The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1863-05-05

/ CONFEDERATE TREASURY NOTES.-The ray
etteville Observer suggests that inasmucn o.
Confederate Treasury Notes bearing date prevlou:
| to Dec. l, 1862, are not fundable at any rate o.
interest after August 1st, 1868, (but only payable
six months after the ratification of treaty of peace
they may become uncurrent after that date and una
valuable in the hands of the holder except for the
payment of dues to the Confederate Government
| And inasmuch as there is a law requiring our tas
collectors to receive any Confederate note in pay
ment of State taxes, the Observer thinks it may be
necessary call the Legislature together to change
or repeal the law.
This is matter about which we had not thought
of until saw the Observers article. and we do
not feel prepared to express decided opinion as to
the best course to pursue. But it does not seem to
US, that because the notes issued previous to LIST
Dec, 1862, not fundable after the LIST OF Aug.
next, they should become uncurrent or unavailable.
The Government promises to pay them six months
after the ratification of treaty of peace, and why
should they not continue to be current until that
time as well Bank note. which now has no more
specific time for payment Take any Bank note'
and we read on the face of it that the Bank promi-
ses to pay such amount demand Tin specie OF
course) but present that note for payment and you
told that the Banks will not pay now-that they
are authorized by law to suspend payment for an
indefinite period. Now, ask what is really the
difference between a Bank note and Confederate
note, so far as specified time of payment is con-
cerned. The Confederate Government will be able
to pay its debts at some time, and SO will the Banks
of this State, but neither have, at present, any
definite time for doing SO. There is more
certainty that the Banks will redeem their notes
than that the Confederate Government will redeem
its notes If we fail in establishing and maintaining
the Government, fear that all Southern institu-
tions will fail, and all Southern interests perish.
the Confederate Government, neither have the
least doubt about the sovency of our Banks. And
we are certain that friends of the Fayetteville
Observer agree with this point entirely.
Therefore. good reason why all Con-
federate notes. whether issued before after the
first of last December, should not continue to be
current and available for business transactions as
heretofore. We sincerely hope that there may be
no occasion to assemble the Legislature for any
purpose whatever. Rather than change or repeal
the law authorizing the reception of all the different
issues of Confederate notes in payment of State
taxes would it not be better to allow it to stand as
at present, and let State authorities make some
arrangement WIN the confederate Government
whereby notes issued previous to the lst of Decem
Der could be exchanged for those issued since that
date. We agree with the Observer, that the action
of Congress in relation to funding Treasury notes,
is unfortunate and to be regretted; and entertain
the opinion Though we lay no claim to fnancering
ability that the whole business has been rather
bungingly managed by Congress and the Secretary
of the Treasury. 1t was wrong for the Government
to offer to pay per cent interest Tor to make
any promises about interest the face of its noes
and the authorities becoming convinced that it would
impose heavy burden on the country to allow all the
notes to be funded at that rate of interest enacted
the law which is now complained of. Under the
circumstances, some such law necessary, and
join the Observer in expressing the hope that it
may not prove injurious to the credit of the Govern
ment.