Holmes County Republican. [volume] (Millersburg, Holmes County, Ohio) 1856-1865, 1858-01-14

currency entirely of coin will be 500
adopted in the country, l expressed m
own opinion in favor of a currency of col
for ordinary transactions, and of larg
notes for the convenience of commerce, ant
at the same time urged the necessity o
the most stringent legislative guards agains
suspension of specie payments, and agains
a mere paper money system.
Subsequent reflection and observation
have confirmed me in these views.
| A leading object i'll all regulation ofcur
rency should be to secure the interests o
the masses of the people, by such provis
ions as will ensure to labor just compen
sation in actual value. This cannot be eff
fected while the laborer is paid paper, sub
iect to continual fuctuation, and exposed
to all the hazards of financial disorder.
Whatever can be constitutionally effec
ted by State legislature, towards the ex
clusion of the smaller denominations o.
notes for circulation, and the substitution
Of coin in their place, should be earnestly
attempted. The quantity of coin in the
country is now so great, and so steadily in
creasing. that no injury and almost no in
convenience could arise to any interest from
judicious legislation for this object. On
the contrary, it seems to me certain that
the increased circulation of coin which will
thus be secured, cannot fail to result in
most substantial benefits to all interests,
by additional securities against ffuctuation
and revulsion. These benefits seem to me
so obvious that L should hope for the as
sent of the banks themselves to the legis-
lation necessary to secure them.
The existance of this decision already re-
ferred to, the uncertainty of obtaining the
assent of the banks 10 the necessary legis-
lation, the fact that we are surrounded BY
States whose banks issue such notes, and
the practical difficulty of excluding the
notes of these banks from circulation in
Ohio, created the apprehension have here
tofore expressed, that comparatively little
can be accomplished in the direction of the
proposed reform by State legislation. These
apprehensions yet remain. The efectual
remedy is with the Federal Government.
Looking at the manifest intent of the Con-
stitution to protect the people from the
evils of paper currency, as well as to the
specific powers granted TO Congress, l can
not doubt the power of the National Leg
islature to prohibit the circulation as mon
ey of any substitutes for coin. Nor can l
doubt that the exercise of that power by
the gradual prohibition of notes of the
smaller denominations, under twenty dol
lars, would be wise and salutary. The de-
nial of this power virtually submits the
regulation of commerce in its most impor-
tant instrdmentality to the variable and
conflicting politics of thirty-one States, and
defeats one of the main purposes of the
Constitution.
Entertaining these views, l have observ-
ed with regret the recent declaration of the
Chief Magistrate of the United States,
that 'the Federal Government cannot do
much to provide against the recurrence of
existing evils" and that "we must mainly
rely on the patriotism and wisdom of the
States for their prevention and redress. p
Such declarations, especially when accom-
panied with recommendation of the is
sue by the General Government of large
addition to the mass of paper currency in
the form of treasury notes, are calculated
to frustrate the hopes of reform which
might be otherwise reasonbly entertained.
While l do not doubt chat the General
Assembly will do whatever may be with
in its constitutional power towards the OBJ
ject proposed, l respectfully submit that
its whole duty will not be performed until
this matter be commended to our Senators
and Representatives in Congress by appro-
pirate resolutions.
An act to incorporate new banks having
been twice submitted to the people in DIFF
ferent forms, and having twice failed re-
ceiving the popular sanction, it may now
be properly considered as settled that the
majority of the electors do not desire the
further creation of institutions of the char
acter proposed. l see no reason, indeed,
especially if small notes be once excluded
from circulation, why the business of bank
ing may not be safely left as open and free
to all who desire to engage in it, as any
other kind of business, care being taken
that ample securities be given in bonds of
the State or the United States, and BY the
provision of an adequate specie fund, for
the prompt redemption of all notes in coin.
Bank notes circulating as money are debts
due to the community at large, payable
on demand, and it is the duty of the State,
representing the community, to see that
these debts are perfectly secured. Sach
securities are indispensable; and l respect
fully submit to your better judgment,
whether the experience of the last few
years does not suggest the expediency of
requiring similar securities, or at least of
providing efficient guards of some kind, in
suring punctual payment of deposits for
safe keeping.
The condition of the State Treasury re-
qtires prompt attention.
On the 10th of June last William H.
Gibson, the then Treasurer of State, disclos-
ed to the State Auditor the existance of
deficit in the State Treasury to the amount
as he stated, of about 1851 200, occasion
ed, as he alleged, by the defalcation of
John G. Breslin, his immediate predeces-
sor. At the earliest practicable moment
this information was communicated to me.
Up to this time l had not entertained
the least suspicion that Mr.. Breslin had
failed to pay over to his successor the
whole amount of public money which had
come to his hand, except the sums report
ed by him rs deposited with failed Banks
and Bankers, or retained by him under
Il c. Tt1,o uo,ooxol Joo1.