The weekly register. [volume] (Point Pleasant, Va. [W. Va.]) 1862-1909, 1863-05-28
The National Backing Interesting
Opinion Of the New Comptroller.

The National Backing Law-Jnterestinl
Opinion Of the New Comptroller.
Fromt4e New York Post.
The following letter was in tended t,
be private, but it ia SO clear in It's expo
si'ious Of the new National Banking
Law, that we take pleasure IN laying II
before the public;
"WAsHEOToM D. O.. May III.
"DRAR SIR: From what you may rec
Object Of the opinions | have heretofore
expressed 10 you upon the subject of the
currency. you may be surprised at my
acceptance Of the Office of the Comptrol
Ter, under the National Banking Law
enacted by Congress at their last SEES
sion. |. therefore, consider it proper to
state 10 you briefly the reason that
prompted me 10 do so. A careful ex-
animation Of the low referred lo-made
before had the slightest idea Of hav-
ing any agency for putting it into Prao
tical operation--sa!isfed me that il
created n system of banking which
would gradually supersede and; as far
as circulation is regarded, ought to SUI
persede the existing corporate institu.
tions in the United States; for the fol.
loving among other Eeasons
81. BY this law the faith and resour-
ces Of the nation are pledged for the re-.
demprion Of the national currency. The
notes to be furnished to The associations
organized under il are m de receivable
for all public dues except for dulies on
imports, aud in case Of the failure of
any of the associations 10 redeem the
notes that are to be supplied to them,
lhe Government is bouud to redeem
them at the national treasury; so that
the redemption Of this national currency
is not only made certain, but not dol.
lar OF it can ever be- even temporarily
deprecated in value. For the first time
the Government has undertaken Judi.
ciousIy to regulate the currency and to
do its duty to the people, who have been
yirnal lily compelled by pa,iQuaI and
State Legislation, TO regard and TO use
bank notes as money. By this law the
Government becomes responsible for tho
Character anl the redemption of the
currency Of which it authorizes the issue
"2. The fact lhat the national cur.
rency is to bereceived for all public
dues except duties upon imports, and is
secured by the Government itself will
give to it uniformity of value through
out the country which the notes of State
institutions can never possess, and cause
n TO take The place Of the circulation Of
N thousands Of local banks which are
l8win existence, whose issues, even il
there is an available security behind
them (which the people have so re.
quently learned, to their sorrow, is not
always the faut) can have no certain
and reliable credit, excep, in limited 10.
ca!liios. This national system Of bank.
ing has been devised, with wisdom
that reflects The bighes. credit upon its
author to furnish TO tie people Of the
United States national bank note cir.
eulaton without the agency of nation.
Al bank. 1t is not to be monmouth
corporation, with power to increase and
diminish It's discounts and circulate ct
the will Of its managers, thus enabling
Board Of Directors to control, to a
large extent, the business and politics OF
the country. It can have no ponceptra.
ted political power,
"Nor do see how it can be diverted
from its proper aud legitimate objects
for partisan purposes, 1t will concen
tFatc in the hands Of no privileged per.
sons monopoly Of banking. 1t simply
authorized, under suitable and neccsss
ry restrictions, any number Of persons
not less than five in number, in any Of
the States or Territories of tho Union to
engage in the business ofbanking, while
it prevents them from issuing single
dollar to circulate as money which is not
secured by the stocks and resources of
the Government. 1t is, therefore, in
my Judgement, Gas far as circulation is
regarded not only perfectly safe sys.
TEN of banking, but it is ono that is EN- -.
inently adapted TO the nature Of our pc
litical Institutions. 1t secures the bill
holder beyond contingency, protects
dOpositors to greater extent than they
are usually protected by State legis'a.
lion, offers equal facilities to all who
may have the capital and disposition to
form associations under it, and promises
lair. if not large, returns to thoir stock.
holders. on their investments.
"3. This system of banking, il it be-
comes a success, which / believe it will
be, will tend directly and powerfully 10
create and keep alive Union sentiment
among tho people, The national cirCu,
lO;ion will represent tho unity of the ma.
ton, 1t viii add the power Of pecuni l.,