Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1843-10-20
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u,RLaSIfRY NnTI &

TREASURY NOTES.
The Richmond Enquirer has some comments on the
subject of rumot winch it takes from Wing paper
respecting a supposed contemplated Of Treasury
notes il quotes from paper Of The true Benton stamp
of lis stale repetl,lons of the old party slang
about Government paper. IL treats MIR. Jefersons
very delbera,e-yery carefully and repeatedly express
ed opinions as 'supguarded, and entitled TO cons-
deration. IL is wonderful with what facility tie au
horty of the great apostle Of Democracy be quoted
one day. and dsTlded the next, by his protessed dsc
pies
A.we understand, the act of Congress oc March ,,
ls43 PROV des that when any OF the Treasury notes
then outstanding sai! be redeemed, al any time before
the Ist Of July 1914, the Secretary of the Treasury
"may cause other to the Sane amount TO be IS
sued, in place oi such may be redeemed under the
limitations and other provisions OF the respective acts
by which sad originally authorised and is
sued" The limitations under winch the outstanding
notes we're issued are, that they should not be OF
denomination less than fifty dollars, and should bear
interest a rate not exceeding SIX per cent On the
Sd March, lsi3 there were outstanding Treasury notes
to the amount of nearly twelve millions OF dollars
Pursuant the authority gwen by another section OF
the OF lSi3, loan OF seven millions oil dollars
was obtained at five per cent. and small premium,
with which thu same oil Treasury notes, hear
NO six per cent interest, have been or Will be redeem
ed AS the remaining five millions Of notes bear IN
erest Of six per cent, 1t very desirable 10 call
tem in that the country might, as soon as practicable,
have the benefit Of the present reduced value OF mo-
ncy Accordingly, notice has been given, by which
interest ceased on nearly half of the
the 3Ist August last, and will cease on the whole
amount as the re pecve issues become due.
But, as "the wants of the public service, in the
language Of the act of Congress, require, from time
lme the issue of notes. 10 supply the place of those
thus redeemed, the inquiry became necessary, what
denominations would BE- most convenient for the pub
lie service and what of interest could be adopted
which would the most 10 the country and yet not
obtruct the receipt of the notes by the public credtos
For some years, the Government has been exposed
great hazard delay and expense III the transportation
Of spece to the points Of the Union where
disbursements are made AL! these could be obva,cd
by the employment oil Treasury notes, OF low demo-
minaon, which could be RENTED, with perfect safety
by the ordinary means, 10 the disbursng agents. In
fact, applications tor such notes by those agents have
been frequent, Accordingly, it has been determined
tor the present, them Of the denomination Of
fifty dollars.
|, was matter Of some Importance, TO The in.
terest upon five millions OF dollars MIR. Woodbury.,
while Secretary, had issued notes, bearing two
mills interest, and Others two pr cent They
I'd the main purpose OF facilitating the operations OF
The Treasury; but, the then condition Of the money
market the rate Of ,nteTes. not sufficient TO pre-
vent the notes being immediately returned, and their
place supplied by those bearing h;sber rate.
1t is supposed, that the present Ambulance Of money
will Justify the oi notes al mere nominal interest,
especially If convertible INTO coin, at the pleasure OF
the holder With this view the notes will be purchased
IT,
New York, under the authority gwen by the act of
1887 and will be exchanged at other repositories and
at the land Offices, and custom houses, for coin.
Thus, it anticipated, that economy, responsibility
and convenience in the disbursement, of the public
moneys will b. promoted, while handsome saving of
interest w'li be effected.
THIS is plan nj of a very simple operation
There is no loanlng OF money credit by the Govern
ment to any one, discounts, no drafts by fiscal
agents, dep"ses; nothing but the ordinary payments
~ g
penses Of the Government I" the extent of perhaps
fourth of their amount, in the mode po.erfuy
urged by Mr.. Jeifsrs"n.
Il is no man 5 project. Il is provided by Congress
By series of laws l-31. The discretion gwen
by these laws intended 10 enable The Treasury
issue the notes the form and manner best adapted
ex sting circumstances Us they might arise
Now, We have unable TO either the unau.
thorzsd assumption charged, by SUCH description Of
Treasury notes, any danger 10 from them
That full authority gwen by ac's of Congress, has
not eeen and cannot be denied. Mr.. Richie admits
The constitutional power "to loans By means Of
Treasury notes. lncerd, no one has yet denied IT,
These notes continuance OF the locn made when
Tie original notes issued. These however IN
effect, borrow from the people at large-,hose went
INTO The hands Of moneyed institutions, where they
were boarded Mr. R,tci,s, however, denies ''lhe
right of issuing them such form to be intended
and calculated TO answer the purposes Of circulating
me d,um." Why noi' If the right exists to issue
them at ALL wba, provision Of the Constitution foblds
their beng such form will the purpose of
"c'rcuating medium for the Government Who
has the authority 10 restrict the exercise Of general
power to any peculiar form and mode;
Must the Government pay heavy interest on lis
loans order to prevent the evidences Gifts indebted
ness becoming "circula,ng medium" by thus offering
an indictment 10 hoard ,hem' 1t doubted, whethe-
such course would b. recommended by any but ba, k
directors and stock holders - whom such notes afford
convene Mt means Of temporary Investment
The truth is, that form be devised which is
not calculated to render Treasury notes circulating
medium, except heavy rate Of interest. Those here
tofore issued have long constituted and still constitute
considerable portion Of the circulating medium of the
country. There at least two millions Of dollars Of
notes. upon which all interest hes ceased row actually
outstanding and in circulation and Notwithstanding
the official notices inviting their return, they kept
and constantly used Tor the purpose Of reml,tance
According to Mr. Richie, these notes not warrant
ed by the Constitution, because they were calculated
% be, and have actually become circulating MEDIUM
He must deny totally and absolutely the power to sus
them, he admit that they may assume just such
form convenience and economy in The public expen
dtures require.
AS to any danger from such IN issue, the Eastern
paper, from which the chmond Ecquirer quotes, and
whose sentiments it endorses, admits in terms, that
there can be none "that the is too insign at u
produce any terrible effects but it fears more sex