New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-07-26

time before the Secretary had asked Congress TO
reduce the accumulatiog coin on hand by revision
of the revenue laws, and now lie was asking per-
mission to I'LL its empty Golfers by the issue of paper
money. Instead of proposing a reduction OF
penditurcs an increase was recommended.
The Secretary of the Treasury asked increased ex-
penditnres to collect the diminishing revenue,
while the Secretary of War wanted permission TO
raise four or five additional regiments at an add-
tional expense of four or five millions of dollars
though the whole business of the country par
alyz9d, its commerce almost destroyed, its indus
trial classes living in enforced idleness with will
ing hands imploring IN vain the privilege of labor
and the Government bankrupt, asking authority to
till lis Golfers by the issue of paper money bill
authorizing the issue of $2O.OO0,000 Treasury
notes was consequently passed, but prediction
was made that this amount would be largely insult
tcient and that by the end Of the year the Treas
ury would be many millions in debt, and that pre-
diction was soon verified.
ASKING A LOAN TO MEET EXPENSES.
In May, 1853, the Secretary of the Treasury was
compelled to inform Congress of his difficulties
that owing to the appropriations having been IN
creased by legislation nearly $4,000, Goo over the
estimates. and the revenue from customs having
fallen below the estimate about an equal amount,
means to meet the deficit should be provided.
ceeding $15,00O,OO0 reported to the
House May 26, 1853. This bill sub
sequently amended, the amount being increased
by the Senate TO $20000,000. and became law
June IA, 1858. The interest was not TO exceed
per cent, and the loan was made redecmable at any
time after fifteen years. Secretary Cobb, in his
annual report to Congress, dated December %,
1859 uses the following language:
In the estimated means OF the Treasury for the pres
fCnal WA w a.
made for the permanent redemption OF any portion OF
the 900 100000 of Treasury notes Tue authority ior
relssuing notes VIII expl:e Oh the 2Oth OF June
next aud II WILL therefore, he for Congress to
extend the law for that purpose another period
Congress appears TO have differed with the Secre-
tary as to the proprety of reissuing the notes; for
instead of giving authority to do so. bill pro-
viding for their redemption by means of loan was
introduced, and passing both houses almost without
debate was approved June %, 1850 1t authorized
n loan of $2I OOO, 900 with interest at not exceed
ing per cent redcemabe in not less than ten or
more than twenty years.
The failure to realize the whole amount author
lied was caused by the political troubles that cu-
minated IN the war of the rebellion. BIDS were in
yited for SIC, 600 900 September s, 1850, and
the whole amount offered was speedily taken.
commercial crisis ensued during which portion of
the bidders forfeited their deposits, and the loan
was withdrawn from the market. The amount
finally secured was only S1,u2Z,ooo. AS q result
of this failure authority fora further issue of Treas
ury notes was asked for by Secretary Cobb. In bis
report of December 4, 1860, he says:
To meet remaining outstanding Treasury notes and
interest thereon there Is yet 10 be negotiated
81 900 OF the loan authorized by the act OF june
- 1860 The statement Just made OF the difficulties at
tending the pay for stock already Sod IN cou-
necou with the fact that capitalists III the present CON
dillon Of The country seem unwilling TO invest in United
States STOCK par renders il almost certain that this
900 600 cannot be negotiated upon
terms acceptable TO the GJvernment. The condition OF
the Treasury such that serious delay can be In.
dul god Authority should be given for the issue OF
Treasury equal amount TO be negotiated at
such rates "a would command the confidence Of the
conntry and 10 create that confidence the publo lands
shoud be Internationally pledged for the ultimate re-
demption Of the Treasury notes which IL might become
necessary 10 issue.