New-York daily tribune., 1861-09-09

passed an act declaring that the creditors should
receive only 8 per cent on the principal and
that even that principal might be redeemed by
the Government paying one-balf Of it. This
black swindle began with Charles H., but it
was contaminated by William Ill, fhOwng that,
under the prohigacy of the one and the cold
austerity of the other the policy of the Govern
ment was uniform, to repudiate all public faith,
and to sanction the vilest fraud. Here was
an honest debt of some Sl7 600, at per
cent, violently reduced to one of Si,25O,OO at
per cent, after probably twothirds Of its un-
happy holders had died in the long interval
during which it was withheld from~>th His
tory contains no parallel for fraud like this.
Even British historians denounce it as national
infamy. Hume pronounces it ga forfeiture of
"pubIic credit, and an open violation of the
" most solemn engagements, both foreign and
" domestic" while Burnet calls it "a dishonor-
" able and perfdious action" Yet such was the
diSgraceful beginning of the present debt in
England.
As if the commission Of this act Of iniamy were
not sufficient to show how little honesty the Govern
nltHl VObbtbstu, Nb CVuuuVt NAthAh 'f' A'S'
years proves that reputation is the rule, and pay
lnent the exception. If the fret yillainy could be
charitably fathered on profgotc ruler, the last
was committed within the memory Of millions oil
Engshmen now living, many OF whom must YET
feel the losses which it occasoned. In l791 the
Government forbid the Bank of England from pay
inc specie, and then borrowed from that institution
a q 80. hot fla- Ornhu
deprecated in value until in 1911 they had sunk to
ten per cent discount. But as depreciation was
sure to continue, the Government sought to cheek
it, and Parliament passed al act despotlc enough 10
be taken as q model for the action OF the Rebel Con-
gress. This act set out with lie and ended with
q cb.at II asserted that " the notes of the Bank
" of England have been, and ore at this time held
in public estimation equivalent to the legal coin Of
" the value and generally accepted as such in all
"pecuniary transactions to which such coin is law
" fully applicable" By this dodge part was made
equal to the whole ninety pounds and one hundred
pounds were made the same thing. There remained
nothing but to enforce the decree, by pun.
shing all who refused to take the notes at
par. Accordingly, the act went on to make
them o legal tender. Those who should re-
ceive pay for any gold coin at more than its
lawful value, whether such additional value were
in other coins or in bank notes, shauld be
" deemed and adjudged guilty of a misdemeanOr,"
and be fined and imprisoned. Whoever should
receive or pay away any notes for less than the
lawful amount expressed therein, were to be
punished in the came way. But even despotism
never yet ayailed 10 transmute paper into gOld
The notes continued to depreciate, sinking TO o
discount Of thirty, forty and at one time 10 forty
one per cent. Yet, while thus ruinously dcpre-
ciated the Government paid it, creditors 10
paper, including interest on the public debt, and
TO this hour has never made them restitution 10
the extent Of iarthing. No profession Of future
indemnity was made-it was that or nothing.
Tue creditor knew il, and was forced 10 submit.
During our war with England, poor and feeble
as we were, tho notes of the Bank of the United
States were subject TO no such frghtful depre-
citation; and when Pennsylvania, with q few
other States, temporarily compelled by the cfss
Of 1857 to cease paying their interest, resum
it by paying in deprecated paper, they honestly
made good tue difference. The London IimeS
daro not plead ignorance Of facts in such hon
orable contrast to the swindliug conduct Of its
own Government.
Under the operation Of this royal cheat, an
American whose fortune was invested in the
British funds would have received his interest in
paper deprecated forty per cent II, to escape
from u national bankruptcy thus legtimately fore
- for and
verted the latter into as much gold as it would
command, he was liable TO be fined and sent to
Jail. II he even bought merchandise for his pa
per at less than par, or exchanged note for
pocket change, he was equally liable. If he col
lected a debt from an Englshman honest enough
to make good the difference between paper and
specie, both debtor and creditor were liable to
fiue and imprisonment. Honesty was thus made
penal. England PROCESSES to shudder at the
French, who raised the asSignats to par by gull
lotiniDg those who bought or sold them OF less
than their full value; but her accepted organs
deliberately suppress these rnonstrous crimes Of
her own, while dishonesty striking down the
hitherto untarnshed credit of the United States.
While this enormous fraud was being practiccd
BY England on those who had loaned her their
gold, her statesmen were deliberately calculating
the profit il would Afford 1t was persisted in
for twenty three years. when the total profit Of the
national cheat was ascertaned to amount to
SI37, 600 900. All this the fundhclders lost.
Our record is stained by no such infamy. When
at our gIoomiest period of the war with England,
we refused to make paper money legal tender.
The Treasury Department declared "that the