ONE:The year 1797 was opened by the suspension of cash payments. The Bank of England had repeatedly represented to Pitt, as Chancellor of the Exchequer, that his enormous demands upon it for specie, as well as paper money, had nearly exhausted its coffers and could not long be continued. The payment of our armies abroad, and the advances to foreign kings, were necessarily made[455] in cash. The Government, in spite of enormous taxation, had already overdrawn its account eleven million six hundred and sixty-eight thousand eight hundred pounds, and the sole balance in the hands of the Bank was reduced to three million eight hundred and twenty-six thousand eight hundred and ninety pounds. Pitt was demanding a fresh loan for Ireland, when a message came from the Bank to say that, in existing circumstances, it could not be complied with. Thus suddenly pulled up, the Privy Council was summoned, and it was concluded to issue an order for stopping all further issue of cash, except to the Government, and except one hundred thousand pounds for the accommodation of private bankers and traders. Paper money was made a legal tender to all other parties, and the Bank was empowered to issue small notes for the accommodation of the public instead of guineas. A Bill was passed for the purpose, and that it might not be considered more than a temporary measure, it was made operative only till June; but it was renewed from time to time by fresh Acts of Parliament. The system was not abolished again till 1819, when Sir Robert Peel brought in his Bill for the resumption of cash payments, and during the whole of that time the depreciation of paper money was comparatively slight.
TWO:"Now, Mr. Brewster," said Landor, going to the safe and resting his elbow upon it, and leaning forward in his earnestness, "I am going to tell you what you are to do. It would be better for the service and for all concerned if you do it quietly. I think you will agree with me, that any scandal is to be avoided. Come to the opening of the bids to-morrow, at noon, quite as though nothing of this disgraceful sort had happened. I will keep the keys until then. But by retreat to-morrow evening I want your resignation from the service in the hands of the adjutant. If it is not, I shall prefer charges against you the next morning. But I hardly think you will deem it advisable to stand a court-martial." He stopped and stood erect again.CHAPTER VI. PROGRESS OF THE NATION FROM THE REVOLUTION TO 1760.
ONE:"I heard you," said the little man; "what's the other?""Oh, I dare say I'll fail on that," he answered indifferently, and taking up his sombrero went out to saddle his horse.Whilst Clive had been reducing our enemies in Bengal and Oude, a more powerful antagonist than any whom we had yet encountered in India was every day growing more formidable in Mysore, and combining several of the petty chiefs of the different States of Madras as his allies against us. He was now far more considerable than when he had appeared against us as the ally of the French general, Lally, in the neighbourhood of Pondicherry. Hyder Ali was a self-made man. He was originally the grandson of a wandering fakir; then the captain of banditti; then at the head of an army composed of freebooters; continually growing in the number of his followers, and in the wealth procured by plunder, he at length became Commander-in-Chief of the Rajah of Mysore. Soon rising in his ambition, he seized the Rajah, his master, pensioned him off with three lacs of rupees, and declared himself the real Rajah. In 1761 he was become firmly established on the throne of Mysore, but this distinction did not satisfy him. He determined to be the founder of Mysore as a great kingdom, and extended his power to near the banks of the Kistnah. There he was met and repulsed by the Peishwa of the Mahrattas, who crossed the Kistnah, defeated him repeatedly, seized some of his newly-acquired territory, and levied on him thirty-two lacs of rupees. Hyder returned to Seringapatam, which he had made his capital, and had strongly fortified, and he thence conducted an expedition against Malabar, which he conquered, and put the chiefs to death to make his hold of it the more secure. It is unnecessary to go minutely into the history of the next few years. Hyder organised an army of 100,000 men, officered by Frenchmen, and sometimes in confederation with the Nizam of the Deccan, sometimes in conjunction with the Mahrattas of the Western Ghauts, waged perpetual war on the English. In 1769 Indian Stock fell sixty per cent. The resources of the Company were fast becoming exhausted, when Hyder Ali, by an artful feint, drew the English army, in the spring of 1769, a hundred and forty miles to the south of Madras. Then, by a rapid march, he suddenly appeared, with a body of five thousand horse, on the heights of St. Thomas, overlooking Madras. The whole of the city and vicinity, except the port of St. George itself, lay at his mercy. The terrified Council, in all haste, offered most advantageous terms of peace, which it was the very object of Hyder to accept, and that, too, before the English commander,[321] Colonel Smith, could arrive and intercept his retreat. Hyder gladly consented to the terms, which were those of mutual restitution, and of alliance and mutual defence: the last, a condition which, with Hyder's disposition to aggrandisement, was sure to bring the English into fresh trouble.
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TWO:Now you had better go and get that life preserver, and well cut it open, suggested Mr. Everdail. I guess its safe enough hidden in the tail of Jeffs plane He was baiting their trap. Dont look so surprised, Jeffthat was what caused your hoodooed crate to go out of controlbut we dont suspect you of putting it there!
