The Ashland union. [volume] (Ashland, Ashland County, Ohio) 1854-1868, 1863-11-18

lied TO issue q fresh deluge of irredeemabie
paper, the Crisis thus comments
These banks are based on what Is called the
$50 bonds, which Jar Cook y Co, have
been dealing out SO lavishiy of late. That Is,
these bonds are issued for twenty years, but
subject to redemption IL "the Governmens
wishes to do soi-in Eve years, hence the o-So.
These bonds are purchased with greenpacks,
and the greenbacks re-issued again by MI.
CHASE for circulation. Mr.. CHASE IS also
busily engaged with presses, printing a 6lrcu-
lating paper for these apet banks, a dollar IN
a new circulating medium for every dollar de-
posited by the banks in these bonds. In a
few days, therefore, the greenbacks TEMPORARY,
Iy used in the purchase of these bonds Will
be in circulation again, and an equal amount
in the paper of these "pet banks furnished
by Mr.. CHASE under the act of Congress =
This is what they call relieving the strineency
in the money market, which Mr. CHAsE' Inc
telegraph says, has promised. VI course ne
has. He will put out the fire by ping tow
and brushwood upon it-saturated with spirits
of turrentine!
But there is another disturbing element in
the "money market" not SO easily allayed.-
1t strikes deep into the vitals of the State. in
stitutions and involves most serious political
questions, and State sovereignty itself. If
our readers will turn to the inside form of this
weeks paper Sgags ssl9 they will find a re-
port made by Mr. who stands at
| the head of the New York State Bank Asso.
citation, and they will learn the merits Of a
controversy which may grow into a fearful
struggle between this apet bank system Of
Mr.. CHASE and the State institutions which
it must supplant in order to amount to- any
thing at all.
Mr.. GALLATIN, most ably and thoroughly,
sits the whole question, not emitting Mr..
CHASE. We never supposed, however, that
the State banks would be able to maintain
themselves against CHAsE's "pet bank" brood
which will spring mp like mushrooms after a
warm shower, in endless Numbers. They
will first crush out the State institutions and
then die themselves for want of nourishment
Severe as the process may be, we can only ar
rive at the golden era through that process =
This whole. brood of treasury wildcats" will
wilt, for the want of substance, on the first
crash of credit, like tender vines under the
nipping touch of a white frost. The JOHN
LAW swindle and the French assignants were
but spectres to what this CHASE "break down
will be. There is not o single dollar of CAPT
tai or reality in the whole scheme. 1t is the
invention of a baseless credit from first to last
and no man worthy of the name of banker
fnancier OF Statesman, would risk his reputa
ton upon it for half an hour. 1t will llngel
oulJ iouS SuouSh " pC uctS IA mOu-
strous swindle and then burst INTO thin vapor
carrying with it Government, people, debtors
creditors and all, so far as their financial con-
ditlon is concerned. We must not forget tina
the very credit used on which these banks ar.
based, is to-day at fifty per cent. discount! I
is born a financial bastard and viii! hunt il
vain for a father. CHASE himself will disowr
it and declare that "Copperhead opposition
caused it to fail" We helped to killa BETTE
scheme than this in the Ohio Legislature TWEEN
, ty-seven years ago, called sCrouse's Bank Bill.
1t contemplated going into operation and is
suing its bills on q basis of the suspended pa
per of the then eristing banks! Some o
these banks had a little remaining capital ant
a few cents on the dollar might have beef
saved. But this scheme of Mr.. CHASE ha
not the substance of the suspended bank pc
per of a6-7-I fact the Ohio banks hat
not exactly suspandAa-a-- stthe Grouse hiIp
was before the Ohio Legislature, but they dix
suspend a few weeks after the adjournment
az was predicted. Thousands Of men in 1886,
were rempant for every kind of machine pro
posed to gii;nd out PAPER money-but terribl,
were thew scattered when the crash came
They few to Congress for a Bankrupt Law t.
pay their debts, for hey had 10 other mean
left, and for a time quiz the field of pape
money politics. The same Class of men will
be after Congress to pass a similar law to &c
rid of their debts before the end OF the ap
preaching Congress.