, 1875-12-11


FUNDIEG THE GnEENBACKs.
There is olle point which tile Secretary Of
tho Treasury brings ont very clearly aud
enlpAatica}ly in his recent report, viz. :: The
pledged faith Of the Government to provide
for the redemption OF funding Of the legal
tender rotca. Tho act Of February, 1sG2,
which authorized the first isslo Of $50, 0,00o,-
o00 Of grecnbaekH was emitted San net to a,t-
thorize tic issue Of United stntos noses am. .G"r
TIE redemption or funding t1tref" That act,
as Il matter Of fact, provided for tho funding
Of the treeubecks, at tho option Of
the holder, into United states 5-20
bonds, bearing per cent gold inter
est, Tho next issuo Of 2l50,o00, O00-
July II, 1eG9-~was mado, the Secretary
says further, under this same p1edge.-that
is, that the holders Of tho greenhncks should
have tho privilege Of converting them into
gold-bea,ing bonds whenever they saw fit. 1t
is true ,hot this provision waa subsequently
repealed by Congress, but in doing 10 Con-
I,ress colnlnlttud M net Of bad firth and WIS
t;ailty Of n violation OF contract Such re-
peal cannot releaso The Government fran lis
original pledge, which WAS only III keeping
with the economic Inv OF nil civilized nations
which forbitls tho idea Of permanent irre-
tleeulablo paper-cnrrcncy.
Tho duty OF tho Government is emphasized
still further by tho Language Of the Supreme
Court Of the united States, quoted by tho
Secretary Of the Treasury, wlero tho Court
says:
them l,y acH Of copgrtEH, oF which can aay
nothing, their circulation currency depends upon
r estcnt 10 which ticy received 10 payment, taa
uautity circulation, and Oh thr rre,t Ryr 10 tue
promises they bear In other respects they resemble
the bank-notea formerly tsansd "a currency.
but. the oser band. It II equally clear that tsse
otts thi;auono Ut tho United Ata.er. Their
isntorts obligation. Every Of them oxrrc1scs upon
i.a ace nn engagement Of tho nation 10 pay tie bearer
I: ccrtH!n s7. The lellsr note In IN engagement to
1my t.osr and The dd!l1r iIttndnt il the oliar
tftat Eaitfl .tak's1 eertdH Tnan:t4 in srft1h aAd
of aeit and .ilrsT, duth.sfcated al se BY lie
stump u The Tournament.
This language, tal;en in connection with
the pledge of Congress- tupon the original
iS,.,c III the lrsal-taufer Auses, leaves 10
room for tho greenbackers to Claim that
there III any prospect for eventually shirh;n{{;;
tho redemption Of the Treasury notes in the
recognized money Of tho world. Together
they show that it waA never intended that the
TREASURY notes should be permanent Issue,
md that the Buprc,ne Court will admit Of no
construction of their character which does
not include their ultimate pny1nent in specie,
l1:o any other b0u1, note, or obligation. II
tho position needed any strengthening, it IL
/ suprlicsl by later net Of Congress, ,--aIurcl,
Is, i>.;9.-wl1ercin it was declared that "the
United Statos solc,nnly pledges its faith to
,nake provision ut tho earliest practicable
period for the redemption Of the United
5tateB notes IN cusn." .Ihia act merely in.
terpreted and supplemented the previous
pledges Of CongreAs and tho verdict of the
| Supreme Court thereon.
Thero is but Que Why in whiell The United
| States Government eau houornbly avoid tlt
| ihiH.ua.te payment Of its Treasury notes,-
which on their fucp call for payment on lie
1nand,-snd that in by funding them as pro
yided in the original act BY which their isau.
| wna authorized This ia tho nature of th.
proposition uaa<le by the Secretary Of TIL
Treasury and indorael by the President
| PttstA44k AVA kHV iOAtEA1AV4h " *A4c EtES!4
bucks into United States collaborating bont
at low rats Of interest aud running for
long term Of years. Tho moment this priv
segs is accorded to ho!der4 Of grcenbacks, q
their own option, tho United States will hav
redeemed tle pledge It snado when tho green
bacEs were first issued. It is fair criticism
OH the Limitation Of these redemption bond
to S2,oU,1No mouth that tho Tia
tionA faith is not fully msintaine,
by slch plan, hut that tho hold
ora Ut greenbaeks should be sntitle,
to fpud them into bond Whenever and /
whatever extent they may SEQ TT. Had thi
provision Of tho original sct never bsen re
pealed, greenbaoks would always have ha
tho same value, and we would not now b
suffering the Ills Of an irredeemable currency
Tue restoration Of the right Of funding, bt
sides being simple act of good faith, vii
: DO more than anything except tia actus
payment in gold could do to give tho greer
backs q steady and uniform value, appro,
/ in,attpg par value in gold and, Il tt
} quality Of legal.tender 10 added to those =
! demption bonds "a to payment Of old debt
i there will be no sacrifice Of tho interests
t what ia called the "debtox cia1s " in order
. regain tho position which should never ha7
- eeen abandoned. ous thing 10 certain, II
:, acts os Congresa and ths Supreme cous'
n.ratx7,n&Ich Ahax4 ri ~sc,,t.A x,{AL.~ A.. 80