Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1870-04-11

OF Phlladelphia mas just Deeh uladt
public:
WASHINGTON, D, c., April 9, 1870.
Dear Sir. Your letter of the eth
inst. IS received, with certainly a
much surprise as mine to the Presi.
dent of the National Park Bank o.
New York could, by any possibility,
have caused YOU. | was certainly
very unfortunate in stating my views
in that letter, if you or any one
eIse could draw rom il any conclu-
siOns. or even inference, that favored
4 oil that could add confusion
20 that which already exists. You
say in answer 10 your assumption OF
nav views, we now have three de-
scriptious OF bonds which have from
five TO thirty Years to run. The new
bill proposes TO add three more. We
theu should have six descriptions OF
Government bonds, five Of them at
different rates OF interest and all ma
turing az different periods. Now 4
you viii be SO kind as to look at my
letter sgaiD, which, by the way, is
Badly bangled by types, you will
notice that all the way through il,
spoke of but one kind of stock, and
that j A. per cent. stock. My
idea is an American cOns0l,
at the Uniform rate Of four per cent,
having. say, from forty to fifty years
20 run TO maturity, free from every
kind OF taxation by the general gov
ernment, State municipalities, or any
other authority Whatever, with in
tefest, and payable quarterly and in
coin. and in a country WheEs regis
tered, There should be agencies In
this country az various points and IN
Europe. wheye such stock could at
any and ali times be registered on the
backs Of such agencies and trans
Gsrred to purchasers. That such stock
could. if Congress would authorize il
and allow a commission of say one
per cent. to national banks and other
agents in this country and in Europe
for placing it, and that it can
be readily negotiated, is believed
bv many, and Z confess myself to be
one Oh them. 1 agree with yoH en-
tirelv that the most simple and easiest
system tG be understood would be the
most popular. and it would render
the bonds most readily negotiable,
and that nothing Is 70 be gained by
their various rates Of interest, and
that they Wiii only lead to confusion
and mystify the finances and the debt
on the country. Next TO the facts that
the ! Ier cent. stock would be, on &c
count OF its low rate OF interest, more
acceptable - the people and more de-
sirabie to capitalists, on account Of the
interest being payable at per cent.
every three months in their own cOun-
tries and in its own coin. J Ieei salts
ned that this plan would have been
Dra,erred by secretary Boutwell,, but
lDOu the assurances Of bankers that
siIcb 3 stuck could not be negotiated.
Now. that he has yielded to their
suggasti0ns. they turn upon him and
his project and insist that their banks
must be let alone. and that the Gov
must not redeem Stock held
BY il in trust for them, but COannEe TO
pay them their 6 per cent. interest 10
gold, The Government has now the
right to redeem 80 much Of the stock
50 held by It Tor the banks, on the
irst day Of March last, the interest
becoming a bonded de6t, ana
was redeeAlable at the OPP
tion Of the Government; SO
~ become redeemable as follows:
,S637 ,l93, ,000, and maturing the
present year S543, ,3ls, 900; within one
wear. s7,022, 900; within two years,
"a So. gOe; within three years, S425,-
400 go. within four years, SZl4, 3d.
900. within eleven years, Ssh, ISS, 900.
Total gold interest bearing bonded
debt. S2,IU7 .939, 900. OF these stocks
there are held bv me in trust Tor the
national banks S]58, ,929, ,l2G, Of
which. s125, 90, 500 taiis due within
the first two FERNS Of the foregoing
table; that is, the government has the
dDtion. or vii! have ii, 10 redeem
,Ei,,Nbin the current year, This priv
5Iere the government is TO reIasn at
ifs ousioB, Rs expressed on the
faca of each bond. aud is
therefore. no hardship on the
hanks. liners is tax by the banks OF
vested rights. Has it ever occurred
% such that the people, too, have some
vested rights lett them, and that the
vested rights claimed by a few are
vested ia mOuey 10 manyr ou say
M. Boutwell, may have a better
knOwIedge of hat ca1 De elected 10
the Wav OF borrowing at low rates IN
this or other countries than l. 40u
uos5ess but the best information
from my own observation ! am
persuaded he il doomed TO
lreat disappointment and failure ia
the attempt, and viii be most damag-
inc 10 the already not too strong cred
il Of the G0verOment in passing
q gratuitoUs fling at the credit OF the
whose stocks having Dut
eleven wears to ran, are now Two per
aeat. above par OF gold. NOU viii
excuse ne foF asking whether 1 wish
the Secretary may be doomed 70 dis
Disinteresbed persons
WHO have the Wel1are-Of the country,
above their private Interests, at heart
feel that # the banks, instead Of send
ing lObbies here 70 prevent the pas
age OF the funding bill and other
LEGISLATION, they would
place themselves in perfect az
cord and unison with the reasonable
wishes OF the masses Of the people,
and would take hold Of the proposed
loan as they did loans during the
war. there would be no doubt but
I large part OF it would be taken up
res,lily by people Of our own c0un-
f,.,- sod that such q course in the end
,vo1Id be- greatly to the benefit Of all,
md IN a sI,scial manner 10 the banks
themselves.
You say that, to your mind, 1t pre-
sents a most humiltating position foF
the Government of this country TO go
! broad trying TO peddle it's bonds IN
loreign lands, begging them TO lend
us their money; that it may do Tor IN
diyiduals, but it is undigni1ed ior
this great country TO place ltseu IN
such a situation, and you add, u lOT-
s;gners want our bonds. they viii come
for them. Now il is with nations as
,vitb individuals. There is no par
,ic1Iarly dignity that comes eltner
fror1 the fact that they are obliged Dy
fl,air necessities TO borrow money, or
H. zois1e may be willing % gfatlly
-l1sir S.nsnish grandee, and ike pau
Der ride TO pay an extra per cent. sSit.
When they wish TO borrow mony lheS
,yaBt some one TO bring II to them ana
,oiIect the interest as well. oar peO-
ne cannot afford any sHeb nonsense.
Vour bank kers know better. you are
moi in the habit Of going 10 your Gus
Ionners TO lend them money, nor 90
YOU 90 to your creditors TO collect m
'ares3 on vour loans. Your casoo-
'oners like other sensible people,
nov that when they must nave
nenev they must 60 for II 70 place
where il is, and not where II Is not 10
be mad. and they will be apt 70 go 70
!, ',,IcI,o ,,7bara IF can he had the cheap
est. With sensible men, and ma
tiOns as well, under such CIR
pride and dignity must
Weld to self-interest and public good
This dignity talk on the