The Union and journal. [volume] (Biddeford, Me.) 1858-1882, 1864-01-08

gust last. for the payment of bounties, there
remained un sxpended two hundred and TWEEN.
ty-two thousand four hundred and thirty
Ave dollars (s222,435.0O) and whatever
sum may he demanded beyond that, to meet
the calls Of existing laws for that purpose.
or such further laws as may be made. 1t will
be necessary to resort to the credit OF the
State.
While both justice and necessity compel us
to impose upon those who are To succeed Va
in the advancing generations, u portion Of
the burdens Of the conflict in which we are
engaged. sharing as they will the benefits OF
free government. for the maintenance OF
which upon the face of the earth we are now
struggling. not only for our own poster'ty'
but for the human race. exempted as they,
we trust, will be from the bloody sacrifices oil
these days, ! conceive il still TO be our duty
to assume such portion Of the great expendi'
ture as we may be able. without depressing
our people. The apprehensions OF an entire
s,agna,ion of business. excited at the out.
break of the rebellion, have been dissipated.
and the loyal States not the theatre OF actual
war have enjoyed an activity in almost all
the pursuits OF lite. generating. a prosperity
as marvellous as the tales OF the Arabian
Nights. II is true that the debts Of the ma.
ton and States as such have been enormous
ly increased, but probably at no time in the
history Of the United States have the debts
OF the citizens individually been so small, or
the business OF the people conducted 50 near
ly on cash basis, rs at the present time
Though the prices of what our people con.
sumo have largely advanced. the price Of
what they have to cell. whether IL be the
product Of field. forest, ocean, mine, or me-
chanic art, enjoys an equal enhancement and
ready demand, and the same is true Of the
most unskilled labor. ,As the result of this
state Of things, there never was q time when
money was more universally in the possess.
ion OF. or within the reach of all. In view Of
which submit, whether at least for the en-.
suing year 1t is not expedient to make some
addition to the State tax, saving to that ex.
tent the necessity of loan.
For the details Of the financial condition of
the State and the operations of the Treasury,
which you will find interesting and instruc-
tive. / refer you to the report Of the Treasure
er Of State. E.
HANKS, SC.
In 1862, the Government Of the United
States, and the banks OF the entire country,
having by the exigencies Of the times been
to suspend specie payments, the
Of this State passed an act to
expire in year, exempting the banks there
OF from the severe penalty imposed by their
for failure in this respect, not how
ever relieving them from the duty of q faith
full performance Of their obligations. This
act was renewed in 1868, the Government Of
the United States having in the meantime,
issued its own circulating notes, and sane
toned the same as a legal tender. As the
reason originally existing for this legislation
still abides, enforced By the consideration
that the legal tender notes Of the United
States will discharge all the pecuniary obi.
cations as well Of banks as individuals, rec
ommend the further extension Of the same.
In consequence Of the imposition by Con.
giess OF tax upon the circulation and depos
its Of the local banks. the Legislature Of 1868
conditicnally RENTED one-half of the State
tax imposed upon our banks by their char.
tiers. This was clearly and only an act Of
justice, inasmuch as national legislation, by
the tax, and the creation of banks, infringed
largely upon the special, and heretofore ex.
elusive privileges OF the State institutions, for
the concession Of which the State tax was
the consideration.
1t is now proposed to add still further to
the national burden, upon the circulation and
deposit OF these institutions. Such addition.
al duty is recommended by the comptroller Of
the currency, and has the sanction OF the Sec.
rotary OF the Treasury OF the United States.
Under the weight Of such additional tax, 1t Is
clear that the State banks ut an early day.
must retire from business; the remission Of
the remaining half of. the State tax will be
to enable them to continue In
The national tax on circulation
aud deposits exceeding two per cent, our
domestic taxes at least two more, the three
per cent. deducted from dividends for internal
revenue, TO all which adding the expenses Of
managing the institutions, leave so small a
Iesiduum for the use OF the capital, that It
will be withdrawn for some more profitable
employment.
That an increase Of taxes under the inter.
nal revenue act, is demanded, to realize from
that source supplies equal to the necessities
Of the government, is not to be doubted but
without further impositions, no class OF secu-
rites is subjected to so heavy burden as
bank stocks. / assume, however, that the
object OF this proposed additional levy on the
circulation and deposits OF the local banks Is
in conformity with its probable effect, Wis
to cause them to give place to the new ma.
,ional banks, based on the securities of the
United States. The design Of these banks is
6rst to provide uniform currency through
the United States and secondly. by their OBJ.
sorbtion of the bonds of the government for
the Oasis of their circulation, to furnish sup.
plies to its treasury.
The circulating notes Of the banks in New
England have enjoyed such q credit, as TO
leave little to be desired in that particular.
The banks Of Maine have we'll answered the
objects Of their creation. the per centage of
loss by failure has been insignificant, the
understand their character and
confde in the integrity of their managers.-
With one or two exceptions, the banks now
in operation in this State have been doing
business from ten to fifty years, in which time
they have earned the reputation they enjoy.
But il the occasion demands the surrender of
the charter OF the local banks, to the end tha.
the government may obtain its needful sup.
plies, their stockholders will avail themselves
Of the right conferred by the Legislature of
1868, to close their several institutions.
That the creation aud general employment
Of these national banks will tend decidedly
to strengthen the national credit, and, hy
the national government, By in.
pecuniarily every citizen in its sta.
bility, is unquestionabls. Tho diffusion of
the national stocks has largely produced that
effect, while tho circulation OF bills. ieposing
thereon for security, by the inevitable law of
will command the aid of every
man who holds a i've dollar note, in uphold
Ing the government.
The finances Of the United States have been
by the Secretary Of the Treasury
with surprising ability. during period moro
trying than 1t was, perhaps. ever the 10, of
any other people to pass through. The cred.