The advocate., 1890-06-25
logislation during tho pgTIad lavhlch ! have

TN hccouuu OF our lhte war ~ suddenly De-
came necessary 30 increase our volume OF
currency, 10 borrow money, and issue the
! bonds OF our government 10 secure pay
ment. The law authorizing the issue of
! United States notes, commonly known as
gre0nbacks, provided that these notes should
| be lawful money and a legal tender for all
debts public and private, except duties on
| imports and interest on the public debt.
| The law authorizing the issue of these gov
ernment bonds provided that the interest OF
the bonds should be- made In coin, but al-
lowed the principal 10 DO paid in any lawful
money. These bonds were purchased with
groenbacks, or no greenbaCk prices, and nc
cOrding 10 law and every principle Of equity,
we're payable in greenbacks or any lawful
money.
In 1868 Senator Sherman, in answering a
letter upon this subject, said:
~ think the bOndhOlder violates his prom
ise when no refuses 30 take the same kind Of
money no paid for the bonds. II the case is
TO be tested by law, ! am right, II IL Is TO DO
tested by Jay Cookies advertisement, l am
wrong hate reputation or anything like
IT, but we ought not 10 be deferred from
doing what is right by undeserved epi-
thetB."
In the face Of the fact that many Of these
bonds had been bought with greenbacks
when worth less than 40 cents on the dollar,
In March, 1869, "A republican house, a repub-
lican senate and republican president
passed the following law to increase the val
ue Of the bonds at the expense OF the peO-
pie;
Gan act TO strengthen the public debt.
"Be ii enacted by the senate and house of
Representatives of the United States of
America i'm congress assembled, That In Or
10. - Atn
OF the government TO discharge all just Obli-
CATIONS TO the public creditors, and 10 settle
conflicting questions and interpretations OF
the laws by virtue OF which such obligations
have been contracted IL Is hereby provided
and declared that the faith of the United
States is solemnly pledged TO the payment
i'm coin or its equivalent Of all the Obliga-
tiOns Of the United States, not bearing In
tereBt, known as United States notes, and of
all the interest bearing obligations Of the
United States, except in cases where the law
authorizing the issue Of any such Obliga-
tiOns has expressly provided that the same
may be paid in lawful money or other cur
rency than gold and silver"
have given all that part of the act which
changed the character OF our government
bonds and made them payable in coin. III,
mt the time these bonds were issued, one
farmer had loaned another 800 and taken
his note for IL, without specifying any par
ticular kind OF money in which the note
should be paid, the.hOlder OF that note would
have been required TO accept greenbacks or
any other lawful money in payment of such
note. These government bonds did not
specify I'm what kind of money they should
be paid hence the same principle of law
would apply as in case of the note, and the
government had the right TO pay them in
any lawful money, including greenbacks as
we'll as coin.
Greenbacks were considered good enough
TO pay the soldier for all his haTdships, even
for the very limbs which he left upon the
battlefield yet they we're not good enough
20 pay the bondholder although he had
bought his bonds with that kind of money
Sir, IL would have been much more appro-
pirate 10 have entitled the act, "An act to
rob the people and enrich the bOndholders,
10 strengthen the public creditors instead of
the public credit"
At the time this act was passed the amount
of bonds il applied TO was ~, 107 1916, $50. At
that time dollar IN coin was worth S1.32 in
United States notes, or greenbacksi hence
to make the bonds payable in coin instead
of greenbaCks increased this part OF our
public debt 32 per cent; that is, ~ per cent
OL p@1lVjolOoUyI Whloh WIS POiaju1ViaoV
This act Of legislation took from the poclS-
eta of the people and placed in the vaults Of
the bOndholders $674, ,520,4S0 and all this
unjust burden has 10 be paid by the labor Of
the people. As have already stated some
OF these bonds were bought with greenbacks
when they were worth less than 40 cents on
the dollar in coin,
The money lender could take S400 in gold,
buv al 900 in ureenbaCks and exchange the
greenbacks for thousand dollar govern
ment bond, bearing per cent interest, pay
able in coin and exempt from taxation; that
is, he got thousand dollar government
bond for S0O in coin, and when he received
$50 on his thousand dollar bond, he received
10 per cent on his S400 originally invested,
nna Ahin nhnun AnNna Moi nnlu Ahia hnA hu