Daily Ohio statesman. [volume] (Columbus, Ohio) 1855-1870, 1862-01-04
ne 0apZe q SnS Bank yAsHshsAen
!. .MA. .I E.IM.,. 1. ,,.%s !, ..

81
Hitherto opr cIvsl war and the danger Of ior-
eign interference In our domestic quarrel have
absorbed public attention. Bat we are now
turning over new chapter In our history.
Bank suspensions form the Introduction 70 that
deeply interesting financial chapter.A v VA
Various arc the causes assigned for the sua-
IpensIon Of specie payments BY the eastern banks
But few Of them touch the real primary ground
The suspspsion did not arise from the scarcity
Iof species The New Yorkib had on the
Idayi Of Suspension twenty-five or twenty three
millions Of dollars In gold and silver in their
vaults. The banks in all the Northern States
were reported to be we'll supplied with specie.
There were estimated to be about two hundred
and fify millions OF dollars Of specie circulation
lin the loyal States. q There was no general
hoarding Of the precious metals blythe people
In the banks paid out specie, II would naturally
ltelurn to them, If they remained sound, and had
not contracted bad debts by which they might
become crippled and unable to meet the de-
mands of their depositors and other creditors. y
Il We now approach. the true secret OF the bank
suspension in the large eastern cities The
banks had become the creditors Of the Federal
| Government, and their credit was depending
upon its credit. ,ss,is u.d g. 15t .l t1 p1a
As.lohg 80 we have man largely indebted
| to us who is known to bs perfectly solvent, our
;. creditors will naturally feel easy. But II our
debtor is in bad repute, 7and lit Is doubtful
] whether he will be able 70 even pay as our in
tefest, While he is constantly besiegipg US for
siIfresh, accommodations, our creditors will be
apt to grow nervous and restiVe In such case
In Is mAnifesty our interest, If our other assets
are not ample, to keep the credit Of our debtor
good, and to dsponsIrateto TO our creditors that
be will not only promptly pay the interest but
: ultimately the principal also IN .f.ad
The eastern banks had already loaned TO the
llFederal Government over one hundred million
dollars, and on additional loan Of Fifty millions
: more had been negotiated for, payable on the
18th, ius.. 1t was evident, too, that further
loans to an immense amount would be required
!, Beside tte one hundred and ten millions due the
banks, the Government ewed over one hundred
'Iminions. Mr., CHAsr had estimated, In biz
Treasury report, that at the close of the present
fiscal year on the 30.h of June next, the public
debt would amount to Eve hundred and seven
teen millions, With probable increase at the
end Of another year 10 one thousand millions
1 Il was seen that the increase might be many
lmillions more. o-i'7'. Z ~ .i'r,l
To meet this enormous present and prospec-
! tive debt, or even to discharge the interest
punctually while the principal might stand over
! to another generation, twas deemed absolutel;
, necessary that the duties on imports should b'
5 largely increased and heavy and unheard o.
taxes in this country be levied upon the proper
ty, real and personal, Of the people. d Il. Il,
But Congress had been II session one month
and bad5 practically done nothing toward In
creasing the public revenue, except passing one
short act for an Increase Of duties on tea, oof
I fee and eugar. This would not amount to q
drop in the bucket The associated eastern
bsnkers determined to apply the screws BY GRE
atipg an outside pressure and bring Congress to
the work. They concluded the most efa dent
means for this end was a suspension Of specie
, payments, which would cause q general aus.
, pension throughout the country. The mer-
, chants, the business men and the people gener-
AI,y, would become alarmed, and demand Of
Congress- some protection against q depreeiated
paper currency. 7Jca T 'i''''s E" a2. ~
} So the bankers at once shut down on their
specie deposits. The importing merchant can
! no longer draw on his specie deposits In bank to
IpAy bis foreign creditor. This will iDjure bis
credit abroad. People viii become more Or
less disirrstful of paper money and cammence
boarding. CnriouSly enough, almost simulta'
neousy with the eastern suspension comes an
order from Secretary CHASE to the custom houses
to pay out 10 more gold-not even 70 redeem
the demand rotes of the United State Treas
ury. The whole scheme to drive Congress Into
lagraud system Of taxation, banking and finance,
has been so far executed with no little skill and
ahre1dness, if NOS with an eye single to thstrue
Interests and welfare of the people. -'
It reveals at once the immense power Of q
combination OF bankers. When these become
associated with the Governmentras Its sole
financial agents, on whom IL is made dependent
for It's monetary supplies, they will be able to
manage ii as money making machine for their
exclusive benefit Men who willresort to such
expedients as bank suspension With their vaults
and the country full q specie, in order to force
the Government into certain measures, or quick
en- it's pace, will not hesitate long, when they
think their Interest will be promoted by IL, to
resort 10 more arbitrary, daring and oppressive
measureeao, % i51u hrfd img3uis.I s1i
| ot. ~ 51l slu1,
The cabinet ON the Macon and sIi.
deli AfGalr-The Suppressed Dis