Middlebury register. (Middlebury, Vt.) 1886-1937, 1895-11-08

10 &c. .............. 6I.OO0000 4l2iO,G90
2O........... 26,Gl0000 20ll0,GGO
/ gu. .......... tI1O,O0O i,Gis,gD0
! lWu.''''.''''......... lbJlO,OOO ll,G-1.O0O
1uU .................. ........ ........
/ lOOO .................. i3,lOO 900 81 49, COO
Total .........-s25l,Ol2,l3 slj2,jsI,Il7
There was June 30. 1894 of re-
deemable government obligations out
standing SGG.OOO,OOO Of gold certificates.
redeemable in gold; S337 10000 of
silver certificates redeemable in
silver; S3l7, 900, 900 United States notes
/ (greenbacks), redeemable in coin, i. e.,
gold or silver; Sl53,OOO,0OO of Treasury
notes of 1890, also redeemable in coin
total S903 900, 10000. The sum has not
been very materially reduced since.
In 1869, the money power secured
another law in their interest passed March
Is. "Soemnly pledging the faith of the
United States 10 the payment in coin or
its equivalent of the United States notes
(greenbacks) and all the interest bearing
obligations of the United States. except
in eases where it was expressly provided
that the same should be paid in lawful
money; and also solemnly pedgng the
faith OF United States to make provision
at the earliest date possible for the paw
ment of all United States notes in coin.
This act is entitled IAN Act to Strength
en- the Public Credit" and the way it
undertook to do it was to pay to certain
holders of United States securities quite
large amount more than the contract
called for. At the time the law was pass
ed the gold price of currency was about
seventy-tive cents, that is coin was worth
about p per cent. more than lawful
money. The money received for these
bonds and other obligations was not coin
but lawful money of the United States,
most of it borrowed when that lawful
money was worth much less than it
promised to be at the time of payment :;
some of it, when the lawful money was
worth but 30 cents on dollar in coin
The different laws creating the United
States notes [greenbacks] expressly pro-
vided that they should be receivable sin
payment of all taxes, internal duties.
excuses, debts and demands Of every
kind, due the United States. except
duties on imports; and all claims and
demands against the United States. ex-
cept for interest on bonds and notes.
which shall be paid in coin; and shall
also be lawful money and legal tender
in payment of all debts. public and pri-
vate, within the United States, except
duties on imports and interest as afore-
said"
There could be nothing more explicit
than this law that the greenbacks were
lawful payment for ali the debts of the
United States excepting interest upon
bonds and notes. In equity they or
other lawful money were certainly
proper payment for all bonds or other
obligations of the United States that
were made in similar money; certainly
If that money, at the time it was bor-
rowed, was not worth more than at the
time when such bonds or obligations be-
came due.
In 1850 the debt of the United
States was $50 900, 600. borrowed
in com orits equivalent. How much of this
was due in 1869 we are unable to state,
but it would have Deen proper that this
should have been paId in coin.
The first money borrowed. after the
war commenced, was by act of July Il,
1851, of an amount not to exceed $780,
600, 900, to be borrowed within twelve
months from the passage of the act. For
this amount the secretary of the treasury
was authorized to issue coupon or regis
tered bonds or treasury notes, bearing
the high interest of 7,3 per cent, payable
semi-annually: the bonds irredeemable
for 20 years and after that time at the
pleasure of the United States the
notes payable in three years
after date. At the time this loan was
lawful money was nearly or
quite at par with coin, and therefore, as
much of this loan as was made In 1861 |
was practically in coin.
The same act provided for the Issuing |
Of United States treasury notes of de- |
less than $50, bearing inter- /
'st at 3.65 per cent payable in one year
md exchangeable at any time for the
lbove notes, bearing interest at 7.3 per
'ent. 1t also provided for the issuing of
notes of denominations less
han $50, not bearing interest and not to
xceed in amount S50,0OO0OO. These
lon-interesting bearing notes were to be
part of the loan of S25O,OO0, 900. The
vet also authorized treasury notes bear
NO interest, not exceeding per cent.
payable at any time not exceeding one
Iear, and not to exceed in amount 800
10000.
There were $4,000, 600 more of notes
authorized Feb. II, 1862, but they were
we are indebted tor preceding tables to n
ecent work of merit entitled "Monetary Sys
ems OF the World", by NJ. l.. Muhleman
equity assistant treasurer L. s., New York