The daily Argus., 1875-09-23
HON. HUGH xccurIocH ON THE FOLLY
or INITIATION.
Ths DlShonor Of Nation Which sepudiatel
Its Obligations.
Financial Rmbarrassments due to Plethora
OfPOOr Paper Money.

OF Eoor Fhpor money
To the Editor Of The NsW York Tribune.
With the single exception Of the United
States, there is no country in the world in
which the holders of the securities are the
objects of contumely and denunciation.
The holders Of United States bonds are
corporations and persons who subscribed
for them in par at currency, when the gov
ernment was in peril, or who have pur-
chased them since at premium. Large
amounts Of them have changed, and are
daily changing hands, at a considerable
advance over their face value, in gold.
Any one who wants them, and has the
money to pay for them, can purchase
them at any of the chief money markets at
home or abroad.
THE SUPPORTERS OF REPUDTATIoN.
Our national banks hold them because
they are compelled to secure by this means
their circulating notes. Savings banks
and trust companies hold them for the
protection Of their depositors. Other cor
porations and individuals hold them be-
cause they have confidence in the good
faith and responsibility Of the government.
Under these circumstances is it not
strange that the bondholders should be
denounced as monopolists and extortioners
What would be thought Of public speak
ers or journalists in England, or France, or
Germany or Italy, or any country with
outstanding obligations, who should en-
deavor to hold up to public scorn and con-
tempt the holders thereof? Would they not
be regarded as public enemies or lunatics,
and be treated accordingly? What then,is
the explanation of the denunciation of the
holders of government bonds in so many
parts of the United States. Is it not to
be found Except where it is resorted to
to set class against class for party purpos-
es) in the fact that during the war there
was class of men small in numbers (for
the great body of the people, Democrats as
we'll as Republicans, were unfaltering in
their devotion to the Union who, not be-
ing in sympathy with the government in
great struggle with giantic rebellion, not
only declined to be subscribers for the
United States bonds, but dissuaded others
from subscribing for them on the ground
that the war would be a failure on the
part of the government, and that its Sc
curities would be worthless, and who now
give expression to their spite and dissa
pointment by denunciations of those whom
they call "bLOdted b0ndhOLdersH If those
who may take the trouble to read this let
ter will look around them they will find, if
/ am not greatly mistaken, that not one of
those who are now denouncing the bond
holders was an earnest supporter of the
government throughout the war. recol-
lect the time when the subscribers fol
United States bonds were regarded as
patriots, and happen to know to what
class they belonged. With rare excep
tions they were not capitalists; for the
capitalists as a class permitted prudence
to take the lead of patriotism, and hesitat
ed to become the purchaser of what theI
were regarded doubtful securities. They
were not violent partisans, whose opposi
ton to the administration was stronger
than their love of the Union. They wer
not those who were insympathy with tn
south, for southern sympathizers kney
that the proceeds of every bond that wa
sold went to the support of federal soldier
and sailors, or were used in other way
for the prosecution of the war. The pur
chasers of our bonds were the patriots
men of all parties, chiefly men of moderat
means, who were resolved that the Unio
should be saved, no matter at what cost {
money or blood.
II haye concluded" said an old Pennsy
vania farmer to government agent,
have concluded to take couple more {
them United States bonds you are sellin
(he had already purchased FIVE of $l,OC
eachl. My neighbor Jones says he don
believe they will be good for anything, an
that he puts his money into land, but
reckon that land won't be worth much
the Union is broken up. Besides" sal
he, with a slight tremulousness of voic,
Il have two boys with Mcclellan in ii
Peninsula, and the soldiers shall not wan
for money if | can help it, so l will tai
$1,000 more Of the bonds" / trust Il
old farmer has held on to his bonds, an
that he is now one of the coupon clippers
whom Gen. Cary is so roundly abusing
Ohio. There were some Of these neighbt
Joneses in all the northern states, ar
when any of them are now found. one wi
be likely to hear them denouncing Il
''bloated bondholders."
1t is undoubtedly true that most of tho:
who purchased United States bonds whe
the currency in which they paid for the
was worth much less than it is at presen
have since sold them at handsome prem
ium thus realizing unexpected profits c
their patriotic Investments; but VIII;
harm, l would ask, have the purchasers
home or abroad done the government
the taxpayers, by becoming owners
them, that they should he subject to d
nunciation and abuse? But am takir
too much time in alIuding to those who
political stock-in-trade largely consists
abuse Of coupon clippers" and ''bloatt
bondholders."
INITIATION NO REMEDY.
l intended that this letter should be CO
fined to consideration of the remedy f
our existing troubles, / will first speak
the policies which are advocated, and whiC
/ am quite sure will not, if adopted, prov
to be the remedy required.
First: The remedy is not to be found
further issue of irredeemable paper. {
this point argument ought not to be nee
ed. There are now outstanding betwe,
$700,000000 and $800,000,000 of leg;
tender and bank notes, an amount larg
than can be safely or proftably used
healthy trade. This is proved by the
depreciation and constantly fuctuatiI
value. No matter what estimates may
made of the amount required as circ
lating medium in the United States
comparison with the amount in use in OF
er countries. it is certainly true that n
only is there no branch Of industry in 4
United States languishing for want of CT
rency, but there is r very large amou
of currency vainly seeking investmel
The banks in commercial cities arc ov,
loaded with it-so overloaded that tn