The ruling in the case of
McCullough v. Maryland (1819) was based on the "necessary and proper"
clause of Article I, Section 8 of the Constitution of the United States.
After
enumerating a number of the powers of Congress, including borrowing money,
coining money, regulating commerce, etc, Section 8 of Article I closes with by
saying Congress shall have power "to make all Laws which shall be
necessary and proper for carrying into Execution the foregoing Powers, and all
other Powers vested by this Constitution in the Government of the United
States, or in any Department or Officer thereof."
Alexander Hamilton had referenced the same
constitutional clause when, as Secretary of the Treasury, he sought to
establish the First Bank of the United States in 1791. A national bank was not
strictly listed as something Congress could establish, but there was nothing in
the Constitution to prohibit it. And the "necessary and proper"
clause gave leeway to create such an institution. The First Bank of the United
States existed from 1791 till 1811, when its charter expired and was not
renewed by Congress. The Second Bank of the United States also existed for a
20-year charter period, from 1816 to 1846.
