Weekly national intelligencer. [volume] (Washington [D.C.]) 1841-1869, 1864-04-28
LOCALIZED REPUTATION.

We are glad TO observe that Uov seymour, OF
New York, addressed special message to the
Legislature of that State, prior to its adjourn
ment, demonstrating against the non-payment
of the interest on the public debt in gold. He
urged that the measure would be inconsistent
with honesty; that if the State failed to meet
its just obligations it would suffer lasting shame !;
that in pecuniary point of view it would lose much
more in its negotiations for new loans THAI the
saving made on the interest; and that the proposed
policy would tend to weaken, if not destroy,
the credit of the General Government in foreign
markets
The Buffalo Commercial Advertiser, leading
Republican paper, expressed the hope that the re.
monstrance of Gov. Seymour might have the effect
of checking " the dishonest scheme" and adds:
alt is lamentable instance of the lax morality which
is prevalent in monetary no doubt by the
speculative mania which necs all classes the natural re-
suit of all enormous imitation of the currency-when
ators to shipwreck the financial credit OF
the State for the paty consideration Of fectng saving
OF two or three per cent 10 the interest OF the public debt
We should put but little faith in the commercial integrity
of the who advocate this swndng measure. The
equities of the plainly in favor of payment in
that hardly worth while to argue the ones
ton Plainly stated the stands thus The State Dor
rowed certain amount Of money in 60 d, which it pro
msed to repay after certain number of years, with in
terest meanwhile at six per cent the lawful currency
of the United States When it borrowed the money the
only lawful currency gold and silver cOn aud in that
it's equivalent did the State receive its loan Did itnot
agree to pay in the samel Was contemplated by either
borrower or lender that the law making specie the only
legal tender would be changed to obge the creditor
to accept paper nsead Could The State have borrowed
the money upon the it did, had such change been
provided for in the bond The legality of the measure is
not in question for perfect legality not synonymous with
perfect equity.
In spite Of the obvious considerations of justice
and expediency which argue against this phase of
legalized reputation the Legislature of New York
has adjourned without reconsdering its action in
this matter The several steps by which this de-
plorable lapse has been reached are worthy Of
recital.
The Legislature of the State last year adopted
a concurrent resolution on the subject in the fol-
lowing words:
:" Resoloed, That the interest accrunq much of
the State debt the first day of April the first
day of March eighteen hundred and sixty three, held BY
persons residing out of the United States and still held
by them, be paid in gold or its equivalent"
An appropriation was made for the purchase of
coin to an extent sufficient to enable the Comp
troer to pay in gold the interest the stocks of
New York held By persons residing abroad, and
only to that extent. Although the resolution of
last year did not in terms forbid the payment Of
the interest due to creditors residing in this coun
try in coin, yet the absence of any appropriation
for the purpose obliged the Comptroller to forego
such payment In practice distinction was thus
made between the nonresident creditor and the
resident creditor.
This year the facile descent prepared by the
legislation of the preceding year ended in the
adoption of the following resolution
Whereas all the stocks issued by this State made
payable aud egotiabe in this State therefore
Resoiped, That distinction should be made between
the foreign and domestic holders of such bonds the
currency In which the principal and interest thereon
should be paid"
The designed effect of this measure was to
compel the Comptroller of the State to pay their
accruing interest to both the foreign and domestic
holders of the State securities in deprecated
Treasury notes of the United States.
In the closing hours Of the session Of the Le-
gslature, Mr.. Humphrey, . member of the
Senate, attempted to offer the following resolu-
ton but, it requiring unanimous consent, and
objection being made, he could not do so
Resolucd ( the Assembly coDcur) That the interest
the State debt which inllen since
of January last which may fall due before the next
session Of the Legislature be paid 10 gold coin, its
equivalent"
The protest Of Governor Seymour was laid
upon the table by vote of Ia yeas against Ii
nays
The New York Journal of Commerce, in COM
menting on this proceeding, remarks as fellows:
Governor Seymour has eIerted bis utmost ability to
the State from the disgrace of Reputation His
message this subject plain and explicit He could
not veto pbe provision to pay in greenbacs for there
would then be pay ment at all"