The Richmond palladium. [volume] (Richmond, Ind.) 1855-1875, 1874-04-29
The Presidsut's vete Message.

To the Senate ofthe United States:
Herewith | return Senate Bill No.
617, entitled "an act to fix the amount
Of United States notes and circulation
OF national banks and for other pur-
poses" without my approval.
In doing so l must express my re
gret in not being able to give my as
sent to a measure which has received
the sanction of a majority of the legis-
lators chosen by the people to make
laws for their guidance, and have
studiously sought to find sufficient ar
guments to justify such assent, but un-
successfully. Practically, it is ques-
ton whether the measure under dis
cussion would give an additional dol
lar to the irredeemahle paper currency
of the country or not, and whether, by
requiring three -fourths of the reserves
to be retained by the banks and pro-
hibiting interest to be received on
balances, it might not prove con-
traction; but the fact cannct be con-
cealed that, theoretically, the bill in
creases the paper circulation $l0O, ,0oO, :
600, less only the amount Of reserves
restrained from circulation by the pro-
visions of the second section The
measure has 5een supported on the
theory that it would give increased
circulation. 1t is fair inference,
therefore, that if in practice the meas
ure should fail to create the abundance
ofcirculation expected oft, the friends
of the measure, particularly those out
of Congress, would clamor for such
imitation as would give the expected
relief. The theory in my belief is a de-
parture from the true principles of ii
nance, of national interests, national
obligations to creditors, Congressional
promises, party pledges on the part of
both political parties. and of the per-
sonal views aud promises made by me
in every annual rnessase sent to Con
gress, and in each inaugural address.
In my annual message to Congress, IN
December, 1863, the following passages
appear
rebellion, and not yet referred to, is
that Of an irredeemable currency. 1t
is an evil which l hope will receive
the most earnest attention. /. is q
duty, and one of the highest duties Ct
the government, to secure to the cit:-
zen a medium of exchange of fixed Hl-
varying value. This implies return
to specie basis, and no substitute for
it can be devised 1t should be COM
menced now. and reached at the earli-
est practicable moment, consistent
with fair regard to the interest of
the debtor class. Immediate resump-
tion, if pr acticable, would not be de-
sirable. 1t would compel the debtor
class to pay beyond their contracts the
premium on gold at the date of their
purchase, aud would bring bankruptcy
and ruin to thousands. fluctuations,
however, in the paper value OF the
measure Of all values, gold, is detri-
mental to the interest of trade 1t
makes the man of business an invol-
untarY gambler. for in all sales where
future payment IS to be made both
parties speculate as to what will be the
value of the currency TO be paid and
received. L earnestly recommend to
you, then, such legislation as will in
sure gradual return to specie pay
ments and put an Immediate step to
fluctuations in the value of the cur
reney."
/ still adhere to the views then ex-
pressed. As early as December 4ih.
1865, the House of Representative
passed resolution by vote Of Ia
yeas to nays, eoncurring in the views
of the Secretary of the Treasury in re-
lation to the necessity of a contraction
of the currency with view to as early
resumption of specie payment as the
business interests of the country will
permit, and pledging cooperative ac-
ton to this end as speedily as possible.
The hrst act passed by the 4Ist Con-
gress, on the 18th day of March. 1863,
was as follows!
AN ACT to strengthen the public cred
it of the United States.
Be it enscted &c, that in order ia
remove any doubt as to the purpose of
the government to Discharge all IT'S
obligations to the public creditors, ana
to settle conflicting questions and in
terpretations of the law, by virtue of
which such obligations have been con
tracted. it is hereby provided and de-
clared that the faith of the United
States is solemnly pledged to the pay
ment in coin, or it's equivalent. of all
the obligations of the United States,
and of all the interest bearing oblisa-
tions, except In eases where the law
the issue of any such OBJ
legations has expressly provided that