The weekly herald. [volume] (Cleveland, Tenn.) 1876-1888, 1878-12-05

" mtIA ilf tnAiNul NAIAIAAAhAtn ~ - INV -
oruing interest on the public debt. Authority Is
conferred by the Reminding Act to redeem siK-per-
cont bonds as they become sy We
Of interest. Tie United States notes redeemed
under the Resumption Act are, therefore, the
principal means provided for the purchase OF bull
lion or coin with which TO maintain re
sumption. but should only be paid out
when they can be used TO replace an equal
amount Of coin withdrawn from the resumption
fund. They may, 1t Is true, be used Tor current
purposes like other money, but when so used their
place Ia flled by money received from taxes OF 9th
In daily business, no distinction need be made
between moneys from whatever source received,
purpose pur 9OsS G aaih prTpsdfBS y law GS DiS So doubt b coin q liabiIi,
ties. such ne interest or principal Of the public debt,
will be ordinarily paid and willingly received IN
United States notes, but, when demanded, such
payments will be made In coin; and United states
notes and coin will be used in the purchase OF bull
Colorado aud North Carolina. and arrangements
are being perfected 10 purchase bullion In TINS way
I'm all the mining regions OF the United States.
BY the act approved June 5, 1873, the Secretary
Of the Treasury is authorized TO constitute any su-
perintendent Of q Mint or assayer of any assay
oiAee an Assistant Treasurer Of the Unitea
posit. BY the legislative Appropriation Bnl
approved July 10, 1878, the Secretary of the Treas
Gates in payment to depOsitors Of bullion at the
several mnts end assay offices OF tie united
States. These provisions, intended TO secure 70
necessariiy bring into the mints and Treasury the
great body OF the precious metals mined in tho
steady supply OF bullion for coinage. United
States notes when at pal. with com,
win be readily received Tor bullion
ago and convenience to tile producers.
Deposits of coin In the Treasury win, no doubt,
continue 10 be made after the LIST OF January, as
heretofore. Both gold and silver coin, from its
weight and bulk, will naturally seek such a safe
deposit, while notes redeemable In coin. from their
superior convenience, will be circulated instead.
After resumption the distinction between coin and
United States notes should be, as far as prac-
tcable, abandoned in the current affairs OF the
Governments; and therefore no coin certificates
ehould be issued except where expressly re
quired by the provisions OF law, as IN the
case OF silver certificates. The gold certificates
hitherto issued by virtue of the discretion con
ferred upon the Secretary will not be issued after
the LIST OF January next. The necessity for them
during a suspension Of specie payments is obvious,
but no longer exists when by law every United
States note is, In effect, a COIN certificate. The only
purpose that could be subserved by their issue
hereafter would be to enable persons to convert
their notes into coin certificates. and thus contract
the currency and hoard gold in the vaults of the
Treasury without the Inconvenience or risk OF Its
custody. For convenience United States notes OF
the same denomination as the larger coin certi1-
Gates will he issued.
OF the public debt are payable in coin, and a por-
ton of the duties was specifically pledged as aspe-
cial fund Tor the payment o. the interest res ,t 1nns
As we can not, with due regard to the public hon
or, repeal the obligation to pay coin. we ought not
10 impair OF repeal tle means PROVIDED 10 procure
coin. When, happily, our notes are equal to coin,
they will be accepted ms coin, both by the public
creditor and by the Governments but this accept
ance should be lett to the option Of the respective
parties, and the legal right on both sides to de-
mand coin should be preserved inviolate..
The Secretary is Of the opinion that a change OF
the law is not necessary TO authorize this Depart
ment to receive United States notes for customs
duties on and after the LIST day Of January, 1879,
while they are r~edeemable and are redeemed on
demand in coin. after resumption It would seoin
q useless Inconvenience to require payment OF such
duties in coin rather than In United States notes,
The Resumption Act, by clear implication, 80 far
modities previous laws as to permit payments In
United States notes as well us in coin. The provi.
s1Sr when fSe g t1e notes ts% wers G Eas %hds 4 and al the Irsuf pub b.
He necessities required an assured revenue In
coin to support the public credit. This alone jus
ti0ed the refusal by the Government to take its
own notes for the taxes levied by It. 1t has now
definitely assumed to pay these notes In coin, ana
this necessarily implies the receipt OF these notes
p~entatioh for coin. ANY other construction would
require the notes to be presented to. the Assistant
Treasurer in New York for coin, and II used in the
purchase Of bonds, to returned to the same officer,
Or. II used for the payment OF customs
duties, to be carried to the Collector OF Gus
tiry all money received by him. 1t is not to be as
euined that the law requires this indirect. and IN
Sfcn aoin en- d ProSess a. aIi the i bS1d hUteS T Are r are tben at
aparity with coin, and both should be received In
discriminatory.
II United states notes are received for duties at
tNe DOII Oh NEW 1OIht butA bnOuNu bC tCti WI
Che same purpose In all other ports of the United
States, or an unconstitutional preference would be
given to that port oyer other ports. II this privilege
is denied to the citizens of other ports, they could
make such use OF these notes only by trans.
porting them to New York and transporting the
SUR W without benefit t to The Government, but with
a loss in returning the coin again to New York,
where 1t is required for redemption purposes.
York was believed to be practical redemption in all
parts Of the United States. Actual redemption was
confined to a single place from the necessity of
maintaining only one coin reserve and where the
coin could be easily accumulated and kept.
With this view Of the Resumption Act, the secre-
tary will feel it TO be his duty, unless, Congress 9th:
erwise provides, to direct that after the first day of
Janua next, and while United States notes are re-
deem Gfat the Treasury, they be received the same
paymNEn.9n ali parts OF the United States.
nsaIS1 kfther provision OF law is deemed peces-
sary by Congress- to authorize the receipt OF UNITED
States notes for customs dues or for bonus tly Sec
Rotary respectfully submits that this a4dority
should continue only while the notes are redeemed
IN coin. However desirable continuous resumption
may be, and however confident we may feel in its
maintenance, yet the experience OF many Nations
has proven that 1t may be Impossible in periods Of
great emergency. In such events the public faith
demands that the customs duties shall be collected
IN coin and paid to the public creditors, and this
pledge should never be violated or our ability to
Heretofore, the Treasury, in the disbursement Of
currency, has paid out bills OF any denomination
denomination than five dollars is determined by
Che demand for them. Such would appear to be
the true policy after the LIST OF January. II has
been urged that, with q view TO place in cireula-
ton silver coins, no bills OF less than five dollars
should be issued. 1t would seem to DO more
money upon a public creditor, but to give him
Che option Of tho kind and denomination.
The convenience Of the public, in this respect,
moneys of different kinds and Intrinsic values can
be maintained in circulation at par with each 9th
or is by the ability, when one kind is in excess, to
readily pxphauOa III for the Othnr. uhtg DIinriOln