The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1878-05-07
OUR LAW MAKERS.
nEBATE ON THE REPEAL OF THE
BANKRUPT ACT.
Resumption Repeal In the Senate
District Of columbia niii.
SENATE.

w Ae1IEDTpN. May 6,-The Char lald DC |
fore the Senate the House bill to prevent the
further retirement of United States notes
Mr. Allison moved 10 refer II W tho ilhhce
Committee. r ,
Mr.. CockreI objected to its reference and
asked its second reading. .
Mr. morrill, said that he would object to its
second reading, and the bill was laid on the
table |
A number Of petitions and memorials. etc,
were presented and referred to appropriht"
committees among others, by MessrS. COCK.
reil, Wallace, Beck and Allison. for repeal
Of the bankrupt act
BY Mr. Burnside: For proper recognition
of the services to the country Of Gen james
Mr. Sargent. from the Committee on APP
preparations reported the Invalid pension ap-
preparation bill. 81,
MIR. Allison, from The same committee, re,
ported the Indian appropriation DIS ana
both were placed on the CO lendar.
number Of bills gran,;n,g pens'Irn a1s WSps
~ on motion Of Mr.. Thurman, the Senate
took up the bill for the repeal of the bankrupt
Mr.. Beck moved TO strike, out January /, |
1879 and insert on the passage of the act as |
the time when the act shall go into effect.
Mr. Thurman proposed an amendment
making II to read that the Dill snail go INTO |
effect September I, 1878.
Mr. Merrimon advocated January l., 1879. |
as the proper time on the ground that II was
generally conceded that bankrupt law was
necessary and that the postponement oil the
time would allow q now law to be perfected. !
Pending the discussion The morning hour
expired. and Mr.. Thurman moved to suspend
tho prior order and continue the discussion OF
the repeal of the bankrupt act, but this was
laid aside and the Senate proceeded TO the
consideration Of the act to repeal the resump-
ton act.
MIR. Gordon spoke to the Senate, starting
out on the proposition that ill-advised legis-
Latte n is the prime cause OF our financial de
pressi ~ He said that during the last ten
years party considerations had make our
financial legislation OF most frightiul char
acter After the war, and as late as 1863, the
North was in u most prosperous condition,
and the South was rapidly recovering from
lis enormous losses during the war. He
painted Il picture OF the general prosperity as
was seen was before the destructive policy of
the contractonists began, and charged that
all the disaster that followed was due to I'M
wise legislation in that direction
He characterized the act of 1866 providing
Tor the retirement OF legal tender notes, as the
first screw in the coffin OF many. an industry
The next step was the demonstration OF sill
yer. The next was to pass 9 general res'imp-
captivating title of specie payments ana Tree
banking, calculated chat there should be no
expansion The law has been productive OF
greater contraction OF the currency than any
ton of the notes, but by driving them from
circulation, and leading to their boarding in
anticipation of resumption The whole pol
icy OF the contractionsts had been 70 bulio o
structure upon an insufficient base OF gold to
accomplish which the industries, the cur
rency, and every clemens, OF prosperity was
com impressed to correspond with the narrow
base Senators discuss the finances as though
the credit Of the government was the only
consideration.
The effect of contraction In this country
had been the same as In England when she
contracted one half, at once wages land cot
fr,ra md oil elGe fell half and ruin aUSlIpH
which lasted for a generation. Across the
channel, France, occupying q far less favora,
BILE position, emerging from an unsuccessful
war had established financial pre-eminenct
and commercial prosperity unexampled in
the history of the world by a reverse policy
when her war, instead OF decreasing, In
creased her circulation. thereby keeping alive
her productive industries. If the example OF
France was not enough, turn to Italy who,
after pursuing policy of contraction, came
near to total prostitution; then reversed her
policy and expanded her currency, when a
magical change came over her and her indus
Tries sprung up
The examples of the two kingdoms and two
republics stood before US under opposite
policies. The result OF the experiment Of
in both England and the United States.
and every prophecy then made has been iul-
filled, and more than fulfilled. He held that
he had established the truth OF the assertion
with which he set out that legislation and
legislation alone had been the cause and only
cause of the terrible and unfathomable disas-
ter which had overspread the country. II
that be So and there Is a shadow OF belief
chat it is SO, shall we go on in the face OF
these revelations of history in the face OF
common sense and experience, plunging the
country into deeper distress, with policy
pair He believed that the day was near at
hand when the truth, that contraction had
worked nothing but ruin, will be admitted by
all classes and all sections.
Il "A t,,Nth ,ttn hot fhn n
Treasury could, without great hazard to the
credit Of the government or the interest Of
the people, sustain specie payments. ne
would have provso that under no clrcu n
stances should there be a contraction or the
currency, and there is no country on earth,
he said, that offers such encouragement to
the laborng man and the poor man.. Inc
rich and great had no greater interest In the
stability of the government than the poor
man.
On, motion. Of Mr. Sargent the Senate, at the e
conclusion of Mr.. Gordon's speech. proceeded
to the consideration of the invalid pension ap-
preparation bill
Messrs Sargent, Beck and Davis Of West
Virginia, advocated the amendm ant restoring
the fee Of exam ming surgeons from 81 to 81
and increasing the appropriation from $50 oo %
The section as passed by tho House reads as
follows, That from and after July Lists. the
office Of pension agent shai oe tbs by
mttee recommend that It be stricken out and
the following inserted: That in the appoint
flent OF pension agent inc preferences SHdll W
given to wounded or disabled soldiers" ),
Mr. Sargent advocated the substitute on the
ground that the House bill will vacate all thu
pension agencies and lead to confusion ant
embarrassment.
Mr. Beck said he should move to strike on
the second section. believing that 1t was an in
Iringement of constitutional rights OF the exc
eutive. He was aware how sensitive both houses
we're on the subject Of soldiers. and believed
that there were sections of the country wher
men thought they could be elected to Congress:
by pandering to this sentiment. Such mel
f1Nry, EnNrf ha
Mr.. Christiancy coincided with Mr. Sargent
and Mr. Beck in the proposition that eitheI
limitation was an infringement OF the rights o
the appointing power.
Mr. Dorsey ffered as a substitute for the sec
ton the following: That from and after Octo
Der l. 1878. he term of Office of all pensio
agnnts shall expire and thereafter the office