The weekly clarion. [volume] (Jackson, Miss.) 1863-1882, 1877-12-19
TMMas NHnsHsmxH QUESTION.
Whnt was yomfnared In tlae
E1pnd.

vesting that metal of It's legal tender
properties. It has been charged that the
Law was tainted with corruption that
foreign holders of United States bonds
after the decentralization of silver in Ger
many and other foreign countries sent
over fund of $500, 900 to procure It's
passage. The bill with a deceptive
title was put through the House of Rep
resentatives surreptitiously, without read
ing, upon the assurance of its mover, that
it contained no provision changing the
then existing law on the subject of COIN
age. 1t was found, however, not only to
prohibit the coinage of the silver dollar
but to de nonetize a metal which was a
| legal tender when the Constitution was
formed, and which had been retained as
such from the formation of the govern
ment to that day. 1t is now proposed to
resume this coinage precisely as it stood
in 1873, and restore it to the exact status
which it occupied at that date. Presi-
dent Hayes and the majority of the Re
publican leaders are strenuously opposing
this just and reasonable proposition prin-
cipally on the ground that it would be
defrauding the holders of the govern
ment bonds who in this country are the
favored class (inasmuch as their invest
ment is relieved from taxation) to pay
them in any other money but gold. To
reach just conclusion and to test this
extraordinary assumption, it is proper
to see precisely what is the contract that
was entered into between the government
and the bondholders. The original debt
was contracted and the bonds were sold
in different sums between the years 1862
and 1869. The bulk of this debt, known
as the $40 bonds, was made payable
upon their face in legal tender notes. In
1869 the Republican Administration
caused to be passed an act declar
ing that the principal of these bonds
were payable in coin (Which it had no
right to do, and which cost the taxpayers
no less than $500, OO0,OO0). On March
the 18th of that year (I869) the follow
ing law was passed:
"The faith OF the United States is solemn
ly pledged to the payment in coin, or its
| equivalent, of all the obliga ions of the
United States not bearing interest, known
as the United States notes, and Of all the n-
terest bearing obligations of the United
States, except in cases where the law au-
thorizing the issue of any such obligation
| has expressly provided that the same may
| be paid in lawful money or other currency
than kold and silver. But none of the in
tereSt-bearing obligations not already due
shall be redeemed or paid before maturity,
unless vt such time United States notes are
convertible into coin at the option of the
holder, or unless at such time bonds OF the
United States bearing a lower rate of inter
est than the bonds TO be redeemed can be
sold at par In coin."
The ''coin" of the United States at
that time consisted of gold and silcer
The pledge of the United States there
fore was to pay it in either at the option
of the government.
So much for the faith pledged in that
act On the 18th July 1870, an act was
passed refunding the national debt as
follows:
''Be 1t enacted, ETC., THAT tins Sec rotary of
the Treasury is hereby authOTiZ d to Issue
in sum or sums not exceeding in the ag
gregate $1,000 000,000, coupon or regis cred
bonds OF The United States. in such form as
he may prescribe, and OF denominations of
fifty dollars. or some multiple OF that sum,
redeeDlGble in coin Of the present standard
UGIue, at the pleasure of the United States,
after ten years from the date CT their is>Ile,
and bearing interest," payable semi-annu
ally in such coin. &C the rate of five per
cent per annnm also sum or sums not
exceeding in the aggregate $300000,000 of
like bonds, the same in all respects, but
payable at the pleasure of the United
States, after fifteen years from the date of
their issue, aud receiving interest at the
rate of four and a half per GENT. per annum
also a sum or sums not exceeding in che ag-
gregate one thousand million dollars Of
like bonds, the same in all respects but pay
able at the pleasure OF the United States,
after thirty years from the date of their
issue, and bearing interest at the rate of
TOUR per cent. per annum. And
the said bonds shall have set forth aud ex
pressed upon their face the above specified
conditions.
At the passage of this law, the 'Ecoin"
gold and silver were the coin of the
United States Both were legal ten
ders. Now, let US see what was ''nomi-
mated in the bond" itself. The bonds
issued under the foregoing act bear upon |
their face the following conditions:
"Principal and interest payable in coin.
.sThe United States of America are in
debted to-, Oil, or assigns, in the
sum of-dollars.
This bond is issued in accordance with |
the provisions of an act of Congress. enti- |
tied An act to authorize the refundinR of |
the national debt, approved July Ia, 1870, |
amended by an act approved January 20, |
1871 and is redeemable at the pleasure of |
the United States after the 1st day of Sep
tenn Der A. ID. 1891, in coin of the standard |
value of the United States on said July IA, |
1870, with interest in such coin from thu |
day of the date hereof at the rate of 2 1
per centnm per annum, payable quarterly |
on the frst day of December, March, June |
and September In each year. The princi-
pal and interest are exempt from the pay
ment of all taxes duties of fhe United |
States, AS wcll as from taxation in any form
by ar under State or municipal or local au-
thority.'
Here we have the obligations precisely
as they were written, signed, sealed and
delivered. With what truth can it be
said he said in the face of these evidences
that the faith of the nation is pledged to
pay the bondholders exclusively in gold?
The fraudulent legislation of 1873 de
silver and enhancing gold.
has nothing to do with the contract be-
tween the people and the holders of the
bonds. The taxpayers have been injured
by the money power in the attempt to
lake from them the right to pay in either
oDe coin or both. They demanding that
The wrong shall be rlghted, a4d woe to
The nnhlic agent vwho xas.ts himself ha