The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1870-04-05

WASHINGTON April 3.-Trea5urer
Spinner has written the following
letter regarding the Funding Bill and
the finances, in reply to one received
from the President of the National
Park Bank, of New York. occurring
his opinion on the National Bank
clause of the Funding Bill:
TREASURY OF THE UNITED STATES,
WASHINGroN, March 81 1870.
DEAR Sra: Your letter of yes
terday has been received. Although
all that / possess of worldly goods,
save my home and furniture, is in
vested In United States stocks, and
National Bank stock, based on such
Government stock, still | am in favor
of reducing the rate of interest on all
our Government stocks as soon as il
can in any way be done, to four per
cent. per annum. So you see that my
idea Of what can and what ought to
be done, Is further from your
views than is the plan Of the Sec
Tetary of the Treasury, that you
regard with so much disfavor.
L cannot, therefore, advise him
to do as you desire. l should
think little doubt exists that If Con-
gress would pass law favorable,
four per cent. stock could be negoti-
ated in Europe, If agencies should be
authorized at Amsterdam, Berlin,
Frankfort on-the- Main, London, and
Paris, where such q stock, having the
interest payable quarterly in the coin
of the several countries, could at any
time, at one of such agencies, be
transferred at the option of the holder
to q new purchaser. With the money
realized from such sales of such
stock the six per cent. stock on which
| the Government has the option to
redeem, might be paid. TINS would
include most of the stocks that arc
now held by this Office, on trust for
National banks, as security for the
| redemption and payment of the oir-
culating notes of such banks.
NOW, if Others could aford to pgr-
chase a four per cent stock, it would
seem to be no great hardship on the
banks to compel them to replace the
stocks SO redeemed, with a four per
cent. stock. While, therefore, /,
would agree with the proposition of
the bankers of Wisconsin, as set forth
in the printed slip that you were so
kind as to enclose me, that the Ma
tional banking system be made free
and open to all who might choose TO
engage in it, under certain safeguards,
would compel all new deposits for
securing the redemption of circulating
notes, whether of new be AXIS or Of
banks now existing, to be made in
four per cent. United States stock.
So far / would mix things, as you
stvle the provisions of the pfonosed
loan bill. This would not be q
breach of good faith with the banks
nor in any sense a repudiatlon of
contract.
Il agree with you that We are not
Mexicans; neither is this country
Mexico; and further, that the Gov
ernment is not now IN ectrenIis, but
insist that course as above indicat-
ed, or that proposed by the Secretary
of the Treasury, is not Mexican, nor
in any sense taking forced loanse
: That is fear that unless some fair
adjustment is made to satisfy the mass
of taxpayers, they may take IL into
their hands to repudiate the whole
debt. What, then, would become of
the interests of the banks that bank
ers have so much at heart, and OF
! the. banks themselves? Indeed,
! prudent bankers should ponder we'll
and bear the fact constantly in mind,
: that next to high taxes, banks,
: of all institutions, are the most un-
. popular with the people who have
Y votes. and who direct the legislation
:, of the country. If the banks will
g ioin their interests with those of the
r people, and will ask of Congress for
Q nothing but what is right and reason
It able. they will have no trouble; bat
t if they resist wholesome legislation
4 for the public good because they i'm
! agine that it may possibly be against
Q their present interests, they will inc
II their mistake when'it will be entirely
70 too late for their salvation.
% 1.-THE funding of the entire nationa
: debt, at the lowest possible rate of in
! terest, and on the best terms possible
K should now be paramount to every
II other financial interest. When tht
n loan should have been advantageous
ly placed, and the country made cas-.
financially, the necessary details, in
Guiding Justice to the banks. can bt
Ie easily arranged. IF il shall be fount
o that banks cannot do remunerativ'
1f business on the issue of their circu
lating notes, based ans secured by [
r four per cent. stock, concessions II
l. the way Of remission of taxes or du
q ties can be made In their favor. a
of the law in regard to Nataional Banl
l. taxation now stands, these banks ar
E, not only subject to State and munich
le pal taxation, but their stockhoIder
10 are liable to be taxed separately oil
their individual shares, held by then
= in such banks.
a THE General Government levie
L 1 ~
IN an excessively annoying manner
G. The manner of assessing is very oh
iectionable, and the aggregate amour
G. collected is probably more than
. reasonable. The General Govern
Is ment, through its collectors of inter
nal revenue, exacts from each bank
license fee, and percentage on div
'C- dends, and on undivided profits
j. Through this Office it collects per
o. centages on three other items, viz
n On circulation, on deposits, and o
a; capital, aggregating about six millio
a dollars; and probably about thre
1t, million dollars through the Office {
r. Internal Revenue. Should the duty o
circulation only be remitted, it woul,
ns tn a great extent, compensate th
i'll hank for the difference of interest q
st now received on the stocks held
i'd them. and the proposed four per cen
nd stock, as proposed IN future to ;
es held in trust by this office to secur
IN the redemption of their circulatln
r. notes.
N. THE National Banks acted nobl.
IS, and stood by the people during ii
n war. 1t is hoped that they will COZ
tinue in their patriotic course !
to again aiding the Government
lis placing the loans with the interest