National Republican., 1873-02-05
SENATE.
TuBsDAY, FEBRUARy 4, lsIS.
aAtAny nr rup PREsfDRNr.

SENATE.
TUESDAY, FEBRUARY 4, 1879.
SALARY oF rnE PRESIDENT.
Mr.. Hnl offered bill Increasing the salary OF
the President and Vice President to 10000 and
$1,000, respectively, and asked for Its present
consideration.
Mr.. sherman objected, and II was referred to
the Committee on Privileges and Ele stlons.
Mr.. Sherman introduced q bill to authorize con-
soldatlon OF national banks. Referred to Com
mittee on Finance.
The bill provides that at shall be lawful for
two or more national banking associations, or
Ranized under the national currency act, to
merge their assets and liabilities into one asso-
citation, so that by virtue Of this act such assocA
tons shall he consolidated, and 10 that all prop
efty, rights, franchise and privileges by law
vested In such associations may he tTanferred to
and vested IN the association into which such
merger shall he made.n
The second section prcscrlbes the following
as the conditions upon which such cOnsolldS-
tiOns shall he made:
enter into Joint agreement under the corporate
seal Of each association, setting forth the time
and manner OF converting their capital stocks
and all other provisions OF the proposed cOnsOl-
idation.
second. Such agreement must be ratified by
ballots cast by persons or proxies representing
three toufths OF the shares In each association,
at separate meetings called for the purpose, on
thirty days notice TO each shareholder by publi-
cation, and through tho post ONCE.
Third. Certificates Of the Affirmative three
fourth votes OF each association shall be depos-
tied by the cashiers In the Ofice OF Comptroller
Of Currency, together with copies OF the agree
ment and upon receiving his approval the con-
solldatlou shall be erectual. Shareholders who
object TO the consolidation must be paid the
value OF their shares; such valuation TO be fixed
IN % ine articles 2 Of agreement, and al rights Of
associations shall continue unimpared against
tho new association formed by their consolida-
s,a mon sna DC enforced M against H. the separate
under section forty-two OF the national currency
act, and pay all debts except the capital stock,
surplus funds and outstanding olrunlation, hut
the latter Is to be replaced by an equal amount
issued to the new association.
MIR. Rdmunds Introduced q bill providing for
certain allowances to district Judges aud for
other purposes. Referred to the Committee on
the judiciary.
Mr.. Casseily introduced bill TO amend the act
Of June 0, 1877, reducing the duties on imports.
RESUMPTION OF sPgcIE PAYMKSTs.
The diminished business, being the bill OF Mr.
Sherman To provide for specie resumption and to
release the national banks from the requirement
to maintain reserves, was then taken up.
Mr.. BayRrd said the resumption OF specie pay
ments was the most pressing necessity OF the
time not merely as affecting the confidence, hut
as affecting the morals Of the country. The wide
spread pecuniary immortality exposed by recent
painful Developments was, In great measure,
due TO the want Of q currency OF intrinsic value.
He Also thought the national debt was = thou
sand millions more than II would have been II the
mistake had not been made OF resortlng TO In
compatible paper Issues. lie believed the ma
tiOnAl debt TO he an incubus upon the Industries
of the ncOpe. lie thought that the generation
which contracted the debt should not leave so
much o. u to be paid by those who are to come
after them. In reference to this bi Il struck
him a. being too much in the banking interests.
Mr.. THURMAN SAID
the amount OF groenDacks proposed to be retired
was three hundred and nfty millions. They
were 10 be exchanged for god-hearing bonds, al
i've per cent. Interest. For bis life he could not
see what advantage u would he TO the United
states 10 pay eighteen millions Of interest an
nually on the bonds for which the greenbacks
are to be exchanged, for the greenhacks would
he Inevitably funded. For them would be sub
Htituted national hauk nOtes-a currency not as
good as the greenbacks. The whole effect Of the
bill was TO favor the creditor class and operate
against the debtor class.
Mr.. Morton denied that this could be called a
bill TO resume specie payments, because II left II
optional with the Secretary Of the Treasury to
redeem greenbacks either In coin or In another
promise-a United States bond. This sond may
or may not be equal to coin.
Nj. scott sald the bill imposed no obligation
on ne holder OF the green6aek TO take bond U
Inc Secretary ~ oSnIa not Pay MIN IN con so that
NM. NORTON SAID
this was so, but the bill certainly left II optional
with the Secretary OF the Treasury TO redeem
greenbacks In coin or something else. II was not
a bill to resume specie payments, and did not
carry out the theory OF Mr.. sherman, that q
greenback Il promise to pay In dollar in coln
would undoubtedly lie In the Interest Of banker,
and brokers In the great cities, but II II should
have the elect OF making grcenbacks equal tC
cent. 10 the value OF all debts, aud increase u
that extent the difficulty OF paying them.
This bill provided too short time for resump
tion; two years was as soon "a II could be done
To resume before that time wound produce Rrea
financial embarrassment. He had no faith II
this idea OF an elastic currency. For seyera
years past there had been great prosperity In III,
county, and less speculation than at any tint
since 1881, and he ascrbed the reason Of tins u
the fact that the currency Is liked. This bill
would put II In the power OF private bankers u
increase the currency at their pleasure.
The amendment OF MIR. Thurman, reducing
the rate OF interest on the bonds TO be exchanged
for the greenbaeks TO two per cent, was re
jectod-ayes II, noes Bi.
Mr.. Buckingham moved TO amend the first soc
ton 30 as To provide that the Secretary Of III
Treasury may reissue the gTeenbacks handed Il
for redemption, or, II they are canoeled, ma
iasue United States notes TO meet the curTen
payments for the public service, and the ptncipa
Of any United states bonds at par, bearing n
terest payable IN coin, shall, on demand by IN
holder thereof, he paid by the Secretary OF III
Treasury in legal tender notes, and the lnteres
thereon In coin.
Mr.. Buckingham advocated an elastic currenc
a. tending to prevent business embarrassment.
Mr.. fenton offered an amendment prOyidln
that twenty per cent OF the greenbacKs receive
for bonds shall he retained and permanently r,
tired from circulation, provided the amount i
retired shall not exceed q, on, 900 monthly.
lie expressed MS bellct thht " would be III
possible to return TO specie payment without n
ducing the volume Of the currency.
Nh. SHERMAN MAINTAINED
that the bill was the best measure yet devised
secure the objects aimed at. lie considered II
solemn duty that something should be done
this session TO secure return to specie pa
menta. The Senate had four years ago pledge
itself to do this, and not one solitary measuI
had yet been taken toward It. II lt was pos
poned till next winter, political Issues would
brought In, and the probability Is that nothir
will be accomplished.
Mr. Morton said Mr.. Buckingham's amen
ment would give the Wall-street operators Il
chance 10 make "corner" In money wheney
they felt like II.
CREDIT MoBIIIER TESTIMONY.
The Clerk OF the House OF Representatives a
peared and delivered, In accordance with q
order passed by that body, q transcript OF certa
testimony taken before one OF Its c0mmitte
affecting certain members Of the Senate.
Mr.. Patterson moved that select commit
OF 1ye be appointed TO consider the matters CO
tanned therein, with power to send for perso
aud papers, Agreed TO.
The amendment OF Mr.. Fenton to the pendl
bill was then rejected.
Tho amendment OF Mr.. buckingham was tn
eJected-yeas ., nays Il.
Pending further discussion, the Senate we
Into executive session and then adjourned.
HOUSE OF REPRESENTATIyES.
TnE CREDIT MoBILIEK IRvEsTIGATIOR.
MT. Poland, from the committee appointed
investigate charges OF bribery In connection W
the Credit mObilieT, submitted the testimony q
TAI taLan and kt.l that II hp nFIntan