The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-10-03

ALesssr fr.- General Butler.

Z A Letter frsa General Butler. e8
a.. Trend - ssns me slip from your weekly,
sosAinins The sbsasspy 70 my letter On the sabieos
Ss rssoscs FOR che editor the paper sad It's read
"a prumpts me 20 rsjondss uhica may costain little
clearly The exact siasmsnt Of the question u issue
Nv mo- e,r,sss desire 10 that the government shall
fully honestly exactly meet every one Of s obiga
taA according 20 the exees sad eqsisos oononon 81
sdvooas nothing short Of tnu and justice and good faith
sss.rted that the fveswsasy bonds were payable a.
principal In cursacy and not 10 gold THIS the
1sne denies and insists that they are payable IN gold
The whole quest on is what WAS The contract between
INC government and ns crsdorsf
The arst $50 600 loan Of August 1851. was issued
q seven-hiry nlerest-pnncpai and interest payable
u gold-wss 80 taken and 20 paid. When the Five
twenty Loan was passed established the interest
sx per cont payable in god but said nothing - 70 the
currency IN which the principal was 10 be paid
When the fve-twenty loan before Congress Judge
epaiding Of 0nio. asked Mr. Stevens. Chairman OF The
o. On saoS wss n.vsSe m sos a. w. 'ss
the To which Mr.. Steyens replied thai Inc
principal was not payable In gold.
AZ the same session. when tho first fve-twenty loan
hill passed. The legal lender act was also passed.
providing for the issue Of wna are now known as
sgreenbacks II was therein provided and 50 printed
the hack OF every that il is legal tender for
every debt public and private except duties on iEn
pos Aaa as n's6rs. % e PuSe seI1 ss as wh
except tho interests
Besides the made it receivable by The United
6ve-tweniy bonds tss
Again, IN the following Congress- while portion of
The ayewenty loan yet untasen, another enforIy
loan was authorized five per cent interest, both
principal and interest OF which, by the terms OF the
act, we're made payable IN gold
Now, ii il was he contract OF tho government
the per fve-twen,y bonds were, nteres, and
principal, payable Ia gold although directly tho con-
frary stated their fsce Why was Il that the gov
ernnent offered aten.soriy loan at five per cent inter-
est and principal both payable 10 gold
In other words, how could the government expect the
I'VE por cent gold payable and gold bearing be
taken up when had toe six per cent gold payable and
gold bearing loan still before the country
You say the Tribune largely zeaorsly nstru
mental at the reQis OF government through It's agents,
70 persuadns the people 70 let the government. have
tier money for those bonds We assured them day
alter day that every would be paid IN full coin
principal md interest.
Jay Cooke the agent Of the Treasury sud you will
consult tho ies OF the Tribune containing tho advertise
men OF that loan YOU will find that Jay Cooke adver
ssed the ten forty loan as only the govern
men, the principal aud interest OF which were payable
In gold.
have not seen that advertisement in the Tribune
Il WAS advertised and assume Jay Cooke took adj
vantage Of so valuable medium or advertising
feat OF the dcsirabi,y OF the ten-forty loan,
- he certainly did so advertise in other papers.
You further say: General Butler uttered word OF
dszenuhen "i. e., when tho loan upon the market
True because there occasion. And still another
and perhaps equally available answer General Butler
that time had other public interests in another branch
Of the service TO contemplate and try to serve.
Again: You do not deny that this nve-swenty loan,
y
United States Ihal Is, the five years have passed al
the end OF which, by their terms the United States re
served the right pay ihem and the government has
the right pay them TO-DAY in whatever currency the
contract calls for--whether gold or paper.
these bonds arc payable In gold, why are they sell
ing at from los 10 III In currency when GOLD worth
l43 to 1852
II the United States should choose exercise
Yfgnt to pay them-which would 10 b. wise
they untaxabie, that their interest H. In act,
from three per higher than six per to
the hoderln thai why should the government be
called upon pay them in gold its equivalent in
currency, say l43, when anybody else can buy them
at 1872
Why should the taxpayers be called upon to pay the
holder from thirty 10 forty per cent moro In order TO 70
deem these bonds than, they have the right 10
do, the capitalist is willing to sell them for TO any
body elsef
Assuming that no doubt, In view Of the
legislation OF Congress- and the words OF the contract
that these bonds payable currency, my next
position is--Tnat the United States shall issue
most advantageous and with the proceeds pay It's hye
twenty credos aud thus reduce the rate Of interest
while at the same time keeps exact faith in it's con-
tracts
am unable to see that this Ia dodgen ''repud
alton switch ia . longer synonym for rascaty,"
anything "irreconciabe with common honesty. !"
"rhese DO hard words, masters Az do not think
they add anything to the strength OF the Tibne
ment upon legal question relating TO finance, certain
~ neither reply to nor return them.
only propose TO reply to the specific argument OF The
Trbune and therefore, refrain from discussing any Of
the collateral branches OF this subject
May ssk-as the question 10 one OF great moment TO
che countryycu In justice and fairness 10 give this let
Yer the conspicuous insertion in the Daily Weekly
and Sem Weekly Tribune which you gave the attackf
ssCommon honesty would seem TO require this.
Very truly yours, Is. ,. BUTLER