The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1878-12-07
A False Step.

The refusal of the New York banks to re-
ceive legal-tender silver money except on
special deposits, is disregard of law that
must essentially prejudice them with Con-
gress and the people. Bad as may be the laws
of Congress, it is not the province of banks.
which are the creation of like laws, to assume
to nullify them. There is but one way to cor
rect the errors of legislation on the silver
question, and that is implicit obedience to the
spirit and letter of the silver BILL The one
great interest of the country that is now most
exposed to ill-adVised legislation, is the bank
ing interest; and bankers can, by unwise re-
resistance to public sentiment infiict more
injury upon themselves than can all the agra
rarians and regulators in the land. Banks
are not strongly intrenched in popular favor,
and they should appreciate the fact that the
exigencies which call them into existence
with special privileges, have passed away,
and in any battle before the people in which
our present national banking system shall be
on trial. the verdict would be overwhelming
ly against the banks, and without very special
regard to the intrinsic merits of the issue.
If the banking interests of the nation are wise
they will serve capital and the country by adj
vancing to the point that justice can call them.
They want relief from oppressive taxation,
and should have it. Taxation on banks is
but tax imposed upon the borrower; wan
ton exaction from the energy of the country.
With taxation released the banks can and
should willingly assent to a uniform govern
ment currency to be furnished to the banks
on deposit of bonds, which bonds shall bear
no interest while so deposited for circulation
This would disarm the opposition to our bank
ing system; relieve banks from onerous taxes;
cheaper the channels through which money
may reach legitimate business, and make
banking as it should be-free in fact, as it is
now in name only. There will be a revision
of our banking laws; so much is inevitable,
and the vital question now is whether it shall
be done by well-considered efforts to harmo
nize banking with the changed condition of
of business and public opinion, or whether it
shall be done by revolutionary legislation
Philadelphia Times.
Mr.. Augustus Belmont, the well-known
New York banker, has been interviewed bya
reporter of the New York San as to the
prospects for the success of resumption. He
thinks that the action of the New York banks
in the matter of making gold the sole stand
ard and refusing deposits of silver except
upon special agreement to draw it out again,
was unwise and uncalled-for Declarations
of this kind can only tend to spread dissatis-
faction and uncertainty of mind throughout
the country; and this discrimination against
silver raises the West against the East. 1t is
by no means impossible that the silver men
in Congress will set to work to attain their
object, and nobody can just now predict that
they won't succeed. He thinks the Govern
ment is very well prepared to resume. 1t
has now on hand S140,000,0 900 in gold be-
sides S6O, 1000, 900 reserved for payment of
called-in bonds, unpaid coupons, etc. The
banks have about $25, 1000, 900 in gold, and
Mr. Belmont thinks these sums will be sufi-
cient to respond to all the collaborating ten
denotes of the people, should any such mani
fest themselves prior to January 1st He
thinks that the policy of the banks in declar-
ing for gold as the sole standard, is likely to
cause drain of gold from the reserves which
will make money tight.