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FORE:A great portion of the present Session was[143] occupied with discussing the return to cash payments, which, by the Act of Parliament, ought to take place on the 5th of July of this year. It appears that no less than fifty debates and conversations in both Houses took place on this important subject during the Session. Very soon after the meeting of Parliament a secret committee of each House was appointed to inquire into the state of the Bank. These committees were, however, so managed, by delivering to the members lists of suitable persons for such committees, that scarcely any but Ministerial men were voted, though these votes were given by ballot. In the Commons this result was so evident that the Opposition declined to vote at all. The first reports of the committees went rather to close more strictly than to open the issue of gold by the Bank. It had been paying in gold its notes issued previous to January, 1817. This payment it was proposed to stop, as, at present, evidently injurious to the interests of the country. Mr. Peel, on moving for a Bill for this purpose, stated that the gold at the present price was fast finding its way abroad, and was as rapidly absorbed in re-minting a gold coinage for France. It appeared that during the first half of 1818 gold to the value of no less than one hundred and twenty-eight million francs had been coined at the French mint, of which three-fourths were derived from the gold coinage of England. A Bill was accordingly passed to stop payment altogether in gold till the necessary preparations were made by a fresh Bill. Still, the condition of the Bank was represented as flourishing. Its liabilities were stated in January, 1819, as amounting to thirty-three million eight hundred and ninety-four thousand five hundred and eighty pounds; its assets, including the debt due from Government, fifty-three million seven hundred and eighty-three thousand seven hundred pounds. The total Bank surplus appeared to be nineteen million eight hundred and eighty-nine thousand one hundred and twenty pounds; and its surplus, independent of the Government debt, and therefore available for current use, was five million two hundred and two thousand three hundred and twenty pounds. The committees adopted the scheme broached by Mr. Ricardo in his "Proposals for an Economical and Secure Currency," published in 1816. This was that the Bank, in the first instance, should not pay for its notes in gold coin, but in ingots of a certain weight, its fineness being attested by a stamp; and this degree of purity should be regulated from time to time till the gold descended to the Mint price of three pounds seventeen shillings and tenpence-halfpenny per ounce. When the Mint gold at length reached this rate of value, then the payment in coin was to be begun. Resolutions to this effect were moved by the Earl of Harrowby on the 21st of May, and they received the approval, not only of the Ministerial side, but of the leading Opposition members, Lords Grenville, Lansdowne, and King.After the flight from Ballingarry, and the desertion of his followers, Smith O'Brien abandoned the cause in despair, and concealed himself for several days among the peasantry in a miserable state of mind. He had none of the qualities of a rebel chief, and he had not at all calculated the exigencies of the position that he had so rashly and criminally assumed, involving the necessity of wholesale plunder and sanguinary civil strife, from which his nature shrank. Besides, he soon found that the people would not trust a Protestant leader, and that there was, after all, no magic in the name of O'Brien for a Roman Catholic community. But to the honour of the peasantry it should be spoken, that though many of them were then on the verge of starvation, not one of them yielded to the temptation of large rewards to betray him or his fugitive colleagues, and several of them ran the risk of transportation by giving them shelter. In these circumstances, on the 5th of August, Mr. O'Brien walked from his hiding-place in Keeper Mountain into Thurles, where he arrived about eight o'clock in the evening. He[570] went immediately to the railway station to procure a ticket for Limerick. On the platform there were seventeen constables in plain clothes, who did not know him; but a railway guard named Hulme, an Englishman, recognised him, and tapping him on the shoulder, he presented a pistol at him and said, "You are the Queen's prisoner." A strong escort of police was immediately procured, and the prisoner was conveyed in a special train to Dublin, where he was lodged in Kilmainham gaol. THREE:It was at this crisis, when Hastings was just recovering his authority in the Council, that the news arrived in India, and spread amongst the native chiefs, that in Yenghi Dunia, or the New World, the Company Sahib��for the East Indians could never separate the ideas of the East India Company and England itself��there had been a great revolution, and the English driven out. This, as might be expected, wonderfully elated the native chiefs, and especially those in the south. There the French of Pondicherry and Chandernagore boasted of the destruction of the British power, and that it was by their own hands. Hastings, who was as able and far-seeing as he was unprincipled in carrying out his plans for the maintenance of the British dominion in India, immediately set himself to counteract the mischievous effects of these diligently-disseminated rumours, and of the cabals which the French excited. These were most to be feared amongst the vast and martial family of the Mahrattas. The Mahrattas had risen on the ruins of the great Mogul empire. They now extended their tribes over a vast space of India from Mysore to the Ganges. The Peishwa, as head of these nations, held his residence at Poonah. Besides his, there were the great houses of Holkar and Scindia; the Guicowar, who ruled in Guzerat; the Bonslah, or Rajah of Berar, a descendant of Sivaji. The Mahrattas were, for the most part, a rude, warlike race, rapacious and ambitious, and living in the most primitive style. To destroy the confidence of these fierce warriors in the French, Hastings gave immediate orders, on receiving the news of the proclamation of war in Europe, for the seizure of the French settlements. This was on the 7th of July, 1778; on the 10th he had taken Chandernagore, and ordered Sir Hector[329] Munro to invest Pondicherry. That was soon accomplished, and the only remaining possession of France, the small one of Mah��, on the coast of Malabar, was seized the next spring.Pitt hastened up to town, and was graciously received by the king, who told him that he left the choice of his colleagues entirely to himself. Pitt, as twice before, immediately proposed that his brother-in-law, Lord Temple, should be placed at the head of the Treasury. Temple was summoned from Stowe, but was as haughty and unmanageable as ever. He demanded that all the old Ministers should be dismissed, that Lord Lyttelton should have the Privy Seal, Lord Gower be Secretary of State, etc. Pitt could not accede to these terms. This time he did not throw up the offer of the Premiership to oblige his wrong-headed brother-in-law, who had the overweening idea that he was as great a man as Pitt himself. He stood firm, and, after a long interview at North End, Hampstead, where Pitt had taken a house for the time, Temple set off to Stowe again in high dudgeon, declaring that Pitt had thrown off the mask, and never meant to accept his co-operation at all. Lord Camden advised Pitt to stand fast, throw off the Grenvilles, and save the nation without them. He acted on the advice.