Barbour County index. [volume] (Medicine Lodge, Kan.) 1880-current, 1894-02-14
From the Topeka Advocate.

approved January il, 1875, the Secre-
tary hereby offers for public subscrIp-
ton an issue of bonds, etc.
Now, the act of January IA, 1915.
above referred to, provides for the is
sue of bonds for one purpose, and only
only one. 1t says:
On and after the first day of January,
A. ID. 1879, the secretary of the treasu
ry shall redeem in coin the United
State legal tender notes then Outstand-
ing OH their presentation for renemp
ton at the Office of the assistant treas
| urer of the United State, in the city
Of New York III sums of not less than
| $50. And to enable the secretary OF
the treasury to prepare and provide for
the redemption in this act authorized
| or required, he is authorized TO use any
surplus revenues from time to time in
the treasury not otherwise appTOpriat
ed, and issue, sell and dispose of, at not
| less than par in COIN, either OF the
description of the United States de-
scribed in the act OF congress, approved
| July IA. 1870, entitled ian act to auth
oriZe the refunding Of the national
debt" with like privileges and eXemp-
| tions, to the extent necessary to carry
| this act into effect. and use the pro-
ceeds thereof for the proceeds afore-
said
Now, it will be noted that this law OF
January IA, 1875, authorizes the issue
of bonds to prepare and provide for the
redemption of legal tender treasury
notes, and for no other purpose. The
secretary is not authorized, therefore,
to use the funds received for these
bonds for current expenses of the gov
eminent or for any thing, except such
redemption.
IL may be we'll to note, also, in pass
ing that this is the act providing for
the resumption of specie payments,an
we might pause here long enough to
take notice of the matter in which spe-
Gle resumption was effected. Specie
payment was resumed. it will be OBJ
served, in New York city, and nowhere
else, so far as the government was con
cerned. 1t was happy hit to enable
the patriotic brokers of New York
who, in the early days of the war, lock-
ed up every dollar of coin in the coun-
try and wanted to charge the govern
ment 80 per cent. interest for wildcat
money, to gather up the legal tender
notes that had been such an eye sore to
them, in packages of $50 and upwards,
and present them to the assistant treas
urer for redemption in gold.
But passing this point with this sim
gle observation, let us return TO This
bond scheme. The act of January IA,
1875, was passed when it was the fixed
policy of the treasury department to re-
tire and destroy all the legal tender
trea jury notes outstanding, and convert
the whole amount into government
bonds. This policy, which had been
pursued since the close of the war with
such funds as could be made available
had resulted IN such widespread disas-
ter to the industrial interests of the
country that it produced alarm, even in
congress, and in 1878 an act was passed
prohibiting the further destruction Of
these notes. This act. approved May
81, 1878, provides Is follows:
That from and after the passage Of
this act it shall not be lawful for the
secretary of the treasury or other officer
under him to cancel or retire any more
OF the United States legal tender notes.
And when any of said notes may be re-
deemed into the treasury under any law
from any source whatever and shall be-
long to the United States, they shall
not be retired, Cancelled or destroyed.
but they shall be re-issued and paid out
again and kept in circulation.
Now, this provides for nice scheme
under such constituencies dministra-
ton as this one. The secretary cannot
issue bonds to provide funds for cur
rent government expenses, but he
claims he can issue them under the act
Of January IA, 1875, to provide funds
| for the redemption of legal tender treas
uTy notes. The notes redeemed and be-
longing to the United States cannot be
Cancelled or destroyed, but must be paid
out again, as provided by the act OF
May 81, 1873. They may be paid out
therefore, for current expenses, or fol
any of the expenditures of the govern
ment. After being paid out, they may
again be gathered up and presented fol
redemption, and more bonds may be
made necessary to provide the funds
There is, then, absolutely no limit t.
the power of the secretary to issue
bonds, unless congress or the courts in
terfere and reverse his decision as t
the authority conferred by the act O
January IA, 1875.
The ultimate purpose of the none
power and of Mr.. Carlisle as it's agen
IS unquestionably the retirement AM
destruction of the treasury notes, as w
pointed out in an article upon this sub
ject last week; but not until they ar
. utilized as an instrument by which t
SUPPLY to the gold brokers an indefinit
amount of Understanding bonds. Thi
accomplished, if congress still remain
loyal to Wall street. as it undoubtedl
will, the act of 1878 will be repealed
and the final destruction of the leg;
o tenders accomplished. Will then hay
{ gold and national bank notes as the OF
: ly currency of the country, and benin
: 1t all great interest bearing debt I
: absorb the total profits of our nation;
r industries. This is the destination t,
: ward which the policy of the admins
r tration is tending. Is 1t one that afforC
: hope of better times to the great ma:
I of the American people?
|
: REED of Maine is looked to as the +,
y publican leader of the House, yet thu
| nartv Dratanda RI favor thu aorinuItu