The First United States Bank
Immediately after the first Congress of 1791, Alexander Hamilton, Secretary of the Treasury, recommended a national bank as one of the means necessary to restore the credit of the government, and to act as its financial agent. The two Houses of Congress, on his recommendation, passed the first bank charter.
General Washington expressed serious doubts of the power to pass the law, and took the opinions of his Cabinet, in writing. Thomas Jefferson, Secretary of State, was against it. Edmund Randolph, Attorney-General expressed the same opinion; while General Henry Knox, Secretary of War, sustained Hamilton in its constitutionality. Washington referred the opinions of Jefferson and others to Hamilton for his reply, who gave an elaborate opinion, sustaining the right of Congress to establish the bank.
On consideration of the whole subject General Washington was of the opinion that the bank was unconstitutional, and that he ought to veto it, and called on Mr. Madison to prepare for him a veto message, which he accordingly did. Upon the presentation of that message, Washington again expressed himself in doubt, inclining to the impression that the power did not exist. Jefferson still adhered to his opinion that it was clearly unconstitutional, but he advised the President that in cases of great and serious doubt, the doubt should be weighed in favor of legislative authority. Whereupon Washington signed the bill.—Stephen A. Douglas.