Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-09-25
Failures in Wilkesbarre, Richmond
and Petersburg.
The Policy of the Treasury.

The Policy of the Treasury.
Special to the Cincinnati Commercial.
WASHINGTON, Sept. 22.-Gen. Grant
and Secretary Richardson arrived here from
| New York early this morning. There was
no formal Cabinet meeting, and there prob
ably viii not be during this week. At the
impromptu meeting to-day, the financial
situation in New York was discussed, and
the action thus far taken by the President
and Secretary of the Treasury upon the APP
peais made TO them while they were ia
New York was approved, and it was agreed
that nothing further should be done until
some great and urgent necessity required.
| The Associated Press and other dispatch
es Of last night misrepreeented the reply of
! the President to the Committee OF business
men in New York yesterday. Gen. Grant
authorizes the statement that no question
regarding the constitutionaiity or uneonsti-
nationality of the issuance of part or all of
The legal tender reserves was involved. He
| deemed the request of some of the mem
| bers of the committee that the legal tender
reserves be transferred from the Treasury
to the banks, to be clear violation of the
law, and even if lawful, such course was
antagonistic to the business interests of the
country, and in fact was strongly protested
against. He will go to the farthest possible
legal limits in the use of the resources OF
the Treasury to protect the legitimate bust
ness and commercial interests of the coun-
| try. He is convinced of the legality OF the
past course of the government in drawing
upon the legal tender reserves, and in order
to satisfy himself more thoroughly about
the matter he called upon and spent an
hour this afternoon in consultation with
the First Comptroller Of the Treasury, Hon.
! r. w. Taylor, with reference to the law as
| to the issue of legal tender reserves, and as
( to what had been the rulings of the depart
ment when this subject came up during the
administration of Mr.. Boutwell, as Secre-
tsry, and of his successor, Judge Richard
son. Mr.. Taylor said that the subject be-
ing submitted to him heretofore, he had
given his opinion unequivocally that it is
lawful fer the Secretary to reissue these re-
ssrves, and that in his mind there was 10
shadow of doubt about it.
Judge Richardson said this evening that
he believed the storm was over. and that
quiet and good order would soon tie re-
stored in financial and business circles.
Numerous dispatches were received dur
ing the day by the President and Secretary
Richardson, in which many of most promi-
nent citizens and business men of the lead
ing cities of the Union lined in congratuls-
ting the Executive and bis Financial Secre-
tary for their stability. The kilograms from
New York conceded ia the statement that
Wall street was clearing ITSELF
Currency In she Treasury
To-day's exhibit makes it appear that
there is balauce of Sl4,600,000 currency
in the Treasury, but there should be de-
ducted from that amount little over $6,-
100000, which were paid oct for bonds pur-
chased on Saturday and to-day. The exact
amount bought to-day is 50 1873, $50, while
on Saturday there was fraction more than
g 100000 worth Of bonds bought. Thus
it will be seen that there still remains in the
Treasury about eight and q half million
dollars currency, which it is expected will
be as much as the Government will be OBJ
lged TO use in the purchase of bonds, unless
some extraordinary and unforeseen ext
gency srises. If, however, it seems neces-
s&ry, the Treasury will continue to buy
bonds and will draw for quantity upon the
$4,000, 900 legal tender reserve.
Views of the President.
The following are the principal points of
an interview with President Grant, which
will be published in the National Repub6-
can, tomorrow morning:
It became apparent to the President be-
fore the interview In New York ended,
that the railroad operators alone were seri-
ously involved, and that the representa-
tives of banks or firms not complicated by
those operations were free from the fright
| of the panic. The President further ex-
planned that in pursuing the policy adopted,
it was intended to relieve the stringency Of
the market by developing che actual necas-
sites of the community in such was as
not only TO relieve these necessities. but en-
able the government to purchase its own
indebtedness. In other words, he believes
that the purchase of bonds by the Treasury
would enable the public, if an actual neces-
sity existed, for relief, to obtain that relief,
and at the same time enable the Treasury
to reduce the public debt by drawing on its
ample surplus.of Gu rency. He was we'll
aware of the fact that the opportunity thus
afforded to the West to obtain the currency
SO much desired in those sections of the
country would be taken advantage of, but
this result he accepted with satisfaction.
He felt confident that the end has been
reached, and that as soon as the adjustment
of affairs now progressing is effected the
customary channels of business will reopen
and commercial transactions of every
character will pro eed as before, with the
favorable exception that the markets will
have reached listing and substantial basis.
In abiding to the character Of the panic,
the President denounced in most unspar-
ing terms the absurdity of the propositions
of the stock gamblers, and added that the
result Of the purchase of bonds exposed
the utter rottenness of the basis on which
they carry on their business. He argued
that if they were Legitimate business men,
having 8 legitimate business basis, they
would have been enabled to obtain currency
for their relief by availing themselves oil
the action of the Government. The ner-
chants and sound banking institutions have
already taken advantage of that action, and
while the facts developed by the result show
that the brokers had no bonds, the mer-
chants, instead of diseounting their paper
at ruinous rates, had obtained funds by dis
posing of their Government securities. He
received two dispatches yesterday from EN-
inent houses in Europe, interested in
American securities, informing him tina,
the policy of selling bonds rad operated to
restore as well as to elevate confidence in
them.
Yesterday.
Special to the Union and American.
NEw YopK- Sent. 24-The SUSPENSION o.