The Yazoo Democrat., 1853-03-23

cnartcT, SuOu1u give bulS communities
ton an insertion.
EDITORS OF THE DEMocRAT.
GeRtlemen In the excitement occasioned by
the recent decision of the Chancellor upon the
validity of the Union Bank Bonds, an attack has
been made upon the legality of the sale and
while the g intention of the commissioners who
negotiated the sale is admitted to have been
"pure," conclusions put forward, which if
legitimate and true, would shew them to have
been so grossly ignorant of the business they un-
dertook, as Justly to expose them to the deri-
sion of the world. They do not consent to plead
guilty BY their silence to so grave accusation ::
and although one of the commissioners no long
er lives, and another has removed from the State
the duty is not on that account the less imper-
ative upon the only one who remains, to defend
If he can, the conduct of all. 1t is due to the
State. it is due TO those who invested them with
the authority they exercised, and 1t is certainly
due TO their own character, and self respect, that
this attempt SHOULD be made. The remarks
which purpose to submit, hope will be char
acterised by courtesy and moderation, but l also
indulge the hope that they VIII be conclusive
upon the question with all unprejudiced minds.
1t is first objected that BY the terms of the sale
fs the bonds instead of being made payable in
current money of the United States are made
payable in sterling money of Great Britain, at
the rate of four shlings and sixpence to :he dol
ling money of Great Britain; but is not the
British pound sterling current money of the Uni
ted States Is not that money g current" which
Congress has declared shall be received for Gus
toms, received for lands, and lawful tender in
payment of debts? Congress has power by the
Constitution to regulate the value of foreign
coin" 1t has exercised this power in numerous
instanceS-eSpeclally as respects the pound SteT-
ling-as the statute books abundantly attest; be-
ginning with the act of 1890 and ending with
that of 1913. And is not money which we know
to be current in point OF fact, and which Con- |
gress has declared lawful tender for all debts, |
current money of the United States? Perhaps
gentlemen do not distinguish between COIN OF
the United States and current money ct the Uni
ted States. Nothing is coin of the United Sic ties
which does not bear the stamp and supcrscrip- +
tIon OF the United States mint, but any coin OF
the precious metals is current money in the
States which Congress declares to be SO. The
nation IN this way adopts the foreign coin as its
own stamps it so to saw with the sanction of its
law, and thus makes it as much current monev
OF the United States, as that which bears its ca
gle and It's motto, It's image and superscription.
So we see that the bonds really are still PAYABLE
in current money of the United States and that
the charter of the bank is not in this respect in
Irlnged. Nor are the commissioners at all CEN
surable for the change. They had authority by
the very letter of the charter TO sell in foreign
market. Not being able to sell the bonds at
n
talists. There is place of payment fixed by the
charter. The power to sell abroad clearly i'm
plies the power to fix the place of payment abroad
andit was fixed at London. No infIaction of
the charter still so far. But it is said that owing
to this change. an imHese sum of money was lost
to the bank, and an arlthmetical calculation of
Governor McNutt is adduced in proof of this
statement. agree that if dollar was lost, the
commissioners are to blame, but let us enquire
into this little. II cannot make the matter any
worse, and may disabuse some well intentioned
people of some rather crude ideas they may per-
haps entertain upon the subject of finance.
Those bonds, by this change that is so much
complained of, are each one OF them-by endorse
ment on the back-reduced To, or made to call
for four hundred and fifty pounds sterling, pay
able In Londen. And the rate at which the ex-
change is TO be made of the American for Brit
ish coin is fired ; and fixed at four shilings and
six pence to the American dollar. Now put this
simple question:. Does it take at the rate fixed !
by the commissioners more American coin to
pay pound stering in London, than in any part
of the United States or not? II it does, the
commissioners have, by just SO much wronged
and injured the Bank and the State. It requires
four dollars and elghty-six cents TO pay pound
sterling ia the United States, because the Legis-
lature has SO declared. The act of 1884 (Which
was in force when taae bonds were sold) declares
g the gold coin of Great Britain receivable in
payment Of all debts and demands, at the rate of
"a $40 of cent per penny weight, provided
such coin be not less than % carrats fine." The
sovereign then in circulation was of the fneness
of % carrats- (See McCulloch's Commercial
Dictionary. vol. l, page 383.) The sovereign is
the British coin that represents the pound ster-
ling There are f23. 374 grains Of standard
gold in the English twenty shilling piece or
pound sterling, which reduced TO penny weights,
settles the value OF the pound sterling in the
United States at "a Sc cents. The act of I843
passed since the bonds were sold. declares. that
the gold coins of Great Britain shall pass cur |
rent as money within the United States at ga s.
10 of cent per penny weight, provided they
are not less than 9l53-l0OO in fneness. This
is just the fneness OF the Victoria Sovereign ac-
cording to the last assay had at the United States
mint, which fixes its value here at four dollars
eighty-six cents. By the estimate of It's value
as fixed by Congress when the bonds were sold
and as fixed by It now, ii would require "a 96 I,
cents to pay here debt ofa pound sterling How Il