Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1863-06-20


are fundabe only IN four per cents.
The third class Of notes are these, which tho
/ funding act authorizes ths Secretary Of the
Treasury to issue, and embrace all issued, after
the 9Th Of April last. These last notes are fuu-
dable in six per cents, if funded within twelve
months after their date. If not then funded
they viii sbe convertible only into feur pei
cents.
The eight per cent. aotes we're issued under
! an act Of Congress, declaring their fandsbility
/ in eight per cent. stocks or bonds. at ibe Op-
| ton Of the holders, without limitation ef time,
| and purported IS much, By words printed on
| their face. Their fundsbility, without Hmita-
ton ol time, was and is a part Of the original
/ contract and the attempted limitation is plain
breach of thai contract aud gross violation Of
/ the public fsith. The act impressing this limi-
ted fundsbility, in lieu Of an unlimited one iu
point Of time, even if il were iustifable or ex-
eusabe. (Which it is not), has taken the greater
/ part of our citizens by surprise. The notice
was too short and too spsIssly circulated to
/ put holders of this currency on their guard
and enable them to invest in eight per cent
stocks or bonds, during the assigned period.
The Confederate laws are published in but few
and oft0ntimes obscure newspapers, and the
mass Of people are kept in ignorance of their
/ character In South Carolina, for instance the
Confederate laws are published officially, in
Columbia and GreenVile newspaper, but in
no Charleston journal
In an editsrial article, recently published in
the Richmond SsatiHei Ia Journal believed or
said to be the Government Orgsn), the repudist-
ing policy Of the funding act is most disingenu-
oasly and incOnsistsntly defended After Civ
ing synopsis Of the provisions Of the act, it
says
Is It will be seen that the sbiset Of this leeis-
lstion was twofold. lst To hold out induce
rnents for funding and thus reduce the volume
Of circulation. ID. To provide, IS far as was
consistent with the public isiih, that the rate of
interest on the debt, hereafter funded, should be
the reasonable and customary amount The
special reasons, which had induced the Con-
grsss, q! Montgomery, to put the intsrsst at
eight per cent, were no longer applicable"
It then goes on, with still greater ineonsist-
ency, to say;
e Il viii also be observed that the contract of
the Government is faithfully kept (i!!) The
promise TO pay after peace, contained in the
note, is accompanied by the permission to fund,
at any time. The Government does not take
away its promise to pay, nor the permission to
fund. The holder is only tod that he must ex
orcise this privilege of funding in a limited
time, and a reasonable one"
Here, then, is the lame apology for this mon
strous breach Of public faith. The Govern
rlant issues a currency, fUndable in eight per
" its promise 10 pay and its permission to
fund "-it does not take away either Of these
privileges Oh, not is too honest and con-
scientious 70 DO that" il only tells the holder,
he must exercise his lpurchssedl privilege Of
fundiBg IN s limited time, and a reasonable
one" , 0 tsmporN, 0 moTes When such
saerslity rules in the financial councils Of the
COnfedsraey, what can wa expect but dis
honored and 4 bankrupt Government, and de-
moralized people.
Let the people wake up 20 the e1igency Of
the case, AMI il their msjesty forbid the con
templsted fraud and robbery, aud place the
popular veto on such an uupTiucipiei and iufa-
nous policy. Let the sovereign States, too,
stamp It with the seal Of their repYobaton.
Ore, should It succeed the credit of the Govern
ment viii be ruined, its currency and its stocks,
deprecated and tabood by ITSELF viii lose all
value in both the foreign and domestic markets,
end, SHOULD We, thus crippled in our resources,
emerge rom the present desolating war in 3
state Of independence, we shall achieve the sig
nal disgrace of entering, as 81 insolvsnt debtor
and UucerH6cstsd bankrupt into the family Of
nations
The following is the notable consolation Of.
fsTed by the editorial of the Sentinel Ian ema-
nation, we shrswdly suspect, from the Treasury
Department itself) to toe gnfJrtunsfe holder Of
the taho09 notes. who shall have failed TO fund
them 10 seasons
It has been said that 8 portion Of those
eight per cont notes viii remain in the hsnas of
private individuals, after the frst of August
next, when (being no longer fundsble) they can
not be used as currency. We do nos think the
amount of such notes win be large and, as they
are receivable for Government dues. they viii
naturally be bought up, at q small discount, by
persons who have taxes to pay If it should
appear that there is danger of losses falling
upon class OF meritoriOus persons not well
able to bear them doubtless Congress will allow
these notes to be funded in = four per cent.
stock, as in the case Of other issues"
What consolation, what benev0lence, 70 the
defrauded cridisor Of the Government Bis
eight per cent. notes may be sold By him at a
small discouut-or The Government may chsri-
tsbly allow him, If n5eritOri0us person, the
great boon Of four per esnt investment, IN
lieu Of the eight per cent. one, for whichhe paid
his money
A word, in conclusion on ths uueonsiitution-
atty Of this regulatory policy Of the Confed-
crate Government We have already sTgued
that, the sovereign States being prohibited, BY
the Confederate Constitution, passing any law
infringing the obligation Of contracts, like re-
stricti0n is implicitly imposed on She C0nfeder-
ste Government. What the principal Is forbid
den to do is equally beyond the competency Of
the sgent-what the several States, in their pie
DGry sovereignty, are conshtuhonally prohibit.
ed frem doing, the Confederate agency, without
sa atom Of sovereignty, cannot constituti0ually
do. Besides the Confederate Government is
ons only of granted or delegated powers. It
must therefore show the express, or plainly i'm
Piled, grant, or delegation Of the right or power
Of reputation, Of violating its contracts,
or it csnnot eonstitUsonally exeerise it.
The power to borrow meney is ex-
pressly grsatsd to tbs Confedsrate Governmsnt,
but the power TO rspudiste contracts and violate
the public faith, formally aud solemuly plight5d
to the public creditor, csnnet be found either
expressly or by Implication, among the granted
or delegated powers 70 the Confsderats Govern
ment The sovereign States can scarcely be ar
gUed to have granted, by implication, to their
common agent, a power which they have 50
jeslousy and wisely denied themselves.