The New York herald., 1869-02-28
TEE F0RTIETH CONGRESS-
>~>>>-~.~~~>.~~-~.
Third Session.
SENATE.

Third Session.
SENATE.
WASHINGTON, FeD. n, 1869.
BILL TO STRENGTHEN THE PUBLIC CREDIT.
On motion OF Mr.. SHERMAN, (repl OF Ohio, the
House bill to strengthen the public credit was taken
up.
The amendments Of the Committee on Finance
were agreed to, striking from the House bill the
words interest bearing" and also the pr0vso that
''before any OF said Understanding obligations not
| already due shall mature or be paid before
maturity the United States notes shall be convertible
| into coin at the option OF the holder"
Mr. DAVIS moved to recommit the bill to the Com
mttee on Flnance with instructions to report
substitute, providing that the government obliga
tons snail be paid in coin at their values IN gold
that the interest upon them shall be reduced to four
and half per cent, and that the excess OF interest
pS the M Of july s shall be applied in sa
| faction Of o portion Of the principal. Mr.. Davis
made an argument in favor Of the substitute.
the first section OF the bill, but he believed that the
i second section making coin contracts legal was
tions; ana therefore he moved to strike it out
Mr.. MORTON, Tepl OF Ind, said the section was
coin contracts under the decision Of the Supreme
Court.
M. FRELNeHUYsEs, rep, Of n. J., moved to
that the trial OF suit brought for the enforce
ment OF coin contract proof Of the real consdera-
tiOn may be given. Agreed to.
| Mr.. HENDERSON, Tep.) OF No., moved to amend
the second section so as to leave only the words
any contract hereafter made specifically payable In
coin shall be legal and valid, and may be enforced
according to its terms"
Mr.. HENDRlCKs, ldem.) Of Ind, was willing to
for this provision, but was opposed to the first
section OF the BILL because 1t was not designed to
have any practical effect, but merely to put upon the
to which he could agree. 1t proposed increase
the bonded debt OF the country six hundred mill
the conry to psy the debt Ths bonds s
country had been bought by the moneyed men OF the
country with view to profit
from Indiana meant by saying che bonds had been
bought by the moneyed men OF the country, when the
candidate OF his own party for the Presidency had
| stated in his speeches that the bulk Of them were
| held by widows, orphans and other people.
meant who had money~who had the wherewith to
| buy bonds; and although some OF them were doubt
less comparatively poor yet he believed they were
chiefly persons OF large means, who sought profit
Mr.. EDxUNDs inquired whether he wished to
sacrifice the poor bondhoders IN order 10 punish the
| MI. HENpRrCKs said he did not want to sacrifice
body aScordns the Contract and IL thar wsy ny
body would be sacrificed. The penuing bill, passed,
would: In his Judgment, contract the currency; be-
| prise and commerce, which should be rather pro-
| NOTED IN every legitimate way 30 as to turn the
/ that result should have been attained the nation
| could resume specie payments, but not sooner.
Of our bonds would Be increased and and our ' credit @
abroad strengthened by the first section OF the bill,
Mr.. HE Henderson amendment was ,'e then rejected
Mr. Bayard's motion TO strike out the second sec
i tion was then l0st-yeas Z. nays 81.
The Senate, at harpast four O'Clock, took recess
| until seven O'Clock.
| Evening session.
The Senate reassembled at seven O'Clock.
l prutsr RAN ~
| Mr.. WILSON, (rep) OF Mass, introduced bill for
the more equal distribution Of the national banking
capital IL provides that there shall be $500 600
OF bank notes ana that 500 0OO 900 OF greenbacks
shall be withdrawn SO that the amount OF crcuia-
to give increased banking facilities not now
MI. sHsasAs. TepJ Of Ohio offered q resolution
RECOGNITION OF THE INDEPENDENCE OF CUBA,
| and authorizing the President whenever, In his
government de .rncto according to the laws OF ma
lions, to recognize her independence. Referred to
| the Committee ON Foreign Affairs.
| JOINT RESOLUTION.
Mr. COLE, rep.) or CAL, offered the following Joint
resolution. and asked to have IT laid on the tablet
10 communicate 10 the great Powers OF Europe
grave with which ,he nlted regard
6ssss"''' 6sresecs : - '
THE BILL TO STRENGTHEN THE PUBLIC CREDIT.
| Mr.. DooLIrrLE ldem) OF Wis, spoke IN opposl-
|
OF finance the Congress or the United States did not
| stand In the relation OF party TO any con-
| tract Representing alike the taxholder and
the tax receiver, 1t stood rather In the position
/ OF a Judge bound to do impartial Justice between
both. 10 deny the just claims OF public creditor
ustiabe Reputation to disregard the rights Of iax
payers. The duty Of % Congress Was t2 agald upon
the contract IN is spr, snd letter And settle the
OF equity. the Arst step towards paying the pubic
debt and resumlng specie payment was the
ing bill seemed designed expressly to pre-
vent that from being done, and It were
poote Sere read rom "vuF an EnSish Dancie
authority to show that the English holders OF FIVE
twenty bends understood that they might not be
Mr. EDxuSDs asked what was the evidence OF it,
Mr. D0oLTrTTR said the evidence was the market
price Of the ponds-the fact that they rose and fell
part passu with grccnbacks as compared with
We're not according TO the coniract payable ia COIN.
Mr.. CoLE, uep) OF CAL, followed In opposition to
the bi wien he denounced as "bull movement,r in
sne Of Congress that e
should be paid In coin would be able to raise their
value In Europe, create foreign demand, and thus
/ realize o large profit on the bonds which they
now hold. II the bonds were not legally payable IN
wc as % 90 pag he os to
this declaration by Congress Is necessary ts ad-
mission that the law under which the bonds were
issued did not require that they should be paid In
coin.
The bill was defended by Messrs. Sherman, Fes-
sender and Stewart, and opposed by Messrs. Nor
| ton, Hendricks and Doolittle, when an amendment
10 the first section offered by Mr. Hendricks and
rejected. The bin was then passed by the following
| votc:-
yxAsMsssr, Abbott cste conslins, Conness, corbets
Grimes Harlan, Harris, Howard, Morgan, morrill, Of Ne,
morrill, OF w., Hye Patterson Of N. H. Robertson, Sawyer
sherman Stewart sumner, Thaysr Upton, Wiley, Williams
and wfson-yn
NAYs-Messrs Cole Davis Doouie, Fowler. Henderson.
Hcndrcks McCreery, Mcdonald, Morton, Osbornc Pser
son OF renn Pomeroy, Rose, spencer Wade, waichi6
Messrs Cameron ana Anthony. who would have
voted yea" we're paired with Kellogg and Norton,
who would have voted may
on motion OF Mr. SHERMAN the title OF the bin was
changed
The following is the bill as passed.
An act relating 70 The public debit
BE " enacted That In order 70 doubt as to the
purpose OF government to discharge all Just obligations TO
public creditors and 10 settle conflicting questions and inter
pretsons OF the laws BY virtue OF which such obligations
have been contracted hereby declared that
the faith Of the United States scemny pledged 70 the pay
men coin or hs equivalent of all the obligations OF tho
United statca except whore the law the