The New York herald., 1862-02-14

and employees Of the government forcing them to take H.
Tho people Of Massachusetts, wSre in favor OF the bill
o. stands with unanmity believed that no
rnch ov =. b pi ioi % ,axaon would ,: x.n NJ
WILSON, thought the arguments Of the from Maine
Ar tessenden and the Senator from Vermont Mr. Coi,
iame were rather against the issuing Of the notes AZ AL
than against the legal tender II Do not make these
notes legal tender, shall have every curbstone
sailors will bs compelled to submit TO all sorts Of shaves
oy the brokers' We ought to show the country that we
are determined to protect the credit OF the country and
carry y safely through The merchants generally favor
the making Of these notes legal tender and by making
them 30 the families Of soldiers when little pttance
comes from the field get full value for them. He had
received letter merchants representing forty
millions dollars Of capital who favor making the notes
legal tsnder and they say they do not know merchant
in the city Of Boston who is not in favor Of il.
Mr. CoIAhER, (rep.) of VI, modified his amendment
so As to strike out all that portion Of the bill which
States or any kind Of debts including the amendment OF
the committee providing that all the interest be paid in
coin.
Mr. SHERMAN, (rep) OF Ohio, believed that there
necessity for making these notes legal tender Every
organ OF financial opinion in tho country that it is
Indispensable Everybody, from the Secretary Of the
Treasury to all the bankers and most Of the
chants of the country agree that IL is necessary The
Chambers Of Commerce OF New York. Boston, Phiadel.
phia Chicago and other cities agree that is necessary
We have to pay before the LIST day Of July three hun
dred and three millions two hundred and thirty five thou
sand dollars and Of this hundred millions
due this day. How are going to get this amountp
That is question hardly necessary. We cannot pay
ueUS tnere is NOT enough Oh IL IN clrCua
tion since tho banks suspended. The banks cannot
let us have any more money, for have already
taken more than their capital in bonds. Capitalists
cannot buy tha bonds OF the government for they
not get the coin to do which is the only thing the
government can receive. II the bonds Of the govern
now thrown the market of the world they
would deprccate to sixty the dollar according
TO the opinion Of all nancers because there money
pay the bonds Then how are we going to pay the
is no other way than to give them notes which
near money as possible He (Mr. Sherman) contended
that perfectly constitutional to issue these
The history OF the government settled this question
had issued bills Of credit In the with Mexico and in
the war Of 1872 We bound, if we pass these notes
to the soldiers TO make them and negotiable
as we can. We must either sound and safe govern
ment paper currency the paper money Of all the
banks which may spring up in the country Issuing the
Of provided by this bill cannot initiate the
currency which will be under the control Of the govern
mont. It not tenth Of the amount Of the
production Of the country, which 81 900 900 0Oo
He should vote for this measure as temporary nsces
| sity to carry on the war.
Mr. CowAx (rep) OF Pa referred to the constitution
saying that certan powers were delegated to the gov
ernmsnt and others reserved to the States" Another
provision in the constitution that "thc States shall
not emit bills OF credit coin money or pass laws impair
ing the obligations Of contracts He thought that these
principles well settled. He contended that the
government had right to make any law to impair the
obligations Of contracts and said that this measure in
stead Of preserving tho tended overthrow
IT, He opposed to this because it impaired
all contracts and abh0rrsnt
all his ideas Of justice. The would disturb all
the rotations Of debtor and creditor and destroy all
land, but would declare that this measure not
constitutional He (Mr Cowan) would take the bills Of
credit and 60 into the market and sell them and II they
were worth than sixty the dollar he
would sell them for that and act honest should
He declared That this measure was "Charlsston''
scheme and that abandoning the great charter Of
the government and the liberties Of the people.
tyranny to compel man to take hvo hundred dollars
from his neighbor when he ought to have thousand
He hoped that the legal tender clause would be stricken
out.
Mr. cooIirr1E (rep) of Wis regretted very much that
ntedh fho
House. He feared there would be long delay the Tax
bill in the House and by that time this money would he
all gone, and we would be called upon for another hun
dred and nifty million. He believed IL tho intention Of
tho Of the constitution not have any paper
money put paper money does sxst ana mas existed so
gold and silver. He was in favor OF limiting this legal
tender to debts hereafter contracted That would oh
viate the objection OF bad faith and would regulate the
existing paper currency SO as to prevent as much
| sble depreciation.
Mr. SIMMONS (rep.) Of r. L. said there was no doub,
that the trainers OF the constitution intended have
hard money currency but bank notes regarded
| promiss 70 pay, and were in existence at the very
time of the Constitutional Convention, and nobody
| thought then that they unconstitutional.
| 1he difficulty that few banks were not
| willing to take these notes. He would allow
them to be funded eight per cent He thought we
would strike out the legal tender clause and depre
the notes ourselves with provision to make the
| people glad to take them, it would go well enough.
Mr.. BAYAgD (opp) OF Del, argued at length that
the Unconstitutional and also nexpedient
as the would be good for nothing. 1t simply
| forced loan from the community.
The discussion continued length by Messrs
| Howard. Wiley and McDougall
Mr. SUMNER (rep) OF Mass referred to the early his
tory of the issue Of paper money. It was issued first in
| this country in Massachusetts, in 1902, and made
in G'nnecticut in 1903; in Pennsylvania in i1a2
| in Delaware in 1888; in Maryland In 1733 ~
Virginia in 1855, where they we're called Treasury
notes made legal tender for private debts in North
Carolina In 174s in south Carolina in 1703 but
made a legal tender till afterwards. In law, after
wards they called bills Of credit Ho contendot
that they considered bills Of credit by the frsmc
OF the constitution. He thought 1t doubtful policy
seue notes at this time He thought we had authority
to issue notes at all had the right to make them
| tender.
| The question on Mr. Collamer's amendment to srik
the legal tender, &C., disagreed, follows
sender, Foot Foster, Kennedy, King, Latham N@ssmth @
NArs-Messrs. Chandler, Clark Davis, Dixon, Dooit,le
MepouEail Morrill, Pomeroy Rice sherman, Sumner, Tel
| Mr. SIMMONS offered amendment to allow the note
to BE- funded two years bonds bearing eight per cent in
| torcst. Adopted.
Mr. DcoLTfI = moved to amend so 90 TO limit the lsga
tender to private debts hereafter contracted Rejected
Mr. KING, (rep) OF N ", offered substitute that III,
Secretary OF the Treasury be authorized to ISSUE in
change for eoin Treasury the Of $50
600 000 payable the bearer the Treasury, which
will be rsdcemable in coin at the Treasury after five
years, until 1872, when all outstanding would be re
deemed and such notes receivable for all public dues
Section provides that holders Of such notes may
exchange the notes st the Treasury for bonds net less
than twenty 10 rum bearing six per cent interest
sec g. That direct tax Of SIS 900 900 annually bs
made and the same hereby pledged to the payment
coin OF these notes, principal aud interest," when il be
comes due. Rejected.
! The bill was reported 10 the Senate.
The amendments made In the committee 70 the a.
section agreed TO- except that OF Mr. Simmons u
allow the notes be funded eight per cent bonds
| which amended TO be $40 bonds, and adopted.
| Mr.. FnssESDEN moved 70 insert amendment provid
ing for the deposit at 6ve per cent, which struck
| out yesterday.
Messrs. PEARcr. SALISBURY and POWELL spoke against
| the bill as unconstitutional.
| The bill as amended then passed-years 30, nays -
Messrs CoIamsr Cowan Kennedy, King, Pearce, Powell
| and salisbury.
! Adjourned at halt. past seven O'Clock.
House of Representatives.
| WASHINGTON, Feb. IL, 1852.
WESTERN RAILROADS TRANSPORTATION TROOPS
The House proceeded 10 the consideration Of the joint
resolution reported by Mr.. Holman, from the Committee
Government Contracts authorizing the Secretary OF
War 10 pay the Hannibal and st. Joseph and Pacific rail
road companies for the transportation of troops mun
tons of &C. but at rates not greater than toso