The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-03-27


while Secretary Of the Treasury. The democrats
voting were about equally divided, eight voting
for the increase and six against IT, or the liberal
republicans FentOn and Schurz voted against and
Upton Tor imitation. Senator Sprague was
the only New England Senator who voted
for the $500, 900 amendment. The vote
Of the Middle States Senators, with all
present would nave been eight against and TWO in
favor OF expansion. The cry OF the West and
South for more money is seen IN the votes OF the
and western Senators-Ohio alone ex-
cepted-Doth sherman ana Thurman being against
as well as the Senators from Texas,
Hamilton and Flanagan. though the latter was
paired. An analysis Of the vote OF the House ana
the Senate now makes it absolutely certain that
free banking will be agreed upon as the next best
measure for securing ''more money!
The Inna tionists disappointed I'm Their
so-Cancd victory-The Secretary OF the
Treasury Will Not Issue the Remainngi
SIs,OOO,OOO OF the Reservc-His Policy
Supported by the President.
The impression has gone abroad that the action
OF the Senate and the House implies that the
Secretary OF the Treasury will put out the re-
mainder OF the legal tenders, amounting to
$1S 900 0OO There is the highest authority for the
statement that II the bill were law to-day not
one dollar OF the 600 would be put In circu
iation. What the Secretary OF the Treasury will
do is to transfer the remainder of the legal ten
ders to his currency balance and report daily the
outstanding legal tenders at $4Oo, 100000. But
Secretary Richardson is pledged to a policy
from which ne will not depart, and in this
he is unequivocally sustained by the President.
That policy is to always have large reserve on
hand to be ready for any emergency. When the
minimum OF $685. 100000 was recognized the
Treasury Department always had currency bal
ance OF $lO,00O,O00 or $12,000,000. and this with
the full knowledge that II absolutely necessary
the reserve OF $44,00 900 could be drawn upon.
Now that the maximum limit Is nearly reached
and no reserve beyond 1t for an emergency Sec
rotary Richardson says that the honor and the
credit of the government both require that the
currency balance shall always be so large
that the necessity Tor selling gold to
get currency with which TO pay the current
Indebtedness OF the government may never arise.
1t will be remembered that in September last,
when the panic began, the Treasury Department
had accumulated balance Of over $l3,O 900,
which was speedily paid out, and since then
$685. 900 OF the reserve have also been paid out
The basis OF business operations as anticipated IN
the financial departure OF the government for the
remainder OF the year, is such as to preclude the
hope OF accommodating currency balance out OF the
900 OF greenbacks already CIRCULATION but
it may be depended upon that the balance Of
5000, 900, not in circulation, will not be drawn
upon, unless reason as potent az the one which
caused the Secretary to draw upon the reserve
last fall shall again present itself. The fact of
transferring the slsOOo0oO to the currency balance
will apparently put it in circulation while il &C.
tualy remains in the vaults of the Sub-Treasury
in New York, where it Is to be kept. Limiting the
legal tender circulation to $4,000 600, over which
there hnoN much eXutatiOn haa
led rhree-fOurths OF the members Of the House and
Senate who voted for 1t to believe that
bonds are to be bought and the whole
amount OF legal tenders put on the market.
When the contrary is known an effort will be made
to fix the amount OF the currency reserve in ex-
cess Of which 1t shall not be lawful for the Secre.
tary to hold. On that point it is thought there
may be a reaction Bonds are yet to be purchased
for the sinking fund out of the gold balance or
taxation increased to take enect within this fiscal
year, sufficient to cancel the obligation of the law.
1t is evident from what has TRANSFERRED tonight
that the nnationisJs have not gained the victory
they proclaim.
Passage OF the importation Bill in
the House by Small Majority.
The House, by q very decided vote, shelved the
APPROPRIATION bill to-day and took mp the bill
ported from the Banking and Currency Committee,
No. 1872, the main feature OF which is free bank.
ing. The Chairman, Mr.. Maynard, led OF in
exhaustive speech in favor OF the bill, fol-
lowed by Judge Durham, another member OF the
Committee Mr.. Mitchell was next recognized and
has the floor when the debate Is renewed. All the
members Of the Banking Committee will make long
speeches, and, in addition, Messrs. Orth. Burchard
Platt of Virginia, Mellish, Cotton, Scudder of New
Jersey, Bright, Townsend Monroe, Coburn, vii.
son of Indiana, Fields, Negley and Buckner are
enrolled to make speeches.. How many more will
add their names to this long list it would be idle to
say; but many days hence the "Last OF the Nara
gansetts' may ask the House to come to vote on
the BILL the $500 000 600 clause of which Is obsolete
by the action OF the House on Monday. The Trans.
portation bill was passed to-day by very close
vote12l in the Affirmative, 116 in the negative, SO
absent. At one time 1t was thought the bill would
be defeated, and so 1t would had the democratic
members voted solidly. Strange to say the
jority or five for the bill was made up
OF observation-disclosures. Luttrell, of Califor-
mia Kendall of Nevada Holman and Wolfe,
oil Indiana, and Robbins, of North Car
DINA - while nearly fifty republicans and
influential members OF the House voted with the
democrats against its passage. 1t was remarked
to night by prominent democratic Senator that
If the bill passed the Senate the millennium
OF railroad managers would be at hand; Tor, in
tives and Senators, it would only be necessary to
buy up five, majority Of the board provide by
the bill, to regulate rates Of freight and fare.
When reminded that the passage Of the bill in the
House rested with quintet OF his democratic
allies, he said, Don't talk to me about the demo-
cratic party or democratic principles They belong
to the period OF the world when paper money was
not known and all the carrying trade was confined
to the Ark The vote OF democratic Congressman to
upset State rights is quite as consistent as the
vote OF democratic Senators for an increase OF ir-
redeemable paper money" These remarks very
fairly represent the condition OF matters In both
houses, wnere party lines are longer recog-
nzed and where democrats vote to carry re-
publican measures and republicans vote to
sustain democratic principles.
The possibility Of ne,o issue or iaconUertiole
paper regard acith amdzensent ana 0nriety and
In my Judgment such an issue aooutd be a deti
nent and q shdnoe.-CHARLEs SUMNER.
The Report OF the Committee ON Trams.