The New York herald., 1863-02-11

That simple disposition 70 oneck this increased lss,s
caused gold 10 fall three or four per oens Another -
convertible thus lacking the elements Of sound
tiona currency These notes are also madc tno DAsm
bank issues and the increase Of this local bang
states notes Somsthng ought 70 be done 70 check ten
excessive issue Of bank paper He had curious state
him from bank In Pennsylvania. II shows that tho
capital stock was $500 900, while its circulation 70
$3.50 800. It's whole are enough pay their
depostos and current debts leaving the whole circulation
secured BY loans and discounts be feared that many
banks OF the country we're in the same state He thoug
he could prove that time Of war these local banks with
their paper issue. inmica the country privi
egc To issue this money In times Of suspension Of specie
payments s the same as privilege 70 coin money!
privilege which In times Of especially should only
be exercised By the state itself and not by any private
corporation The great danger from this paper
is from oyerissue All history has shown this Ths
French assgnats at first good but by ovarissus
issue became SO deprecated thousand dollars was
worth only dollar in gold. The continental money
fell 70 about the same discount had been restrained
This country will bear the issue OF about four hundred
millions OF dollars Of paper money and no more The mo
ment 60 over that you begin 70 bring rum upon the
country, and produce nmense Initiation and tho most
wild speculation This plan OF national currency will be-
safer far safer than any other Of papcr money It will
have the credit OF the United Statea deposit Of
fourth o the circulation and the liability OF stockholders
to certain extent These bills win be Convertible al any
time into lawful money Of the United States and the
rency will DO uniform all the country that bin
issued 10 Maine will be taken In California. Ranks will b
made for the bonds Of the government and great
ket for tho bonds made There Is lack Of capital
country, and II 10 begging for Investment. There s
however, lack Of confidence and Of system This
system will furnish convenient mode the collection
all the country heSe being receivable
for everywhere He believed this system would be
beneficial 70 tho banks It would tend greatly TO prevent
c0unteretng prevalent The Of twelve hun
dred banks have been ceunereted altered three
thousand have been altered There seventeen hundred
spurious Kinds Of notes and four hundred and sixty var
ties OF limitations. The number OF banks in 1882
estimated at fifteen hundred and the notes OF all were
alterations were 1859, and the spurious bills ,6ss
This system would tend 10 prevent all this The banks
will have the benefit Of being Of the govern
ment This will also tend to promote nationality by
tonaizng the currency and binding together tho whole
country He referred to the cases Of the Bank OF Eng
land and the Bank OF France, and claimed that IL waa
necessary for government In order 70 borrow Large
amounts from the people, to have some agency Of this
kind and these banks which he referred TO had always
been great support 10 the government In times Of
and trouble. II we place our finances in healthy and
or e ce o s
we continue this issue Of paper money without any
limit the result cannot but be universal financial
our financial condition as many did. Indeed,
compared wit, other modern nations carrying
On large wars, financial condition wonderfully
good Even at tho very commencement tho be-
tween England and France tho English three per cents
fell to 81 and then TO As and ruin seemed to be staring
evory one in tho face state Of things existed far
than anything have But that people did
not stop. They persevered to the end. French secu
great people went until the genus Of Napoleon and
the OF Asertz restored the finances Of the govern
men He wished above all things 10 establish sound
financial system prominent means OF preserving our
nationality and great means Of preserving our
tiona life the establishment OF sound national
rcncy.
Mr. FssEsDEy, (rep) Of Nc by consent from the Com
mtce Finance reported back the bill tO prevent and
punish frauds the revenue, with amendments He
also introduced bill allow the United States TO prose-
cute appeals and wrs Of without giving security
The senate then resumed the consideration u the Cur
rency bill the question being on Mr.. Powels amendment
requiring banks TO keep specie In their vaults 70 the
amount OF one fourth OF their circulation.
This amendment was rejected, by yeas a. nays %.
Mr.. POWELL, (opp.) OF KY, moved 70 strike out the
provision excluding these notes from being received In
should receive the notes that 1t forces the people
take.
This motion was also rejected. by the following voe;-
YEAs--Messrs. Bayard. Davis, Dixon Foot, Kennedy,
Powell. Richardson, Turpie and WAil-9
NAYs-U
Nr. How ARD, (rop) Of Mich moved to amend 80 as to
require that thirty per the capital stock shall bs
paid in in gold or silver coin.
This amendment rejected by yeas 10, nays a.
Mr.. POWELL offered amendment requiring the a.
sent Of the States 70 the organization Of these banks Re-
jected.
Mr.. HENDERSON, (Union) Of NO., offered an amend
mont increasing tho amount Of capital of these
banks. He feared the establishment Of . large mum
Der OF small banks located In inaccessible places He
wiling TO do all he could TO aid tho governmont. He
willing even TO vote for measures which he might
consider OF doubtful consutonality But he thought
the future would show the necessity Of this aeadmsnt
Reected-yea IL, nays 81.
Adjourned.