The Pickens sentinel. [volume] (Pickens, S.C.) 1871-1903, 1893-07-20

''' .''ioilS, W say 'naL one political
party will not do this or that, because
the dolng 1t might give the other party
an advantage in some election. Or
that by failing to adopt certain meas
ureS or relief, the party failing will be
stronger In particular sections Of the
country? Will it do to answer this ap-
peal for relief from the laboring and
lnduStrll. classes, to say, that it is
clalnOr iuStigated by demagOgueS and
cultivated by ambitious politicians ?
This would not he wise craftsmanship,
Mr.. President. 1t is not only not wise.
but approaches very close To the verge
of criminal neglect.
CAUSE FOR COMPLAINr.
AS "a rule the people do not complain
without cause, for the sake of com
planning. They realize their wants and
necessities much better than IS Su1-
posed. Their cries for financial relief
amount now almost to a lamentatiOl,,
and ii not needed and acted uuon will
swell into lOui and Irresistible de-
mand, which will assert itself in no
uncertain manner at the ballot box.
wild and untenable vagaries may
rise to the crest Of the waves of popu-
lar agitation, but they will become
tame and harmless theories beside the
VIII press them aside for more positive
and radical measures.
Various plans OF relief have been and
are being suggested. Some of them, |
thlnk, are mischieVous aud dangerous,
but they are all symptoms of disease,
OF popular discomfort, and unrest.
Ihe5e complaints of the people are net
imaginary. They are We'll founded and
based on deep p-Seated cause. Our ii
nancial system and policy IS defective,
unjust, ruinOus to large classes of the
people. 1t enables a few cpnters and a
few persons to get possession of the
currency aud hold it from millions of
their fellow -cltlZenS upon their own
terms. 1t enables them TO hoard the
m0uey Of the country. and say how
much Of it shall go out, and upon what
terms. GOu may say that this will be
Crue under any system, but the iinan-
cldl history OF this country does not
sustain the proposition. 1t was never
true PRIOR to 1868 when the national
banking system went into operation,
and the National government delegated
TO a few persons the power TO issue the
currency for all the people-tXcept
such as Is reserved to itself the eXclu.
slve right to issue.
have no war to make on the nation.
al banks. have conceded their value
and advantages. They were valuable
aldS TO the government at the time
they were organized, but they have
| served their purpose. They have beer
the pampered pets Of the government
and after thirty years Of existence if
they can not stand alone on their own
merits they should go under. The
government lald the strong arm of its
taxing power on State banks for theil
| benefit. 1T taxed the State banks Ou
OF existence; 1t destroyed them for the
benefit of national banks. These law.
| ShOul now be repealed
L assume it can not be successfully
argued that this tax by Congress on
the circulation of State banks is un.
constitutional, as the Supreme Court
has held, in the case Of VeaZy Bank VS.
FennO 6 WalD, that Congress, may EN-
ploy the taxing power to destroy-but
1t Is Il question Of very doubtful consti-
tutionallty, whether Congress may Use
the taxing power solely for the pur.
pose OF destroying, and without the
raising OF revenue being the incident or
purpose of its exercise.
WHAT TIE LAW REQUIRES.
The two Sc 'tIOnS Of the statute lln-
der whlch this tax j imposed are as
follows:
See. 3ll2. Every national banking as
ISOLATION, State hdrk, or Safe banking
association, shall pay Il tax of 10 per
cent on the amount rt notes OF any
person, or Of any State bank or State
backing association, used fNr circula-
ton AMI paid 0 1t hy them.
Sec. BIB Every national banking as
S)clatlon, State bank, or banker, or as
Sociation, shall pay il tax Of 10 per cent
! on the amount Of notes of any town
city or municipal corporation, paid out
by them.
| nave not eX !minpu the reports of
the Treasury Department TO ascertain
whether any revenue Is collected under
| the provisions Of this NV, but fee
safe in saying not one dollar goes int
the public Treasury from this source
The law, as was intended, has sim plI
driven the objects of taxation out O
existence in the interest of the nation
al banks, and nothing Is left upOl
| which 1T can operate. 1t is matter o
grave doubt III my mind whether Con
gress may conStltutionally d. this.
But let that pass and let us turn tt
the inquiry rs to what would be the eff
feet OF the repeal. Would IT destro,
the national banks? by no means
nv OSiiiVllSy III bdLlolldl Dunklll4 AZ
Soclatl0nS Is to reduce their currenc,
or circulation to the lowest possible
liant. If some other security Is not
provided for their circulation the,
must cease To exist bv operation of law
when the United ) a eS bonds held TO,
security are redeemed, ard the ist of
these become due and payable in 1907
There is no Indication that Congress
VIII substitute anything in their stead
! ana this currency must therefore even
tuailY be Withdrawn from circulation
Possibly they may be continued as
banks o! discount ana deposit, but not
AZ circulation. do not see, therefore
how the repeal Of THIS tax IS to affect
the na,iOnal banks. WI! it Restore the
State banks? TINS will not nrcrs5ari
~ follow, bat 1t wilt open thu dO)r 70.
their restoration it the p"ople OF tht
States desire them.
My OWE Judgment is the rehabilitation
OF the State banks of issue will meet
the demands of the financial situation
more eff, ctually aud completely than
any measure that can be undertaken
it would decentTaliH. the fiscal affair!
or the COuntTV lOcalIn them AN,