The Ottawa free trader. [volume] (Ottawa, Ill.) 1843-1916, 1861-05-11
The Currency War in Chicag GO.

tryare deeply interested, the oc''nioii I"'i'
for something more on the subject. 1t is
we'll that our people should understand 1t
fully that they may be prepared to stand
from under when the crash comes.
The state of the case, as We understand
it. is about this. There are some % or 80
Banks Of this state whose circulation Is
mostly secured by southern stocks, which !
are now almost worthless in the market
Tp to a month or two ago, before stocks
had fallen to their present low figure, the
bills of most of these banks We're compare
lively well secured. and they were readily
taken in all business transactions. Gradu-
ally, however, as stocks kept falling, the
country became distrustful of this curren-
cy and kept sending it to Chicago, until at
present most of it Ito the amount of say
81 ,10O,000) has accumulated in that city.
Foreseeng this, Durham, of the Mer-
chants Lean and Trust Company, at an
early day, commenced throwing it out,
while the Marine Bark, Tucker & Co,
Carver & Co, and most of the other bank
ers in Chicago, having their Golfers full of
it. refused to do so, their determination
obviously being to get their T. decks clear
of it before dashing it. This they sought
to accomplish by sending it into the coun-
try to buy produce; but Notwithstanding
the large sums sent out in this way, the
money would come back upon them faster
than they could shove It. Thus their cot
fers were still full, until week or two ago,
they found it necessary to take other steps
to aid in giving it credit in the country,
and for this purpose they got up circular
signed by most of the prominent bankers
and business men in Chicago, agreeing to
take this currency, (Which, for the sake of
distinctness, has been felicitously christen-
ed Stump tail, at par " during the war.
The maneuvre, however, promises but IL
mited success The country is distrusttul
as ever and prefer to hold on TO their pro-
duce rather than exchange 1t for stump
tail.
Their distrust is heightened by the
course of the dealers in stump-tail them
selves Protesting rot 10 discriminate, yet
if n grain dealer from Ottawa sells a boat
load of grain to Chicago dealer, he is
paid, say 10 cts buslIel in stump-tail, or
81 cts. in good Illinois currency; or, if he
takes all stump-tail and wants it exchanged
for aprefered' Illinois currency, they viii
charge him from six to eight per cent. We
even know of instances where Ottawa deal
ers have sent off this currency to Chicago
houses on the "stump-tail circular. and
have been allowed but so cts on the dollar
for it They will have n fine time getting UP
confidence in the country by pursuing a
course like this
But the upshot of the matter is this We
have been looking over the list of stump
tail banks aud their securities, and, by :
little figuring find that, ut present prizes
of stocks, their bills are worth rangiu:
from 40 to 60 cts on the dollar-nOne owe
90, the averag being q little over %. Their
are 81, 100000 of this currency in Chicago
on it there must be a loss OF SSjo0N
Who shall loose it Shall it be the veal
thy Chicago bankers, who have been turn
ing it over and over for months and maxim:
more than all they'll loose out of it b,
enormous charges for exchange &c, &c, 0
shall it be the fariners-the produce ra;s
ers of the country?
Put" say the Bankers, the currenc,
is needed Drive it out, and VIC hav
nothing lef, to move our crops" The plea
in lawyer phrase, is bad. 1t is true, W
have in this State at present six million
less Of currency than We had last Decen
Der; but it is also true, that the Easter
States stand ready to furnish Us with a
the currency we need to move our crop:
New York is not only full of good currel
CT, but of gold They want our wheat an
corn, and are ready and willing to pay COL
for it; and if our farmers insis; on takin
tina. and nothing else they will get i
True. they must take cent or two lie:
per bushel; but would it not be better I
take even third less than to swap the
grain for stump tail which may, in thre
months, be as worthless as the old Cont
MENTAL scrip We shall have no GOO
money until we drive this stump tail OF,
and the farmers are the only men that CO
d., it.
Why look here! Exchange on Ne
York sells in Chicago at 10 a Is. per cen
For preferred" Illinois currency you ca
buy it at 4 ); for gold at about ! p
cent. Who loses these 10 per cent? \.
the banker, of course nor the meicilau
for he must make it up by addition
charges On his goods. 1t comes out of t!
produces, Yet many 4 farmer imagine
because ne is getting a cent or two MOI
for his grain in stump tail, and can bu
goods with il at par: he is doing bett
than if he dealt in gold aud silver!
Weconclude, therefore, by commend,
as we did in our last, the determination
our bankers to set their faces against Il
attempt of party in Chicago TO foist I'll
stump tail upon the country, and by c
pressing the hope that the producers
this county will in this matter fully ba,
our bankers up. The agreement in CT
cago to take this stump tail is hole
delu.ion. 1t is already broken, as
have shown. Besides, vhat-does an ACRE
u,eut between five hundred men amour
% when, by single one breaking it, Il
whole thing is nullified?
S.ca.o~ Morrill, tenders a regiment