The sun., 1870-03-15
The New Funding scheme.

Senator SooTT of Pennsylvania imported
into the recent debate in the Senate on the
Funding till something extremely rare and
much wanted in that body namely, genuine
financial ability and thorough knowledge
OF his subject. II is refreshing to Listen to n
man who brings TO tho discussion Of tho
topic he treats, knowledge and information
which spring from an intimate acquaintance
with it, both practical aud theoretical. 1t is
comforting to know also that we still have
material In the country out of which TO make
first class finance ministers, il We but knew
wheret6 look for it.
The bill, as II finally pnsscd, hns good
points. Some of tho worst ones such ~
making tho coupons payable in foreign
countries, werc entirely expungcd. Another
very Objectionable feature, namely, the
allowing the Secretary TO employ brokers to
negotiate the loan, and approprating the
propostcrous sum Of twelve millions 70 gorge
their pockets, was reduced one half Yet the
sum left is so much money flung TO the
brokers for nothing, except so much as il
costs TO print the new bonds. Mr.. boutwell,,
under the usual inspirations attending tho
passage Of all such mea surcs seemed afraid
70 break away from the custom of the De
partment forced upon it by the exigencies of
the war. A bolder and more experienced
man would have thrown all the brokers over.
board, and made tho Treasury do it's own
proper work.
good feature Of the measure is the priv
uegn it offers TO holders Of grcenbacks to
fund them in four per cont. bond. Not that
much wil come OF Ii practically, but il at least
offers decent show 10 the world of somo
kind Of redemption TO the now wholly or
phaned state of that part Of the public debt
The bill also offers TO everybody the privilege
Of banking on the new four per cents pro-
posed by il ut the same time stipulating that
all the currency Issued to new banks must
be followed by the immediate Withdrawal of
just 30 much iu amount Of grcenbacks. This
feature WIS energetically opposed by Sena-
tor MoRToS, who Ia the high priest of non
contraction, and will meet with strenuous
hostility in the Housc.
To show how near sensible men will come
10 doing foolish things, vote, while the Lill
was In rrocr So, was taken on the propos
sion 10 withdraw the whole of the fractional
currency on the first of July next, and came
within half dozen votes Of Icing carried
Let the reader imagine if he can what would
be the effect Of Withdrawing the whole Of
our fractional currency with an unabridged
paper circulation, and coin averaging one
year with another, thirty odd per cent pre-
MUM. The measure has now to run the
gauntlet Of the House but with some modif.
cations it will probably succeed in going
through.
The bill does not bear in any way upon
the question OF resumption or Il 1aton Its
leading feature is 10 offer 10 10 pr
cent bond principal and interest payable
in gold, for the $50 six per cents, inter ST
pryablc in gold, and the principal threatened
with Frccnl achs The prov sons Offering 81
Per cent. and 1 per cent. will probably be
wholly imperative, except SO far ns bonds
of this quality can be forced upon the banks
Eut the lanking intcroet is very powerful in
Congress, 10 has lccn illustrated in nu.
mercus and often surprising votes, orG may
yet alter the whole complexion OF This Part
of the bill.