The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-11-25
The Bondholder. Before Consre...

Inc uTSt Jay Oh the auJOuTneu session Oh
Congress did not pass over without a move
ment being made in that body in favor of the
bondholders. Mr.. Edmunds, of Vermont, in
troduced joint resolution in the Senate de-
claring that the faith and credit of the govern
ment were pledged to redeem the public debt
in coin or its equivalent, that the debt is owing
In coin or its equivalent, and that Congress
thereby pledged the United States to make
payment accordingly. The resolution was
read, laid on tho table and ordered to be
printed. Mr. Edmunds gave notice that he
should call it up at an early day, and said he
hoped it would be passed with entire una
nimity. We notice, too, from our Washington
correspondence published yesterday, that the
subject of national finance was the absorbing
one, and that members of both houses of Con-
gress are preparing to discuss ii. It is evil
dent also, from the letter OF Thaddeus Stevens
endorsing one from John Law, Of Ind-
ana, on the question of paying the debt in
greenbacks, whish appeared In yesterdays
HERALD, that the great radical leader Of tue
House is paying particular attention to this
subject Altogether, we may expect to have,
early in the session, very full discussion Of
our national finances.
Mr.. Edmunds fired the first gun in The great
fight coming on between the bondholders and
the taxpayers about the national debt, and it
comes from the bondholding side. There
is no difficulty in divining the motive or
object of this hasty action in the Senate.
Public opinion in favor Of paying the
debt, or a large portion OF it, in legal ten
ders has been growing rapidly OF late, and the
bondholders are very anxious, evidently, TO
foresta!i or head that on by some action in
Congress. I! Is an effort to get a sort of snap
judgment on the question before the people
have acquired clear ideas on it. There is, how
ever, another side to this question, and we
think the Senator from Vermont will not carry
his resolution with that unanimity he processes
to anticipate. There is great deal Of ignor-
ance in Congress on theisubject, it is true,
but a. it has been introduced 1t will
now be well ventilated. Judging from
what occurred last spring and winter. in Con-
gress and from the current Of public opinion,
there il reason to believe the resolution will
meet with considerable opposition, at least in
the House Of Representatives. But whatever
the result may be, the action Of this Congress
cannot bind that Of future Congresses If it lie
the viii Of the people to pay the debt, or por
ton OF it, in lawful money while that is the cur
rency OF the country.
Mr.. Edmunds assumes too much when he
says /" the debt was contracted or incurred, ex-
cept where specially provided otherwise, upon
the faith and credit OF the United
States that tho same should be paid
or redeemed in coin or its equivalent"
The contrary is the case. Wherever 1t was
principal in coin that is expressly provided
for in the law and mentioned on the bonds.
There Is small amount Of securities of this
kind. The greater part of the debt-and we
may mention the fivc-twenties particularly
carry no such obligation on them. 1t was not
an accident or oversight on the part OF Con-
gress, when creating this portion Of the debt,
in emitting to say in what the bonds should be
paid. There was clear understanding and
purpose in not saying they should be paid in
coin or its equivalent 1t was intended they
should be paid in whatever might be the cur
rency or lawful money at the time OF payment,
whether paper or specie. The Chairman of the
Committee of Ways and Means and the leader
Of the dominant party in the House, Mr..
Stevens, explicitly states this TO be so, and he
made explanations to that effect at the time
the fye-twenty bill was discussed. How can
Mr. Edmunds or any one else, in the face Of
these facts, say that the government is pledged
to pay this portion Of the debt in coin or Its
equivalent! Thus far, then, as TO the law.
The bondholders have no legal claim to be
paid in coin or Its equivalent The govern.
ment can suit its convenience and the welfare
Of the country in paying at maturity or buy
ing up previously the debt in whatever money
II chooses TO use for that purpose.
But the bondholders say they have just
aud equitable claim TO be paid in coin, what
ever the law or face Of their bonds may ex.
press or fail to express. They talk great
deal abest tho honor of the government and
is credit We Are quite sure the credit Of the
government will be preserved better by pay
ing of the debt as rapidly as possible while
the currency j. deprecated than by perpetual
ing i Should specie payments be forced
there would be poor prospect Of liquidating
the debt. II would become perpetual bur-
den, like the debt Of England, and we should
be In danger OF reputation. No, the way "a
preserve the credit of the government Is to pay
the debt rs rapidly a. possible while the cur
rency Is abundant and deprecated. As to the
equity OF the case, IL is the height Of prcsump'
lion to talk Of that The cfaim is usurous and
exsorlionate. These bondholders gave thu
government fifty or sixty in paper Cor tbsi
bonds, aud now demand hundred 10 coin
I
Where Is the -qs.,y sr jusric. y iAs.: Justice
Is not one-sidcd.~ Something IA due TO ths