The New York Herald Newspaper, April 3, 1874, Page 5

Yt NEW YORK HERALD, FRIDAY, WASHINGTON. Expansion of the National Bank Circu- lation Agreed Upon. REDEMPTORY PROVISIONS REJECTED Growing Arrogance of the West and South. “WE CAN RULE IF WE WILL” ‘The Admission of New Mexico---Appointment of the Late Judge Hall's Successor. The possibility qy a new issue af inconvertible paper I regard with amazement and anxiety, and, in my judgment, such an tssue would be a detri- ment and a shame.—CHARLES SUMNER, WasHINGTON, April 2, 1874, The Victory of the Inflationists in the Senate Yesterday—When a Final Vote May Be Reached. In the Senate to-day the debate on the Financial bill was at once vigorously resumed, and the third section, as proposed by Senator Logan, was taken up. It being evident that there was no disposi- tion among those who have controlled things thus far to have anything to do with the bill, in any shape or manner, and that the faith to which the majority seem irom the first to have been pledged Was still strong in them, so faras securing relief by an increase in the circulation, General Logan, with that cunning and shrewdness which he has displayed throughout this contest, came to the re- liet of the expanstonists, and having concluded that neither free banking nor the third section of the bill could be carried, he withdrew it. it has been evident all along that the Merrimon amendment, increasing the national banking circulation to $400,000,000, was the only instrumentality whereby any increased bank- img facilities could be secured, as has been intimated in these despatches, and so it was at once brought up by Senator Merrimon as a substi- tute for the third section, and it quietly took the Place of the latter, Senators Suerman and Thur- man, two of its hitherto sirongest opponents, vpting for it, The measure was adopted by the significant vote of 32 w 19, and once more the forces of the majority were brought shoulder to shoulder, though a division has existed vetween Vbem on almost every issue which has come up eince the adoption of the amendment striking out the fourth section of the Finance Committee's bil. Senaturs Sherman and Thurman yielded be- cause they congratulated themselves that the majority had come down trom the prospect of carrging $240,000.000 and were satisfied with $46,000,000 increase. This was the most important event of the day and secms to be regarded as @ moderate and conserva- | tive course of action. Butitis evident that this was the bone of contention in the way of a hearty co-operation and harmony which will be required | 80 much in perfecting the bill, and it may now be said that, with the provisions of this amendment tor an increase of the national banking circulation observed, the road ts straight for the majority in the Senate to have anything they want in the way of settling the Financial bill to their satisfaction. Nothing emanating from Senators Schurz, Conk- ling, Thurman or Sherman, with a view to gtving shape to this bill, will be treated witn favorable consideration, The remainder of tne day was taken up with the usual succession of amendments quietly brought out one after another with the apparent impuise and Senatorial gravity which ap emergency in the discussion Of an unripe bill would ordinarily seem to warrant. They are im- med fately taken to beart for earnest treatment and disposal, and alter having been well analyzed aud commented upon, they go through the annealing procees of the voting, and, in most cases, come out spoiled by the operation. This was true to-day of an amendment offered by Senator Frelinghuysen, which Senator Morton opposed because it required the hoarding of gold in tie Treasury Department and would make it scarce in the market. Though respectful attention was given this eflort by the majority, who seem, as they have progressed in accomplishing the work which they have cut out, to be more peacefully inclined toward the opposi- tion, it was lost by a vote of 21 nays to 15 yeas. Senator Sauisbury added an amendment prohib- iting the Secretary of the ‘Treasury from paying interest except on the excess over par value of bonds deposited in the Treasury to secuie circulation. This was lost without a recourse to the calling of the yeas and pays, Then came an amendment, offered by Senator Davis, providing for the withdrawal of $50,000,000 national bunk circuiation irom the Bast and its redistribution in the South and West, The joss of this ainendment by a vote of 31 nays to 20 yeas was the jorerunner of the triumphant carry- mg of the Merrimon amendment, which was designated some days since in these despatches as the ouly one among the amendments which was sure to be adopted by the Senate. In the range of discussion to-day much of importance was devel- oped, both as to the appreciation of greenbacks, the relieving of a paré of the demand for gold, the advisability of a tax oo tea and tobacco and the ac- cumulation Of gold by the government 80 as to con- trol the gold market. Not the least interesting was @ random dissertation on the amount of reserve which ought to be kept by the national banks, and a disposition was undoubtedly maai- tested to make the law us generous to them as possible, Senator Morrill offered an amendment, which was finally withdrawn, having for its pur- pose tne redemption in greenbacks by the national banks of their issue, at the Treasury Department. Senator Thurman otlered a very important amend- ment, which looked as if it Were equitable in more regards than one, to the eflect that aiter June 30, 1874, and at subsequent dates thereaiter, certain proportions of the duties to be paid to the gov- ernment be receivable in greenbacks in lieu of gold, as is now necessary. The day was not with- out its compensations, and @ disposition was man- Mested at its close to perfect the bill, and the sitting-out process was urged. But Sen- ator Anthony, in some references to the observance of Good Friday made a motion that when the Senate adjourn it do so until Monday next. ‘This was ruled ont of order, The financial question was voted to he on the table, by @ vote of 23 yeas to 21 nays, whereat Senator Morton grew exceedingly wrathy and protested against thia procrastination. The peni- tentfally inclined Senators were about to put their question o! adjourning over to Monday toa vote, when, by a stroke of Senator Morton's policy, Senator Logan moved that the Senate do now adjoarn, which was changed by unanimous con- sent to a favorable vote for an executive session, after wilich the Senate adjourned. Probable Passage of the Pending Fi- nancial Bill in the House by a Small Majority—A Legislature Controlled by Bad Blood and Dyspeps ‘The talk on finance in the House goes bravely on, To-morrow and Saturday will be devoted to private bills, Monday following is “everybody's day.” So a further inflation of the Congressional record, With speeches on finance, will be deferred until the issue of Wednesday next, The prophets of the House predict that the debate will close on ‘Thursday next, when the amendments wiil be reached, but it 18 not considered certain that this process can be made, Tuesday may find the House ready to vote, and not until all the amendments have been disposed of will the motion to cail the Previous question be seconded, Then, when the oil of the committee is squarely betore the Com- mittee of the Whole for consideration, there will come & contest Whether it shall be voted on asa ‘whole or section by section, A Southern member, who has been connected with the national banking business since the banks were Grst established, and has given mucn attention to the pending bill, says it will pass by a Majority of thirty. It 1s, he says, an average b')l, meets the wants of the South and West, is mod- erate in all its plans, and cannot be objected to ex- cept by rigid contractionists. A member who bas served many terms says the fate of the bill depends entirely upon the time of day the vote is taken. If iv is late in the aiternoon no one can afford to pre- dict; if early in the session the sober judgment of the House will prevail and a status be fixed which subsequent action will not change. Hus reason for this is that the atmosphere of the hail of the House in the first two hours does not vitiate the blood, provoke dyspepsia, aggravate existing ailments; and the average Congressman can act wisely; but alter that the House gets unruly. The accuracy of this statement is confirmed by Speaker Blaine, who finds it more dificult to pre- serve order in the latter part of each day’s ion than in the earlier part. A short time ago, when the House was on the point of ad- journing and the buzzing of the restless members was more contusing than the hum of a cotton mil, the Speaker passionately exclaimed, “My God, what a House this 1s to manage!’ Those interested in the House voting wisely on the ques- tion of finance are advised to pray ferveutly that the vote may be taken early in the day. Falling Off of the Revenue and the Pro- vision for the Sinking Fun1. During the course of the debate on the financial question to-day Senator Sherman, chairman of tue Finance Committee of the Senate, confirmed the accuracy of the HERALD despatches of Monday last as to the sinking fund, and he made the start- ling announcement that we cannot provide for it from the revenue, which, he said, has greatly Jallen of, Besides, the remarkable and unlooked for task fell to his lot of explaining for the benefit of some of the Senators the modus operandi whereby the Secretary of the Treasury was di- rected by law to provide for the sinking fund, The Vacated New York Judgeship— The Appointment and the Disappoint- ments, The President today nominated William J. Wallace, of Syracuse, N. Y., to be United States District Judge for the Northern district of New York, vice N. K, Hall, deceased. Mr. Wallace is spoken of by members of the New York delegation asa gentleman of culture and great ability, in every way fitted tor the impurtant oilice, Mr. Rogers, of Buffalo, now in Europe, declined (by telegram) to allow his name to be used, saying that he nad no ambition to assume the responsible duties of the Bench. Ovongressman Duell, of the Twenty-fourth New York district, was strongly urged; but the President declined to appoint him for the same reason for which he refused to appoint Mr. Lowe, of Kansas, to the vacant Judgeship In that State. That was because he was a member o/ Votgress, and the appointment to the Bench would tmpose upon the people of Kansas a@ large expense in holding a special election to fill the vacancy, This un- paraileled regard on the part of the Executive for the State treasury of Kansas and New York con- vinces those who have recently talked with him on the question of finance that he is giving the sub- ject his most earnest consiceration, and will not, so far as it lies in his power, impose an unneces- sary burden on anybody. Besides this, the Presi- dent remarked that he did not consider it good policy to fill vacancies from among those holding an elective office, and, going still further, he said, with the nighest appreciation oi the qualifications of the Congressmen mentioned, such was the pre- vatling prejudice among the people that 1t would be questioned whether Congressmen were capabie of making upright judges. The possibility af @ new tssue of inconvertidle paper Tregard with amazement and ancziety, and, in my judgment, such an issue would oe a detri- ment and a shame.—CHARLES SUMNER. Favorable Report To Be Made on the Admission of New Mexico. The House Committee on Territories, by a vote of six to one, have agreed to recommend the pas- sage of a bill for the admission of New Mexico as a State in the Union. Necessity for the Early Completion of the Hell Gate Improvements. In the House Mr. Meilish, of New York, pre- ! sented memorials of the East Side, the West Side | and the North Side Association of the city of New York in favor of increased appropriations for the removal of obstructions at Hell Gate. They recite that the annual loss arising from these obstruc- tions 18 $1,500,000; that one in filty sailing vessels | entering the passage sustains injury by being forced by the violence of the currents on the rocks and shoals, and that 19.408 vessels passed the Gate in four months, In consequence of the exhaustion of the appropriation, work has been suspended at | Hell Gate since the 20th of November. They were relerred to the Committee on Commerce. The Polaris Survivors Asking Relief from Congre: In the Senate to-day Mr. Cragin, of New Hamp- shire, presented @ memorial signed by the survi- vors of the Polaris expedition, setting forth the privations which they suffered on the ice floe dur- | ing @ period of 196 days, and that they are still suffering physically and pecuniarily; that they were promised a handsome reward by Captain Hall when they shipped, and that the German government gave the members o! its expedition $1,000 each, ‘They ask such relief as may be proper | in the premises, and that the Esquimaux, Haunah and Joe, be included in any measure for relief, It was referred to the Committee on Naval Affairs, Admiral of the Navy. Should Admiral Porter be taken away the office of Admiral of the Navy will be abolished, The senior officer will be Vice Admiral Rowan, who is a native of ireiand and who has been in the naval service of the United States since February 1, 1826, of which time he has seen twenty-five years of sea service, The Busteed Impeachment Case. The sub-committee of the Judiciary Committee of the House to-day closed tne hearing of the tes- timony in the Busteed impeachment case. Chairmanship of the House District In- vestigating Committee. Congressman Robert S. Hale, of New York, has placed in the hands of the Speaker his resignation as chairman of tie House Committee on the Dis- trict of Columbia. His resignation is said to be imduced by the failure of the House to sustain the various recommendations of the committee lately. Representative Harmer, of Pennsylvania, is sec- ond on the committee, but it is said will decline the chairmanship. Mr. Cotton, of lowa, stands next on the list, and will probably be the chair. | man. The President to Visit New York To Day. The President will leave Washington in the noon train to-morrow for New York, and will probably return on Monday. The New French Minister. The new French Minister ts to be welcomed here | with a round of dinner parties by Secretary Fish, Sir Edward Thornton and other members of the diplomatic corps. Itis thought that France will follow the example Of Great Britain and Germany | and build a legation here. The possibility of @ new tssue of tnconvertible paper I regard with amazement and anxiety, and, | in my judgment, such an issue would be a detri ment and a shanve.—CHARLES SUMNER. THE CURRENCY CONFLICT. ae eee Soe Hae Adoption of Amendment Increasing the National Bank Circulation $16,000,000— Rejection of Measures Looking to Redemption—Paper To Be Taken for Customs—The Record of Infamy. WASHINGTON, April 2, 1874, The morning hour having expired, the Senate resumed the consideration of the bill to provide for the redemption and reissue of United States notes and for free banking. Mr. MBRRIMON, (dem.) of N, C., offered as a sub- stitute for the third section of the bill, as reported by the cominittee, the following :—'That $46,000,000 in notes for circulation, iM addition to such ciren- lation now allowed by law, shall be issued to national banking associations now organized, aad which may be organized hereafter; and such m- creased circulation shail be distributed among the several States, as provided in section 1 of the Act of July 12, 1870." APRIL 3, 1874.—TRIPLE SHEET, 3 become of the amendment for free banking offered by the gentleman irom Illinois (Mr. Logan.) THE INFLATION STRATEGY. Mr, Logan, (rep.) of Ill, said he would withdraw that amendment Co aliow that of his friend trom North Carolina to be offered, It was very evident that there were a number of Senators in favor of more currency but opposed to free banking, and as he wanted a vote, he would not press his amend- ment. Mr. Savtssury, (dem.) of Del., offered an amend- Ment prohibiting the Secretary of the Treasury from paying Interest on bonds which have been, or may hereaiter be deposited in the Treasury to secure circulation, except on the excess of the par value of such bonds over the average circula- ton of such associations during the current year, while such bonds #hall remaim on deposit id th Treasury to secure such circulation. Rejecte without a division. GRASPING AT A STRAW. Mr. Davis, (dem.) of W. Va., offered a substitute for that o1 Mr, Merrimon, providing that $50,000,000 of national bank circulation shall be withdrawn from the dtates in excess and issued to the States having less than their proportion, Rejected, yeas 20, nays 31, 48 fullows:— Yuas—Messrs, Anthony rn. Cray Conkling, coo sin, Davis, won. Freunghuysen, Hager, Maiilton’ of Maryland, Hamilton of ‘texas, Hamlin, Jones, Kelley, Morrili ot Vermont, Surgent, Saulsbury, Schurz, sher- mun, Thurman und Wadleh—20. Nays—Messrg. Allison, Boxy, Boreman, Carpenter, Clayton, Conover, Ferry of Counecticut, Ferry of Michi gan, Goidthwaite. Gordon, » Hitchcock, Ingalls, Johnston, Lewis, Logan, MeCre Merrimon, Michell, Morton, Norwood, Ugiesby, Paiterson, Pease, Pratt, Ramsey, Robertson, Spencer, Tipton, West aud Winaom, ‘THE INPLATISTS AGAIN TRIUMPHANT. The question then recurred on Mr. Mermmon’s substitute and it was adopted. Yeas, 33; nays, 19, as follows:— Yuas,—Messrs. Allison, Bogy, Boreman, Carpenter, Clayton, Conover, avis, Kerry of Michigan, Gold: thwaite, Gordon, Harvey, Hitchdock, Inyalls, Johnston, Lewis. Logan, “Meo Merriwon, Mitchell, Morton, Norwood, Oglesby, ratterson, Pease, Pratt, 'Kamse: Robertson, Sherman, Spencer, Thurman, Tipton, West and Windom—33, Nays.—Messrs. Anthony, Boutwell, Chandler, Conkling, Cooper, Cragin, Ferry of Connecticut, Frelinguuysen, Hager,’ Hamilton of Maryl Hamilton of ‘Texas, Hamlin, Jones, Kelly, Morrill, ‘of Vermont, Sargent, Saulsbury, Swart and Stockton—19, NO REDEMPTION—FOR GREENBACKS OR THE COUNTRY. Mr. FRELINGIUYSEN, (rep.) 01 N. J., offered an amendment similar to thac submitted by him a Jew days ago, ‘for the accumulation of gold coin in the Treasury, with a view to the resumption of specie payments at some iuture day, Rejected by yeas 16, Days 31, ANOTHER STEP. Mr. THURMAN, (dem.) of Obio, offered as an ad- Gitionat section—Taat irom and after June 30, 1874, one-twentieth of the customs dues shall be paid in United States legal teuder notes; aiter June 30, 1875, one-tenth, and alter June 30, 1976, one-flith of the customs dues shall be so paid. Mr. WRIGHT, (rep.) of La., o:fered as an amend- meng to the section of Mr, Thurman the follow- ing :— “Whenever the same can be done without violat- ing the pledge made by the act of February 26, 1862, for the payment of the interest on the public debt and providing @ sinking jund,”’ Mr. THURMAN accepted the amendment, Mr. Scorr, (rep.) of Pa., said the amendment, if adopted, would undoubtedly cause the aefeat of the vill in the House of Representatives, The pro- vis.on was one affecting the revenue, and, tuere- fore, could not be originated in the Senate. The senate, some time ago, passed a bill to repeal the income tax. That bill did not propose to raise revenue, but took revenue out of the Treasury; and the House, on the ground that it was a bill pertaining to revenue, refused to consider it. Mr. HAMLIN, (rep,} Of »e., Said he wou.d support the amendment of the geutieman from Unio (Mr. | Tnurman), in the hope that the adoption of it would cause the House to lay the bill on the table— | the better for the country. (Laughter.) He was for hard money, and wanted to see the bill defeated somehow. Mr. 'hurman’s amendment was rejected—yeas | 19, nays 27. ‘Mr. SAULSBURY, (dem.) of Del.. offered an amend- ment to the first section of the bill, authorizing the Secretary of the Ireasury to redeem ‘egal tender notes on the 1st of January, 1575, in sums of $1,000, and any wultiple tnereoi, at the rate of $100 in com ior $110 in currency, and six months tuereaiter at the rate of $100 in coim lor $108 in currency; on the lst of January, 1877, $100 in coin for $106 in currency, and six months thereafter $100 in coin for $10¢ in cur- rency; on the 1st of January, 1878, $100 in coin lor $102 iu currency, and in six months thereatter he shall redeem them at their face value. Rejected— yeas 7, Days 31. Mr. MORRILL, (rep.) of Vt., offered as an amend- ment to the substitute of Mr. Me:rimon the bill recently introduced in the House requiring na- | tional banks to keep an amount tn United States notes equal to five per cent of their circulation on deposit in the Treasury of the United States, to be used only for the redemption of suca circulation, | and providing that it shall be redeemed in green- acks. Aiter some discussion the amendment was with- drawn. Mr. ANTHONY, (rep.) of R. 1, said to-morrow being Good Harpe d @ day observed by the whole Christian world, he thought the Senate should not meet. It had been customary dur ng the loug ses- sion to adjourn over that day, and he theretore moved to lay the pending bill aside in order that he might make the motion to adjourn over. Upon this motion the yeas and nays were called and the motion was agreed to—yeas 22, nays 21. ‘The bill was laid aside, and Mr. ANTHONY moved that when the Senate adjourn to-day 1t be to meet on Monday next. Mr. MorTON, (rep.) of Ind., said this motion was calculated to waste the time of tne Senate. Mr. ANTHONY said when he was accused of wast- ing the time ol the Senate bya Senator who haa not spoken more hours than he (Mr. Antbony) had land for any vote of her Representatives against iree banking. Itdid not occur to uim that they had given a single vote vgaiust free banking. 50 Jar as he understood tue tone of public feeling in New Englund it was as much in favor of iree bank- ing as Was the public 8 ntiment of the West or south. Ali that New England desired was that tree binking should be hedged in with saegaards, 80 that the country shouid not have a repetition of “wild cat curreucy.” Mr. MAYNARD, (rep.) of Tenn., suggested that the votes 01 the New England bers had been with only one exception against making tie rency biila special order. air, Dawes ventured to say that if Mr. Maynard brought in a bill tor tree banking, properly guarded, he would find no objection to it on the part of New England. Mr. G. F. Hoak, (rep.) of Mass., said there had never been a period since the organization of the government when the people ot New Engiand did Rot hold to volicies to wuich the people oi the rest. oi the country did not subsequentiy adhere, and he Was sorry to hear that his colleague (Mr, Dawes) apologized jor or flinched from any attitude which ew ingland had taken on this floor, (Noise and coniusion.) A FAMILY ROW, Mr. Dawes (with some manifestation of feel- ing)—I do not know what occasion my colleague has to say that I was apologizing for tue attitude oi New England. | was giving my idea of the sen- timent of the people of New England on the question of iree banking. If | have aoue it in a mapner that looks like apologizing I do not understand the nature of @ Jair and candid statement beiore the House of what I be- lieve to be the tone of pubiic sentiment in New England. lam not here watching any of my col- leagues to see wiether I can find occasion to set myseii above them as standing up lor the rights of New England better than they. (Laughter and encouraging remarks.) Mr. WILsoN—It is very evident that these gen- tlemen cannot harmoniously settle the attiture of New England jor themselves, and I certainly do not propose to settle it for them, Mr. HAWLEY, (rep.) of Conn. (amid great noise and coniusion)—As representing one little secuon. of New England, I can tell you what my position is. Ido not care how much money there isin the country; the more tne betver 1 it is good money ; I do not care how mucho capital there is in the country, the more tie better, It is capital tlat they wantin Indiana more than money, and it is because we have been in Conuecticut 200 years and have saved every dollar we have earned and have put it in the savings banks tuat we happen to have Money. Let the gentleman report a bill that will withdraw legal tender notes and establish jree banking and I will vote for it. Only, for heaven's suke, do not disgust, the people any more with “wild cat currency.” Before Iwill vote for one dollar of expansion I will consent that you take ali circulation irom my next door neighbors. | If you cannot find relief in any other way provide | lor more iree banking. I speak for cause. Mr. BUTLER, (rep.) of Mass, 1 think | should be allowed to say a word here. (Laughter.) I have the advantage of neitiicr having to apologize tor New England nor for any vote | have ever given while representing her on this floor, I have given votes tor the country, thauk God! and I thought [ was doing my duty to New England when I never arrayed her or her interests against the interests of the whole country. I am not willing to flood the country with this irredeemable paper money issued by corporations, in order that they may make money out of 1t and withdraw the money of the people, the greenback currency, Which ts the only basis on which all the bank paper is sustained, The gentleman irom Connecticut (Mr, Hawley) is quite willing to have tree banking if he can have more bank paper in New England than elsewhere out of whico bankers can make profits and have ail the chauces of grinding the poor man. He is willing to have that sort of irredeemabie paper which these bankers can issue without price and without tax in | order that they may suppiy it to other people ard take toll on it as it goes along. That of irredeemable money tnat he is for. am against. all the That kindI Let us take the laith of the nation, roperty of the nation and the weulth of the nation, all the power of the nation, ali that | there 18 in ‘he country, save the greenvacks, and put ital behind the greenbacks as a pledge ior their redemption. Tat is my policy, Lam done. (Laughter and confusion.) Mr. WILSON resumed his remarks and contended that the currency shouid be so adjusted that every | section of the country would have equal iacilities | for the trausaction of business. He believed that that result would be accomplished by tree banking. But if he could not yet iree banking then he wouid vote for the next best proposition, That was, to take from the States that had an excessive circu- Jaton aud distrioute that excess among the States that had not their lair share, Mr. KELLEY, (rep.) of Pa., gave notice that at the close of the deoate he wouid offer his Three- Sixty-five bill a8 @ substitute for the bill of tae | committee. ‘The House then, at five o’clock P.M. took a re- cess till hali-past seven. ‘The evening session was occupied with the dis- cussion of the Currency bill. The possibility of a new issue af tnconvertivle paper I regard with amazement and anxiety, and, in my judgient, such an issue would be a detri- ment and a shame.—CHARLES SUM: TAMMANY ON FINANCE. The General Committee Splurges on the | paper will naturally tend Situation=—The Action of | *Pcculation, and stocks for the time may rise; Financial Congress Condcemned—Democracy, Spe- eie Payment and Free Banking the Panacea. The Tammany Hall General Committee, at their | monthly meeting last evening, took up their chief muoutes he would defend himseli/, but not until | then. (Lauguter.) Mr. TIPTON, (l10.) Of Neb., said if the Senate ad- journed over to-morrow on account of its plety 1 would take some Sunday session to make up lost time. Mr. FERRY, (rep.) of Mich., movea to amend | the motion of Mr. Anthony so as to provide that | France and Germany was $28 50, the Senate should meet on Saturday. He was wil!l- lug to give one day, but hoped there wouid be a session on Saturday to make up for it. ‘The motion of Mr. kerry was agreed to, and the Senate proceeded to the consideration of executive business, | Thomas W. Gides, ‘Ihomas Owen and Nathaniel | Tarpenny, of the committee from the Twenty-first | , Tully The possivility af a new issue of inconvertidle | paper Iregara with amazement and ansiety, and, in my judgment, such an issue would be a dewri- ment and a shame.—CHARLES SUMNER. The Discussion in the House—A Warn. ing from the West and South—They Can Control the Government if They Choose—A Little Family Row Among the New England Members—Free Bank- ing Pro and Con. WASHINGTON, April 2, 1874, The House at two o’clock resumed the considera- , tion of the Currency bill. Mr, NILEs, (rep.) of Miss., argued against the bili, as having a tendency to disregard the pledges of the government. UNEQUAL DISIRIBUTION, Mr. Harris, (dem.) of Va., made a speech upon the finances, aud predicted that Congress would do nothing equal to the emergency; but would talk and resolve and resolve and talk until the end of the session, without passing any law that would give substantial, bona Jide relief. Some palliation might be offered to an outraged people, but nothing more. He argued that there was not circulation enough in the country, that for the whole country being $1672 per capita and that for Virginia only $3 25 per capita, while the average circulation of He complained particularly of the unequal distribution of cur- rency through the country. While the South was entitled to $89,000,000 1t had only $38,000,000. The reason was that New England was represented by experienced statesmen and had the chairman- House. Well might the East, with one foot on the | business, the now all-important question of the financial situation, William H. Wickham was cailed to the Chair, As soon as the meeting was organized communications were received trom Assembly district, tendering their resignation. This, of course, was accepted, and William Wood, Bernard Gormley and Wiliam J, Kenny appointed to take their places. MINOR MATTERS. The sub-committee of tne Committee Organization reported that, afier — care- considering the matter they con- cluded that the petition o: Walter Gibson, and other residents o! the Twenty-first Assembly district, to change the method of conducting pri- mary elections could not be approved. The plans suggested py the gentiemen in question would, the committee thougit, furnish no correction for the evils complaived of, and were, besides, tin- practicable if notimpossible, A number of rea- Sons of littie or nu interest to the general public were assinued by the committee for their conclu- clusions Ob this subject. FINANCES AND CONGRESS, Peter B. Ulney then presented the following resolutions, a3 expressive Ol the opinion of the fammauy Hall General Committee on the present financial situation, the action oi Congress in reier- ence thereto and the necessities of tie present condition of uitairs :— TAMMANY ON FINANCE. Whereas the gross mismanagement by the present ad- ministration of the national inance has resulted in a on | mouevary panic, causing disaster and ruin wo all classes | ofthe bilsiness community, depressing the trade and coumeree of the whole couutry and bringing want and misery on the Jaboring man; and whereas tue recent action of Congress indicates the turtuer ase Of an irredeemable currency and the conse- paper money, while no steps about the wradual resumption of specie payments uni to restore the inances of the coun oasound and healthy cone ea and ypereas Re 1 the be e ine quent depression ot are taken to brin, ry ruinous aod disgraceful policy o! present ts to continued, Wherevy the bonds and obi or tl government are pald at ry : while the legal tender notes due oo demand remain di honored and unpaid, and no plan tor their ullimate redemption is In bperation, whereby the power danger= ous to the rights and liberties of the citizen and hitherto witout precedeut among freemen to make or ruin the fortunes of thousanus of business men is placed ysolutely in the buds pt he secretary of the Treasury, Sto. may ac ‘ifseretion increase ‘or dimiuint the volume of currency, and who recently, In plain violation of the law, has exercised this power without rebuke trom Congress, whereby an. oppressive and outregous system iy bed and intormers, obnoxious to a free people, i aintained by the Treasury Lepartment, and the revenues are farmed out for the Drofic ot a {ew nd the good taith and honor of the country sly afiected both at home and abroad, and party has always hi | coin of hard money is the only currency recognized by snip of all tne important committees in either | South and the other on the West, entrench itself | behing 118 money bags and exclaim, “We want no more money,” Mr. BURCHARD, (rep.) of Ill, said he was heartily in favor of some teatures o1 the bill, but he did not think it would afford to the South and West what Was expected. It would not imcrease the amount of loanavie capital in the West. He was in favor of removing the monopoly irom the banking sys- tem of the country. He was also in favor of redic- ing the reserve of banks from twenty-five to five per cent. He had never regarded tat provision as a security for depositors, A SUBSTITUTR, Mr. WILSON, (rep.) of Ind., gave notice of a sub- stitute which he proposed to offer for the pending bill, In part, lt was substantiaily the same, buc in some respects it was diferent. A feature common to both was iree banking, which he thought would remedy a leading defect in the currency system, the limitation of currency by law. He jaiad down a8 @n unanswerabie proposition that the amount 1 currency should be governed, not by law, but by the demands of business. What was needed was a currency system that possessed the quality of elasticity, It should be free to expand or to contract according to the wants of legitimate trade, To bis mind this was not only areasonuavie conclusion, but 1t Was supported by the experience of history. He did not believe in’ the redistribu- tion policy. He was willing that New England should have all the facilities for business that it new haa, and all he asked for was that the South and West should not be deprived of itke facilities. A WARNING, ‘ Re warned New England that the South and West could control the government i they chose. But, u they did, it would be on the principles of Justice to all aud equal rights and privileges to all. He ieared, however, that that was not the spirit of the Kast. | Mr. Dawns, (rep.) of Mass, did not understand Mr, Conwiing, (rep.) of N. Y,, inquired what had | on what greuud mr Wilson arraigned New Kug- the consti.udon—the Baltimore Convention advised the return to specie payments, the Utica Convention did the sane last Vetover—therefore, Kesolved, That we hereby reaMrm these sound demo- cratic doctrines and deplore and condemn the recent action of Congress, because it is calculated to i and aggravate the evila which now oppress the interests throughout the country. ihe pri sound finance, the interests ot coinmercial hi morality and every consideration ot th demand the speedy adopuion of measures tor the sare apd zradual resumption of specie payments and the re- of legal tender notes. olved, Phat tf the amount of circulating mediam in crease the country is imadequate to the necessities of commerce the remedy caauo. be found in the lurther increase or anirredeemavle paper money, but should be provided 4 ee banking founded ona | Jor in a judici : and the miversal yolaime of currency should be regulate LIBERAL EBSPUBLIOAN GENERAL MITTEE, Tne Liberal Republican General Committee met last evening, at its rooms on Fourth avenue, Thomas E, Stewart in the chair, Samuel J. Glas- sey, Who had just returned irom Washington, re, ported to the committee that the bill known as the “Davenport Registration bill,” reqairing al! naturalized citizens to reuister their certificates of citizenship in a United states Court, and placing the coutrol of the registration of foreycn born voters in the hands of the United States Comuis- sioner, had been rejected by the Judiciary Com- mittee on Wednesday last. com. James A. Colvin, of Harlem, representing the | Twenty-first Assembly district, offered the lollow- ing resolution, which was unanimously adopted :— Resolved, As the sense of this committee, that we are inexorably opposed to auy An inflation of the currency best interests of the couutry Dv Tepudiation of the most sacred obligations of national honor. ‘Tue committee then adjourned. 8 the Kind | ‘THE INFLATION BUBBLE, | | Additional Views of Bank Officials on | the Financial Situation. | | THE DANGER OF INFLATION | The possidility af a new issue of inconvertible | Paper J regard with amazement and anxiety, and, | in my opinion, such an issue would be a detri- | Ment and a shame,—CHARLES SUMNER. There seems to be a good deal of interest mani- | fested by the general puvlic in the views of the | financiers of this city concerning the monetary situation, The statements of the bank presidents, | Published in yesterday’s HeRavp, as to what they | think of the Four Hundred Million bill and its re‘a- | tons to the future prosperity of the country have | excited considerable comment, and, under the cir- | cumstances, the following additional views of bank | officers, as expressed to HERALD reporters yester- day, will doubtless not be without interest to the | Seekers after light on the inflation question, Gallatin National Bank. | Mr. F. D, Tappen, the President of the above | | bank, on being asked fur his views in reiation to | the present financial question, said:—“i am very Strongly opposed to inflation, and went in person | before the committee in Washington to enter my Protest against such mistaken legisiation, { have | not the slightest hopes, however, that the Presi- dent will veto any vill that Congress chooses to pass. 1 firmly believe that this mfation of currency is going to be of great and material in- jury to the progress oi the country, and those Congressmen who nave assisted in the movement Willeventually find out the Weakness aud fallacy | of their action, The whole thing appears to me thoroughiy unconstitutional, and if Congress can tmis year legalize the issue of $44,000,000 of na- tional bank notes it may in @ like manner issue $100 000,000 more neXt year, and then noone wili | have the most remove idea how he stands, | am also opposed to tree banking until there is # change in the course of our ship and We are steer- ing towards specie payments by @ contraction of legal tender paper. There should also be some proper restrictions to govern the bank issue of paper, so as to keep it within proper limits,” Mechanics’ Banking Association. The President of the Mechanics’ Banking Associ- | ation stated that he was strongly opposed to any | inflation, and that it would be of far more service | to the country if legislators would apply their in- | genuity to some scheme leading towards a resump- tion of specie payment, This flooding the country | with paper may create a false prosperity tor a short space Of time, but it will surely result in an- | other crasn, Manutacturers and others through- out the country huve at present very little con- fidence in the general credit, and this inflation business will naturally make them even more chary ol their customers, | Bank of the Manhattan Company. The President of the above bank being absent on , business in the South, Mr, Gillespie, one of the di- | rectors, and now acting in charge for Mr. Mor- rison, said:—‘‘I am, personally, very strongly op- | posed to any more inflation, as we already have | more paper than we require. It is entirely a false { move, and will not really be of any benefit to the South and West, for whose relief the issue purports | to be made, If the South and West get the money | | 1t will al eventually return here to pay their tn- | | debtedness, and then, I suppose, next year, they | will be as badly oif as they ever were—perhaps Worse—and Congress will give them $50,000,000 More. What the South and West had better dois to produce crops, and tuen they will find plenty of | money to buy their goods. They must get some- | thing of value out of their land, and then they will | tnd plenty of our greenbacks at hand. As it 18 now there is really plenty of money; but during the present legisiation there is a decided want of confidence, aud people are holding their ready cash until things are definitely settied one way or the other.” Mechanic’ National Bank. | The President of the Mechanics’ National Bank | said that inflation was entirely uncalled for and | quite unnecessary. Instead of moving us forward | he thinks we are being thrown back, and there 1s | no knowing how long that may be kept up, as perhaps next year Congress will make another | issue of $100,000,000, and soon. This overissue of towards increasing | but as everything !s on such an insecure (ounda- | tion @ natural feeling oi distrust and want of con- fidence will be spread tuat may result disas- | trously. What we want most is a central re- demption of bank paper, as, even with the present | issue, these national notes are a pertect drag on | the market, and are really at a discount, as they are sometimes lent tor eight or tea days without mierest. | Bank of North America. The President of the Bank of North America has only lately come into office, and naturally modestly | objected to giving any statement on the grounds | that otaer bank managers were more experienced than he was. He eventually said that he saw no use whatever in infation—that it would be of no | | real benefit to the West and South, as the money | | would ultimately come dack here. What we want | is some central redemption of national notes—say | m either New York, Boston or hiladelphia; that | would be of far more venetit to the country. This bank is one of the old hardpan school, and its President, on being asked his views in regard | to inflation, said, “No more currency; we don’t | want. what we have got, I am very strongly opposed to ipfation, and think it is one of those ili-advised measures that will probably ruin the finances of the | country. It wil not be of the slightest — | possible benefit to the South and West, as the money will all eventually return here, It goes to relieve their embarrassed credit, to take up their | paper; and their paper 1s nearvy all held here, It is | ridiculous to issue more paper when what we have | at present is often a drug on our hands, When we | can, we take 1tin at one window and pass it out | at the ouher. Sometimes we have lent $100,000 in national dank notes lor ten days, without interest, in order to get u check chat would be paid us in | grecnvacks. If the government were to num- ber all the national bunks and make them stamp their number on their notes, it would be | of great service to us, as we then | could sort them with greater rapidity. At | present about every national bank makes use of the same plate, and consequently we | have to read every note in order to find out where it came irom. ‘This extra issue of cur- Tency will do no possiole good, and the sooner we | come down to hardpan the better. At present | we have inflated rents, influied prices and inflated | stocks; aud if we were dowh ata specie basis every one would know how he stood. Rents | Would go down, provisions would be cheaper, the | Stock market would fail to its proper level, and | fancy speculation would be kiiled,"? | | —___— | Bank of Ameri Bank of New York. The President of the Bank of New York was out, bnt the Vice President said that they were ail strongly opposed to inflation, and of the opinion | that all banks run on a secure basis would take | the same view. The only ones that could favor this eXtra issue of currency would be those who are Noating raiiroad bonds and other securities | that might become salabe on a rising marke City Bank. | The President of the City Bank said that he had nothing much to say on the subject, but he was | Most emphatically opposed to anything like infla- | tion, as instead of going back we should make a | jorward move and gradually call in the paper | witb a view to @ gradual return to specie pay- ment. There js pienty of money at preseut, and not the slightest necessity ior any more, If | , Congress gives us forty-six millions of paper this | year, what is there to prevent its giving us one ndred millions next year’ lt a Step was made | In the road to specie payment things would soon | | come to their proper level, and, although times | might be hard at the first, everything woulu be | Sound belore long. | Marine National Bank. | The President of the Marine National Bank said he did not “see any great objection to the Four Hun- dred Million bill, a8 we already had $356,000,000 aud the $26,000,000 lately issued, so there was really only $18,000,000 left to put out. 1am quite satistied with the increase of paper, if they will only hurry up and settle things, this state of uncertainty is what is doing more damage tian anything else, as capualists Will DOt thvest their money, and preier , locking it up unul they kKuow what they are doing.” | Leather Manufacturers’ Bank. The Presiaent of the Leather Manufacturers’ | Bank expressed himself strongiy opposed to the increase of paper money, and said that inflation | Was @ Step in the wrong direction. There was no | | heed of more paper, as at present there | ‘was more wan sullicient to answer ail | | our, | posite direction.” purposes. If the South and West were to pay more attention to legitimate business * .d cultivate their crops they would find ast. oad to riches than by the speculation on a jalse pros- perity caused oy this extra issue of paper, What we really are much tn need o! is central redemp- tion Of national bank notes—some central place, where @ redemption agent shall have power to rex deem all Dational bank notes—in tact, a species of clearing house. Por tie summer season these na- tional notes are a perfect nuisance, and are otten Jent ont in large sums, (or irom tive to ven days, without interest, More curreucy may have the effect of making business prosperous for the time being; but it will probably lead to another such filuaucial crash as we remember last september, ‘The sooner we are brought down to hard cash tho better, More currency this year may cali ior more and there 18 ho knowing Where We snail The Chemical Bank. President John J, Jones, of the Chemical Bank, said:—“"I am decidedly opposed to the increase of the currency, The people have been anticipating the passage of just such a bill as this ior some time, and they are preparing for it. The prospects of the President vetuing the bill are better this morning. ido not kuow that a@ panic wouid be inevitable, It might possibly be avoided, but the results would be disastrous, In suort, 1 believe in redempuon and free banking.” The Central National Bank. President W. A, Wheelock, of the Central National Bank, said:—“i don’t hesitate to say that 1am 1n favor of inflation. [ believe the result to be exaggerated. I see some men’s names to the petition circulated around New York, who, if there is uot a litte ination, will be very nard up before long. It is very easy ‘to get petitions signed in New York, as Jonn Fo.ey sound 1do not believe that President Grant will Veto the bill, for he has no policy in oppusition to ‘he expressed will of Congress,’” The Merchants’ Exchange Bank. President William A, Thomson, of the Merchants? Exchange Bank, said:—“I am not in favor of in- Nation, but believe in the redemption by the banks: of their currency in the city of New York. [ believe in banks keeping their reserve fund at home instead of in tne hands of cor- responding banks, National banks should not pay imterest on deposits, Lvery national bank shoud be required to keep its’ accounts with other national banks instead of with brokers, This new issue of greenbacks will be eventually ruinous 10 business; the effect will be seen two or three years hence. It puts off resumption of specie pay- ments for ten years. For nearly thirty-eight years Jhave always seen that like causes produce like results. There is plenty of mi mey to be had, Lf it Were not so all over the country why would ban Lhroughout the West send their money to New York in such large quantities instead of keepiny it in their own boxes? It’s all bad, and tue only hope I huve leit is that the President wil veto the bill.” The Tradesmen’s National Bank. President Richard Berry, of the Tradesmen’s National Bank, said:—“1 do not favor the bill, I believe that the banks should be required to re- deem in the larger cities, I aman advocate of iree, banks, and believe that no restrictions iurther than the wants of the community and the require- ments of satety suould be put on banss. If legal tender is ona firm basis it will overcome all dificultics, Banks put out tueir money on crops ad libitum, and, a8 a rule, I believe in peopie managing their own business. The eviis of this movement in Congress are already apparent, and hi they Only stop with tne addition o1 $44,000,000 1b Wil uot be so very bad,’* he German-American Bank, Mr. U. H. Schreiner, cashier of the German-Amer- ican Bank, sal ‘Lam opposed to the bill now beiore the President, by which our paper currency is to be iurther inflated, aud I am glad to see the determined opposition of the HERALD. If the pa- per dollar is ever to become worth the goid dollar the government must cease increasing the green- back Issues as well as fix an inflexible limit to their amount, The growing population, with its con- stantly increasing demands and uses for currency, will then gradually cause it to appreciate in value until it shall approximate gold. The inauguration ol a regular and systematic redemptton in green- backs of the national bank issues and the preven- tion of the excessive fow of interest deposits to New York would he desirable auxiliaries thereto, ‘The fifty-nine Clearing House banks of New York increased in deposits from December 6, 1873, to January 24, 1874, $50,000,000, One-hal', or $25,000,000 of this increase, occurred in but six of the fifty-nine--these six being those most prominent in paying interest on country accounts. Thus Wall street speculators ace glusted with money, which, but for tnis per- nicious system, Would find use in alleviating the general needs of the interior. There is a great and universal law, independent alike of govern- ments and individuals, Whose working are ail powerless to prevent. Individuals may concoct visionary schemes and Legisiatures or Congress may enact laws, yet its stient but resistiess iorce moves toward the attainment of its results as surely ag the hours run their course. This law—of demand and supply—has always regulated the price of everything in proportion to the abundance or scarcity of money, aud will do so in the iuture, The value of an irredeemable currency 18 no less governed thereby, in proportion as its supply exceeds the amount which can be circulated at the standard of goid. ‘The cry for more currency only demonstrates that the mass of property is held at too high rices, and that holders are unwilling to tind re- nef at lower rates; nor will they, until the increas- ing value ana demand for currency, with the amount of legal tenders unalterabiy timited, shall compel them thereto as the only resort to obtain money. We have permitted a stimulated prosper- ity, and a seeming increase of money, resulting frum an over-supply of irredeemable currency, to delude us into extravagant living, hazardous business, injudicious enterprises (espectaliy im railroad building), and thetr train of debis piled mountain high. We must therelore retrace our steps, unlearn our visionary expertence, and real- ize that it was not our riches or property that had so much increased, but that their measure—our dollars—had decreased in value. So long as the public confidence docs not sustain the goverument by accepting its paper on a par value with its gold, there is a sign of weakness which should protest against any furvher issue of the currency. The question with the friends and advocates of specie resumption has been, “How can greenbacks be made equal in value to gold?” So sudden a contraction could not be more productive of evi! cousequences than wul a further inflation. ‘This is the very last way of re- turning to a gold basis. The Shoe and Leather Eank. President A. V. Stout, of the Shoe and Leather Bank, said :—“I am opposed to this bill, of course, but do not believe that the consequences will be 80 disastrous as anticipated. The addition of $44,000,000 to our currencey Will not make a great deal of difference. it will undoubtedly postpone redempti it will depreciate the value of the dollar which our government will not take to-day at its face valuation; but I believe that redemption depenas more upon the conservative policy of the Treasury than anything eise. t hope the Presi. aent will veto it.” The Importers and Traders’ National Bank. President James Buell, of the Importers and Traders’ National Bank, said:—“I have already | given my views on the subject of free banking, I am deadly Opposed to inflation, I believe in what may be called central redemption, and to that end suggest that as ast as currency is called ‘or by new banks legal tenders shouid be retired to the extent Of at 1east $100,000,000, ‘This should go on until that limit was reached. This reduction of the volume of the redeeming agent would increase its value and wouid put the high road to specie redemption ; but we are moving In the op- The possibility af a new tissue of inconvertidle paper I regard with amazement and anclety, and, in my judgment, such an issue would be a detri- ment and a shaine.—Cn. A DREADFUL TRAGEDY, A Whole Family Butchered and Cut to Pieces—Terrible Conseqaences of Fe= male Faithicssness and Jealousy. SAN Francisco, April i, 1874 A despatch from Austin, Nev., to-night, gives the particulars of a horrible tragedy in Smoky Valley, in that State. It appears that Christopher Reckstein had: been for a long time jealous of his wife in consequence of attentions paid to her by a young man named Norton, and they had frequent quarrels about him. Yesterday a man named Osterhans went to Reckstein’s house, and, receiving BO respouse to his demands for admission, Yroke Open the door. On tne floor lay the naked body of Mrs. Reckstein cut into pieces and the head splitopea. At her Jeet were the bodies of their [Wo Uttie girls, their heads nearly severed from the bodies, and near | by were the dead vodies of Reckstein and young Norton, grappled a3 in & death strug@ie. Reck- stein grasped in his rigut hand a large bowie knite covered with blood, and in Norton’s right hand was a dragoon pistol, two chambers of which were discharged. There 18 no living witness to the ters rible aiaire