The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1882-05-19
Mr.. Hcwitt's speech.

what district does Mr.. HEWITT feprcoeh.
4, me House Of Representatives The
Ten,h district OF New York State. And yet
ne said in the speech which he made last
Tuesday that he had never owned IN his
own right any stock in national bank,
and. more surprising still, that there was
not. he thought, single national pahK IN
his district. There Is, we think, no repre-
sentative IN the House from Virginia who
could make the same statement concerning
himself The most singular fact Is that Mr..
HEw1r's Is one OF the districts OF New
York city. We wish to give, with little
comment, some Of his notions.
Mr.. HEWITT says the State-bank system
wac tried and proved to be failure. "The
amount Of s346, 100000 is perfectly safe
amount. which we may count upon as stay
ing In circulation even in the most disas-
trous times or adverse condition OF bush
ness, We quote further:
al think that this fact might he made
certainty, II the whole S336, OO0,OOo OF GOV,
ornment notes were issued in bills OF snail
denominations, and the banks restricted 70
the issue Of bills OF the denominations OF
SO and over. The reason IS obvious.
Small bills are rarely returned Tor redemp-
ton. And the amount OF these small Dllts,
now about S200, ,000, l am satisneu
might be increased to S346, 100000, and
thev would never. under any circumstances
whatever. be presented 10 the Treasury for
REDEMPTION. Let me lee understood.
recognize facts as | find them. 1 would
never. by vote or act. authorize or contri-
bute 10 the issue OF these legal-tender
notes. / should be very glad IL they could
be retired. / do not think that this Gov
eminent was created for the purpose OF
supplying circulation; on the contrary,
think the fathers and founders OF the Con-
stitution intended TO prohibit the exercise
OF any such power"
The first suggestion Is new to us. The
last good Democrats ought to endorse.
The Government ought not 10 issue the
money OF the country. Its minis must OF
course coin the silver and gold brought TO
them; but their duty is done when they
have certified on the coins themselves what
these are. The word " dollar" is a certifi-
cate that the silver coin so marked contains
4l2A grains Of silver nine-tenths fine,
and all who handle the coin know
lust what 1t Is. Whether the credit OF the
Government Is good or bad, these coins
remain at par. But not so with national
treasury notes. A long war between the
United States and Great Britain or France
would cause The Government bonds to fall
In price, not TO the same extent perhaps,
but for the same reason that they fell du-
ring the war between the States and the
greenbacks would in like manner dcpre-
ciate. A national-bank note would not
depreciate half so much. But, above all,
it Is n dangerous power to entrust to any
Government. IL is liable to become at any
time fruitful source OF corruption. As
Mr.. HEWITT well says:
Now, think speak only the lesson Of
history when say that redemption depend
ing upon congressional action would be a
delusion and snare. think / may go
further, and say that not only would there
lie no certainty OF redemption, but il is all
solutely certain that there would come
time when, in the absence OF congressional
action, or by congressional action, redemp-
ton would be made impossible.
lt j. notorious that in the refunding ope-
ration particular banks, representing par
ticlllar individuals, had practically mo-
nopoly OF that vast transaction, and that
one bank in my own State cleared its capt.
tai stock (which, If | am correctly informed,
Is $500, 000) five times over in the course Of
the rounding operations in two years.
A member: Five hundred thousand dol
lars.
Mr.. Hewitt, OF New York: Well if the
capital stock was $500, 200, it cleared that
stock three times over; but il should say
five times | would be still within safe
bounds as 10 their profits on the whole re-
funding transactions. That may have been
all legitimate. The refunding operation
was the grandest financial operation that
has ever been made in the history Of man.
But, sir, for one, do not want what lit
sie have laboriously gotten together to be
placed at the mercy Of any man. ! should
like to be able TO manage my own property,
and 20 keep or give in my own way what /
have accumulated. / do not want deus
&c machine TO administer the business OF
this country. There could be but one re-
suit Of such a system, utter and absolute
ruin. therefore dismiss as impractlcabe
the idea that any board composed OF men
tin tlEUtIitAt iilH NANN NtiiNh = ~ gN-AN
the reach OF human capacity.
In other words, the entire business COM
munity will establish banks where they are
needed and supply currency where there is
a demand for il; but no Congress, and no
national officials, could do it.
Mr.. HEWITT has some ideas which may
be carried out when Government bonds to
large amount cannot be obtained 10y the
banks. He would make each bank deposit
$4,000. Two thousand banks would thus
deposit S1OO, 900, 000-a very small amount
OF Government bonds, and an amount
which may always be obtained, 1t is to be
presumed. He would make the banks as a
whole guarantee the circulation of each
individual bank. Thus the note-holders
would be as safe as now.
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Pennsylvania and Georgia.
The independent Republicans Of Penn
orlvania ,xill hold their State Convention