The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-10-03

statement OF the aid his bank renders the govern. /
ment and u1ce versa than the above. Let me prove
N Genesa D. 3 ~ s Sovsmber al 1857
said" What Is the next propositlonf why. us
said we must not interfere with the natlona banks
because they patrotcal,y helped US during the war;
Upon that iake issue with each and every advocate
Of the banks. On the contrary, they helped theia-
selves not u.s. Is sad 5ey ,oseI h o me- state d s
way a national bank got itself In existence N New
England during the war, when gold was zoo anu
company q men got toae.-.s.. 100000 IN .SSnal
bank u,,,. 90. :, the Resi-srr or the Treasury
W,sh gold al 200 and bought United States
ass'wsa.y bonds e par; fasy stepped Sars into
!ne inc once once :, OF the Comr>-.... ny,
received irom. MIN s27O 900 in currency without In
seres', upon plcdging these bollls OF the United
STATES .ney mad Just bought with the 5000 100 o. ,e
ana now does the account stand' Why, Inc united
SLAVES government receives 10000 in nat AMI pnnh
b.iis more from the banks than It gave them OILS
N otheI words " borrowed Of the bank $780, ~ ~
currency 'or which, IN fact 1t paid SIS 900 yea IN
goa ,n.e,est equal TO $4,000 In currency, for e. y
use OF ms $50 600. Let me repeat. The difference
between what the United States received ana paid
out was only $50 900, ana for the use el that the
government pay on the bonds deposited by the COM
pahy, bought win the same kind OF money, SIS 900
year interest In gold equal $50 900 in currcncyn
Describing the depository banks like senator Cat
tes, for instance, General Butler went on 90 say
But the thing did not stop there The gentlemen
were shrewd hnanciers. Their bank was good
one tey Went 10 the Secretary OF the Treasury and
said, 'Let our bank be made public depository"
Very well; II was good bank, the managers were
good men: there was no objection to the bank 1t
was made u public depository, and thsreupen the
c0mmissarles, the quartermasters, the medical
director and purveyor and the paymasters were all
directed TO deposit their public funds in this bank.
Very soon the bank found that they had a line OF
steady deposits belonging to the government OF
about million dollars, and that the $1,000 they
had received nom the Comptroller OF the Currency
would substantially carry ON tlef uaiiy business,
and as the government gives three DAYS on all
its drafts II the bank was pressed it was easy
enough to go on the street they had good security
They took the million Of government money SO de-
posted with them and loaned It to the government
Tor the governments own bonds. and received
therefor 100000 interest In gold for the loan 10
the government OF its own money, which in cur
rency was equal to $iao, 600. SO that when we come
finally to balance the books the government Ia pay
ing $685. 600 year for the loan OF 100000 And this
IS the system which Is forever on the country as
means OF furnishing circulating medium This,
only using round numbers for the purpose OF Illus
trat0n, is an actual and not fegned occurrence"
can quote half score OF republican and Two
score OF democratic Congressman to prove the cor
RICHNESS OF this description OF the operation OF the
national banking systematic most nefariOus ever
sadded on any people. free or slave.
son are nearly Tea e 81 these ners In
many banking institutions that receive no more aid
from the government than men engaged in any
the people with any better accommodation than the
less favored institutions the fact Is yet to be dis
covered.
am aware that politicians do not ike to face
these facts pending an election; but the people like
them NJ such times better than ever.
observe that the republicans have In many in
who have proved to be partisans OF the national
bank infamy. In the few Congressional districts
where bank partisans have managed TO secure re-
publican denominations tho friends OF Grant and
Oolfax win consult the best interest OF their party
and the people by eecting honest democrats TO Con-
gress instead Of national bank republicans"