The New York herald., 1868-03-23
THE NATIONAL FINANCES.


former agents and the public press for full and cir
cumstantial explanation OF the grounds upon which
nve-twenty loan In gold was based, and ths
extent TO which the faith OF the nation was
plighted. ! consider the agitation 81 this sub
ject namely, the payment OF our nve-twenty bonds
In anything but gold, as an unnecessary and
injurious attack upon the public credit. No possible
not only OF the nation but the whole business COM
munity must ensue from the bare discussion Of such
question. 1t is useless, because unless we are pre-
Treasury is not in funds TO avail OF its option If it
were right to do SO. It s suicidal and foolish to
@ consactog OF the o loan laws never CONTEMPLATED
by those who framed them, by those who executed
them nor by those who invested under their provi-
siOns.
have not hcSttated to demonstrate with senator
Sherman and others who take the ''greenback" view
Of this question: and now call upon you and all the
press Of the land OF all shades and parties to stand by
the right In this matter.
II the several Secretaries OF the Treasury the gene
raj agent and the sub-agents responsible for Q
..gross deception" OF the people, you, gentlemen OF
the press are equally responsible; FOR without your
noble aid and untiring efforts thep public would never
have responded with such an outpouring OF means
You dssemiAated, In thousands Of editorials, the
statement that the funded debt Ghe ive-twenty and
other oans) were, principal and interest, payable In
coin. Youdid 1t honestly, and 80 did |.
POINTS OF LAW.
In recent letter to Senator Sherman argued as
follows:-That 1t should be considered legal fact
udt The UVc-LWcutlcb are p6ydDe, principal
terest in gold. Because nothing is said to the con
trary In the law creating the loan. Because the Gus
tom Of all other nations as well as our own, has
Because the debate at the time the loan law
was passed revealed distinctly the mind Of
ways and Means himself distinctly stated at
the time the bill was pending that the bonds
were principal and interest, payable In gold. Be-
ing fund, in coin, TO be annually applied to the pur
chase or payment Of the bonds because the secre;,
that the bonds would be paid in gold Because the
bonds were sold TO the people by the authorized
agent Of the government on the strength and con-
Of the law was accepted by the whole country. Con-
gress, including Senator Sherman, stood by while
the Treasury Department was thus year after
gold, without giving single note Of warning Of
any intention to repudiate the contract in after
sad injury Of the negotiation OF the loan
asn ons he periods n his Of the dnsn
thereafter the principal and interest OF the loan
ton was speedily and promptly suppressed, but
not until 1t had done great damage 70 the public
credit, the indications Enthusiastically showing that
upon any other than gold basis 1t would be tmpOs-
sibe 70 sell bonds Because 1t Is fixed and settled
legal as well as moral principle that the principal
gentlemen and senators may well argue to the
winds as attempt to tell the loyal people OF this ma
uOn VINO 1urnlSuc0 Jnc money IN eXCnaUHe IOr THESE
bonds that Congress s not bound by the promises Of
its agents. II q clerk or agent, year after year,
transacts business openly to the satisfaction OF h
principal, making sales, purchases and contracts in
the name ofhat principal while he looks on approv-
ingly and sanctions innumerabe cases the agents
acts they are OF course not only morally but legally
binding upon the principal, although the clerk or
agent may never have had written even verbal
authority to show that his principal Ia bound by what
he has properly done In the regular course Of clerk
ship or agency.
think have written enough to satisfy the bond
holders that there are reasons, and good ones too,
why they need not fear the OF any plan to de-
fraud them OF their just rights. | think, however,
that may say further that any man, or any party,
advocating such shallow and dishonest scheme OF
reputation az would be the payment Of the hve-
twenty loan In greenbacks viii be almost entirely
unsupported by the mass OF the people Including not
only the intelligent educated men Of all professions,
occupations and parties, but the great OF honest
yeomen-the tillers OF the soil. The people who,
through long years OF terrible war, maintained the
honor and integrity Of the nation cannot possibly
standard Of honorable financial credit or to make
ths nation example Of bad faith before the world.
SENATOR sHERMAN's OPINION.
AZ have above referred to Senator Sherman's
position In this controversy, deem il Just to that
distinguished gentleman, whose position and record
during the war have been the subject OF universal
admiration to say that while he honestly believes
the law, strictly interpreted, gives the government
the right to pay the bonds In greenbacks at the
maturity OF the hve-year option, yet in recent letter
ne declares that, 'whe this s my opinion on legal
question, do not wish To raise It, nor did /. II s
forced upon us; and would gladly aid, either by q
return to specie payments, or by exchange Of
bonds or by the purchase In open MARKET current
rates, OF nve-twentes to avoid deciding a question
that In the minds Of just men, which ever way
decided, would AFFECT the public credits
Further-by way OF Observation-Disclosures man
having 1000 gold, sold IL during the for pre-
tenders. This Re invested IN Soc five iyetwentIes w %
Now, under the operation Of tire scheme OF repay
dred per cent premium M He % taxes Ike y his 1 green. a
backs, $4,000 for his bonds aud renvests in gold,
but finds, instead OF his original g. 0o0 which he
honestly rlsked on the fate Of his country he now
has but $500. That this would he fair estimate
OF the result TO this bondhoder no one can doubt
who has read the history Of all irredecmable and
excessive issues Of currency In every age. II the
scheme were at all possible just and proper strict
justice would require that an account should be
taken from each subscriber OF the premium on gold
on the day and hour he made his purchase OF bonds,
and then he should be permitted To purchase from
the public treasury an amount equal to the original
sum In hand a. the proceeds OF his bonds at this
date Have the advocates OF these 'greenback'
measures reflected on the wide spread ruin that
would follow the success OF their enOrta-ruin to
vested interests 10 widows, ORPHANS the poor, the
unprotected and ignorant all oves the andS
THE QUESTION OF TAXES.
II IL common for public speakers who advocate the
violation OF the nations faith Il, insisting ON local
taxation OF bonds, their payment In greenbacks &c.,
TO designate the bondhoders ~ "rich,r as "privi-
lcgcd,n &c. and also 10 stir up the West against the
Eas because OF the presumption that the East dds
an undue proportion Of the puhic debt All this IL
mere dcrnagogism and wilfu perycrslon Of truth.
With the exception OF banks an( savings institutions
there are NOT many large hoilers Of government
bonds the great bulk beiag hell by the people, not
tlG capitalists.
HOLDERS op r1ss BoSDS
0ut OF the three million Subscribers our various
public loans over ninetenths OF the cass called
the people The West took $500 100000 OF the
3s;o,0oo,00 seven.thirty loans and, doubt not,
holds large portion OF IL now, and this Is as large
proportion M could be expcted from a new and
entcrprising region, where moiey always commands
higher rates than NJ the seabmrd. Ohio alone took
over fp00oo00o and Illinois over $40, 900 900. The
West wes also a large taker q the fye.fwepty and
other loans. can substanihie these facts for
have taken tne trouble to aialyze each days sub
scriptiOns with the above result.
Again, how can The bondhoders he considered
pryieged ciassS During tn entire sale of these
bonds they were offered freey at par to any one.
Even the owner of but $50 vas not excluded, but
hundreds OF thousands Of these small Investors came
forward in all parts OF the laid and were gladly well
coined. The small premium to which our bonds
have advanced IL no impednent In the way Of any
who reany wish TO obtain thm and even now the
daily demand from this clss OF Investors IL far
greater than that Of any othe class.
What becomes, then of tlp assertion thas the man
who holds government bOnds Is privileged persenY
hua l...