Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-09-28
THE WALL STREET UPHEAvAL
How Can the Dead Lock be Unlocked.


remaining. Immediately after reaching the
White House conference took place be-
tween the President, Secretary Richardson,
and the Attorney General upon the ques-
ton of thu further purchase of bonds, under
the order of Saturday last. Il was decided
that the Treasury had used all the curren-
cy in this way that it could spare, with due
regard to its own need. rhe question
which occupied most attention was the re-
quest made from New York that thu Sec.
rotary should purchase the bonds of '5S,
due in January next. BY doing this, it was
urged, that he would save three months
interest, and at the same time put into cir
culation the twenty millions OF gold re-
quired for their purchase, and that this sum
would furnish exchange, and so revive the
export trade, which was fiat, and in various
ways contribute to restoring financial
quiet.
The Secretary was quite disposed to do as
requested, provided he could find legal
authority for such q step. Yesterday he
consulted the Attorney General on the sun
ject, who took the matter into considera-
ton, and In long conference with Richard
son, before the arrival of the President, gave
his views. The Attorney General was
quite clear that the Secretary hadano arl-
thority to redeem any bonds before ma
turity. In this case there was an opinion
among some that since this particular class
of bonds matured in January, that is during
the present fiscal year, the Secretary might
take the responsibility of redemption. 1t
was, however, decided at last that under
the act of March Is, 1859, commonly known
as the public credit act, no such redemption
of any of the bonds of the United states
could take place. The last clause of this
act is as follows:
"But none Of the said interest bearing
Oblig ations, not already due, shall be re-
deemed or paid before maturity, unless at
such time as the United States notes shall
be convertible iuto coin at thu option OF
holder, or unless at such time as the bonds
of the United States bearing lower rate OF
interest than bonds to be redeemed can be
sold at par in coin."
Upon setting the whole thing before the
President, it was decided that at present the
Treasury could take no further steps to re-
lieVe the New York markets, except as it
was affected by regular transactions of the
department. -
CREASED COINAGE ORDERED. =
DR.. Linderman and the Director of The
Bureau of the Mint, who has made life
study of finances, and is one of the ablest
of government officials, predics that the
effect of this stock panic will be to hasten
the resumption of specie payments. lie
says he shall not be surprised if within a
month, silver coin will be medium Of cir
culation at currency rates, and that if still
greater crash in stocks follows the opening
of The Stock Exchange, thing he regards
as very probable, that the full resumption
of specie payments can not be longer de-
lsyed, as everything, even stocks, must
come to gold level. He does
not think the panic will be disastrous,
as the recuperative power Of this country,
with its wealth of grain, cotton and crude
bullion, will enable it to retain the advan-
tage of foreign countries. He says he is
getting ready and has issued the requisite
orders to al the minis for largely increasing
the coinage, and that more bullion will be
coined during the next three months, than
at any previous time in the same
period. The experts Of crude bull
lion will be made for several months, owing,
principally, 10 the uufsvor BILE rates of ex-
change. Large orders have been telegraped
to London from New York for the impOr-
iation Of soVereigns which, at the present
condition Of sterling exchange, viii give a
large profit. Arrangements, it is under
stood, will be made for paying the deposit
tors of soversigns their value ID United
States gold at the assay Office, the day after
such deposits are made.
THE NATIONAL CAPITAL BLUE.
Special to the Louisville Courier-Journal.
WASHINGTON, Sept. 26-The aspect of
the national capitals decidedly blue. There
is very little business going on, and the
merchants are waiting, like Micawber, for
tie excitement, there is visible an sir Of
banking house Of Font, Washington & Co.
closes their doors, Mr.. Font explaining that
he did not anticipate suspension until after
the close of banking hours yesterday. The
Washington City Savings Bank, which has
generally been regarded as a perfectly hon
est and solvent institution, was this evening
placed in the hands of receiver at the suit
Of depostor whose claim was only 5000.
This is the same bank whose president en-
deavored the other day, without avail, TO
get currency at the Treasury Department
in eA change for number of 20 bonds.
THE GOVERNMENT LOOKING OUT FOR IT.
SELF.
1t would now appear that the GJvern-
ment is going to look out for its own SOL
vency, aud leave the crippled banks and
merchants to work out their own salvation.
The President stated to-dsy very positive
ly that payments of the loan due On the
first of January next would not be antici-
pated, as New 7 ork business men had re-
quested him to do, and said that all had
been done TO relieve the market which
would be done. It is deemed certain that
the Government can not get along without
a liberal res IT to the so.called legal tender
reserve Of 81, 100000 and it is doubted by
some whether the Treasury will have more
gold than enough to meet the current obi
cations Of the next four months.
AN EXTRA SESSION OF CONGRESS.
The intimation of the Government organ
at New York that Congress ought to be
called together does not seem to be based
on any known policy of the Administration,
| but it is by no means certain that this step
will not be invoked. Mr.. Morton's obvious
fear that the present panic will bring odium
and discredit on the Republican party i:
shared by other Radicals, and may lead tC
al extra session to devise some extra0rdi
nary remedies for the crisis.
| THE GOVERNMENTS FOREIGN AGENCY
The President is so muc1 put out by Ink
failure of the London branch of Henry
Clewes' concern, whom he made the Amer
lean bankers abroad in place of the Barings
that he is slow to maze any appointment il
their stead; the Government loss by thu
! Cloves bank in London is not fully known
but must be considerable. The President
is not aware that the daily exigen1ies of the
consular, diplomatic, naval and othel
branches of the public service abroad maxi
it Indispensable to have at once solven
bankers at London, or some prominent
financial center in Europe.
THE LOST GOVERNMENT DEPOSITS
The loss of the Treasury Department BY
deposits in the First National Bank o
Washington might have been avoided By
moving the money about fifty yards in
wessterly direction, to the United State
Treasury vaults, there to be drawn out OF
checks. This was the mode adopted by
Secretary Guthrie, the idea being that tn
United States Treasury could keep the pub
lie money as we'll as a bank. At the time
when McCulloch was Secretary of til
Treasury the Jay Cooke concern had Of
deposit six or eight million dollars, Whel
the United States Treasury was only jus
| scrOsS the street