Cleveland daily leader. [volume] ([Cleveland, Ohio]) 1865-1873, 1866-03-17

: route to the Territory of Idaho, which were
appropriately referred.
. Mr.. HAYES, of Ohio, introduced Joint
resolution 10 eonstrue the fourth section o.
the Army Appropriation bill for the yeal
ending June 30, 1866, SO as to entitle To the
three months pay, provided for therein, all
officers of volunteers below the rank o
Brigsdier General in service at least three
years and whose resignation was presented
and accepted after the surrender Of Lee in
April, 1865, which was read twice and re-
ieTred to the Committee on Military Affairs
The SPEAKER proceeded 10 call com
mittees for reports of private character.
At the expiration of the morning hour,
there being no business on the private cal
endar, an unprecedented circumstance, the
House resumed the consideration of the
Loan Bill.
Mr. PIKE said that he wanted to offer an
amendment to the bill providing that any
bonds issued hereafter, except those issued
in accordance with the existing obligations,
should be subject to the same State and
municipal authority as other property OF
like value. He said he had no feud with
the gentleman from Illinois, Mr.. Went
worth, on the score OF deprecated currency.
Congress wss upOn the ses Of irredeemeble
paper, knowing the dangers of the voyage
it was about TO take, and was fnlly warned
| W NAAAduulS hdtn anu oblCI6 On but ULutF
side of the House, and the prediction was
freely made that it would become as worth
less as old Continental currency. Still Con-
gress persisted, and its action was undOubt-
edly unWise. Great evils had arisen from
the flood Of paper. As t0 legislating for or
against geld gamblers it was nonsense TO
make the attempt.
Mr.. boutwell,. He and had learned
that the Secretary had converted fifty mil
lion, and that after that conversion doubts
had arisen in his mind as to his power 10
do so for himself. He thought the course
pursued was entirely justified by law, and
the Secretary would be justified in proceed
ing further in the same way, but il there
was any doubt in the Secretarys mind, that
doubt should be removed by the legislation.
| The two circumstances to which he had re-
ferred, were these:
1st. That while there has been no reduc-
ton in the amount Of currency or the circu-
lating medium, since the close of active
hostilities, there has been a constant and
Observation-Disclosures in the market price
of gold, and second, lat the mercnandize
of the country, meaning portable property,
which is the result of labor, was to-day
worth more in gold than some articles were
worth in the years 1852 and go.
The Legislature should not grant such
/ power TO any man. With such power con-
/ ierred on one man, no business community
could feel safe, and capital would be with
drawn from business enterprises. The very
| tendency of this bill had thrown damper
upon the business of the country.
| Mr.. STEVEFS had no hesitation in say
/ ing that the doubts which the Secretary
| came to after converting fifty millions were
solid doubts, and that he had no power to
spend money, but had power to exchange
with anybody who chose to exchange 1t
was for the purpose of removing that doubt
| that his (SteYens) substitute was offered.
II confined his power to that single opera
tion. 1t solved the Secretary's doubts, pro-
vided for the case and left the matter there.
As to the conversion Of securities paying
interest in currency into six per cent bonds
payable in gold, it was tantamount TO in
creasing the interest from six to eight per
cent without any advantage whatever to
the government. The Secretary had power
to withdraw now from circulation $50, ,0OOOO0
in the shape of compound interest notes,
and besides that he asked power now TO
withdraw 200. 000, 600 of greenbacSs. which
would permit him to contract the currency
3S0,OO0,OOO IN single year. If this
law We're passed. the members would be on
the wOrstraek they ever were on. He did
not believe any business firm in the eoun-
try would survive it. Perhaps the Seere-
tary might not exercise the power, but, then
again, perhaps he might The Secretary
had the right now to pay off 520s at the
end of every five years in currency. The
interest was payable in gold but the princi-
pal in currency. Would it not be wiser to
sell the proposed issue of bonds for
currency, and pay the outstanding FIVE
cwenlies But the most extraordinary
recommendation of the Secretary was to
pass an act declaring that all these 5-2Os
should be paid not oniy interest but princi-
pal in coin, as that would help them very
much in Europe. The Government had not
a dollar of these bonds 10 sell To help the
clever men in Europe, who held perhaps
SoG0, ,000, GOO of our loan now, and who, if
this recommendation was followed would
have 80 Per cent. added to the value of
their bonds He Mr.. Steyens) did not
understand that system of finance.
Mr. Stevens read from the Secretary's
report, in which he says that it will not be
necessary to retire more than one hundred
millions, or at most two hundred millions
Of notes in addition to the compound inter
est notes, and repeated sthe assertion that
the Secretary asked the right to convert
greenbaeks and legal tenders bearing no
interest into fve-twenties bearing gold in
terest of six per cent Assuming the Sec
retary to retire two hundred millions Of
greenbacks in this way yearly for two
years, he would be adding twenty-four
millions annually to the taxes of the coun-
try to pay interest on what was not paying
a dollar Of interest.
Mr.. WENTWORTH-(Addr Mr..
Stevens)-You know more than all of us put
| together. Just state TO this House fairly
and eandidly whether if we follow you you
can lead us to specie payment (Laughter),
and whether you would if you could. Now
play fair.
sIr. srEVENS-Seriously, all can say
is that if I believed we could resume specie
payment within q month without breaking
| down manufacturers and depressing the
people, would, if l had the power, order
| that every bank in the country and the
government itself should resume specie pay
ment.
MIR. GARFIELD addressed the House in
/ advocacy of the loan bill He said there
| were two features of our financial system
| for examination and settlement. The first
was in relation to our Indebtedness, which
should occur from time to time for the next
two and half years; the next had refer
enee to standard of value or currency.
\ Financial problems arising since the war
were greater than they were during the
war. This was the time when greater
power, greater exertiOn, and CRATER talents
even in a financial way were needed.
There would fall due within three years
| SIG, 900, eco to be presented at the counter of
the Treasury for payment. That payment
must be made or the paper of the govern
ment would 90 TO protest, and its credit be
broken. Temporary loans, which cannot be
called for, and must be paid at ten days
notice, was last Friday flty-oue hundred
and nineteen million of dollars. By tine
18th of June next we must pay over and
above the regular expenditures of the gov
| ernment SI3s, ,00O, 900. Dec. 3lst, 1866, S47,-
/ 0Oc, ,OG0: six months later, SS,000,000. Dec.
3lst. '6T, $3.50, ,00G, ,000 Dec. 3lst, '6S, $751;
/ OOO, ,OOO, so that between this and the
meeting of the next Congress, there must
be absolutely paid over the counter
| of the Treasury over and above all ordinary
expenses, $3.50, 100000.
Mr.. DARLING, of New York, addressed
the HOUSE on the question of currency taxa
ton and tariff.
Mr.. MORRILL, said the finances of the
country were not yet out of peril, and the
worst and dangerous time was yet to come,
as was always the case after period OF
great initiation. The gentleman had said
/ that we had not redundant currency; the
circulation now ahoat amounted to nine
| hundred and forty-four millions of dol
lars, equal to $50 per capita of population
No one could deny but that was too much.
Mr.. SLOAN'S amendment was rejected
to by 81 to y.
Mr.. MORRILLs amendment striking
out the foreign clause, was adopted
Mr.. STEVENS amendment was rejected
by 81 to II.
Mr. STEVENS second amendment, au-