Daily State sentinel. [volume] (Indianapolis, Ind.) 1861-1865, 1863-10-23

Our Paper Noney-Breakcrs Ahead.
JANIS GALLArIS. one Of the principcl financiers
of New York and the son of one of the most
eminent Of American secretaries of the treasury.
made a epeech in New York on the 9th before
the Clearinghouse Association, in whica he
warned merchants and others against the vortex
of financial ruin aud bankruptcy into which the
nation is drifting. The following is an extract
from bis remarks:
The Secretary's plans are defended on the
ground that they have saved to the country the
interest on his issues OF paper money, but the
increased prices Of supplies enhancing the
value of the war and increasing our national debt
to a much greater extent than the saving Of this
interest and the proposed further issues by the
new banks can only aggravate the evil, without
saving 10 the Government the interest Oh the
proposed increase of circulation, il becomes the
duty of bankers as we'll as the people TO look
earnestly patriots at the consequences of this
new description OF paper money. Does the
country need i'll Will il save The Government
from increased expenditure Will r save inter
est to the Government Will il bring us nearer
TO a specie standard? All these questions, in my
humble judgment. demand serious investigation.
II they are be answered in the negative. what
then - the possible use of this new currency
Centraz ,tion of monetary power at Wasbingto ton
is one. Il that desrableG l. il judicoIs to-
place the whole volume of security for the entire
paper money of the country in the hinds Of one
nan At Washington Images of grandeur and
power msy be floating in this one mans imagina
tion-'those meteor lights. which exhaled in
the storrv atmosphere of u revolution to allure
the ambitious and dazzle the weak
Among all the deplorsbe consequences of in
creasing the price nf commodities by this pro
posed increase OF paper MONEY! through the new
banks none il injurious To- national wealth
as the transfer of our public debt irto the hands
Of foreign CAPITALISTS IL the most extraordinary
low prices. Persons not conversant with finatI-
ciai affairs are shtmeiully deceived and mised
OF this question Because the stocks of the
United States quoted NJ above par. no
mstter what may be the price OF I'D or other
commodities, they CONSIDER our financial policy
TO I've founded upon the wise te ,chings OF expert
euce
Now, for example, let US takea case, similar To
tnose which happen everv day in the street and
in the New YORK Stock Board We will suppose
gold u be nj ti'ty per cent premium, rs IL hts
been more than this year. and capitalist
residing IN London or Paris wishes Ia buy one
thousand dsllars' worth of our government stock
say .fve-twenties This stock is par in
our paper money. one hundred dollars in green
backs" being worth one hundred dollars in five
twenues The capitalist has sent one thousand
dollars in gold Tor bills of exchange payable in
gold) from London from Paris. and this sells
in New York for about fifteen hundred dollars in
greenbacks. there being slight charge for ex-
penses so that every thousand dollars sent from
other countries. when gold is about fifty premium
in New York. BUYS about fifteen hundred dollars
of our government stock. bearing six per cent
interest in gold; and in reality Mr.. Chase gets
less lin real value) than thousand dollars for
A.
of paper money have increased the prices OF
everything much that the fifteen hundred dol
lars he would have received in PAPER, in the
example just referred TO. would buv tar less in
commodities than the thousand dollars under "A
specie currency. He pays interest on fifteen
hundred dollars annually in gold. being ninety
dollars wear. although he has received in real
value only one thousand dollars.
In this way every foreign capitalist. when gold
Il 1T n " premium. gets our Government Securi
ties at ABOUT sixt,-sx cents ON the dollar. that
his capital Yields him more than nine per cent.
interest. while poor people. well all
persons having fixed incomes, are made to pay
hity per cent more for the necess ries OF life,
and our own capitalists are compelled 20 ply fifty
per cent. more than foreigners for our national
securities. To lmpoverish nation. and dis
courage the labor aud savings of its people. no
system y so ehectual a. this OF paper money: and
II - this system. ruinous To- the ation aud the
people. which We are requested 20 render active
and efficient by admitting It's engines into the
Clearinghouse. that they may destroy the specie
paying system upon which our New York CITY
banks are founded. and establish upou IT, ruin.
that OF the notorious John Law. which has ex
ploied ia every country which has trei it, leav
Ing succession of awful warnings aud admoni
tons, which are % be read IN almost every chap
Ter OF The history OF nations. during the last and
prerent