The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1898-02-08

could only fix upon the original c"liSlu,
Grafton of the bonds az the proper fac'
to determine what should lc pl1d - INC
l~pndholder. But he who asks equity
must 10 equity.
If the bondholdcr wishes To open the
question Of what he paid for the bonds
= must open it wide enough 10 let the
government show in all caSeS what i
| received for the bonds. When THIS =
| done the case revealed is against the
| bondhoLlcr. and the equity which i"
pretcndS To invoke would scatter desola-
ton AMI dism,y in all ths, b"ndAo!dinS
ranks. and would refute all the protein
| sions Of his champions upon th'S to"r.
Oliver Z. Morton reminded the crrii-
| tors that the consideration pald was n
value about go cents OF tho dollar; and
if the question of consideration be open
| ed. the resolution Of Senator Garrett
Davis. of kentucky. To which | referred
Yesterday. offered in this body March l..
1869. will furnish 4 proper guide and
test. That resolution WAS this:
Tina the Just and equitable meas
ure of the obligation Of the United States
upon their outstanding bonds which
were issued and sold AZ 4 means Of Dor
| rowing money IS the value at the time. in
gold and silver coin. OF the paper cur
rency advanced and paid on those
! ponds"
Yesterday one who casually heard the
Senator from Massachusetts tMr. Hoarl
would have supposed that he WAS the
advocate OF that principle. But he has
not been heard to return to it since h
discovered to what chaSm it would lead
him.
The resolution Of Mr.. Davis was voted
| down. The bondholderS and their asSo-
c;atcs refused to adopt the principle now
commended to us by the Senator from
| Massachusetts. They dared not invoke
it. They say. The contract cuts it out"
We say the same thing. and are at one
with them as soon as we analyzc their
| position. both as to what law and what
equity demand
| might refer in this connection TO the
fact that when the act to strengthen the
public credit was before the House of
Representatives. and as it was originally
introduced in the Senate of the United
States. it contained a second section.
which | Will cite for the information OF
my associates:
section ,. And he it further enacted.
That any contract hereafter made spc-
cifically payable in coin. and the consid-
GRAFTON of which may be a loan of coin
or a sale of property or the rendering
II Ii ftoI vi St1 ltt Vi dllN hIill tut DIlCt
Of which as carried into the contract
may nave been adjusted on tho basis Of
the coined value thereof at the time Of
such sale or of the rendering Of such
service or labor. shall be legal and valid,
and may be enforced according to ITS
terms: and on the trial of Il suit brought
for the enforcement Of any such con
tract proof of the real consideration may
be given
so at the time whom the act to
strengthen the public credit WAS passed
i'll formal legal proposition, presented
both To the Senate and To the House.
there was considered Il proposition now
commended to us by the Senator from
massachusetts and his party, and the
friends of the hondllolders voted it down.
In no case, it was the opinion of the
House and Senate alike, and i'll my
Judgment they were correct, should YOU
ever leave Il bond. Il security of the Uni
ted States, out upon the market or issue
it to. the public servants or public crrli-
tors with any question as to what it
meant. with any doubt aS 10 the stand
ard Of value to which it referred. with
any kind of trouble i'll the minds of mon
as to what should be paid, and III the
nature of things to attempt to do what
is suggested here for the purpose of
strengthening the weak places i'll debate
will destroy amy system of finance break
down the credit of the government which
it is pretended it would favor, and remit
us to Il kind of loose and lnllScrImnatc
practice with respect to our bonds utter
" destructive of investors and Of their
interests.
The Hon. John Sherman at that period
possessed opinions quite similar to those
of the Hon. Garrett Davis, Of kentucky.
for the act of 1869, with this clause IN
it which | have cited, was supported by
him. And Mr.. Sherman, March II, with
respect to the second section which |
have quoted, said:
"Certainly it is not the desire of the
Senate to authorize Il creditor to compel
a payment in coin where currency was
the consideration, and thus add to the
burden of the debt some 80 or 40 per
cent"
SO by leaving ont the consideration Of
the bond as q question TO be referred to
in aScertaining the terms Of the pay
ment. according to the present premier
Of this administration, the country lost
30 or 40 per cent. At that time he was
speaking for the people of this country. +
and he alluded to the hardships they
were suffering, the burdens of taxation
winch were heaped upon them, to make
the bond the closure of the case.
Mr.. President, it is with reference to
these bonds just as it is with reference
to the contract of option to pay them in
gold or silver. For the option we have
paid millions and millions. For the OPP
ton, with reference simply to those
bonds issued by the Cleveland admins
t~ration. we have paid or are to pay some
thing like $1o.0OO.DGO. five times as
much money as the first Democratic
President of this country paid for the
acquisition of the great Louisiana en-
pire.
SO we have these coin bonds, and ac-t
cord1ng to the statements upon this floor
OF the leading financier Of the Republic
can party. one who has been foremost n
its councils for thirty years, we paid
our creditors 80 or 10 cents upon the
dollar to nave the privilege of paying our,
bonds according to our option, which still
exists, in silver or in gold.