The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-03-09

revenue-and In ten years, from June go 1885, to June
coin, OF which $780, 0O0 600 constituted surplus
revenue and this surplus has been applied TO the re-
"thc cxgency OF the public INTEREST," does not require
the reissue OF legal tender notes when such have been
the iacts Even II The public interest may have made
II cxpedlent for the Executive TO delay tie order not
10 reissue the United States until the discount
on them had disappeared, II may now be 30 ordered
without harm even 10 any solvent private Interest
Gold COIN accum ulating the vaults of the govern
nent and OF the banks where 1t Is now burden. but
II the confidence Of The people ensuing from the order
not 10 reissue should cnrry tho notes 10 par in gold
this dead burden would become at current money.
IN" mora u.erss e, no. service in the last act has
rendered 1t mperatvely the duty OF the Executive to
cease TO reissue The notes when there mas osen IN len
lie service lar greater than the whole sum Of Inc notes
outsandngf
THE RESUMPTION ACT.
Reference may be had to tho so.caled Resumption
act OF 1870 but II should have provided that until
January 1879 there snail be less than $500 600 900
OF these United kept in use, aud that then
the whole sum shall be paid IN COM but there Is no
such stipulation In the act provides that the soc.
above $500 900, 000as bank notes are issued by new
BANKS and may continue that particular method OF
redemption until the whole sum Of the notes outsand-
ing reduced to $500 0O0, 000-and ''no more, but
nowhere provides that by other methods than fund.-
Ing such the dssc Of the notes here proposed tho
amount outstand pg shall not be reduced TO a less
than $500 00U 600 before January 1879 On tho con-
Executive taking the proposed action does IT not ren
der The duty yet more imperative BECAUSE while prom
isng payment OF the whole sum OF tho notes outsand-
ing coin ON tho LIST Of January 1873 II has provided
no now method OF preparation Tor such paymenty
Hence the Executive must avail itself Of The right TO
sell four and onchat per cent bonds. above par
IN gold and in other why's existing laws per-
nit render 1t corain that on The LIST OF January 1872
there snail be no moro legal tender notes
than can then he easily paid. Can this end DC accom-
plishe IN any way easily rs by ordering that tho
notes which the people voluntarily pay into tho
Treasury Tor taxes shall not DC reissued?
WAY CLEAR FOR PRESIDENT HAYES
Neither nrc the sections Of the Revised Statutes
action oil the Executive Section !, $40 permits no re-
issue Of notes only AZ long as the exgcncy OF the pub
nc service requires section 1ooz suspenus the power
OF the Secretary 10 retire and cancel the notes, but tho
clause OF the act OF 1862, by which IT was provided that
the notes issued under that shal BIO received in
payment OF any loans that may be hereafter sold or
negotiated" was not revised and has not been re-
pealcd Under The acts OF 1868 notes OF that
date havc been 10 great extent substituted Tor
notes OF 1862, but even by tho ACT Of 1868
II was only attempted to lake from tho hold
ers the right to iund them IN hvc-twenty
bonds II did DOT repeal the clause Of tho
act OF 1862 by which the Secretary was empowered TO
receive them. Hence tho substitution OF notes of 1860
may still be received for any BOND now authorized 10
be issued II may follow that the Executive has power
now to sell four aud nall per cent bonds al price
not less than par in eold that legal tender notes may
now be received for Them and need not and cannot BIO
ressued, because the cxgencv OF the public service
does not require IT, and because there would be no use
for tho thus paid in. II Is therefore held that
the executive department may now, In accordance
with the intent ana meaning Of the trainers OF the
Legal Tender acts cause United States notes to cease
70 he deprecated without further legislation.
Mr. Atkinson then replies 10 his critics, quoting
clauses OF the acts provide tor specie payments, and
concludes rs fvIows:--
PREPARATION 1T MEANS or REDEMPTION
Is II not true that preparation Tor specie payment by
the accumulation OF great stock of gold, to DO let out
in January l, 1879, will do mischief Doth in the
preparation and conclusion? Is IT not also that
preparation by means OF redemption from time to time
will bring about specie payment IN such quiet andor
derby manner as TO cause no excitement or disturb
ance IL may be that the trainers of the Resumption
act have made it more perfect than they knew, but
the Law must be construed according to Its title and
consistent with the provisions of unrepeaied
ton OF the first Legal Fender act of 1862. under which
The $3.50 900 600 Of notes therein authorized to he is
sued their INSTITUTES 'shal be received, the
coin, at their par value. IN pay mont OF any loans
that may be hereafter sold negotiated by the Secre-
tary OF the Treasury"
GIVE US SPECIE PAYMENTS JANUARY ]. 1879
1t follows that the resumption IS not imperfect or
inadequate. IL fixes date beyond which
specie payment shall be deferred 1t
provides adequate methods of preparation and
purpose. Hence, although II would be cxpcdicnt
for Congress 10 authorize forty year four per cent
bond for the purpose Of funding at low rate OF inter-
est, such Legislation Is not necessary TO resumption.
The Executive Is bound 10 construe the Resumption
act according to lis title. and 10 prepare Tor specie
payments January l. 1879. by awaiting Itself 10 the
utmost Of power therein and thereby conferred
IS PRESIDENT HAYES EQUAL To THE EMERGENCY?
IL therefore depends upon the will OF tho present
Executivc 10 justify the previous acts OF the rcpnb
can party by taking acion under the legislation
cred by them. Not that This is party question
all but IL Is upon which the party in power must
take action else may reach January 1, 1879 with
out preparation, and, consequently without power OF
action at that time