I have had the honor to receive your letter of the 14th Instant, informing me that a draft drawn some weeks since, for the interest due on the 1st of July last on $250.000 in Tennessee state Bonds, held by the Government of the United States , in trust for the Cherokee Indians had been [unclear: protested ] at the Girard Bank in Philadelphia , with the reason assigned that nothing but current Philadelphia funds would be paid for it, and requesting that such instructions may be given to the agent of the state, as will ensure the prompt payment of the amount in question ($6.250), as well as the interest to fall due subsequently. The Union Bank of Tennessee has heretofore acted as the agent of the state in making the payment of the semi-annual interest on these Bonds, and has uniformly made provision for its payment at the Girard Bank in Philadelphia, as it fell due

that being the plan stipulated for the payment of the interest, when the Bonds were negotiated. In regard to the interest due on the 1st of July last ($6.250)__ the President of the Union Bank informs me, that as the agent of the State, that Bank in the latter part of June, deposited the amount due on the first of July in the Girard Bank in Philadelphia to the credit of the "Commissioner of Indian affairs" and that the Secretary of the Treasury was advised of the fact by the Union Bank, under date of the 2nd of July last. The President of the Union Bank insists, that the Bank has discharged her duty, by making the deposit in species at the Girard Bank, to meet the payment which fell due on the 1st of July, and that the loss or inconvenience which may be suffered, by the subsequent suspension of specie payments by the Girard Bank, in October following, should be borne by the holder of the Bonds, who failed to call on the day for the amount due. Without undertaking to decide give an opinion as to the correctness of the [unclear: insuing presented ] by the President of the Union Bank, I am informed by him, that he has addressed you on the subject, and [added: that he] has also addressed the agent of the Bonds at Philadelphia [added: with a view to make a proper arrangement [unclear: [unclear] ]] and I have [unclear: every reason ] to believe, from what what he informs me, that the payment will be made at an early [added: day]_ Should the arrangement made by the Union Bank close alluded to fail to accomplish the object I will together If it should not be paid by the Bank upon being infor

formed of the fact by you I will take such measures as my[unclear: and that the credit of the state shall by war ] given to be proper with a view to ensure its payment and [unclear: possitretity suffer en that such am using are ] preserve the credit of the state The interest on there [unclear: taken as shall mean the payment of the money ] Bonds, which shall hereafter fall due, will be [unclear: presently ] at are early day. paid in specie.

I Have the Hon [Honor] to be
Very Respectfully
your obt svt [obedient servant]

James K Polk.

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[added: copy
Letter to
J.R. Poinsett
Secretary of War
Novr 26th 39]