The New York herald., 1862-01-20
NEW YORK MONDAY, JANUARY 2u 1882 w ,H AN#


Fortaen 0ouernmeat. Wahose The financial aid contri
bihsa by that city, the feeras gorement could NO, hav
proraeed Aer military opsriens beyond the defeat Of Bull
banks OF New York forward with loan Of nifty mil
lions TO the government, and obtained the option which
they afterwards exercised OF taking hundred millions
OF the two hundred and fifty millions which the
federal government had voted. 1t is true that for rea
sGs q Rocy they induced the banks Of Boston and
rGadeiphia 10 contribute share Of the sum; but It is
tne less true that the whole action was due TO the
banks Of New York. .f''
and nifty millions which they took from the government
"a the hands of the public, at fair prices il is plain that
.ney would be willing again to advance money to the go
however that they have not been able dispose Of the
government loans already taken certainly not at par
prices They cannot get rid Of tho government paper
which they have taken and paid for they either hold
on deprecated market or they have sold at sacri
nce The object OF all banking may be summed up in
the simple words,sTo make six per a. least and
more If possible". bank is not held TO be losing
S can Pay six per cent bag ddsfs to its
capital OF million, buys of goyoipment twelve hun
drSd thousand dollars Of bonds and is compelled to
mens at five per cent discount, IL loses in that
single operation sixty thousand dollars, whole years
prchts on its capital and compelled TO sell at greater
capital in addonas the discount exceeds that rate.
II is just ihis sort OF operation that the Northern
batxs have tesn making with their government loan.
We have not any recent quotations Of government
stocks IN Wall s,,set but the indications that United
States sxes have aen below ninety cents in the dollar
The banks took IL eir hundred aud atty millions Of
the loan At par prses depending upan their ability to
at prenau,n. They took it at a time whom they
entertained ahope that goody portion Of IL could be
hs agent q hs sss SSsr
negotiate sales oA these securities who sg1ially failed
IN hi, mission the shsase q selling them il Europe has
ssted In price-a f htful aargnor they have sold out
as the ruling disco mt. They Save mado lons BY she
transaction, and tAey are quite averse, havfzy burnt
ther fingers, in touEg again the treacherous psper Of
the government.
az il. conspiracy aga nsc the government Wall street
takes practical view ~ Sat stern dollar and cent bush
nent IS hs N obsss Sr % make hsy
do not ntosd TO NEEDLE firener th government paper
They arscorporations wtso sonis snd Of course WITH
,sre orgsize TO make pro d. the legitimate operations
oi comIsFse and not Ia q axe loss by uphSldnig
at ,he business Of patriotism and four that it does
pay<-hat fs losing business, nd tEoteore which
it is the dutJscf banks TO esch ~ nd NOT tamper with.
Nowhere user Che is tn resi conlrcunity bank
ridden as that phich occupies 10 Norlhsrn States No
syher e.se hay institution ssA power ycconpetey
maze and Of thecon,unity If the
banks d the Sorsi had refused u eceye and buy the
Con fed rate tote1, tese notes might Til have besn rem
ierrd hent By he unanimous ast sof the rscple The
DanAs haTe great sc~sr with US, rat not enough power
% ha We echred nrcurrent the sy on whicswo
rely ftr carry ing safely through the II the
worst ha stcrne he worst our LIE sures wsld have
epeai,d ths charte-e OF every Of our barss and
,anishod their notes from crculaficn rather hoh per-
ntted,he to discrGais the paror Jhe Confedey1ey
But A power Of tie banks is omnYctent at the North
nlas1Dg |
;p rapidly - Thousand millions. ,rth hundrtspcr
ent They ase too wszsthy, too cd, and hold tso
,rge dabt gahst ths people 10 be forced by the rsv-
snment &ntcits meessses. When tdsy refuse 90 ss (
mi pay Tcrnn;snD spor, il havo crasit
cd cirrea cy and Mr. ghae is at thrown on his III
sam ends- III
last tn naneis tNsculty greater one III rts
aah Of kha any otle- than the srih has
nt The expenditures Of the govosruent tooAi
ast to rondei ay deang its loans by capitalists safe
buy 81 paper as any nsee price IL 20
eh the fnty or loss by subsequent deprcca
under he4enorMous deyuods gssy conducted
pr. This is the diffciss staring gova rnent in the
The people snof, AND the cnpitelsts will not,
clip u. The Northern coarDuDty is in financial
traits than tn .r gcr3npment. The SJnanuacturf
sg AID commercial crsrn.s all bcscd upon their
.rurTkct well ss'l;tfr q ssding staple,
Sho shcr shipping sssof fng at their wiarves for tho
es the ftciyhtage lrs used be Furnished by
ur staples They havs fnFsrted heavily from Europei
"a no, having SoutherI stnsos To pay wSk ship
sce Cor the whole Jn0r lIuidstsd their grain
5css their importation snd cqualzei,
., Iondon OpfsNew York nsS IL is at six
rpens premium or IL e,shosung beav
br 1ari, which must take WAY lier specie.
1T bsnSs have lost tpccy governi sid loans, and
co To lose their ~ Sry must -upyend speciej
ay 7s0ts, which, whe trade q open with Europe an
ouBses the virtual bk .uyszy OK their They
coasract their loans ssatsN people and tho fster
brsss. Their beautiful villas and fast
s.sr fno furniture 9to zrottse p snAty must
,nda on of people and bansH o tirc ,en Mr. Chase
at siis wits ends Now yOyaR which invested most
rgey ~ 1he Is to be tL-scrutt su1oSr. In closing
yeiast <3is its purssarngs encoses very
tie remaining cash. .aoauth os the war, and
like y.tS os its nnishsr.