Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1873-10-03
GRANT AND THE EMF
ON THE PANIC.

NJ ars. CIanin and Anthony, of New
York, IS, TO say TIE --..c' OF 1t, re-
markable one. It was written on Sun
day, just one week from the refusal OF
the President in spite of all the pres
sure brought to bear upon him to
adopt the policy he now announces as
that Of the Government. The Presl-
dent in his letter declares it to be
the purpose of the Government, IN
case it becomes necessary, to reissue
the forty-iour millions of reserve and
also, to anticipate the payment of in
terest on bonds not yet due. AS to the
legal right Of the Government to an
ticipate the payment of interest, there
seems to be no question, the contln-
gency having been expressly provided
for by act of Congress. The right to
reissue tie forty-four millions of legal
tender greenbacks withdrawn from
circulation by Mr.. Secretary OF the
Treasury McCulloch, has been mat
ter of dispute ever since their with
drawal. Five millions were, indeed,
reissued by Mr.. Boutwell, last year, or
rather by order of the President, it is
believed, but the legality of the act
has never been assented to. When in
New York Oh Sunday before last, the
President acting upon the opinion
that the withdrawn legal tenders could
not be reissued, according to law, re-
fused to order it 20 be done. Mr.
Reyerdy johnson, who was present.
suggested TO the President and others
that the act recurring the withdrawn
1A<,.,1 4e-.1,ro 20 DE kept 1nthe treasury
had been repealed, and sure enough 1t
turns out upon investigation, after the
Presidents return to Washington, that
the act was repealed by subsequent
act Of Congress, although it appears
that nothing was in Ioint of fact
further from the intention of Congress
than to repeal it. The intention of Con-
gress was simply to repeal portion of
the act referred to, and to leave I'M
touched that portion required the
legal tender reserve to be kept III the
Treasury The mistake was simply a
clerical oversight. But oversight or
not, the opinion now is that the act IS
repealed and that the Secretary of the
Treasury has the right to reissue the
fortv-four millions of legal tender re-
serve. At least this is the statement
put forth by 49, friends of President
Grant in accounting for his change of
policy. Not having access to the
statutes we cannot vouch for the accu-
racy Of the statement.
Another point worthy of comment is
the evident purpose of the President
t. fastcn upon the banks the RESPONSE
b;lity for any longer continuance of the
panic. We concur with the President
III thinking that the New York banks
are now in a condition to put an end
to the panic-indeed We believe it can
be done III forty-eight hours.
Still another point Worthy of COM
ment is the just appreciation mani
tested by the President as to the i'll
effects Of the panic upon the interests
Of the Sonth and West, in preventing
the prompt transportation of the crops
to the seaboard. The longer the
moving OF the crops shall be delayed
the greater will he the injury to the
merchant and to the farmer. The
crops cannot be moved without cur
rency, and currency cannot be had
unless those now boarding it shall nm
lock their vaults and disgorge.