The New York herald., 1868-05-13

rate Of interest fully twelve per cent, in currency.
Our national government aids these eleemesynary
corporations BY issuing to them, without interest,
$500, 600 900 in currency to carry ON business and
makes deposits with them Nor safe keeping on an
average Of $27, ,0oo 900, also without interest The
national banks are therefore enabled to draw in
terest on their own and the peoples money as fo-
lows
Money furnished by the government 1or aoo nm mn
Cash deposited by government for safe ., ooo ooo
AecpluH' ............. ...'..''''''' .'-,-
National Banks draw interest ou.. $500 0OO @ 0O0 o
But their capital ls only y.....'''''''''' ooooo'oo
Government aid to National banks .... sS27 100000
This munifcent subsidy Is distributed among six
teen hundred and fifty national banks. moderate
tax is collected on the subsidy but the entire capital
OF the beneficiary banks Is wholly exempt nom taxa
tion There are In the United States over three
thousand independent banking establishments, con-
ductng legitimate banking business with their own
money and paying taxes on every cent Of their
capital the same as other people; while their ina
tiOnap competitors are enjoying the peculiar favor
OF the government. II the eleemosynary banks fur
nish The business community with better accommo-
datons than the less favored institutions the fact has
yet to be discovered.
nutshellbetter than the most elaborate essay. 1t
IL simply authorizing the Treasury Department to
uupucate tne capitaL anu OtnerWlSe alu q lew Ia
vored moneylending corporations, called national
banks, In distinction from other banking establish
ments on account OF the free use they make OF the
nations money Just soon as the people Thoroughly
understand the subject there is an end to them, un-
less Congress decides TO duplicate the capital OF
every man in the United States; unless we are to
have national dry goods jObbers national hardware
dealers, national manufacturers OF all kinds national
traders Of every description, national farmers and
last, but not least, national publishers When the
advantages and privileges OF the national bank law
are extended to the whole people alike the proprietor
% ars sse WHEN ~ Stass NJ them in
the Treasury at interest and exempt from tax, and
then receive from the government two million dol
lars currency without interest," for working capital
and continue the publication OF that enterprislng
journal without using cent OF his own money. MIR.
A. 7. Stewart can invest all he is worth in gold in
government a similar amount In currency to con-
tinue in the dry goods business.
BY the present arrangement the people pay inter-
est-twelve per cent, currency-on the bonds locked
up in the Treasury, to secure circulation, AMI SINH
interest on one investment, which, taken together
with interest on United States deposlts you
find the people are paying the national banks about
twenty five per cent interest on the circulation they
furnish j assert in all seriousness that any king,
in out Of Christendom who should innict upon his
people such burden as our national bank system
would forfeit his head on the scatold
Previous to the rebellion the uniform practice Of the
tnited States bonds awarding them to the highest
bidder. Then no Secretary Of the Treasury would
have dared to sell bonds without special authority
Of outside agents or brokers were unknown. The
first sales Of United states bonds on COM
mission were made in 1861, when MI.
Jay Cooke received commission Of $6,6S0,
on the sale OF 224 050 three years seven-thirty
Treasury notes. In 1862 Mr.. Cooke was made COM
mission agent for fve-twenties, Of which his sales
amounted to s3sl, $50, and upon which he re-
ceived for commission, &C., l,35O,ol3. The business
Of selling on commission, thus inaugurated, has
since been carried on to suit the requirements Of the
ring. Creating new loans and manipulating the
market so as to force holders of the old to change
for the new; then TO commence buying the former
and selling the latter, realizing good profit on both
and making secret sales OF the peoples gold on q
rising market, so that somebody may make millions
by single sale, are among the favOrite operations
of the ring until their igOtten gains count by scores
of miOns-al wrung from the taxpayers hard
earnings.
No dsinterested person now pretends that there
was ever the least necessity for the employment Of
outside agentsio make sales on commission. During
the rebellion the government paiu for millions upon
millions OF dollars worth of supplies, with certif.
Gates OF Indebtedness, which the holders were not
only willing but anxious to exchange for any sort OF
permanent government paper, but were obliged to
convert mostly through ring bankers at an enormous
shave. Whenever IL Is necessary to change the form
OF United States Indebtedness, the Treasury Depart
ment should make the conversion. Our national
debt should no longer he left with the Treasury ring
10 he huckstered at pleasure.