The Portland daily press., 1897-02-01

stamps was III cents, and go on, each
stamp being worth cents.
This currency tecnme SO popi lar that
| instead of using stamps tho to9etp,' ent
had plates engraved for each degoi tns-
ton in Imitation of the manufactr re d
notes. and the impressions from these
mad the came legal tender qualities as
the original stamps. These impressions
were called "postage currency" and
we're legal tender to the sum of IS and
could be exchanged for United States
notes, when presented IN sums OF not
less than SIS. The appearance OF these
notes put an end to the use of shinplasters,
and the act authorizing them made 1t
unlawful for any private firm to issue
notes for sums of less than 81.
THEN THE FRACTIONAL CUR
RENCY.
The convenience of the postage ourren-
oy was SO great and it was so much
used as to become a great nuisance to the
Postoffice Department.. 1t was finally
decided, therefore, to take them into the
Treasury Department. Accordingly an
act was passed which suspende d the
further use of the postage currency, and
authorized the Secretary Of the Treasury
to issue fractional notes" in such form
as he deemed expedient. The amount OF
the issue, including the postage currency
already out, was limited to $50, 000 000
1t has been declared frequently that no
of ont
ever accomplished so much public conve-
nience as did the fractional currency.
The authorized $50, 900, 600 was reissued
seven times. Subsequent acts authorizing
the coming of small silver pieces inter
fered with it's circulation, and the act Of
June, 1879, called for it's redemption.
The authority for the issue of green
backs was given in the nets passed by
Congress in February and July, 1862, and
March, 1868. The first issue for $3.50, 000,-
900 of which $50, 000, 600 was to be in lieu
of like amount of "demand notes. )"
Each of the other acts authorized $780,,
0Ou, 900, making the total amount $780,.
900, 900. The largest amount of green
backs outstanding at any time was on
Feb. 8, 1864, when within half million
dollars of the limit was reached.
AS soon as the war was over Secretary
McCulloch of the Treasury started to
retire the greenbac in what was
thought to lie the true spirit of legal ten
der legislation. In his first report to
Congress after the close of the war he
declared that the legal tender acts were
only war measures, and that they ought
not to remain in force day after the
government was able to return to tho
gold standard. By the act of April 1a,
1866, Congress authorized the Secretary
to begin the withdrawal of the green
backs from circulation. By the end of
that year he had reduced the amount of
greenbacks in circulation to $3.50, 600, 900,
and was continuing at the rate Of $4,-
700, O09 month. But suddenly there
came an end. There sprang up party
known as the greenback party, who de-
manded that the retirement stop. That
demand was too strong to be quelched,
and the process was stopped. Secretary
McCulloch continued his work. however
till he had reduced the amount to 1855,
600, 0C0. Since that time the amount
has varied between $685., 900, 900 in 1875,
and Ss47, 900, COO in 1879.
Mr.. Spaulding, tho father of the green
back, is of the seventh generation of the
Spauldings of Lincolnshire, England.
His ancestors came to America in 1880,
and the family has grown to distinction
in the United States His grandfather
was in the battle of Bunker Hill, and
vas one OF the heroes of the Revolution.
Mr.. Spaulding was educated at the SEM
mary at Auburn, N. Y. Afterward he
studied law and moved to Buffalo. He
was in Congress three terms, and it was
said at the time Of Secretary Chases res
ignation from the Treasury that Mr..
Spau1ding would have been appointed
by President Lincoln to succeed him If
New York had not already been repre-
scented in the Cabinet.