation lo the extent and the cuiuus'of dcfelcrrion, U still involved in som» uncertainly. The character of the testimony ig more than doubt till. Some of the witnesses,- anil those best acquainted with the facts, were activa. ‘ agents, if not participators. In tho frauds* thofoun- tain, therefore, from which wo derive our fnfbrma- • non, or tho groutor portion nf If, is impure and de^ ; - fifed. No reflecting man - , acquainted with tbo^p* erntions i.f the human heart, and the spr itigs of hu man nctiun, will i r snn place mueh reliance tin te»* limony tlm* chu ncterixi'd and stamped with tho - impress of fraud undf piofllgncy. 'En -h ittan and tho Houso collectively will give credei.co to it sc- co ding to the d.-grno of credulity hq_or they -may possess; nnd, at last, a great deal must depend, like rim trysteri •* of our holy r li foA,-upon the fsith of the individual s arching for truth. The disposition Swartwou* madn nf these enor mous sums ubstmeted froffT tfe- public coffer* !* An enigma not easily solved. Tho rvidcncu feoiWoe n -o‘uetoit. Tho inconsiderable rum left in •". • hands of Ogdon, nnd the value of the real ssbitg iff different parts of tho Union, form bet s very jeconS' siderabfe item un tho credit aide of IW Mftquat,' - and some of ihe witnesses say that - SwartWout ti* now a needy man. That ho should- hata be*fn • pbs*;. -j cessed of so little property cun unfybe arC-unt^ - f..r on philosophical principles, and the 'natarpl op- - oration of tbu tinman mut'd? 'Money thus acquiiotl is not long returmnL :Xr"t*'snip* dj*sipnU'd- tn e»>' _ travug’inehis that leave n«ritrtce-&bhtl!.d them. * Much credit in du* to Mr Hoyt, ihe prtfiert( e'of- lector of New York, and djo Soliaitor of the Treaf sury, through whose insfiumctRiility the mowytitr O.den's hands, and the security afforded bythf real estate, were obtained. The money, a* Ogden-testifies,- w*» imaadird by .- - ' Swurtwout for »*V,r pur|K»*rs, nnd .would b«v«b«e» ; M so applied, but for the sodden arriv.l and tmezpecl/ v • ednad vljtjri.it'applieaifenof the Sollcilor of the) Treasury him, se agent of Swtrtwuot to pujTthr same to ibeUtwwd Bute*.