ONE:But whilst these conflicts were taking place, the Revolution was marching on at full speed, and had reached its heightthe Declaration of Independence. The Continental Congress, on the 15th of May, passed a resolution that it was necessary for such of the States as had not framed for themselves such constitutions as were required by the altered circumstances of the country, to forthwith frame such as should be conducive to their safety and welfare. This was published in all the newspapers, accompanied by a statement that, as the King of England, in concurrence with his Parliament, had excluded the people of those colonies from his protection, it became indispensable to abolish the constitution established by that power, and frame one for themselves. Here was a plain declaration; there was no longer any mistake.
FORE:The winter of 1836-7 was marked by great commercial activity, and a strong tendency to over-trading, chiefly on the part of the banks. The result was a reaction, and considerable monetary embarrassment. In the reckless spirit of enterprise which led to these consequences, the American houses took the lead. The American speculators indulged an inordinate thirst for gain by land jobs, and over-trading in British produce. The most remarkable examples of this were afforded by three great American houses in London, called "the three W.'s." From an account of these firms, published in June, 1837, it appeared that the amount of bills payable by them from June to December, was as follows: Wilson and Co.,[411] 936,300; Wigan and Co., 674,700; Wildes and Co., 505,000; total acceptances, 2,116,000. This was upwards of one-sixth of the aggregate circulation of the private and joint-stock banks of England and Wales, and about one-eighth of the average circulation of the Bank of England. The shipments to America by Wigan and Co. amounted to 1,118,900. The number of joint-stock banks that started into existence at this time was remarkable. From 1825 to 1833 only thirty joint-stock banks had been established. In that year the Charter of the Bank of England being renewed, without many of the exclusive privileges it formerly enjoyed, and the spirit of commercial enterprise being active, joint-stock banks began to increase rapidly. There was an average of ten new companies annually, till 1836, when forty-five of these establishments came into existence in the course of ten months. In Ireland there were ten started in the course of two years. The consequence of this greatly increased banking accommodation produced a wild spirit of commercial adventure, which collapsed first in America, where the monetary confusion was unexampledbankers, importers, merchants, traders, and the Government having been all flung into a chaos of bankruptcy and insolvency. This state of things in America had an immediate effect in England. Discounts were abruptly refused to the largest and hitherto most respectable houses of Liverpool and London. Trade, in consequence, became paralysed; prices suddenly dropped from thirty to forty per cent.; and the numerous share bubblesthe railway projects, the insurance companies, the distillery companies, the cemetery companies, the sperm oil, the cotton twist, zoological gardens, and other speculationswhich had floated on the pecuniary tide, all suddenly collapsed, and there was an end to the career of unprincipled adventurers. It is satisfactory, however, to observe that the sound commerce of the country soon recovered the shock thus given; and in less than two years the pecuniary difficulties had passed away. Commerce had resumed its wonted activity, and flowed steadily in legitimate channels. The American banks resumed payment, and the three great American houses, which had involved themselves to such an enormous extent, were enabled to meet all their liabilities.
FORE:The Spaniards had at length made Lord Wellington Commander-in-Chief of the Spanish armies,[56] but this appointment was little more than nominal, for the Spanish generals continued as froward and insubordinate as ever; and the Spanish Government was poorer than ever, its remittances from the South American colonies, which were asserting their independence, being stopped. Wellington's dependence, therefore, continued to rest on his army of British and Portuguesesixty-three thousand infantry and six thousand cavalry.
FORE:At the very time that Washington was flying before the British army, Congress, putting a firm face on the matter, went on legislating as boldly as ever. It established Articles of Confederation and perpetual union between the several States. These Articles were a supplement to and extension of the Declaration of Independence, and were sixteen in number:1st. That the thirteen States thus confederating should take the title of the United States. 2nd. That each and all were engaged in a reciprocal treaty of alliance and friendship for their common defence, and for their general advantage; obliging themselves to assist each other against all violence that might threaten all or any of them on account of religion, sovereignty, commerce, or under any other pretext whatever. 3rd. That each State reserved to itself alone the exclusive right of regulating its internal government. 4th. That no State in particular should either send or receive embassies, begin any negotiations, contract any engagements, form any alliances, or conclude any treaties with any king, prince, or power whatsoever, without the consent of the United States assembled in Congress; that no person invested with any post in the United States should be allowed to accept any presents, emoluments, office, or title, from any king, prince, or foreign Power; and that neither the General Congress, nor any State in particular, should ever confer any title of nobility. 5th. That none of the said States should have power to form alliances, or confederations, even amongst themselves, without the consent of the General Congress. 6th. That no State should lay on any imposts, or establish any duties, which might affect treaties to be hereafter concluded by Congress with foreign Powers. 7th. That no State in particular should keep up ships of war, or land troops beyond the amount regulated by Congress. 8th. That when any of the States raised troops for the common defence, the officers of the rank of colonel and under should be appointed by the legislature of the State, and the superior officers by Congress. 9th. That all the expenses of the war, etc., should be paid out of a common treasury. Other clauses defined the functions and powers of Congress, and the 14th offered to Canada admission to all the privileges of the other States, should she desire it; but no other colony was to be admitted without the formal consent of nine of the States composing the union.The remnant of the Mahratta army fled northwards, pursued and continually reduced by the British. At the same time the reduction of the towns and forts was steadily going on, and every day the fugitive Peishwa became more and more involved in the toils of his enemies. He endeavoured to escape into Nagpore, but on the banks of the Wurda he was met, on the 1st of April, by Colonel Scott and driven back, only to fall into the hands of Colonel Adams, who attacked him near Soonee with only one regiment of native cavalry and some horse artillery, and gave him a thorough defeat, taking five guns, three elephants, and two hundred camels. More than a thousand Mahrattas fell, and the Peishwa himself narrowly escaped, his palanquin, which he had abandoned, being found shot through. Bajee Rao now endeavoured to get to the north-east into Malwa, but he was stopped by General Sir Thomas Hislop, who was advancing from that quarter towards the Deccan. At length, his forces dispersed, his towns in possession of the British, his way on all sides cut off, the Peishwa came in and surrendered himself to Sir John Malcolm, on the 3rd of June, 1818, on promise of good treatment. Sir John granted him eight lacs of rupees per annum, on condition that he resigned the title of Peishwa for ever, and surrendered all his possessions. This was confirmed by the Supreme Government at Calcutta. Thus was the existence of the Pindarrees, and the power of the Mahrattas, broken up, and the Rajah of Satara restored. He was a minor, but on reaching the age of twenty-one, which was in the year 1821, he was invested with the government of his dominions. These included a district of about eleven thousand square miles, and produced a net revenue of fifteen million rupees. Out of this, however, three lacs per annum were reserved for chiefs who had become subjects of the Company, and three more lacs were alienated. As for Trimbukjee, whose crimes and murders had determined the British to secure him at any cost, he was discovered, after a long quest, in the neighbourhood of Nassick, by Captain Swanston, and carried to Tannah, the prison from which he had escaped. He was thence transferred to Calcutta, and finally to the rock of Chunar, near Benares. The last success of this war was the reduction of the fortress of Aseerghur, one of the most formidable strongholds in India, which had undergone some most arduous sieges.
