Year: 1874




ton whenever there has been occasion to call
it forth. Touch their privileges, and that
will prove the Ithuriel spear to arouse
monster. More than half the members OF
Congress, probably, are interested personally
in the national banks as directors or stock
holders. 1t was not surprising therefore, that
the amendment recently offered to the pending
financial bill in the Senate by Mr.. Salisbury,
to make the banks pay for the privilege of .
national circulation, should have been de-
feated. It was, in fact, rejected without
division. This amendment prohibited the
Treasury Department paying interest on
bonds which have been or may hereafter be
deposited as security for the circulation of
the banks, except on the excess Of the par
value of such bonds over the average circu-
lation, while such bonds shall remain on de-
posit to secure circulation. 1t is simply
proposal to tax the national bank circulation.
Mr. Salisbury took the idea, probably,
from the laws governing the circulation
of the Bank of England We believe the Bank
of England is required to pay to the British
government two-thirds of the profits on its
circulation in excess of the specie held in its
vaults. That is, if there should be thirty
millions sterling in specie in the bank and it
should have sixty millions Of notes in circula-
ton it must pay over to the government two
thirds of the profits on thirty millions. The
specie held in bank is dead capital, and
the notes representing that are not, of course,
considered profitable. But upon any issue
over that which is clear profit, the govern
ment makes the claim. The British govern
ment foregoes one-third perhaps, on account
of the services the bank renders in managing
the public debt, in making loans and in other
ways when required; and, notwithstanding
the services rendered to the government by
this great institution and the payment of the
profits on its circulation, it has been COM
PEELED always to pay heavily whenever its
charter has been renewed But our national
banks give nothing for their privileges, have
no dead capital except the small legal tender
reserve they are required to hold, and make q
double profit, amounting to twelve or thirteen
per cent-irst, on the bonds deposited, and,
next, on their circulating notes. In short, the
government kindly doubles their capital within
ten per cent and gets nothing in return.


Of course, the national bank power in Con-
gress would defeat any proposition to tax cir
culation in whatever form it might come.
And it is just as intent on extending its privi-
leges and enlarging its profits. The Western
men, and particularly those from Indiana, have
always been great on banking In the old
times they established and run more wildcat
banks in almost every part of the country
than oil the enterprising spectators Of other
sections Then, to tax circulation or the
bonds on deposit representing and securing
circulation, which amounts to about the same
thing, would do more to restrain imitation
than anything, and that is just what these
Western infationists do not want. They may
talk loudly of wanting more money to help
industry and to benefit labor, but they will
not consent to make the banks pay over to the
government portion of the enormous profits
derived from national circulation and other
privileges.


A NEW PowER-We are constantly COM
plalllnk VI o1O AoAAOoA pOWCAo 0AAo tAC A1OACJ
kings and other forms of tyranny. But new
influence has arisen in England, which
threatens to menace the Parliament and
sovereignty. Archbishop Manning called at
tention to it few days ago in public speech,
showing that the liquor trade represents six
hundred millions Of dollars, and that 'the
influence Of distillers, brewers and publicans
was growing more and more dominant over
public opinion, over the electors and the
elected and over Parliament ITSELF" The
Archbishop feared that the time would come
when Parliament would be unable to cope
with or control this power that there was no
Minister now who would cope with it, and
that any government who would venture to
touch or try to settle it would be shattered.
A statement of this kind from an authority as
eminent as the head of the Catholic hierarchy
in England should be gravely considered.
Cotton was once king in America, but gin and
beer now rule England.


REMOVAL OF THE COMMISSIONERS OF Gus
Of Customs in the Treasury Department, re-
moved by the Secretary on account OF compli-
cations growing out of the famous comma in
the clause of an act OF Congress relating to
tropical fruit, is now out of Office by the con-
frmation Of his successor. 1t seems
that the Secretary ordered the Commits
sioner to audit the claims growing out
Of the mistaken punctuation; but the Com
missioner declined, except upon an order in
writing This the Secretary gave, but subse-
quently revoked it and dismissed the Commits
sioner. The latter. however, refused to be
dismissed, and we now see in the confirmation
of his successor how much the majority in
the Senate respects the Tenure Of Office act.
as Haines was evidently right and Richardson
wrong


THE PRESIDENTS OPPORTUNITY. contem-
norarv whose name unfortunately escapea r1s