New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-04-16
WASHINGTON.
TIE PRESIDENTS VIEWS ON FINANCE.

THE pprsIDENTS VIEWS ON FINANCE.
,,o,,,,.n,,,rv THAT lie WILL SIGN THE SENATE
CURRENCY BnI-ms OPINION OF ITS PRO
x,s,oss-uE PAvoRs RESUMPTION OF SPECIE
PAYMENTS AND SUGGESTS PLAN
tpY TELEGRAPH THE TRIBUNR.l
WASHINGTON April 15-The Senate Currency bili
which passed the House yesterday and only awaits
The signature of the President to become law hao
not reached the Executive Mansion at 1870 this after
noon and had not therefore, been formally cohs'u-
cred by the President. Gen. Grant has, however
watched the progress of the bill through DOM
Houses of Congress and in conversation to-day was
able TO speak as intellgenty about 10 as though
no had Abe enprossed bin before him. The President
said that this bill was not such measure as he
wished Congress to pass, but it was gatherod
from the general tone of his conversation
that after consultation with the Cabinet. he would
without doubt sign it. The demonstration by the
Controller of the Currency, that the Scott amend
ment would work o temporary contraction OF the
currency in circulation if strictly enforced, seemed
to be accepted by the President and though he pre-
sumed that its provisions might not be very accepta
bic to the banks, he thought its effect would DC
saIutarv because il would strengthen the country
hanks aud those in the redemption cities, and rem
der them better able to meet any sudden demands
that might be made upon them. particularly IN
times of financial excitement or panic lie VIII
favor any wise measure that will make the banks
more stable aud tend to increase public confidence
in them.
In respect to that portion of the bill that fixes the
amount of legal-tender circulation at S4OO,OOOOOO
the President has not very great concern. lie has
heretofore considered the $OO00OO as part of the
existing legal circulation and that it held in re-
serve to meet emergencies About S26,OOO00O of it
have been used in this way, that but Sl8OOO,OOO
now remain to be put ont. The provision that
money previously sanctioned by law and already
construetiyely in circulation may be issued can
hardly he thinks be termed imitation, provided the
Secretary Of the Treasury retains the power again to
withdraw the S25OOo0O0 already out and hold 1t in
reserve for use in another crisis. If it Is
proposed to put out the remaining Sls,OOO,OOO
and keep it permanently out that the President
would consider as initiation The President repeated
to-day what he has before said, that he IS opposed
TO any step backward from the policy of gradually
approaching specie resumption, and still believes IN
the policy Of rigidly applying every available dol
lar to the reduction of the National debt.
President Grant thinks that the House bill lacks
one very essential fcature-a provision for specie
resumption. His plan would be to require the
National bank notes to be redeemed at the Treasury
in legal-tcnder5 with further provision for ulti-
mate redemption in specie. To effect this, no would
require the banks to contribute to redemption fund.-
One-half of the coin received as interest on their
bonds deposited as security for their circulation
This you'd amount to about SlO,0OO,0OO year. lie
would have the Government also contribute its share
to this fund or about Sl5,OOO,OOO year. In three
years this fund would amount to S75,0OO,0OO, and
this, he thought, with the specie in tho Treasury
which has, during his Administration, averaged
about $9J0JO00o, would be sufficient coin basis on
which both the Government and the banks might
venture TO resume. The President thinks that at
present the financial department of the Govern
ment Is too much under the control of the banks,
which, if left to their motion, would never re-
sumo. lie thinks that his plan would work no hard
ship TO the banks.
The friends of Mr.. Kelleys Intro-convertible Bond
bill are confident that il could now be got through
the House If they could get it in position where
majority vote would pass it, In order to get it IN
such position, however it must be reported by
committee and both Of the financial committees have
rejected it, The knowledge that the bill has no
chance in the Senate, will probably deter its ad-
vocates from making any determined effort TO get
action on it in the House.