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adopt; he meant that of making the bidding an open competition. It was his wish that the present, like former loans, should have been conducted in the way of competition. But it was suggested in conversation, that no new competition should take place, till those who were engaged in the former loan had paid up the money, and that it was not usual for any application to be made for payment on a new loan till the former had been completed. It was stated, that a considerable part of the loan of last year was still due; that several millions of scrip had not been paid up; and that there were some of the subscribers who carried on their engagements to the 6th of February. Upon examining the statement, he found that the facts were accurate. But he felt this very forcibly when he came to consider that he must either defer this loan until February, or bring it forward against the consent of the subscribers of the former loan; neither of which did he wish to do. Determined as he was to lose not a moment in stating the vigorous resources of the country, and the extensive means it possessed of prosecuting the contest, the consideration of delay would not, however, have singly induced him to forego the mode of open competition. But the gentlemen who contracted for the last loan stated, that they were willing that this loan might be proposed to other parties, provided an option was reserved to them to take it at a profit of per cent. less than any other bidder, which upon 18 millions was a saving to the public of 90,000l. At the same time, feeling that this engagement might, to a certain degree, discourage competition, he took an opportunity, in the presence of the governor and deputy governor of the bank of England, to bind the present subscribers to accept the terms on which the loan was now fixed. They made him, as it were, an arbitrator between them and the public, and if the competitions failed in this case, he had grossly erred in his judgment, if any competition would have made the terms much better. He thought it right, however, to state to the contractors what was the amount of the unfunded debt, the navy debt, and all those points which might add to the public pressure. He also took occasion to state the probability of giving the farther aid of the public credit to the Emperor. There might be a loan in 1796, to the Emperor, to the extent of three

millions, and under all these circumstances the present loan was concluded. In order to prove that the loan was an advantageous bargain for the public, he referred the committee to the terms of former loans. It was concluded upon terms more reasonable than those of the loan of last year. He was sensible, that by his conduct in this affair, he had exposed himself to much misconstruction. He could only take refuge in his own intentions. But after the statements he had now given, he thought he might with confidence appeal to the candour, the fairness, and the justice of the House. He concluded with moving his first resolution.

Mr. William Smith said, that two consi derations arose for discussion-whether the loan was made on the best possible terms, and if it could be shown that it was not, whether parliament ought to sanction a bargain, in which an immense sum of the public money had been thrown away. There were two points to which he was prepared to speak, namely, the intention of Mr. Morgan and his friends to bid for the loan, and the profession which was at one time made by the chancellor of the exchequer, of making it an open loan. But as neither of these points were disputed, he would proceed to examine the reasons that were given for rejecting a competition. He was instructed to say, that till the night immediately preceding the 25th of November, no memorial was presented by Mr. Boyd and his friends, and that they had never till that time publicly talked of presenting any such memorial. Now, if this was the fact, was it not evident, if every thing was fairly and liberally meant, that that night would not have been chosen for presenting the memorial, when it was known ten days before, that it was the intention o. the minister to raise the loan by competition? For as early as the 16th of November, Mr. Morgan was informed of this intention by the governor of the bank of England, at which time no notice was given that there was to be a preference shown to any particular bidders. To this statement, it was remarkable, there had not yet been any opposition; and he held a circular letter in his hand from an hon. secretary to the contractors, wherein a general invitation was given without any mention of preference whatever. It seemed Mr. Boyd contended, that he and his friends had a lease of the market for a year: but the assertion was founded on a

gross misrepresentation, namely, that five
millions of the last loan was not paid up;
whereas he was ready to prove, that
only 477,000l. remained unpaid. The
explanation to which they resorted was
specious, but would not abide the test of
examination. They said, that near five
millions remained to be entered in the
bank books, and till it was entered, it
could not be said to be paid to the public.
But it was notorious, that the money was
in the market; that it was equally nego-
ciable with any other stock; and that it
had not the smallest influence on the rise
or fall of the funds. The question, then,
was, whether the circumstance of 477,000l.
of the last year's loan, remaining unpaid,
could justify a preference in the bargain
for the loan of this year, by which a sum
equal to that amount was lost to the na-
tion. For he would contend that the mi-
nister might as well have said to Mr.
Boyd and his friends, keep this 477,000l.
altogether, as have shut the market against
Mr. Morgan, and those who wished to be
partners with him in the bargain on the
present occasion. It was said, that the
present petitioners, three years ago, made
a similar objection to that brought for-
ward by Messrs. Boyd and Co. But the
difference was simply this: on that oc-
casion the loan of twelve millions was
contracted for in January or February,
and another loan of three millions was pro-
posed to be raised for the Emperor in the
May following, when the other loan was
at a considerable discount. Besides, who
would have been the sufferers, supposing
Mr. Morgan and his friends had been ad-
mitted to competition? Not the subscribers
to the last loan, for Mr. Boyd had con-
nected himself this year with quite a dif-
ferent party from his last year's friends,
who were perfectly satisfied with having
sold their shares with a profit of 12 or 14
per cent. And he would ask if it was
reasonable, that an individual with a new
list of subscribers, should come forward
and press an advantage, to which, if he
had any just claim, it was only while he
retained his former connexions? There
was also another very considerable differ-
ence between the circumstance of the
present loan and that of 1793. Then
there was an express stipulation reduced
to writing, that there should be no other
loan; but in the present case, the lan-
guage had been so vague and loose, that
the chancellor of the exchequer hardly
recollected that there was any engagement

of the kind. In a letter which he sent to
Mr. Morgan, he stated, that Messrs.
Boyd considered themselves as entitled to
a preference, and that he thought them
worthy of some degree of attention.
But could this degree of attention be
supposed to extend to a preference to the
amount of 400,000l.? But it was still said,
that there were some chance of compe-
tition left to Mr. Morgan. If it was exa-
mined, however, it would be found to be
nothing more than this:
"Give in your
terms, and if in the opinion of Mr. Boyd,
they are not worth his acceptance, then
you are saddled with them, and you may
make the best you can of a bad bargain.
But if Mr. Boyd thinks he can pay a
half per cent. more, you shall not get a
guinea." Who but an ideot would ever
have entered into a competition upon such
terms? So much for the competition.
It was notorious among monied men, that
Boyd was to have the loan, for several
months before it was contracted. Odds
were repeatedly offered that there would
be no competition, and even on the sup-
position of a competition, that Boyd and
Co. would get it.-Mr. Smith then entered
into an examination of the terms of the
loan, and contended that a better bargain
might have been made for the public.

Mr. Fox disapproved of many parts of the budget, but should confine his observations to the subject of the loan. Why, he asked, was it necessary to give the subscribers to the last year's loan any preference at all? When he put the question, he had no hesitation about the answer which he should receive-that by one of the stipulations of the last year's loan, the minister was bound to give a preference to Mr. Boyd. If this was really the case, why did he not give Mr. Morgan and his friends notice of this obligation? He was aware of what would also be here advanced, that the right hon. gentleman had no recollection of the obligation, at the time when he professed his intention of making an open loan. But, surely, the obligation could not be serious, of which he had no distinct recollection, especially as it involved a question of so great public moment. He contended, that it put an end to all competition on public loans. He was ready to exculpate the chancellor of the exchequer from having willingly acted an improper part to Mr. Morgan; but he could not exculpate him from a very improper degree of

levity and inattention, in having come under such an engagement in January last, as for ever precluded him from his favourite plan of competition. The transaction might be considered in a double point of view, as an injury to the petitioners, and as a loss to the country. To Mr. Morgan it was clearly a serious loss, his money being called in for the purpose of making this application of it. And to the public, there was in the first place a loss of 400,000l. But this was the least part of the public injury. By deserting the plan of competition, the minister had outraged a fundamental principle of the constitution, laid a precedent of which corrupt ministers might in future avail themselves to the detriment of the public, and checked for ever this spirit of adventure in the monied interest of the kingdom.

After a long and desultory conversation, the several Resolutions were agreed to by the committee.

The King's Message respecting Dutch Prize Money. Dec. 7. Mr. Pitt presented the following Message from his majesty: "GEORGE R.

"His majesty thinks proper to acquaint the House of Commons, that a considerable sum is likely to arise from the sale of such of the prizes, made on the subjects of the United Provinces, as are by law vested in the crown; and that it is his majesty's intention, when the accounts shall be closed, to direct that the produce which shall arise therefrom, after making such allowances as may be thought due to the merits of any of the captors, shall be applied to the public service G. R." An Address of thanks was moved by Mr. Pitt, and agreed to.

The King's Message respecting a Negociation for Peace.] Dec. 8. Mr. Pitt presented the following Message from his majesty:

"GEORGE R.

"His majesty, relying on the assurances which he has received from his faithful Commons, of their determination to support his majesty in those exertions which are necessary under the present circumstances, recommends it to this House to consider of making provision towards enabling his majesty to defray any extraordinary expense which may be incurred for the service of the ensuing year, and to take such measures as the

exigency of affairs may require. His majesty, on this occasion, thinks proper to acquaint the House, that the crisis which was depending at the commencement of the present session has led to such an order of things in France as will induce his majesty (conformably to the sentiments which he has already declared) to meet any disposition to negociation on the part of the enemy, with an earnest desire to give it the fullest and speediest effect; and to conclude a treaty for general peace, whenever it can be effected on just and suitable terms for himself and his allies.

"It is his majesty's earnest wish that the spirit and determination manifested by parliament, added to the recent and important successes of the Austrian armies, and to the continued and growing embarrassments of the enemy, may speedily conduce to the attainment of this object, on such grounds as the justice of the cause in which this country is engaged, and the situation of affairs, may entitle his majesty to expect. G. R."

The King's Message respecting the Disembarkation of Foreign Troops.] Mr. Pitt also presented the following Message from his majesty:

"GEORGE R.

"His majesty thinks it proper to acquaint the House of Commons, that considerable division of ships, having on board foreign troops in the service of Great Britain, having been dispersed and damaged, whilst on their passage from the rivers Elbe and Weser to Spithead, the place of rendezvous appointed for the convoy under which it was intended they should be sent on distant foreign service, his majesty has found it unavoidably necessary to order the said troops to be disembarked, and to be stationed in barracks near Southampton, and in the Isle of Wight; and, at the same time, has given directions that they shall be reembarked, and sent to the place of their destination, as soon as the transports ne cessary for their accommodation and conveyance shall be in readiness to receive them, the necessary orders for that purpose having by his majesty's command been already given. G. R."

The said Messages were ordered to be taken into consideration to-morrow. Similar Messages were sent to the Lords.

Debate in the Commons on the King's Message respecting a Negociation for

but

Peace with France.] Dec. 9. The order of the day being read for taking his Majesty's Message into consideration, Mr. Pitt said, that before he moved the Address, he would trouble the House with very few words. The sentiments expressed in the message, were intirely conformable to those delivered by his majesty in his speech at the commencement of the session. His majesty then intimated, that if the crisis which existed in France should terminate in an order of things compatible with the tranquillity of other countries, and affording a reasonable expectation of security and permanence in any treaty which might be concluded, the appearance of a disposition to negociate for a general peace, on just and suitable terms, would not fail to be met on the part of his majesty, with an earnest desire to give it the fullest and speediest effect. The form of government in France, with a view to the probable establishment of which this declaration was made, had since been adopted and acted upon in that country. This declaration, therefore, his majesty had thought proper to renew in the message. As the House expressed the utmost satisfaction at the sentiments expressed by his Majesty in his speech, they would no doubt be equally ready to renew the expressions of that satisfaction on the present occasion. He would therefore move,

"That an humble Address be presented to his majesty, to return his majesty the thanks of the House for his most gracious message: to acknowledge, with the utmost gratitude and satisfaction, his majesty's condescension and goodness, in having been graciously pleased to acquaint us, that the crisis which was depending at the commencement of the session, has led to such an order of things in France, as will induce his majesty, conformably to the sentiments which he has already declared, to meet any disposition for a negociation on the part of the enemy, with an earnest desire to give it the fullest and speediest effect, and to conclude a treaty of general peace, whenever it can be effected on just and suitable terms for himself and his allies: To assure his majesty, that, until that desirable period shall arrive, it is our firm determination to continue to afford his majesty that vigorous support which we are persuaded is essential to the most important interests of his kingdom; and that it will yield us the highest gratification, if his majesty's

powerful preparations and exertions, added to the recent and important successes of the Austrian armies, and to the continued and growing embarrassments of the enemy, should have the happy effect of speedily conducing to the restoration of general peace on such grounds as the justice of the cause in which this country is engaged and the situation of affairs may entitle his majesty to expect."

Mr. Sheridan said:-I certainly rise with considerable astonishment at the conciseness with which the right hon. gentleman has thought proper to preface the address which he has proposed to the House. The right hon. gentleman said, that he would trouble the House only with a few words, because that order of things in France which had been alluded to in the speech of his majesty had arrived. I ask why the right hon. gentleman tells us now, for the first time, that the government of France is of a description with which we may safely negociate? Time and experience have no doubt enabled him to alter all his former opinions on that subject. But all the advantages which he can have derived from time and expe rience, have occurred within the last five weeks. In fact, I contend, that he has had only one week, and that upon the experience of that single week, he now comes forward, not to propose a jealous peace, an armed truce, but a peace afford. ing a reasonable prospect of security and permanence. If he contends that he has had more time to make up his mind on the subject, I ask him, why he did not bring forward the result of his deliberation before he settled the terms of the loan? This one week's experience of the right hon. gentleman has cost the country two millions. What excuse can he possibly allege in justification of his conduct? Will he say that on Wednesday last, when he arranged the terms of the loan, he had not taken such a view of the subject-he did not possess such means of information

he had not such grounds of decision as he has since acquired? The effect of the message last night has been, that the loan is this day at a premium of 12 per cent., and a sum of 2,200,000l. is lost to the country. When I see the right hon. gentleman reversing his former declarations, I think him not sincere in the object which he avows. When I see him bringing forward such a declaration, in order to defeat, as I believe, the proposition of my hon. friend (Mr. Grey) for peace, I

truction. But in whatever light this declaration is considered, it has long since been disclaimed. What, then, is the period at which the right hon. gentleman thinks proper to declare that the French government is capable of maintaining the accustomed relations of peace and amity? At the moment when the members seek to establish their power by the system of forced elections; when they avow the principle of not being responsi ble to their constituents; when they seek to establish their authority in the capital by force of arms, and have the place of their deliberations surrounded by large bodies of the military, in order to overawe the people. There is one word in the address which must prevent it from obtaining an unanimous concurrence-the expres sion which relates to the justice of the war. But this is not the only objection. It expresses a principle which must ever remove to a distance any hope of a secure and permanent peace, till the whole country shall join to disclaim and reprobate the system derived from such a source. It seems that the present state of things in France is such as ministers think may safely admit of negociation. This principle has often been before intimated, but has never been so openly avowed. It now seems that we must carry on a war till a form of government takes place agreeable to the fancy and caprice of his majesty's ministers. If the present form of government, of which they have had only the experience of five weeks, should be thought to require some alteration after peace is concluded, ministers may think themselves justified in involving the country in a new war. As long as that principle continues to be avowed, we may have a hollow and an armed truce, but we never can have any thing like a secure and permanent peace. I must decidedly reprobate the principle, that any objections on the part of ministers to a particular form of government, shall be, in any instance, deemed a just cause for commencing and continuing hostilities; and on this ground I shall move an Amendment to the Address, by adding these words:

cannot help adverting to the grounds on which he may be supposed to have changed his opinion. I must look how that government is composed which he now states to be capable of negociation. That very government he recently stated to be not only on the verge, but in the very gulph of bankruptcy. And having stated that it was on the verge of what must inevitably bring it to destruction, he now submits a proposition to the House, that it is not only a form of government with which we may safely negociate, but capable of maintaining peace on a footing of permanence and security. Will he say, that he is more reconciled to the men who exercise the functions of that government? Of the five who compose the Executive Directory, four voted for the death of the king, the fifth happened to be absent at that period. These were the very men whose pernicious councils were said to have brought on the war with this country, and with respect to whom it has been affirmed, that no settled order of things could take place in France until they had fallen under the sword of justice. Has the right hon. gentleman, then, changed his opinion merely because the forms of the government are altered; because the old men meet in one place, and the young men in another? Is it on the ground of such trifling distinctions, that he now comes forward to contradict every opinion, to retract every profession, which he has formerly uttered, and to pledge himself to a new declaration of sentiment, without any facts by which it can be supported? There is something so contradictory in all this, that I think it impossible that the right hon. gentleman can be sincere. If it be said that the French government has revoked its declaration of interfering with the governments of other countries, and on that account is better qualified for negociation, that declaration, I must remark, has long been revoked. The charge of a wanton interference with other governments, applied to the French, I contend, never to have been just. The declaration which they made on that subject, was a consequence of the coalition of kings. When the confederated princes expressed their determination not to permit them to effect their revolution and establish a government for themselves, they thought themselves justified in declaring their enmity to all kingly governments, and their readiness to assist in their des

"Your majesty's faithful Commons having thus manifested their determination to give your majesty the most vigorous support in the farther prosecution of the war, in case just and reasonable terms of peace should be refused on the part of the enemy, and having declared the cordial satisfaction they feel at your majesty's

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