The Iowa plain dealer. [volume] (New Oregon, Howard County, Iowa) 1867-1895, 1882-06-29
NEWFOUNDLAND CHARTERS.
Speech OF Hon. Richard +. Bland,
or Missouri,
In the House Of Representatives Sat-
urday, May IL. 1892.

Tile House HAVING under consideration tho
bill to enable MISUNDERSTANDING associations 10
extend their corporate existence, Mr. Bland
said
Nix. SrfaKrR In discussing ths question
thall undertake to answer some u the points
made by the gentleman from Massachusetts
Mr.. C,apel III fayor Of tho national hanks.
tine Of the arguments lalt made 10y the gentle
men from Massachusetts, III favor of the ia-
tlonal banking system, md against tie pro. osi-
ton submitted by Other gentlemen as well rs
MYSELF OF substituting treasury notes for bank
notes, was that there was danger of overis-
ter OF issuing treasury notes il confined to Con-
grcss alone, and that it is better to transfer
this power OF regulating the volume OF paper
money to corporations, 10 gentlemen whose in
tercst il il 10 snhserye private ends, instead Of
holding that power IN the representatives Of
the people for the public benefit. Aud he
euloszes further the national banking system
because, h. says |, has furnished the Govern
ment and tho people with paper currency
secure and valid everywhere. And Why so2
What Il n national-lailk note other than \
treasury note2 When gentlemen come 10 argue
this question want them To answer that prop
ositlon. What IL natonai-bank note to-day
other than a state paperg Nothing. II In not
rcdcemahe III ANYTHING but state paper. Il IL
not based upon coin, but upon paper. II Is re-
deemable IN treasury note, which il state
paper. 1t il made receivable aud payable for
all public ,.ues, With certain exceptions, aud IL
therefore ESSENTIALLY nothing more nor less than
state paper issued by the Government. and
handed over to corporations to circulate aud
receive the profit OF tho issues
From that proposition there IL no escape.
Under this system is there no danger o! banks
contracting and expanding the currency. the
very danger that the gentleman warns tic
country against with reference 10 treasury
Notes IL there no danger with reference to
bank notes in the same duection2 Why. WHEN
the Fandns bill was uV AZ the last session Of
Congress We remember that the nstional-baik-
ing institutions. III order To arasoan Congress
into passing such measures as they thought
would rebound II thcir benefit secured the
veto of the bill hy lullioxin. the President
with threats IF contracting the currency AMI
inviting a financial panic.
Let gentlemen who are fayoring national
bauks here to-daN remember what took place in
the Fgr.y-.hlrl Congress. That Congress as
k.mhisd III tie nila.t NJ Il panic greater proha-
bly, tran this coaitry ever .xperi,nc.d before.
~ NNN htlst1 ttiIr
II Nas determined here nnoa the part Ut those
favurlne III. MISUNDERSTANDING SYSTEM thai in
stead OF incrcassl.4 tile susume # itgal.teuder
notes OF treasury notes tile haneiig laws III .uld
lie extended ard amended - n IL ,*..lnit BANKS
To Issue money without lint. Baaails WAS
made Tree. AMI olht: measure, AMI amend
ments III tile Bafh law III their interest We're
mad. at that Congress. And to-day Ill. same
proposition Is here. Ii Is commended hv the
Treasurer that the banks contract and expand
this currency Ill their uNn int rest and hot III
the interest Of the people. Aud i Congress
can oveiissue treasury notes, II there Is dam
ger of Congress making these oser-
Issues without the intervention aud the
coercion Of lanks, then there certainly is still
greater danger that this money which we turn
over TO our banking corporations fl, their ben
efit and Use may b. contracted and expanded
Ut the b,hest OF these corp,lat,ens. Who're We
know they demand ta.ir own terms A. 10 our
legislation. or. ia ing 10 get tL.lr demands,
paralyze business With iorcbodiacs of financial
disasters.
When we are told there is danger Of central.
ixatun also IN line Proposition IL substitute
treasury notes FOR hshk NOTES. | reply. Mr..
Speaker, that the danger Of centre l.xStl,u AMI
revolution III this GaNs .piasnt catu.s not from
the people az their representatives here nntram.
meled hy cufp5ratsaas. The dagger Of central.
ization. the danger al revelation, the danger al
changing onr republican form II guscrnnlent
TO that Of an aiistociatc form III government
arises from Tia. vast power oi the corporations
that Congress has hassi Nh III tbs taaatrs
among the greatest and nlasi powerful and
most TO he feared are these tanhs.
Why, sir. the danger or GENERALIZATION when
the peoples representatives ARE lett free To &C,
upon public subjects: when banking corpora
tons tha, We built up III this land have ths
power 81 ;hres'onine panic by bul!dozing Con-
Sfess. hy saving to lis II We DO not Iass inis li
lu IN ~ Shsr ts4f.
the country will 20 10 ruin. AMI they viii bring
panics and financial q sas;.r uioa IA tao dan.
ger Of Capitalization " i'll tie power 81 th.Se M.
situations. aud not III the power of Caagr,s.
representing the people IL this country.
h. gentleman from Massachusetts Mr.
Crarcl i'll his argument fer the continuance q.
national tanks. aud IA deteasa Of tue naliausl
banking system, referred to the great benefit,
rendered hy the banks during tile war; Sup
POS. W adult for lie SAKE OF argument thai u,
that time they worked great benefit. But there
were other patriots la the land beside thas,
engaged IN national banking There we're other
capitalists who should Le considered a. well u,
these bankers. The great mass Of the proiuc
Ing peopiv o. the country. Who must paw sl III,
EXPENSES OF these corporations, should be con
sidefed as well As the hanks: for the reopl,
Wtre a. patriotic ~ Neie the banks.
What WAS the effec, Of banking Institution,
during the war. and What Ina. b III their sf,ra
since III demanding legislation 81 til. naft oI
Congress! What have le.n the influence
brought 70 Tear bt the banks During the Wal
they purchased bonds for lesal-.enler note-
when those notes were worth Ln, 90 cent. ut
the dollar III coin. They converted INTO huntl,
bearing coin interest paper worth but % o. :,
cents On the dollar, bonds to full amount ol
face value OF this deprecated Paper.
Had the Gave.vmens Eeno into the market
Of tie world ani Offered ,s bonds e. ht sald
for coin. and had sold ,h.ta for - Of ~ ctat,
I. ~ 81 n
the Transaction. W. wund haze scen tia; ",
were losing 30 or 4a. and. ia some instances
probably Oh cents Oh tho dollar III tia. trans
action.
ie, We lost the same amount bs converting
These paper ISSUES into BOMB: paper none,
that Was deprecated III account OF the is>ne,
af the national banks themselves. The lex IL
tender Iotcs ISSUED during the war; Lad ther,
teen no ether i-snes hal bank note, not hts..I
Issued. might have stool near lar all the ,iiac
INT every bank note tAst VA, issued camv II
competition with tho i.sai-t.ad,r noi.s. and
deprecated them t. that extent. IAs,se lsna.
and tier circn' alton deprecated the paper oil
the Government for which the bonds wers
sold. aud instead Of being bench; 10 III. CIV.
ernnient DUNG the war they COS. it no, less
than <5Ol a0a, uun.
More than that. When they had secured
these bonds III low price and had coattol o!
them they came into the halls Of Congress and
demanded that bonds titus PAYABLE in pane,
money below par should be made coin loud
By TIE act Of 1869 Congress pledged the faith
OF this nation to redeem Its public debt IN coin
Ihis i specimen Of the Influence brought tc
bear by the national banks upon the Legislation
OF this country in the past. Instead Of berg d
public benefit these banks have been a public
curre. instead OF being IN the interes, of the
people they have been the srsalest robbers Of
the taxpayers Of this country that ever existed
under any government. Y., We ar. asked now
to continue tLem. Why9 because the Comp
troller VI the Currency saws that Their cifeuaa-
ton is gradually going ont. and that this oil iee-
ton to them IL no longer 10 be urged. He ~ug-
gerts furthermore that ". should not CONSIDER
what shall be substituted for these national
banks when they have ceased TO exist; that some
time ia the future will 10 early enough h con-
slider that question. But, sir, We are paving on
the nstionai debt at the rate OF over :lo9. l0o,-
QUO year, and unless We cease To pay OF THU
debt. unless this till means. AZ / think IT toes
that when we have continued aud reehasterei
these banks the next legislation asked on the
part Of Congress will be to cease the payment
OF the rubiic debt III order 10 maintain the
banks. the basis Oh which the national bank
currency has rested must shortly pass away.