The farmers' union. (Memphis, Mo.) 1891-1895, 1893-12-14
4 FlNANCIL HISTORY.
Course and Eject Of Legislation
Since 1861.
No +.

| toned created what is known as the
legal tender notes. \ statement OF
! all the facts connected with the pas
sage of the bill. is most interesting
indeed. Mr. Spalding. chairman Of
the subcommittee on finance at that
time, gives the whole III his book
written in 1869, entitled Financial
History of the War and Legal Ten
der. From this history it appears
that the banks and mouey owners OF
the east exerted their utmost power
TO prevent the enactment of any legal
tender legislation. They undertook
to sidetrack the bill by numerous de-
vices and openly attempted to bribe
members OF Congress. They kept
large lobby in Washington working
with all the methods known to that
class, to defeat the measure.
They seemed determined to have
all paper money issued as bank
currency and made subject to the
usual bank tribute and control. As
it was, the banks were strong enough
to force the committee to draft
bank bill first and attach the pro-
vision issuing legal tender currency
to that. Since this portion OF our
financial history is the most intercs-
ting and difficult to obtain. | will
quote from Spauldings history, page
Ii to %:
Mr.. >palding while preparing the
national currency bank bill, upon
mature reflection came to the con-
clusion that it could not be passed
and made available quick enough to
meet the crisis then pressing upon
the government for money to sustain
the army and navy. He therefore
drafted legal tender tr.asury note
section to be added to the bank bill,
hoping, at first, that it might be made
available by issueing legal tender
notes direct from the treasury, while
the bank bills were put in operation
Though )ut the country In order to
bring the subject of issuing legal
tender fundable notes before the
country, the section thus prepared by
Mr.. Spaulding was furnished to the
New York Tibune and published in
the issue Of the 3lst of December,
1861, and is as follows:
That for temporary purposes, and
until the circulating notes authorized
by this act shall be issued and put in
circulation by corporations and as
sociations to the aggregate amount Of
800, 100000, the Secretary of the
Treasury be. and he is hereby autho-
rized to issue $50, ,OOO, 900 of Treasury
notes on the faith of the United
! States, payable on demand, without
, specifying any place Of payment, and
of surn sums rs he should deem ex-
pedient, not less thar IS each, which
shall be receivable for all debts and
t demands due the United States. and
=. for ell salaries, dues. debts and de
mands, oweing by the United States
TO individual, corporations and as
~
+. and such treasuary notes shall also
be legal tender in pay ment of all
= debts. public and private. wit in the
United States, and shall be exchanged
at any time ut their par value, the
same rs coin, at the Treasury of the
United States, and the office of As
sistaHt Tleasurers in New York,
Boston, Philadelphia. st. l. uis anu
Cincinnati, for any Of the coupon ol
registered bonds which the Secretar,
Of the Treasury is now, or may here.
after be authorized to issue; and such
treasury notes may be reissued from
time to time. as the exiyencies of the
public service may require. Such
treasury notes shall be signed by the
= Treasurer of the United State, or by
some officer of the Treasury Depart
I. ment designed Gy the Secretary OF
= the Treasury. and shall be counter
signed by the Register of the Treasury
or by some officers of the Treasury
department designated by the Secre
u tary Of the treasury for the Register
And all the provisions of an act en-
titled An act to authorize the issue ol
e Treasury notes, approved the %.
;. day Of December, 1885, SO far q.
!" the same can be applied to the pro
visions of this SECTION, and not in
consistant tlerewith. are hcreb; re
!. vived and re-enacte
Upon more mature consideration