The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1870-01-05
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Is 10 Know lLc COilOlblOllSy WLOlH nc lS
coolly informed that Mr. Broker must
have Government bonds to the amount of
81, 100000 for his 100000, must have
six per cent interest in gold, paid semi-an-
nually on the 81 100000, and must be ex-
empt from the payment of all local and
municipal taxes, and then the notes may
be payable in from FIVE to twenty years.
Government must have money or die, and
is forced to accept the swindling PROPOSE
tion. jeff Davis & Co., looking on, say
"a Government forced to that condition,
forced to accept such terms, cannot stand
long. Let us hope. Her capitalists are
doing more to break their Government
down than the confederate forces can do
by fighting"
They were thus encouraged, and feel
safe in saying that if the capitalists had
come manfully up and advanced their
funds to aid the Government to put down
the rebellion as freely as the soldiers in
the field and the sailors in the navy barred
their breasts to the red flame of battle, the
war would not have lasted half the time
The capitalists had the money to give,
and as much as was necessary, at first, but
would not give it until they got two or
three hundred per cent profit. The capit-
aists, with one or two honorable excep-
tions, are fairly chargeable with half the
lives lost in the war.
'The claim that they (the bondholders)
brought the bonds from loyal motives is
without foundation, The same motive
prompted the Englishman to buy them
which actuated the Wall street swindler
when he purchased Who will claim that
the Englishman purchased bonds because
he loved this Government? He was as
loyal when he was fitting out the pratt
cal Tallahassee and Alabama as when he
bought bonds. They were all purchased
on speculation. If these bondholders had
never received a cent from Government
their patriotism would have been fully
paid They have no patriotism, We
should not tax the soldiers and sailors
who fought nor their widows and or
phans, on the pittance left to them after
their great bereavement to pay those un-
Just debts. Let US wipe them out
at is not unjust to repudiate these
bonds because the holders have in large
majority of cases received more money IN
gold from the Government IN the shape of
interest than they originally invested in
the purchase of the bonds, including in
terest on the investment.
''To illustrate: seven years ago Wall
street capitalist purchased Government
bond calling for $1,000 for this he gave to
the Government forty per cent, or $400.
During these seven years he has received
interest regularly at six per cent. per
annum on $1,000, the face of the bond, pay
able every six months. Compound in
terest on $1,000 at six per cent. will in
seven years amount to $5l2.56 in gold,
which would be $76S.S4 in currency. He
has been exempted from alllocal and mum
icipal taxes. which at a reasonable rate
saves him two and one half per cent. pei
annum, and which in the time mentioned
amounts on the face of the bond to $l75
Franklin said that a penny saved Is as
good as a penny earned. Add these items
together, and they amount to $687.56 IL
gold, or, in currency, $943.S4. Now, com.
pound interest on $40O. the amount in,
vested, amounts to $20l 45 in gold, or IL
currency $3O2l7, which, added to the $40(
equals $60l, As in gold, or $702, II In cur
rency, leaving a difference IN favor of tht
bondholder over the man who invests hi
money honestly of $50, / in gold, or 1921,
| 81 In currency. If we deduct from TIN
two and one-half per cent. from taxation
it still leaves $16.11 in gold, or $l79,67 il
currency in favor of the bondholder. 1
there anything wrong or unjust in repud
iating such a debt? The people hav
paid the bonds, and are entitled to hay
them Cancelled Just as much as person
entitled to have his promissary note can
cled when hepays itup in full with inter
est. 1t is gross injustice to grind tn
laborer, the merchant, the mechanic, tn
widow, and the crippled soldier to tn
earth to pay these bonds second time
1 -. L., ,,,Io 80 boo,
/ ing up a bloated and insolent bondhold
ing and banking aristocracy.
lam in favor of repudiating this bond
holding debt, because 1t Is sapping tn
| very foundations of Government, and to a
alarming extent has controlled the actio
| of the past few Congresses. 1t has bee
the cause, IN my opinion, to great degre,
of that system of legislation which prompt
ed thwarting of the legitimate powers
the Supreme Court of the United State
and of the general tendency to the central
4 ization of thd powers of Government !
what is now by my Radical friends calle
"the Government" namely, Congress
which is again by some called rum
concern" Without charging corruptio
or venality on any member of the preser
Congress, l may be allowed to repeat whf
the great head and front of Radicalisn
"the noblest Roman of them all, j" the lat
Mr.. Stevens, said in letter to frient
"that no honest man could come to Coz
gress and make any money, but that
was passing strange that some men wh
were hardly able to pay their necessaI
expenses at home, would come to Congre
and in a few years be worth millions
dollars" If Shis overshadowing debt wei
wiped out, ] do not think that any men
ber of the present Congress would be like
to be tempted.
Tam in favor of wiping out this bonde
debt, because on 1t the national bank Gu
rency Is based, and when it is wiped ou
the notes of the Government will for
time, until we can come back to the col
; stitutional currency at least, take Il
place of these national bank notes. Th
would increase the volume of the curren,
one-tenth andn no more. 1t is well know
that between the gold interest received {
: about three hundred and forty-two nj
lions four hundred and seventy-hve tho
I sand dollars of bonds deposited by ba
kers as collateral security for about thr
hundred millions dollars of circulation
) sued by the government to them, and Z
0 shrewd and cunning manipulation OF I
= currency so received, the national banke
4 manage to make from "a to 81 per ce
on their bonds per annum, in currency.
: This amounts to about one hundred m
# hon dollars, and doubles their investme
d in little over three years, all at the e
pense of labor, and entirely, all inuring
the benefit of capital. The Comptroll
!, of the Treasury says in his last annual !
If port, delivered to this House on the G
:. inst, that the national banks loan
people $700,O00,O00 annually Intert
on this amount at per cent would
: $40, 100000. Deduct 81 100000 from th
sum as interest paid to depositars, it We
u leave $4l, 100000 clear know of I
o tional banks advertising that they "
: pay ten per cent interest on deposits
= six months, and they make enormo
: profits on those deposits Some have {
! clared thirty-seven per cent annually.
= They receive at least u per cent clC
: profit, which would be 100000 ca
= wear. Some of them declare dividends
d 81 per cent on their capital Some e
= tlemen have said that the national ban
= like a national debt, are a national bic
~ ing. do not so understand the matt
d Again, the expense is so enormous a
e comes entirely off of labor, while tn,
| L l.. -. !