, 1869-08-18
WEDNESDAY, AUGUST IS, 1869.


The TINS is still harping on whnt il
calls the ~ shaving policy OF The govern.
nent, Int 1t distinctly admits there is
nothing illegal in purchasingt the $50 bonds
Mt their market value. On the contrary, it
eays "the Secretary is acting under the
Cal nr.ard Of Congress;7 that he is obevinc
tLr letter ot the law IN the course he is pur.
sting. Eut Whit the 7fintx complains Of
ls nearly rs We can mike out its meaning,
is. tLat he does not purchase The bonds ut
the rar If greenbacss, but is paying q cur
rcncy premium foc them No part Of this
objection can be alleged against the Sec
retary. II Is not lie WHO deprecated the
v:.luc u the grecrtncks. He has done
VIZ, he reasonably could to stsstain and
erlarce their value. II the greeabacks
y'trr wurth :.s much rs the $50 bonds he
wu@ll I've able to purchase Tie Latter dollar
for dollar with the former.
Bet why nrc the Greenbacks not worth
IS Esuch rs bonds? Let Hon. E. G.
Sraulling, Of New York, answer the qucs-
tion, for it was he who drafted the bill
originally providing for an issne Of $40
bonds and Of grerrbacks-50O, ,Gt,U, 900 of
The fur1ner end 4:.M, ttAt,OD Of the latter.
L. his recent address before the National
Bank Convention in Buffalo, he said:
"17:e frst fundamental principle upon which
Paper currency c.l oe kept At par, nanciy 1ha1 ii
MAY * i11medta's1y and conveniently conret7ed
INTO rolo on denaad, had 10 be iguored by The
magnitude and overwhelming necessities OF the
Wal. TIE next bert thinE lie done In that grcat
emergency w6s 10 psovlle Il.at the notes should
n IN M inf,, .rr-t NJ -
{VII:r Ef jGr, and that sinking tEni should be
established 10 snpyort the credit OF the bonus and
Bo'h ef these provisions were subsequently,
7rsettdt rjaft.', ala the s.crns1acts, tspeclaI-
IF. have been cut of and Allowed for several years
past. 70 shirk for themselves. without c;uch care
OF protection from the government, e2ccp. that
1lt, art Receivable for internal iues and j proa-
1se that they ensll ultimately, be paif-
"The Allegation Of the right 10 1563-. TO con.
rc.t ereee:s-tIs at any time into gold tonfs at
Par lesld.s belng unjust to the holdes. worked
almp.: inutru{1he Diaehtf IL th> Hafi,na! RAaaext.
THIS near. fatal clause. incitde1 III The &a,J.0u,-
!tv loan SGT, eut the Errenhack currency loose
frprl the gold has!s Established hy The 1r5t legal
teude. net aud there mas tot been practically any
redemption Of IT Eince rne law Of 1~r3 went into
epecL Bu. fut that law, qreenbacks sr"utt n"tr le
gold Is they arr. Whoever sill sea.I the recently
published nnanciA tistor, h the war, embracing
tic $780, ,0oa loan act nnd observe the great IN.
Eaton OF the paper currency and advance II the
p1ce Of god. growing nut Of the mistaken exercise
e on the asH1eena5y '3saay power gsen 70 Inc
Ms Mou. enase; taen secretary OF tte
Impressed with the evil ercsts upon m tie
currency and prices which followed The earring
tiou Ct the right 10 turn crtenblcks mt gold bonds
IT pat, tterc Ras no great redundancy or plcihora
Of the currency for the reason that, fast US 1t
holders would return II at once to the government,
not for gold. bnt for gold bonds which was prac-
Of aDd ;lo
fant, md also kept It on gold basis IT was
great mistake for the Secretary 10 ahroeate this
Iai !aT Has now ID force ii nuu in< qre1t rifa.2
f. fhts 11rsent dith,noItd currency. AZ the
law new stands the gold bonds are aprrnxtnntlnK
III for rcdccmtng The rast due Hrcenhnck currency
and they are consequently dcTrctatcd thtny-sIz I
Fer ceIL"
There, that tells the story. The blunder
Of Chief Justice Chase in having the con-
Sertibl|lty Of the greenbacks into $40 |
bonds repealed, has cost the country hun
dreds OF millions, by depreciatiug the cur
rency, which depreciation also actod most
banefn}ly on the value Of the bonds. It |
YES m act Of bad faith on the part Of Con-
gress, 10 repeal that couvertibility provision. |
It WIS violation Of contract with both the |
note and bond holders to do it, and the !
government. as well as the people have SUI
Tered in consequence. We have been
c-ging Congress for more than three years
past 10 restore TINT convertibility clause
to the act of lsG2. We have demonstrated
over and over again, that tho effect would
,e to enhance the value Of the currency to
5ar with tie SEQ bonds, which
Sould always enable tho gov
to purchase these bonds with
greeubaeks without having to pay premium
thereon. Once or twice Congress seemed
10 be on the eve Of doing it, but the oppo-
bition Ct Justin S. Morrill, and some other |
Eastern wiseacres defeated it. Had the |
greenbacks been restored to their original
legal status under the net Of lst;2 creating
Lhcm, they would nov be worth u per cent
more than they are, and 81, 900 Of cureucy
Tould purchase a $1,000 iive-tventy bond,
md thereby stop all Copperhead clamor
,gninst the apprehension Of some time pay
ng the bonds in gold.
An objection was raised that such con-
would produce 4 monetary con-
rneuou and g st1ingency in finnncea- We
pointed out IN easy and simple method Of
such q result by making bonds
into greenbacks at the
o1easure Of the holder. Whenever currency
Eas scarce t could Re obtained in exchange
Tor bonds. Thus the greeubacks would be
IN the next best thing to gold.
Ind their purchasing power would always
bo equal to the marketivalue Of SEQ bonds,
which nre now worth ninety cents on the dol
IL. r