, 1870-08-25

One Of the resolutions of the Trades
Union Convention, in Cincinnati, reads as
follows:
"Rtsolrfd, That the claim Of the bondho1ders
for the payment in gold OF that class Of indebted
ness known az $50 bonds, and the princi-
lawful money, fs dishonest and e1tor1tonate, and
beace We enter our solemn protest against anT
departure from the original contract 1y funding
gold-bcaftug and nntaxed obligations OF the gov-
ernment."
Some one should have furnished the
committee who drew this resolution copy
Of the acts Of. Congress relating to Loans
and the Currency, which would have pre-
vented deplorable exhibition of ignor-
ance On their part, and saved the conyen-
ton from making laughing-stock Of
itself.
II the committee had turned to the acts
of February 25, 1862, and Of July II,
1862, authorizing the issue Of greenbacks
MS lawful currency, and Of $50 bonds, they
would have discovered the following pro-
vision: 'sAnd any holders of United
States notes (greenbacks) depositing any
SUN not Less thnn fifty dollars, or any null
tiple thereof, with the Treasurer of the
United States, or either of the Assistant
Treasurers, shall receive, in exchange there
for, duplicate certificates Of deposit, one
Of which may be transmitted to the Secre-
tary Of the Treasury, who shall thereupon
issue to the holder an equal amount Of
bonds Of the United Stntes, coupon or reg
istered, as may by said holder be de-
sired, bearing interest at the rate Of
per cent, payable semi-annually. and re-
deemable Mt the pleasure Of the United
States after five years, and payable twenty
years from the datc thereof And such
United States notes shall be received the
same as coin ut their par value in payment
for any loans that may be hereafter sold or
negotiated by the Secretary of the Treas
ury," etc.
If it lie true TINT the 500 bonds may be
legally and equitably payable in greenbacks,
it is equally true that the same act makes
those notes convertible into 5-30 bonds, ut
the pleasure Of the holder, and, consequent
II, the notes would always be equal in value
| to the bond. Tho same acts limited the
| gross issue Of greenbacks to S400, 900, ,O00
and declared that they never should exceed
that amount, except by $50, 100000 tempo
zarily.
Subsequently Congress, at the solicita-
tion of the Secretary Of the Treasury, COL
mitted breach Of faith with the public by
repeating the clause milking the green
backs convertible into $50 bonds;
but this repeating net can in no way i'm.
pair or destroy the equitable, honest
rights Of the public creditors, who loaned
their money to the government on the
condition that the issue Of greenbackk
should never exceed tho limits named, and
that those notes were to be fundAble into
bonds at the will of the holders. All the
bondholders in the United States were
also greenback holders. Both kinds ot
obligations were authorized in the SAINT
acts, and issued to the same public, ut tht
same time.
If the Labor-Union Convention insis
that the bonds may be paid in greenbacks
at par, the payment must be made in tn
kind of greenbncks which may be convert
ed into 500 bonds ut the pleasure of tn
holder, aud not in notes whicl
have been depreciated by any subsequen
act OF Congress. And, furthermore, tn
bonds nnst be paid out of m issue of con
vertible greeubacks, that must not excees
3A00,000, 900. The public creditors move
loaned the government dulla1 with tn
understanding or agreement that they wor
to receive payment in unlimited, irredcen
able, inconvertible scrip. The governmen
never asked any person to buy 5-a'
bond, payable in greenbacks to be man
ufactured for the purpose. Whoeve
| quotes the acts Of February and July
, 1862, or any other loan acts
to prove that $40 bonds ART
. payable in lawfu1 money, is firmly
, bound and held by the two conditions gu
, nexed, that the said s.1awful money va
positively limited to 400, ,Ooo, 900 in amount
} and was converted into $40 bonds. Til
, government can purchase all the bonds fc
Q which it has surplus revenue with II
e original g1eenbacks that were converte
), into ;'-e0s. He who contends that Il
i government may debaso its notes, ar
g destroy their valuc by over-issues, and the
l. tender such worthless trash to the publ
J. creditors, in payment of Federa bond
r simply arrows himself to be knave and
IS repudiator, who would swindle his ov
e creditors if he had an opportunity,