New-York tribune., 1869-05-10
oUp FJNINCTA1 CONDITION.

Ihe UOpeS VI du easy anu SciiJ
The Shareholders Rebellion had vanished. a
long and arduOus struggle was palpaDly Delore
US. The Federal Income was less than SlVV'-
100000 per annum the Expenditures were over
S460 100000 and rapidly increasing. A loan OF
S4OO 100000 had been voted; but, before hait
of it had been subscribed, all the banks in the
country had been driven into suspension or
Specie Payments. We were raising regiments,
buying uniforms, casting cannon, making small
arms, building navies, and mourning unheard
of expenses on every side. We must borrow
at least $5O,000,0OO per month to meet Our
bills. and nobody had the coin to lend
us Plainly, we must submit to the necessity
Of prosecuting the War on Paper Currency,
or we must give it up and acknowledge the
Confederacy. On full consideration, Congress
decided-we think wisely-tO make Treasury
naper Legal Tender-in other words, decree
universal Forced Loan-and fight out the
War on paper currency. 1t was desperate
expedient-one excused only by its absolute
necessity. Its justification inheres in the TACT
that it saved the Union.
No one then suggested that an Irredeemable
Currency was intrinsically benefcent or deslra-
bic. Our case was that of the embarrassed
debtor who pays claim at the end OF an exc
cution because he has not been able to pay it
before. "Let us put down the Rebellion, and
then we will return to Currency of specie
g" and of promises to pay that are not lies"
was the general plea. OF course, there were
those who said we would never redeem our
promises nor pay our rapidly augmehting
Debt; but they were Copperheads' whose WISH
was father to the thought
Congress left no one in doubt as to its view OF
the matter, or its purpose to maintain the Ma
tional Credit and uphold, so far as possible,
the National Faith. BY section of the Legal
Tender act, it provided that
1. All Duties on Imports should continue to
be paid in Coin or its full equivalents
Q. The coin so collected to be devoted to the
nayment. first of the interest on the National
Debt secondly, "to the purchase or payment
of one per cent. per annum OF the entire
Debt of the United States;'
3. The balance to be paid into the Treasury.
This plan for sustaining the National Credit
during the War and restoring National solv-
ency upon the close of the War was no after
thought. 1t was an integral portion of the
original measure of Finance which made
Treasury notes q Legal Tender for the amounts
specified on their face. There were men IN
Congress who fancied mere arbitrary decree
that Treasury notes should circulate as money
would suffice; but the majority knew better
They provided that those Treasury notes
might be funded in bonds; they further pro-
yided that the interest on the bonds should be
regularly lduidated and one per cent. OF the
principal of tho entire Debt annually pur-
collected
our Custom Houses.
For some time past, these provisions of law,
though never repealed, have been disregarded
Secretary McCulloch-for reasons best known
to himself-though he had coin in abundance
on hand, did not purchase and hold one per
cent. of the Debt, as the law expressly re-
onired him to do. Had he done 80, we should
have been O long way further on the road to
National solvency than we are We have I'M
ported far too many goods, in part because of the
cheapness Of our Government Skies, which have
been sent abroad in large amounts and sold in
tho capitals of Western Europe at 20 to 30
cents on the dollar. Had those bonds ranged
above par as they should have done ere this,
we should have exported them less profusely,
and bought fewer foreign fabrics with the pro-
ceeds. We arc Millions poorer than we should
have been had the law been implicitly obeyed.
Mr.. Boutwell,, VIC rejoice to say, seems to
understand that he is the servant of the law
not its master. The following official adyer-
tisement has just appeared:
PURCHASE or GoyERMESr BoNDs.-Proposals win he
received this Ofice until noon OF Wednesday, May ~
for the sale 90 the Government OF ono million OF dollars
OF SIX per cent Fiyetwoniy Bonds at when time the
bids will be opened and tho awards declared. Proposals
will state tho specific character OF the Bonds offered,
whether registered coupon TO which particular class
hoy helo
be for any amount not than i've thousand dollars
The offers must be for the sale OF tho Bonds fiat aud
each proposal must lncose certified check for five per
cent the amount offered The checks or uBacCepted
bidders will be returned as the result Is ascer
taIned and those OF others on tho following day when
the Bonds be delivered, for which paynlent In law
amned The right reserved 10 reject bids adverse
the interests Of the Government BY order OF the secre
ii. II. VAN DICK, Assistant Treasurer.
This is fair beginning; but we trust it is
only beginning. AS the Irshman says,
More power to your eboww Our National
credit is blown upon in London, where des-
perate effort has just been made to force down
the price of our bonds. The Bank of England
has raised her rate OF discount The price of
our bonds has been considerably depressed in
London, consequently hero, and the premium
Oh gold considerably enhanced. 1t is highly
probable that so advantageous an opportunity
to buy bonds with gold will never again be
presented. 1t seems to us, therefore, that the
Secretary should this week buy, not One Mil
lion merely, but Twenty Millions, giving the
sellers time TO import the bonds from London
if they see fit. II Twenty Millions were bought
this week, and Ono Million or more weekly
thereafter as the state of the market should
dictate, we might hope soon to make the re-
sources of our Government better appreciated
and its credit stand higher at home and abroad.
The Secretary, we trust, will not ignore the