king from it that feature which makes it,
as it now is, a banking system free upon the same terms to all who
wish to engage in it. Even the existing banks will be in danger
of being driven from business by the additional disadvantages to
which they will be subjected by this bill. In short, I cannot but
regard the fifth section of the bill as a step in the direction of
the destruction of the national banking system.

"Our country, after a long period of business depression, has just
entered upon a career of unexampled prosperity.

"The withdrawal of the currency from circulation of the national
banks, and then enforced winding up of the banks in consequence,
would inevitably bring a serious embarrassment and disaster to the
business of the country. Banks of issue are essential instruments
of modern commerce. If the present efficient and admirable system
of banking is broken down, it will inevitably be followed by a
recurrence to other and inferior methods of banking. Any measure
looking to such a result will be a disturbing element in our
financial system. It will destroy confidence and surely check the
growing prosperity of the country.

"Believing that a measure for refunding the national debt is not
necessarily connected with the national banking law, and that any
refunding act would defeat its own object, if it imperiled the
national banking system, or seriously impaired its usefulness; and
convinced that section 5 of the bill before me would, if it should
become a law, work great harm, I herewith return the bill to the
House of Representatives for that further consideration which is
provided for in the constitution.

"Rutherford B. Hayes.
"Executive mansion, March 3, 1881."

Preceding this message, during the last week in February, there
was a serious disturbance in the money market, especially in
connection with the national banks, caused by a fear that the bill
would become a law. Appeals were made to me to furnish relief.
All I could do was to purchase $10,000,000 of bonds to be paid from
an overflowing treasury, but the veto of the President settled the
fate of the bill.

CHAPTER XLII.
ELECTED TO THE SENATE FOR THE FOURTH TIME.
Blaine Appointed Secretary of State--Withdrawal of Governor Foster
as a Senatorial Candidate--I Am Again Elected to My Old Position
to Succeed Allen G. Thurman--My Visit to Columbus to Return Thanks
to the Legislature--Address to Boston Merchants on Finances--Windom