Knoxville journal. [volume] (Knoxville, Iowa) 1874-1986, 1876-10-11
The Resumption Act and Its
EXPLANATION.

II
/ Explanation.
AN ACT TO provide for the rescpmtion ofspeci,
| payment
| BE IL enacted 5y the Senate ana
House of Representatives Of the United
States OF america, in Congress assem-
Died, That the Secretary of the Treas
ury Is hereby authorized and requir-
ed, as rapidly as practicable, to cause
to be coined at the minis OF the
/ United states, silver coins of the de-
l nominations of ten, twenty-five and
| fifty ceuts of standard value, and to
issue them in redemption of an equal
number and amount of fractional
currency of similar denominations,
or at his discretion, he may issue
such silver coins through the minis,
the sub treasures, public deposita-
ries, and post-offices of the United
States; and upon such issue, he is here
by authorized and required to redeem
an equal amount of such fractional
currency, until the whole amount
of such fractional currency outstand-
ing shall be redeemed.
Sec. 2. That so much of section
three thousand five hundred and
twenty-four of the Revised Statutes
of the United States as provides for
a charge of one.fifth of one per
centum for converting standard gold
bullion into coin, is hereby repealed,
and hereafter no charge shall be
made for that service.
SEC. 3. That section five thousand
one hundred and seventy-seven OF
the Revised Statutes Of the United
States, limiting the aggregate
amount of circulating notes OF
national banking associations be, and
is hereby repealed; and each existing
banking association may increase its
circulating notes In accordance with
existing law without respect to said
aggregate limit; and new banking
associations may be organized in ac-
oordance with existing law without
respect to said aggregate limit; and
the provisions of law for the with
drawal and redistribution Of nation
nj bank currency among the several
States and Territories are hereby re-
| pealed. And whenever and 80 often
40 circulating notes shall be issued
| to any such banking association, 30
| increasing Its capital or circulating
notes, or so newly organized as afore-
said, 1t shall be the duty OF the Sec
retary of the Treasury to redeem
the iegal-tender United States notes
in excess only Of three hundred mil
lion OF dollars, to the amount OF
eighty per centum OF the sum OF
national bank notes 80 Issued to any
such banking association as afore-
| said, and to continue such redemp-
ton as such circulating notes are
issued until there shall be outstand-
inp the sum of three hundred mill
lion dollars of such legal-tender
United States notes, and no more.
And on and after the first day OF
January, ammo Domini eighteen
hundred and seventy-nine, the Sec
rotary of the Treasury shall redeem,
| in coin, the United States legal.ten-
der notes then outstanding on their
presen tation for redemption, at the
| Office of the assistant treasurer OF the
United States In the city OF New
| York, in sums OF not less than fifty
dollars. And to enable the Secreta.
~ Of the Treasury to prepare and
provide for the redemption In this
act authorized or required, he ID
authorized to use any surplus reve-
nues, from time to time, in the
| Treasury not otherwise appropriated,
and TO Issue, sell, and dispose of, at
not less than par, In coin, either or
| the descriptions of bonds of the
| United States described In the act
| OF Congress approved July four
| tenth. eighteen hundred and seven
| ty. entitled, "An act to authorize
| the refunding OF the national debt, !"
| with like qualities, privileges and
| exemptions to the extent necessary
| TO carry this act into full effect, and
| 10 use the proceeds thereof for the
purpose aforesaid. And all provis-
IONS of law inconsistent with the
provisions of this act are hereby re-
pealed.
Approved, January IA, 1875.
We re-publish the foregoing law in
order to correct and remove the
many errors existing in the public
mind concerning its provisions, and
its effect upon our greenback circula-
ton. Great efforts are being made
by some advocates Of the greenback
hobby 10 create the impression that
the resumption act Is direct attack
upon the legal tender notes Of the
government, and is intended for
their absolute destruction. Nothing
can be further from the truth. This
act Is designed and directly calcula-
ted TO increase the value of the green
back circulation, so as to make IL
worth one hundred cents on the dol.
lar, or equal to gold dollar.
In order to make this matter per-
fectIy plain, let us briefly analyze
the provisions of this abused and
greatly misunderstood resumption
act.
The following comments, by
careful reading of the act as above
given will be perfectly plain to ever.
intelligent mind.
| The 1at Section Of the act author
lies the Secretary of the Treasury Il
have silver of the denominations o
10, % and so cents coined, of standar'
value, at the United States minis, TO
the purpose Of redeeming the frac
tional currency. This provision
right, and is giving universal salts
faction as the process goes on.
II The I'd Section repeats the law 70
paying q per centum for converting
standard gold bullion into coin, thu