Southern standard. [volume] (Columbus, Miss.) 1851-1856, 1853-04-09
From Ms Yazoo Democrat.
EDrroRs OF THE DEMOCRAT.

validity of the Union Bank Bonds, an attack has /
been made upon the legality OF the SAKE; and while /
the ''intenton of the comm. ssioners who negotia
ted the sale is admitted to have been pure" con
illusions are put foI ward, which if legitimate and
true, would shew them to have been so grossly
ignorant of the business they undertook, as Justly
to expose them to the derison OF the world They |
do not consent to plead guilty by their silence to
so grave an accusation: and although one of the
commissioners no longer lives, and another h IS
removed from the State, the duty is not on that
account the less imperative upon the only one who
remains, to defend if lie can, the conduct of all
1t is due to the State it is due to those who in
vested them with the authority they exercised,
and it is certainly due to their character and
self respect, that this attempt should be made
The remarks which purpose to submit, hope
will be characterised by courtesy and moderation,
but also indulge the hope that they will be- con-
elusive upon the question with all unpreudced
minds.
1t is first objected that by the terms of the sale
'the bonds, instead of being made payable in cur
rent money of the United States, are made pay
able in sterling money of Great Britain, at the
rate of four shlngs and sixpence to the dollar
Yes the bonds are made payable in sterlin; money
of Great Britain; but is not the British pound
sterling current money of the United States ? Is
net that money ''cufrent' which Congress has de-
cared shall be received for CUSTOMS received for
lands, and lawful tender in payment OF debts
Congress has power by the Constitution TO ''regu-
hate the value Of foreign coin:' 1t has exercised
this power in numerous instances-especialiy
respects the pound sterling-as the statute books
abundantIy attest; beginning with the act of 1890
and ending with that OF l843 And is not money
which we know to be current in point of fact, and
which Congress has declared IA lawful tender for
all debts, current money of the United States p
Perhaps gentlemen do not distinguish between
cOih OF the United States and current money OF the
United States. Nothing is coin of the Uni>ed
States which does not bear the stamp and super
scripLion of the United States mint, but any coin
of the precious metals is current money in the
States which Congress declares to be The
nation in this way adopts the foreign coin as its
own, stamps if 50 to say, with the sanction OF its
law, and thus makes it lis much current money OF
the United States, that which bears its Gag le
and lis motto, It's image and super>cnp!lun. So
we see that the bonds really are still payable ID
current money vi The United States aid ,hat The
charter OF The bank is not III this rcSpec, nirnyed.
Nor are the commissioners AT all censurable tur The
change. They had authority by The very Ie,ler
OF The charter to sell in foreign market. Not be
ing able TO sell the bonds at home, they sold them
to agents of English capitalists. There Is no Lloce
OF payment fixed by the charter. The power to
sell abroad clearly implies the power 10 Tx The
place of payment abroad, and it fixed at Lon
don. No iniracton of The charter still SO far
: But it is said that owing to this change, an I'M
: mense sum of money lost to the bank, and
o all arhmetical calculation of Governor McNutt is
adduced in proof of this statement. l agree that
= if dollar was lost, the commissioners are to
: blame, but let enquire into this a little. IL
! cannot make the matter any worse, and may dis
abuse some well mentioned people of some rather
crude ideas they may perhaps entertain upon the
subject of finance.
Those bonds, by this change that is so mucf
: complained of, are each one OF Lhem-by endorse
i menL ON TIE back-reduced to, made to cal
for. four hundred and fifty pounds sterling, pay
able i'm London. And the rate at which the
change is to be made of the American Tor Br,si
coin is fred; and fixed at four shllhngs and 81!
: pence TO the Anne rican dollar. Now L put Thu
y simple question. Does it take at the rate fixed 10y
! the commissioners more American CON to pay
- pound sterling in London, than i'll ANY part OF III
j. United STATE or not? If it does, the commission
ers have, by just much, wrongtd and injured
the Bank and the State. 1t requires four dollar
and eightysix cents to pay pound sterling in tn
: United States because the Legislature has so de
clared The act of 1884 (Which was in fore
when the bonds were sod) declares "the gol
coin of Great Britain receivable in payment ot a
L debts and demands, at the rate OF 81 $40 OF
cent per penny weight, provided such coin be nc
v circulation was of the tineness OF 22 cara
10 See McCuloch's Commercial Dictionary, VOL
= page $685.. The sovereign is the British coin thu
~ represents the pound sterling. There are IL;
374 grains of standard gold in the English twenl
es shilling piece or pound sterling, which reduced |
penny weights, settles the value OF the pOun
sterling in the United States at IA 86 cents III
act of l843 passed since the bonds were sold, d.
clares, that the gold coins of Great Britain sha
>, pass current as money within the United Stat'
,r at 81 $40 of cent per penny weight, provide
they are not less than 9lo4 loco IN hneness.-
cir This is Just the fneneSs of the Victoria Sovereg
ry according the last assay bad at the Unit Stat
ao- mint, which fixes its value here at four doila
IN eighty six cents. By the estimate of lis value
fixed by Congress when the bonds We're sold, al
10 as fixed by il now, it would require ID 66 cen
-. to pay here a debt of a pound sterling. He
es much does it require i'll dollars and cents ray
/, debt of pound sterling in LundOn-reckonng Il
: dollar according TO he rate fixed by the contra
of sale 1t would require s4 44-lU0 and tou
. ninths Making an apparent gain by paying
=. London OF Al cnts ara 5-9,h vi a cent III eve
{ pound. That this calculation cannot be far won
the may easily be made manifest 10 the most Inexp,
en- capacity. Four shillings sx-pence is fixed oy !
OF sale as the value OF the dollar. IL would requ
=. = then only "a 30 to pay 90 shllilnSs and Tia,
~, pence-whch is three pence over the number
HE shiilings in the pound. Four dollars aud ii b
the then, viii over pay the pound and iour doll;
forty tour cents aud 9Th OF a cent will just p
it, provided the payment is made upon the ter
:, and at the place liked by the contract of sale.
'ulo Whereas in the United States, it would requ
Fate I'd 86 cents In nav IL maxine AS | have SAID