The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-09-25

compelled to collect this loan because seymour anu
the government and also prevented others from
doing so by alleging that the bonds and notes were
not worth The paper they were printed ON b sa pro-
posing 70 paper their houses with thism sna aaont
nc otner treacheTens methods By which they endea
v0red 10 destroy the credit Of the bonds.
Let me ..i,,iaatrate this point. The govern, tent
wanted shot, shell. powder, tents and clothing: I'M
less they could procure these the rebe, would
succeed Seymour, Vaandighay, Pendeton and
other peace democrats desired to prevent the gov
would be used so as to diminish the democratic
party Of the South.
TO procure these the government needed money
It could not borrow enough and 1t therefore said, wo
must. for the time being. force loan.
II issued $3.50 600 OF its demand notes and by
law compelled creditors 10 take them. Now what
had these creditors lent 10 those who owned themS
Surely gold or its equivalent, for up to that time
there had been no deprecated currency. IL follows
that by means of the legal tender notes the govern
ment transferred TO Itself s450000 600 OF real capital
in gold or its equivalent which had been accumu-
lated by the owners thereof before the legal tender
act was passed. Now 1t matters not how much these
notes have deprecated since. The government re-
ceived their full value in gold dollars and In real
dollars they must be paid Justice will not be DONE
Now let us see what consideration the government
received for the 3l0ths and the fyetwenty bonds.
/ will give you a real case.
One OF the cotton mills OF which am treasurer
made eght-ounce tent duck which we sold to the
contractors who made tents, agreeing TO take our
pay in whatever they received from the government.
They took 310th notes transferred them TO US, and
we sold them mostly to the savings banks OF Massa-
CHlSetLS at less lndQ CuTTtuCy. NO Iuoucy HO
greenbacks eyen interviewed In the transaction. Now
let me ask General Butler In what money ne VIII pay
the hve-twenty bonds into when the savings oanas
duck? hope he WILL as it would have more value
than the bond the note of the United States would
have II be had his way, and thus The sdepositors
But must trace out our own transactions yet fur
ther. In the year 1859 my corporation borrowed
5000 OF another savings bank, in which have
little doubt that many people III Essex county are
depositors. The money lent me was gold or us
equivalent paid that note in 1868 In greenbacks,
which were then worth only sixty-eight cents In
gold (but which represented 100 cents received by
the government, and the bank. as have reason to
believe, converted these greenbacks into vetwenty
bonds General Butler says, "Pay these bonds in
the same money Of the same value that was SUBJ
scribed for them;" that is pay sxtyeight cents In
gold. When he does this he will cheat those who
deposited the gold In 1859 out of thrtytwo per cent
Of their capital. The bank win have only $4,000 Of
gold to represent $50, 900 deposited in 1859.
The very men who are interested as degositors in
this bank will, doubt not some Of them, be deceived
into voting for General Butler, for the bank is in
Essex county. ~ Ia r,
On the ivetwenty bonds thus taken by the bank,
these depositors have received six per cent interest
in gold and when they paid 100 cents in gold on
the principal they will get Just what the government
borrowed OF them and no more.
The government borrowed this money by forced
loan; it was a harsh measure But what would my
note other note have been worth had the rebel
lion succeededs We should all have gone to ruin
been been bankrupt. BY the act Of borrow
Ing that savings bank deposit ana other
capital Oh ike CHARACTER HdtlOn was sdVcu duu
the bank win be made good If slc nation had not
been saved bank, corporation depositor and all
would have been ruined together If justice is done
all are saved but we had better have been ruined
than now to be dish0nOred.
l have said, gentlemen, that we have raised by
passive war the sum Of $2,2laS42,4se in gold and
currency. have by estimate reduced the currency
receipts to gold and a nd mat tins nominal sum
lars. During the period OF active war the Southern
States must have collected taxes, or, what 10 the
same thing must have diverted labor from pro-
duction to war equal In gold value to at least one
half this sum--say &s40 00O, OO0-which would make
the total tax all the States So 600 000 in gold
And now gentlemen, IL you would fully realize
what this effort has really been, ask you to COM,
pare the revenue OF these seven and one-quarter
years with the revenue derived from the people by
taxation during the whole period preceding April
l. 1884, from the date of the adoption Of the const
tuition and the formation Of the Union. have not
In Hunts Merchants Magazine for December, 1867,
i 1nd this total stated as follows:-
From the adoption OF the constitution TO June 30,
1861, the receipts were:- te
From customs s9z'o 90.
FROM lantS VOL
From direct taxes and miscellaneous
receipts. ..............., ........... s5,3oo,aZl
Total. 81, s4s 275, 1913
or this sum include SO, 600 600 in my estimate OF
the cost OF the war being the revenue collected from
from this and speedily complete the payment OF our
debt which we have 30 glOriousy begunr II in time
OF war such has been our record shall we falter
and sink disgraced and dlshonored into fraud and
bankruptcy?
Has this enormous contribution been at the cost OF
our prosperity Far from IL. will again cite the
evidence OF David A. Wells az I did in my former
speech
Since the termination of the have
been erected more pg iron s%es bar. rolled more
vessels built upon inland waters, houses
structed, more manufactures of different kinds started,
exported than any equal period in the history OF
the country, either before during the
ducton OF the late rebel States TO contribute TO our
revenues
Think what tins sum of money, $4,000, OOo, ooo re-
presents. 70 IL the measure OF the labor expended
by the loyal States only for war purposes. With
this $4,000 Ooo raised In part by taxation and In
part by loans the government secured the services
OF the loyal who enlisted In armies and the
services OF those who furnished the material OF
The average Is SOL 500 600 per annnm, and at the
rate OF two dollars per diem, or about 800
year. It represents the labor OF 100000 men for more
than seven years
Treating this subject merely from the economic
point, had II not been for the awful sacrifice Of lie
and the desolatlon OF SO many homes for which the
democratic party must answer at tie judgment day,
could we OF the North have complained OF want OF
progress in all that pertains TO material prosperity
even during this period OF active war;
do not deny that our prosperity has been less or
that the accumulation OF wealth has been much re-
tarded, but do alrIn that IN all these years we
made substantial progress, and although our national
estate IS now under heavy mortgage, yet II Is one
that can be easily lifted, aud one which the aboli-
ton OF slavery and the establishment OF civilization
III uht section vi oui country, Which " ,st now Dut
half redeemed from barbarlsm, will enable MS to pay
merely from the Increased production which will
ensue in that section induced by The change from
slave 10 free labor. NI
Bear in mind that the labor of the war has all been
expended That portion which has not been paid
for may all be paid from the increased production OF
country, hut II we allow Southern rebels to
into power and repudiate the debt, we thus allow
them TO avoid the payment Of the bonds which are
all held by loyal men, and thus TO reap only benefit
and bear no part OF the cost OF the war.
] saw gentlemen. they will reap benefit. The
OF slavery IL the redemption OF the SOUTH
and when the wounds are healed ami the passions OF
war have passed away, the future generations OF the
South will thank God that the curse OF slavery has
been removed even at such fearful cost TO them.
But let us return to the staament or facts or the
Of 900 raised by taxation since the
began. the larger portion has been paid since the
ended. In three and quarter years. from April
J. 1885, to June 80, 1865, raised 81, $40 ,5s3
which was applied as have elsewhere demon
strated, a. folows:--
To the reduction of the war liability, which
In M Il 10 20 ns1 -,a $500