The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1868-09-08

tl;n..nt .rd .h., n ordinsry times would Be Z
liiust msssures. II justified BY necessity, ana
lould exiGe Just soiopg ~ the necessity -eAid
"a n, Ait ss:lsfsts'e ~ 8
ls1;T sssnrs - sblptlttiy Aes1sas3 b sarry1
!. ~. v.r bnt II should exist only % long - ne
,1,sity justified it. And why did We pass tne
,scond section2 perceived that the n,es Wss
rery severe: it was hard 70 say TO the people iena
he Government $3.50 900, 600 without interest;
,her.foye We provided that any man who had an
amount equal to 500 could bring II 70 tho ireas
ury and take hand which sgreed 70 pay interest
II 6 per cent payable in coin. II was 70 rolscn
the asperity and apparent hardness 81 the mr. IT,
that the second section was passed,
knew that 1885,, 900 600 would not answer an oui
purposes; We must have more money .nsa =.
! hong the people We supposed that having -
stea {i50, 90o 600 abd shortly after ano'ne, sIs.
90 go. ~ should be able 70 fcat these oonas.
The peonls having ttIismnpsy would say, = w
not like TO keep this without interest," WIN u
sibond that agrees to pay NE interest II eoin
the principal in twenty years our Dehhoei ~.
frioni, tell u.s. the eminent gentleman from ONO
,1lls n, that ii was never meant TO pay the Trncl
Ri in coin, and that the Government should no"
rail itself Of the opportunity e pay i N papel
hooking AT the 6rst section there Is nothhs 70
sainsay this, bur what is the understanding anu
I2eAping Of the Whole law--the meaI Il MAJ |
when it went into operations we are No. ~ go ,.
dous principles, as if We were trying Jaw case
10 are to settle 1t according to the opinion q
those who contracted it, and We are to appeal ~
tho enlightened Judgment Of the Nofio lot ~
coffsctness Of the decision ~ make on TINS quss
tion. 1t Is not question for the cour, 10 aseiee
The language Of the statute VIII Allow you :" ~
1 particular thing IL you choose to do it, but We
sre to appeal to the enlightened Judgment 81 'oe
world whether we are not bound by honesty ane
rood faith to pay our debts in coin. Let me give
You little history OF this bill Whom it passed the
House of Representatives II SAID nothing apou.
paying in anything-in coin or IN currency y saio
10 much money simply; the principal in twenty
years, and the interest semi-annualiy. 10 You
ouppose that any sensible man, any man In Con-
gross, any man anywhere, dreamed At that time
That twenty years afterwards, when these oonds
eame round to be paid, We should be dealng IN
kreenbacks7 Did any member Of fAA& doase ofeeM
That tho rriacipA 81 that debt was 70 Do p,ao
twenty years after its inception in paper, and de-
precated paper at that? No man dreamed any
such thing. The bill came to the Finance Com
mittee and the provision that the interest should
be paid in coin was there Inserted. And why
Simply because as the interest was TO be PAID du-
ring the continuance Of the War, it might De IN
ferred that it was to be paid in the currency oi
that period that it would be paid in greenbacks.
The provision for the payment of the interest IN
e.in was done solely for the purpose Of prevent
ing this inference to be drawn. and not to make
any distinction between tbs interest and the prn.
cipal. To carry ont this provision We provioeo
the means for paying this interest.
| The Senate also made > provision that these
bonds might be rsdsemedin I've years; and what
was it, reason for 20 doingf We supposed the
war would be over before Ave years were out, and
that when the was over We should be able u
not in FIVE years, in ten years perhaps, or II some
period within twenty years, to adjust matters IN
| such way rs to pay of most OF these oonds n
| re 4. n@ - thcnNlt
could reduce the interest," for six per cent interest
| 10 too low for . time Of war and too high TOR
time of peace No nation In negotiating a loan
for twenty, thirty or forty years, would tninK o,
giving six per cent, and no nation IN the Worio
situated a. ours At that time could get money
I ut six per cent. The action Of Congress, there
FORE was taken with the idea to settle up tnll
forced loan as soon a. possible. Having dom
this No are now told by the Democratic party tn.
10 would be justified in taking advantage Of tn1
i've year. stipulation, put in there In Tho hope 9
being ablsto meet al our obiigatians IN that Am
soon after justified in Ps5ins sAsss no,e, NJ
simply became II was tho letter q the CONTRACT
Was ii the spirit Of the contract 1wiAMsstyat
l It. Every nan had sright 70 get bond payabl
in twenty years. and rdeemabls II NE yefi
with interest semi annually, payable IN coin. NO
our Democratic friends say that - the end o. nv
years II 10 right to pay these bonds in EEeaaeAnk
4 064W
would be. Supposs have bond for Sl,s0s.a
20 to the Treasury andthe Government sayI
; will pay you of in these bonds, in these promise
you are not entitled to anything else; that i tn
contract turn round in the same buildin
where am paid, and 90 T. the Treasurer an
sar. "Here ara y thousand dollars in greenback
| the Law saws / may have a bond for twenty veal
redeemablcin fye years When that ivs yeai
is gone ! 60 again, and get other bonds, and :
also at the end of the next FIVE years, and am pal
| of in the same way. That would he the orers
ton Of their method. aud this Is manifest to al
to the citizens Of foreign countries IS Wei az o.
own. But this power which gave the people u
right to exchange currency for these bonds VI
| found very Troublesome. We wished 70 sell u
bonds above par aud this could not be done und'
the existing state Of things. II became necessaT.
4 in the opinion Of the Secretary OIL the Treasury,
got rid Of that part Of the obligation. ob,ects
to it at first. simply the ground thi
it was a violation of our promiee,
. breach OF our obligation. But it VAS found '
were losing money every day, and the suggestie
that a reasonable time should be allowed in whie
!, the paper should be brought to the Treasury ar
: changed for bonds, was adopted The paper vi
spread Ill over the country aud much Of twas u
i changed, and the government WAS the gain
thereby.
IL There is another argument. We Provided
! statute for fund Of coin to pay the principal
: that debt. We set aside ,ha duties on imports.
! the arst place 10 pay the interest snd IN the ne
!, to create fund out Of which the principal was
: be paid. Nobody ever dreamed that the prime
: pal Of this deb, WAS to be paid in promises. !
court, nor any living man, 10 my knowledge su
y posed so. The language of the second section
: precisely the language ofevery previous Law Of
: similar nature there is no distinction whateve
= In that law We provided for fund from which i.
: : debt incurred should be paid, and gentlemen VI
= spoke on the subject in both houses repeated
stated that the principal aud interest would ea
u be paid in coin More than all that, your Seer
= tary OF the Treasury, Mr. Chase, stated il public
in letter, aud that letter circulated in bo
j. branches of Congress- yet no member rose in b
place and said that the letter stated the contra
. | as it did not exist. Not a word vas said aga in
1s aaas4sa SAID e ertsss Ct H. Il. prop1e
! When WAS Secretary of the Treasu
IL recommended that sll doubt should b
I removed by distinctly stating that the principe
! necessary by others; the language Of the law W.
|. such that everybody inferred from it that th
principal was to b paid in coin. Il va. state
!. in the the newspapers, and our agents were il
structed so to represent matters TO the people.
, feel perhaps more interest in this subject tia
| should If ! had not been so intimately connce
! ed with it. Some OF you may reccollect the tim
: when had the misfortune to become Secretary
! | tho Treasury. The Treasury then was apparent
taking ite last gasp, and I make statement her
. | which have not before made in public. Onl
the day before went into the Treasury Depar
mont, loan Of thirty millions Of dollars propose
: by my predecessor was Withdrawn BY the actin
. Secretary of the Treasury, because it could be n
+ gotiAted only on terms which would show that Il
!. government had lost its credit. I found $l00
00o, 600 over duo acquisitions, mostly due to 0,
: soldiers, end another hundred millions comm
: round in about two months There wAe not abos
thirty or forty millions Of dollars to meet ths e,
/ <,ft hn hnSR hat - IL A.. -.