The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-10-13


ton or tho Treasury Departments.
We said some time ago, when commenting
upon the irregularities in the Treasury Depart
ment, that probably there would be astounding
| developments before long about matters in the
Treasury We published only the substance
of q part Of what we had heard fearing to
alarm the public, though much Of the informa-
ton had the stamp of truth on it. We called
then for an investigation we called upon the
President to have the Printing Bureau and
other branches Of the Treasury thoroughly
overhauled. This is but short time since.
Nothing, however, as far as we know, was done
Mr. McCulloch, probably, was afraid to have
his department probed, and the President, per-
haps, had too much confidence in the Secretary.
Now We have the startling announcement
that large amount OF seven-thirty bonds have
either been forged or fraudulently issued from
the Department-which we cannot tell at
present An amount equal to two hundred
thousand dollars, 1t ID reported, has already
been discovered. This ID the Hrst news. What
may follow remains to be soen. From the
loose manner in which the Treasury has been
managed, and from the Information No had
previously received, 1t would not surprise Us
II more startling revelations should be made,
and that the hundreds Of Thousands should
swell UP to millions. But are tAese seven
thirty bonds forgeries! Arc they Aot stolen
duplicates fraudulently issued from Offices In
the Treasury! That is the question, and . very
important one, which the people want ex-
planned One report, evidently dictated by
Treasury officials, represents them to be forged
by outside parties, while another doubts this.
There appears, ct least, reason for suspicion
that they were fraudulently issued through
those in the employ Of the government The
fact that these bonds circulated freely, even in
the banks, and that there is 50 much doubt
| about the character Of them, siren ,thens this
| suspicion. In saying this we have no wish to
excite unnecessary alarm. The credit Of the
government cannot be shaken beyond the tenn
porary effect of the present excitement, which
may be made use of by Wall street stock
gamblers for day or two, for it stands upon
firmer foundation than Mr.. McCulloch and his
subordinates. But in order to overcome the
temporary effect and to inspire co lfdence it is
necessary that we should know the worst-the
whole truth. Any holding back OF information,
which the Treasury Department seems disposed
to do, will only make the matter worse. A
thorough investigation is imperatively de-
manded, and the President himself as
the head of the government, should order
the most searching inquiry to be made by
persons Of character and intelligence pm
connected with the Treasury, and then lay the
facts before the public. This should be done,
too, without delay or waiting forany action on
the part Of Congress. Yes, every branch of
the Treasury Department should be thoroughly
overhauled.
But whatever may be the character Of these
spurious seven-thirty bonds, whether forgeries
outside Of the Department or fraudulent issues
from it, there is one fact that stands out promi-
nently which cannot be controverted, and that
is that the Treasury has been shockingly mis-
managed No investigation Is necessary to
Prove this; it stands out conspicuously, SO that
every one can see it. The stupendous frauds
in tho internal revenue, amounting to one
hundred and fifty millions or more, result
from the utter ineficiency Of Mr.. McCulloch.
As the head Of the Treasury 1t is his duty to
keep vigilant eye over every branch Of that
service and to protect the government from
robbery yet there has not been day and
hardly an hour in which the most barefaced
frauds have not been committed. The latest
evidence Of his incompetency and the irregu-
larities in bis department is seen in the case
Of the spurious seven-thirty bonds. However,
this is not all we have against him by any
means. He is the humble disciple and tool OF
Mr. Chase, and all his efforts are directed to-
ward carrying out the ruinous financial policy
and political schemes of his master. He up
holds the infamous national bank system,
which robs the public Of twenty to thirty mil
lions a year in taking the profits Of IA
tional currency which rightly belong to the
people and government He, like Mr.. CHASE,
would fasten upon the country this gigantic
and dangerous monopoly, that threatens to
swallow up all the profits Of industry and to
control the affairs Of the republic in the int
rest Of moneyed oligarchy. He uses the i'm
mense resources Of the Treasury and the
enormous surplus fund In il TO control the
money and stock market, by which . certain
set Of his friends and the friends Of Mr.. Chase
are made rich. He has been Withdrawing the
non-nterest bearing legal tenders and adding
to the debt bearing gold interest, thus in
creasing the burdens Of the people, when he
should have bought up and cancelled as much
Of the interest bearing debt as possible,
and 30 have reduced the debt and lightened
our burdens. He holds all the time about
two hundred millions in the Treasury unem-
ployed, reckoning the gold in currency, thus
losing at least twelve millions year in inte-
rest. We might 60 on further 10 show the in
capacity Of this Secretary Of the Treasury, but
this il enough. five were to say that his mall
administration Of the Treasury costs the