bia, without a branch in Charleston, could not engage in such transactions without connecting itself with some other institution in that city.

On the other commercial towns in this State, Camden, Hamburg, Cheraw, the disadvantageous effects of this removal can scarcely be questioned. Charleston is, and perhaps must forever be, the commercial emporium of a large extent of country, comprehending all those Districts of South and North-Carolina connected with the waters of the Santee and Peedee rivers, and probably much of the country drained by the Savannah river. The business of Charleston must increase with the population, the wealth, and enterprise of this whole District; and if the inhabitants of Charleston view their own interests correctly, it seems unquestionable that they would rejoice in the prosperity-of every commercial town throughout that tract of country, and would promote by every practicable means, the extention and the activities of their commerce. It appears to be a causeless jealousy which apprehends injury, if not ruin to Charleston, from the increase of the retail trade of the towns in the interior country. Much as the decline of a particular trade in that city, and the depreciation in the value of the property connected with that trade may be lamented, it was scarcely to be expected that the inhabitants of the upper Districts would continue long to travel one, two, or three hundred miles, for the supply of every petty want. It is from other sources that Charleston must derive her wealth. It is not by her retail trade that Liverpool has become a great emporium in England, but because she sends abroad the productions of Manchester, Leeds, Birmingham, and the hundred manufacturing towns of the adjacent countries, and supplies them from abroad with the materials which their manufactures and the commodities which their consumption necessarily demands. No one will suppose that the trade of Liverpool would increase if their large trading and manufacturing towns should be destroyed, and the consequently diminished population of the country compelled to resort to Liverpool for the supplies of her most trivial wants. With the growth of these towns her own prosperity has advanced, in their commerce her increasing wealth has found employment and profit.

It is not by a retail trade that New-York has become the great commercial emporium of the United States, but because she supplies hundreds of towns connected with her in business with the, articles which are consumed in their respective neighborhoods, and sends abroad the surplus productions of their soils.

Upon the same principles, if on a smaller scale, Charleston seems destined to be the commercial emporium of a certain District of country, and it must be obvious that her prosperity must increase with the prosperity of that country, as long as she imports the groceries that the inhabitants of that District consume, much of the apparel that they wear, and all of the other foreign productions that they require, and exports in return the produce of their farms and of their labor; it is her interest that this District should be crowded with inhabitants, animated with the commercial activity which towns excite, and abounding in wealth. From their mutual intercourse she will derive riches, and in the arrangements of that intercourse her inhabitants will find employment. She will therefore pursue her true and enlightened policy, by promoting the welfare, not of one spot, but of every portion of this district of country; and it will be her interest to aid every rising town, and every important enterprize within the sphere of her commercial operations. The Directors, therefore, of a Bank in Charleston,

must, if they feel as citizens of Charleston, be anxious to give, as far as their power extends, assistance to every place within that circle; and the Directors of a public institution, such as the Bank of the State of SouthCarolina, would, it is to be presumed, readily and impartially grant to any adversary of our inland towns which may be well located and may appear likely to flourish, a branch of that institution, as soon as its means would enable them to establish one, and would afford to such branch as much capital as they could possibly spare. They could have no interest in favoring one spot, and neglecting another. What difference, for instance, would it make to the commerce of Charleston, (to speak on general principles, and not as individuals may be affected) whether the business of Lancaster and Chesterfield and the adjacent districts of North-Carolina, should be transacted at Cheraw or Camden? The same demand, in either case, would be made on the Charleston market, and the same supply furnished. What difference would it make whether the business of Fairfield, Chester, Union, York, &c., should centre in Camden or Columbia? To the inhabitants and commerce of Charleston, the result would be precisely the same. But to the inhabitants of Columbia, would there be no difference? In the interior, the towns in the same neighborhood, or in the same geographical parallel, stand as rivals to each other. Each strives to attract and monopolize the business of as extensive a portion of the adjoining country as possible. Each is very much and very naturally disposed to consider every accession of funds to the trading capital of its neighbors, as so much probably deducted from its own means, and the business transacted in their markets as so much irrevocably withdrawn from the sphere of its own attraction. The produce carried to Hamburg or Camden can by no reaction revert to Columbia. The commerce once fixed in those places, can, but with difficulty, be recalled. It is, therefore, an almost inevitable conclusion, that the inhabitants of Columbia cannot feel interested in promoting the commercial prosperity of these rival towns; that the facilities she must afford, she would afford reluctantly; that the funds she might be compelled to spare, would be distributed with hesitation and delay.

It therefore appears that the interest of the State, at large, requires the continuance of the Bank of the State of South-Carolina at Charleston. Because, in that city it could most easily, cheaply and certainly procure means to support the credit, and extend the circulation of its paper.

Because it could transact a great deal of that business which leaves a Bank in possession of a portion of its funds, or enable it to recall them whenever circumstances require their collection.

Because it offers to Columbia, in its present position, many advantages and facilities which perhaps would not be incurred by the removal of the Bank itself.

And because the other rising towns in Carolina, Camden, Cheraw, Hamburg, will be cherished from motives even of local and personal interest, as the inhabitants of Charleston must perceive that the commercial prosperity of their own city, would be promoted by every act which extends the commerce of any or every portion of that country to which she must be the emporium or distributing market. To every rising town in that District she would grant funds readily, liberally, and impartially, as she would remain the great centre of their business-the reservoir into which the streams of their commerce must necessarily flow. To Charleston these towns would be considered as affiliated communities-to Columbia they must stand as rivals. All of which is respectfully submitted. STEPHEN ELLIOTT.

REPORTS

OF

COMMITTEES OF WAYS AND MEANS.

In the House of Representatives, Dec. 5, 1817.

The Committee of Ways and Means, to whom was referred the Report of the President and Directors of the Bank of the State, beg leave to report:-That they are unwilling to omit this opportunity of expressing their approbation of the manner in which the Bank appears, by the report, to have been conducted. The dividend of $76,507 91, which has been paid into the treasury of the Lower Division, affords the best evidence within the power of your Committee, of the able manner in which that institution has been managed. The purchase of the banking house appears to have been necessary, and your Committee have every reason to induce them to approve of all the measures adopted to effect that

purpose.

In the House of Representatives, Dec. 13, 1820. The Committee of Ways and Means, to whom was referred a Bill to repeal the second clause of an Act, entitled "An Act to prohibit the issuing of bills or negotiable notes under the denomination of one dollar, and for other purposes therein mentioned," report, That they have had the same under consideration, and recommend, that the Act alluded to be not repealed; but as they believe that serious inconveniences have been suffered by the citizens of this State, for want of a specie circulation, or small bills as a substitute therefor, and as they are satisfied that great profit would accrue to the Bank of the State by issuing a larger amount of bills of a small denomination, they recommend that the President and Directors of the Bank of the State of South Carolina, be required to issue and keep constantly in circulation a sum not less than one hundred thousand dollars of bills under the denomination of one dollar; and the said President and Directors are further directed to put in circulation, in the Upper Division of the State, the sum of eighty thousand of the above amount.

(1821.)

Report from the Committee of Ways and Means.

The Committee of ways and means, to whom was referred the Report of the President of the Bank of the State of South-Carolina, beg leave to report: That they have taken the same into consideration, and deem it inexpedient at this late period of the session, to call the attention of the House to the many and various financial views embraced in that Report. They conceive that the Report will remain as a valuable record on the Journals of the Legislature, to guide its future policy in relation to the Bank, which is annually becoming an object of increasing interest and solicitude with the State.

December 18, 1821.

JAMES HAMILTON, Jr. Chairman.

House of Representatives, Dec. 5, 1823.

The Committee of Ways and Means, to whom was referred the Resolution directing an inquiry to be made, whether it was the intention of the Legislature, in creating five and six per cent. stock by the Acts to raise supplies in the years 1821 and 22, that the certificates of stock, when transferred, should be countersigned by the Comptroller General, report, That they have examined the same, and are of opinion that it was the intention of the Legislature that all issues of stock, either in the first instance or by transfers, were to be countersigned by the Comptroller General; but in consequence of that officer residing in Columbia, and the uncertainty whether Comptrollors elected in future will reside in Charleston, your Committee recommend that the Acts to raise supplies for the years 1821 and '22, be so amended, that in future all issues or transfers of stock shall be countersigned by the President of the Bank of the State of South Carolina for the time being.

(1823.)

The Committee of Ways and Means, to whom was referred the Report of the President and Directors of the Bank of the State of South Carolina, and with it the statement of the Sinking Fund, beg leave to report: That they have had the same under consideration, and given them the attention which the importance of the subjects so deservedly requires; and after mature reflection, are of opinion, that it is, at this period, inexpedient to increase the capital of the Bank. It is deemed proper, however, to state, that the expression of this opinion is founded on the fact, that there are no means in the power of the State to increase the capital of the Bank, but by creating stock, at an interest payable quarterly. If the State had at its disposal a full Treasury, and a question to increase the capital of the Bank was agitated in your Committee, an expression of a different opinion might be the result.

When to increase the capital of the Bank it becomes necessary to create stock, it is, to say the least, but a doubtful question, whether in the end it will prove sufficiently advantageous to the State to hazard the experiment. It must be recollected, that not only the capital of the Bank, but the faith of the State is pledged; consequently the property of every individual is more or less bound for the redemption. The security of the holder is beyond a doubt, whilst on the other hand, the State is, by its banking operations, loaning to individuals, the security of which is liable to, and can be affected by mismanagement, corruption, depression of property, by war, and many other circumstances. Your Committee do not pretend to deny, that the issue of the bills to the amount allowed by the Charter, as well as the privilege of discounting notes to treble the amount of its capital, has yielded not only a sufficiency to meet its losses, but to declare considerable dividends, as has been evinced by the statement of the Bank of the State. Yet considering the pressure which is now felt by every class of the community, the perfect security of the one, and the uncertainty of the other, have come to the decision on this subject as already expressed.

Of the propriety of the legislature incorporating private Banking institutions in the commercial towns in the interior of the State, your Committee would refer you to so much of the Report of the President and Directors of the Bank, as relates to this subject, and leave the expression of opinion to the decision of the Legislature.

To the propriety and policy of making it an established custom, of appointing a Joint Committee of both Branches of the Legislature, at each session, to inspect the books and examine the operations of the Bank and its Branches, your Committee are decidedly opposed. It must be satisfactory to the President and Directors, who have so faithfully discharged their duties, that an investigation of their conduct might be made as often as the Legislature shall see fit. But to the propriety or advantage, there are many objections. These examinations, from a variety of circumstances, can be of little advantage. The distances of the mother Bank and its Branches, and the time it would necessarily take to proceed from one to the other, and to examine the concerns correctly, would be a labor of such an extent, that it would be totally out of the power of any Committee to devote the time to that examination, which is deemed necessary should be given, either to prevent being lulled into false security, or to ensure satisfaction either to the Legislature, or the community. Your Committee are fully aware, that if Committees are to be appointed, it would be preferable that a permanent law to that effect should be enacted, as appointments otherwise create in the public opinion, both at home and abroad, distrust in the credit of the institution. It is however deemed necessary, that the transactions of the Bank should at times be examined, and if any aberration in the management of its affairs, it should be made known to the Lelature. Your Committee beg leave to recommend that the charter of the Bank of the State of South Carolina be so far amended as to allow the Comptroller General a seat at the Board of Directors, at the mother Bank and its Branches, and to make it his duty to attend from time to time, and as often as he can make it convenient examine the books (and the vaults if he shall deem it necessary,) and shall annually report to the Legislature any impropriety or mismanagement which may have passed under his notice. But in no instance shall the Comptroller General be either allowed to vote, or permitted to express an opinion on any subject before the Board. CHARLES JOHN STEEDMAN, Chairman.

In the House of Representatives, Dec. 3, 1824.

The Committee of Ways and Means, to whom was referred the Report of the President and Directors of the Bank of the State of South Carolina, in regard to the operations of the Bank for the past fiscal year, respectfully Report, That they have examined the same, and find that the proceeds of the Bank for the past year, amounted to one hundred and sixteen thousand three hundred and fifty dollars 58-100; that this amount has been transferred to the credit of the Sinking Fund, agreeably to the provisions of the Act of Assembly upon the subject; and that the aggregate amount of that fund, in October last, (the time to which the Report is brought,) was two hundred and fifty-three thousand sixty-seven dollars and 57-100, subject, of course, to the payment of the interest which may accrue during the ensuing year upon the five and six per cent. stock of the State.

A Report of the Committee of Ways and Means upon the finances of the State, made the 11th of December, 1829, touches slightly upon the