New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-10-09

the creed and practices of that ancient insti-
tuition is to batter them from the outside.
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MR. RICHARDSON'S ILLEGAL INFLATICM
1t is officially admitted that the Treasury
Department il initiating the currency-in spite
of the splendid stand which the President
took in New-Y ork-by the reissue OF parts of
the so-called "4i-million reserve" We pro-
nounce this an illegal as well as most inju-
rious act, for which the Secretary deserves
impeachment And We proceed to prove it,
The first law authorizing an Issue OF United
States legal tender notes was passed FEBRUARY
25th 1862. 1t is Chapter XXXlll. of the laws
passed at the second session OF the AAAFlith
Congress. The issue therein authorized Is
$50, 10000, and it is provided that S5O,OOo,OOO
of the said notes shall be in lieu OF the
S5O,0OO,0OO of demand Treasury notes author
lied 20 be issued by the act OF july H. 1901,
and that the said demand notes shall Dc taken
I'D as rapidly as possible and legal-tender
notes substituted therefor. The amount OF the
two kinds os notes together was ut no time
to exceed the SUN Of S15O,OOO,OOO. Any holder
of the said legal-tender notes deposlting any
sum not less than fifty dollars, or some null
tiple of fifty dollars, with the treasurer OF
the United States, or either of the Assistant
Treasurers, was by this law permitted TO
receive in exchange therefor an equal amount
of five-twenty six per cent bonds. Such legal
tender notes. it was also provided, should De
received the same as coin at their par Value
in payment for any loans that might there-
after be sold or negotiated by the Secretary
of the Treasury, the said notes to be relssued
from time to time, as " the exigencles Oh inc
"public interests might require.
An act passed July H. 1852, authorized fur
tber issue of Sl5O,OO0,OOO legal-tender notes,
which were also to be receivable In payment
of all loans made TO the United States ana OF
all demands of every kind payable to the
limited States except duties on imports
Joint resolution, passed January II, 1868, au-
tborized further issue of $10O,OOO,OOO which
were likewise made legal tender III payment
of all debts, public and private, except duties
on imports and interest on the pubic deDt'
The Act of March 3, 1888, increased the limit
fixed for the issue authorized January IL OF
the same year to S1500OO,OW. Inc tOtal
amount authorized by these four acts was
S45OOOO,OOO Chapter CLXXIl. of the laws OF
the XXXVIIIth Congress, First Session, passed
June 30, 1864 provides that the total amount
of United States notes. issued or to be issued,
shall never exceed $4OO0OO,0OO and such addi-
tional sum, not exceeding $5O,OOO,OOO, as may
be temporarily required for the redemption
of temporary loans Chapter AAll. OF
the laws of the XXHNlllth Congress,
Second Session, passed January %, 1861 re-
strcts the issue of legal-tender notes
to S4OO,OOO,OO0 Chapter LXXVIl. of the
laws of the same Congress, IAN Act to Pro-
vide Ways and Means for the Support OF Gov
eminent" passed March 3, 1865, contains
proviso that nothing contained therein shall
"be construed as authorizing the issue of legal
"tender notes in any fOrm.' 1t thus appears
that on March 3, 1866, the Secretary of the
Treasury had the power to issue legal-tender
notes to the amount of S4OO,0OO,0O0, plus such
additional sum, not exceeding S5O,0OO,0OO, as
might be temporarily required for the redemp
ton of temporary loans. We have now to
examine the subsequent legislation.
On the 18th of April, 1885, an Act was APP
proved which authorized the Secretary of the
Treasury to retire and cancel legal-tender notes,
of which the following is a literal transcript
CHAP. XXXIX.-An Act to amend an Act entitled
Government" approved March 3. 1865
BE enaeied on he Senate and House Of Representd1ves
of the United States Of America IN Congress assembled,
That the Act entitled "An Act to provide Ways aud
Means TO support the Government approved March g.
1866 shall be extended and construed 10 authorize the
Secretary Of the Treasury at his discretion 10 receive
Treasury notes or other OBLIGATIONS issued under
not, in exchange for any description OF bonds author
lied by the act to which this IS an amendment; and
also 10 dispose OF any description of bonds author
Elsewhere. to such amount in such manner, and at
Gugh rat
money Of the United States for Treasury notes.
certificates Of Indebtedness. certificates OF deposit
other representatives OF value, which have been
which may be ISSUED under act OF Congress- the pro
cecds thereof TO be used only for retiring Treasury notes
OR OTHER OBLIGATIONS Issued UNDER ANY ACT OF
CONGRESS; but nothing herein contained shall
be construed to authorize any increase of the
notes moi more than ten millions OF dollars may be retired
act and hereafter net more Ma, four asons Of dollar.
in any one month: And prOrded further That the
TO which this is an amendment shall continue In full
force in all its provisions except modified 10y this
SEC .. And be II further enacted That the Secretary
OF the Treasury shall report Congress at the COM
OF the session the amount of exchanges
made money borrowed under this act, and OF whom
and terms and also the amount aud character
Of Indebtedness retired under this act and the act
which this Is an amendment Tlth detailed statement
APPROVED, April 70, 1866.
The above Act, in the first place, authorizes
the Secretary of the Treasury to retire and
cancel legal-tender notes. and in the second
place gives him no authority to increase the
public debt, which he certainly does when he
increases the Governments promises to pay,
as he is now doing. Under the Act of April
IL, 1866, the legal-tender circulation of the
United States was reduced from about
$3.50, 100000 to $356OOO,OOO, when further re-
auctions were forbidden by Chapter vi. of
the laws of the Second Session of the FOrtieth
Congress. That Act was received by the Pres
ident January 30, 1868, and became a law with
out his signature. 1t simply provides That
from and after the passage of this Act
" the authority of the Secretary of the Treas