Page:Life and Select Literary Remains of Sam Houston of Texas (1884).djvu/155



the 13th of December, 1841, Gen. Sam Houston was inaugurated, for the second time, as President of the Republic of Texas. The Government was now in a greatly worse state than when he took its reins five years before. The body politic had fallen into premature and inflammatory decay, not a disease merely, but a relapse. He had formed a Government out of chaos; it was his work now to save it from ruin. Millions in debt, the treasury was empty, and without credit on which to borrow another dollar. The money had been wasted while the debt still hung over the Republic; the promissory notes and liabilities of the Government had depreciated ten to one, payment postponed, but not repudiated.

In such a sad state of finances Gen. Houston proposed a new currency, called the exchequer system, the entire issues of which were not to exceed $200,000. For the redemption of this currency, he asked Congress to guarantee the customs of the country, and certain tracts of land amounting to about three millions of acres. An act had passed, through his agency while in Congress, declaring these lands not subject to location. Members of Congress were unwilling, however, to pledge lands, as such a course would interfere with private interests, but they were quite willing to hypothecate the customs. Opposition, rank and fierce, combined against