Daily Ohio statesman. [volume] (Columbus, Ohio) 1855-1870, 1868-08-24

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people. 1t is notorious fact that Radical
! Congressman went to Washington poor.
and after one term returned home rich and
Independent; but these railroad operations,
being at least of some good to the country.
are hence no comparison to the unparalell-
| ed fraud of the National Banks. Let me
! illustrate to you. Five bondholders, each
having $4,000 bonds, take their joint $780,
| 600 bonds to Washington, deposit them
! in the United States Treasury, receive GER
tificate therefor, and their bank charter.
with permission to issue ninety per cent.
on theamount of bonds deposited in Ma
! tional Bank notes; or say 5000 on every
81, 600 bonds deposited. and receive besides
the interest on the bonds semi annually in
gold. Thus these banks issue 100000 in
banking currency or notes, which, at the
rate of 10 per cent, returned annually,
$1,000, to (which add the interest on
the bonds, $1,000 in gold, or 50 600
in greenbacks, makes aitotaT of $4,000 in
terest derived from their S1OO.OO0 bonds.
which originally cost them at most $4,000
| or $4,000 in gold, and on which capital
| they pay not cent to the support of the
the State or General Government. Now
think of IL. There are in the country near
| ly eighteen hundred such National Banks,
which, holding about five hundred millions
IN bonds, the Government annually pays
thirty millions interest in gold, and to
which, having about three hundred and
thirty millions bank notes in circulation,
the people beside annually pay at the rate
| OF ten per cent, or thirty-three millions,
for furnishing them with this currency
hence ask how long will the taxpayers be
able to stand this? Nay, how long shall
me people submit to such infamous
wrong? fsh!o14) 'iuoS II sJ0y Iii0ll no
There are about three hundred millions
of greenbacks and three hundred and thirty
millions of bank notes at present in circu-
lation. Now If the Government would re-
deem these bonds, deposited as security by
the banks, with grcenbacks, which certain
ly are as good as the notes of the National
! Banks, there would not be one dollar more
paper money in circulation; and vet the
people would save every year forty-tive
millions interest on these bonds, or at least
thirty-three millions, which they paw these
banks for the use OF this currency. The
bondhoIders are opposed to it. So also is
the Radical party. eglt .t.e a1i d fsri
And this, then, brings us to the question
the great financial issue-are these bonds
+ payable in gold or in greenbacks, the legal
tc1trency of the country? The Radicals, In
tue interest of the bondholders, claim that
these bonds are payable in gold. The
Democratic party-in the interest of the
people, the taxpayer and the laborfng men
t-clalm the very reverse. And now leg us
see which is right. Let US put the question
fair and square, what is bond? An evil
dence OF loan or certificate of indebted
ness. NOW what does the word 'loan''
mean?, Webster says: Irif1sia 5iJe19ou
! That which is lent" 1st. Anything
furnished for temporary use to person at
his request, on the express or implied con-
dition that the specific thing shall be re-
stored or its equivalent in kind. ,. 'iu
I'd. Something furnished for temporary
use, on the condition that it shall be re-
/ gt0rp0- IFS Qnniuolarof Nth n
tion for the use, as money at interest.
3D. The word "debt" means that which
is due from one to another. Now to as
certain in what currency-these bonds are
payable, we have only to find out with
what currency they were bought, or the
loan to the Government was made, and the
solution is plain, for ii loan my neighbor,
either for or without compensation, a
Dushel of oats, worth dollar, he certainly
is not obliged to return busheI of wheat
worth two dollars. Now, If the Govern
ment loans you one hundred dollars In
greenbacks, you certainly don't expect to
pay one hundred dollars in gold, and so vice
versa. Now, then, what does the Govern
ment owe the bondholder? That which
the bondholder loaned to the Government.
Certainly nothing else, and nothing more;
and hence say you bondholders ex-
changed your gold for greenbacks, and then
bought these bonds with or loaned the Gov
ernment these greenbacks, worth at the
time from 40 to so cents on the dollar, and
all the Government now owes You, is to re-
turn you yolr identical greenbacks, with
the interest agreed on, and nothing more.
And this brings us to another question.
Should these, bonds be taxed or mott? BY
investing in bonds, the; holder merely
changes the nature of his capital, which to-
day consists of horses, cattle, goods or
farms, and Tomorrow, before the Assessor
comes round, he may convert into bonds,
and when he is gone exchange again into
goods and merchandise. A broker, banker
or stOekholder may thus carry on business
with capital of SOC, 900, and yet at the
time of assessment hold every dollar of it,
conveniently in bonds, and thus not paw a
single cent of taxes. But there is another
rea son why these bonds should be taxed
Because they represent money simply in
another form, and as money is not exempt
from taxation, neither should these bonds
be. By the illegal tender act" the Govern
'ment issues were declared to be money
The Treasury notes, called greenbacks,
were thus made legal tender, bearing no
interest, and have to pay tax. Why, then,
should the bonds which bear interest and
are payable at a specified time, not pay tax
also? The difference between the green
back and bond is simply this-the one is a
Government promise to pay certain
other; the other is a Govern
ment promise to pay ii a certain
sum, at certain day. with interest: hence
If of the two, one should be exempt from
tax, it should be the greenback and certain
ly not the bond. But, if for no other rea-
son, good policy and justice demand, that
these bonds should be taxed. Is it right,
that those who possess large fortunes in
bonds, exposed to no risk or loss, except
such as they may incur by their own folly,
stubborn and Just demands, shall con-
tribute nothing towards the support of the
Government, which afforded them such
advantageous investment and upon whose
existence the security and realization of
their very capital depends? Is it right, that
the rich bondhoider, who possesses from
ten to hundred thousand and upwards to
million dollars in bonds, and draws his
interest semi-annually in gold, shall not
pay single cent, municipal, county, State
or Federal taX?-not cent, for building
and repairing the very roads and bridges
over which he travels; not cent for the
support of the public schools, in which his
children are educated; not cent for up
holding the courts, which administer JUS
tice alike to him as to his neighbor, or for
maintaining the police which guards and
protects his life and property? Shame up
on the man who demands such unjust
privilege over his tax paying neighbor,
ana asks CldG ne WHO lOlls anu laDOrS snail
pay alone. But this exemption is not war
raEted by law, though the faithless repre-
sentatives of the people may have granted
such privileges to the bondholders by enact
ments, yet such law being palpably unjust
and incosistent with Republican institu-
tions hence is clearly unconstitutional;
for the Constitution was made and adopt
ed by the people for the very purpose to
establish justice" Citizens, if this present
system of UOVPrnmenta lasts much lnn oar