The New York herald., 1878-02-09
EFFECT OF THE COINAGE ACT.
The Faith Of the Nation Pledged to
Payment in Gold.
Validity and Integrity OF the
Public Debt.
Beneficial Results AccruIng from the
Demonstration of Silver.
THE ONLY PATH TO RECONCILIATION

THE ONLY PATH TO DEMONSTRATION.
10 NASSAU STREET. NEW YORK, Feb. 8, 1878.
To THE EDITOR THE HERALD:-
Several days ago sent TO you extracts from
specch BY Senator Hendricks just before the passage
OF the Public Credit act OF 1869, and from another
speech by Governor Hendricks year or more after
the Coinage act of 1873 These two speeches, con-
sstent other, seemed inconsistent with tho
report of his language in recent interview and l
therefore invited you to discrcdt tho latter Gov
srnor Hendricks having now indorsed as correct
that report OF the interview, y becomes my duty 10
Withdraw request and 10 accept his own state
ment Of his meaning In tho passages which quoted
exactly In words. Governor Hendricks now
says that did not at either time mean gold by his
reiterated phrases 'in gold" exclusively in god,"
payment in gold" but on the contrary meant silver
else silver and gold, or perchance silver or gold
Which OF these meanings ne hac in mind shall not
venture to affirm. having been so unfortunate
In taking his meaning heretofore But MS he iavors
Bland's BILL / am Obliged to suppose, subject to
correction, that when said 'the faith and honor Of
tho country pledged TO the payment or the bonds
In gold he tho countrys faith and honor were
pledged to ther payment in silver, but not in gold
and not in greenbacks. Respectfully accepting Gov
ernor Hendricks the best expostor of his own
meaning IN 1859 and 1874 also accept with entire
good faith the protest OF that distinguished lawyer and
statesman that twenty. nths after It's passage, he
did not know OF tho act OF 1873 But l. merchant,
held by the maxim that ignorance Of statute law
excuses counterfeiter of coin violating the
sixty section of that would not suppose, be
permitted In any plead ignorance Of the law
even II unable to read or write
THE COINAGE ACT.
Though advocating repeal OF the act Of 1878 Gov
crpor Hendricks not plead present popular
ignorance Of It's provisions insult former Con-
ercss by assuming shat II did intend the plain
suits OF its legislation, nor express doubt Of tho
effect of that act while unrepeaed upon the rights
OF the public creator. On the contrary, Governor
Hendricks concede that act OF 1873, by Its
sixty-seventh section, repealed the law OF l792,
which made silver q unit measure OF
value and medium OF payments for So
He must concede that. SO long as the law Of
1878 stands intact is not possible lawful Tor the
United States to pay either the interest or principal
OF their funded debt in silver Were not the holders
OF that debt then justified in reading the COINAGE act
OF 1873 declaration ny United States thSs the
phrase ..in COIN" should thereafter mean 'in gold
CON-. tnore neither WAS. could be there
AFTER under that law, other coin but gold coin
available for the payment OF over S. Right here 1t
is l am sorry now to lind, that Governor hendricks
and l part company, and take opposite sides IN
reply to question In respect ho has the ad-
vaniage, because he Is distinguished lawyer and
am business man. Yet am supported by the opin-
ion of llustrious lawyers in the land that gold pay
OF the debt required and assured by the Re-
funding act o lS7O ITSELF which indeed mentions
generally ''coin' in It's hrst section. but then In It's
NTH section, to carry out the act excludes silver
and specifically commands the Secretary OF the Treas
ury TO receive only '.gold conn as The com OF
deposit and payment which every con tract by every
syndicate with any Secretary of the Treasury thus
far coniormed TO; under which Secretaries Boutwell,,
Brstow, Morrill, and Sherman have sold the reunding
bonds at par gold exacted payment in gold, and
upon the iath Of which act and such Interpretation
the securities OF the United States have been sold
better terms than ever before III all our history. But
1t IL enough for me business man TO look upon the
IN its relation tho claim of gold pay OF the
funding bonds, just AS tho claim were made fnst
mo individually. under similar circumstances And
II II were made cerlatn that should pay "in
gold coin" II IL TOOK the last dollar l had. Some
things OF more consequence 10 q business man
than money, and among them tho pubic condolences
that he stands Dy business like Interpretation OF his
undertakings, however onerouG And 30 believe It
the HONOR OF THE oovnRsMESr
AS Governor hendricks 30 well said In hts speech
of September, 1874, winch quoted win pride aud
confidence several speeches during last Presl-
dental Canvass, when he was assaed as an infaton
list and repudiasor:-
standard cannot set up for the governments
than that which the rights and Liabilities Of ndi
vduals.
His comparison is most happy and ats the present
case exactly. IL farmer has contracted u mortgage
on his arm, which he pay the interest Of either
In wheat or barley, and has not only paid
notice to the mortgage that he has aban-
donsd the option OF paying III barley, can he
afterward, when, upon the strength oil that public
tce, the mortgage had bcen sold and the hands
Of third parties who have given full value for II,
based upor the price OF wheat. then repeal his en-.
Yagcment, rcpudiste his notice and pay IN parley
which had fen oil In lis market price, and SO cause
= serious loss to the innocent hoiders As
member that the laws of 1870 and 1873
Sosa 20 90 fsaa together % aad snereioro If the IN
braced silver ceased embrace SILVER under
the operation OF the later act which by It's sixty
with IL. Now, supposing greatly IN
value, SO that 1926 grams OF II were worth god
dollars, could AN honest merchant 1or pay
ment silver dollars oil weight? Could l. as an
honest ctizcn ask Congress to repeal the Coinage
OF 1870 80 sn&t, under NE rcvived original act, un-
modified, tho Treasury might pay ~ me- silver dollars
OF meantime doubled vaIuer
l would OF all business intercourse with any
business man VINO should propose TO me such sharp
practice; and cannot sec how Congress, because
silver has iailen, repeal Its caIion 1873
The Reunding order 10 resume iLs option under
the Law OF 1870 and make payments Hereunder IN
silver coin OF depreciated value. with painful
anxiety, therefore, do look what those argu-
may be " which my forty years training as a
business man have Dlndod me- but which are per-
ceptible by SO many politicians OF both parties aud
distingushcd lawyer like Governor HendrUks
Is The COINAGE ACT REPEALABLE?
Searching has ictier carefully do him no injustice
vaDces Tor holding .he Coinage act OF 1873 repeaabe
In Its relation 70 the pabic ialh are that differs
class and character" from the Public Credit act of
1862, which ne still holds srepeaable, because 1t re-
moved doubts as TO paper payments, settled confici-
ing IN tefpfctatOnb OF laws ana piougcd fdth OF
the United States 10 tue OF bonds and green
backs In coin. | never advocated the passage Of
that act OF 1859, nor tho Coinage act OF
1873 any than Governor hendricks did,
and ! wonder how, in his doubtless sincere
sympathy with tho ''nnancL Distress" he bold
tne formcr act irrcpealaDle, which made the nation
pay coin instead OF paper At time when the paper
dollar worth twenty-five cents less tnau
coin yet hold the latter repoaablc which removed
doubt as TO gold or silver payment at u time when
the silvcr dollar was worth not traction Of cent
Ices than the gold dollar. Nevertheless he argues -:
Yhat the Coinage act oi 1873 contains pledge
or contract; that II contains no pledge or contract
10 hold the Coinage power III aDcysnce 10 tho
public debt ttl IL is fully paid; that the coinage
poser ~ not exhausted Dy single exercises that the
lct of 1873 is therefore, subJcct repeal amend
mout Ike any other passed. undor The power
hnf n s NOD ssepe right OF the Dubc private cred
tor either tosay 70 Congress you shall not exercise