Page:History of Iowa From the Earliest Times to the Beginning of the Twentieth Century Volume 2.djvu/154

 only striking a death blow to “wild cat” currency in Iowa, but restricting our people to the use of the money based on the credit of the Nation, and thus aiding the Government in carrying the burden of debt incurred in prosecuting the war.

On the 25th of January, 1864, Senator B. F. Gue of Scott County, introduced into that body a bill to prohibit absolutely, under severe penalties, the circulation of any bank note or bill intended to circulate as money in the State of Iowa, except United States Treasury notes, National bank bills, or those of the State Bank of Iowa. This bill met with the most determined opposition from the day of its introduction. Private bankers and brokers had for many years found a profitable business in receiving from distant banks of the country their paper currency in large quantities, at a heavy discount and putting it in circulation through produce buyers and in loans to their customers. Hundreds of thousands of dollars had been lost by the people of Iowa in the failure of these worthless banks. No legislation thus far aimed at this evil had eradicated it. The profits were so large that a strong lobby soon gathered at the Capital to defeat this radical bill. It was fought at every stage, in committee, and on the floor of the Senate, as an arbitrary, unprecedented species of legislation, discourteous to other States. But it passed the Senate and went to the House where it encountered a still more determined opposition. It was there in charge of Samuel McNutt of Muscatine. The committee of ways and means, to which it was referred, reported against it was referred, reported against it and an attempt was made by the Speaker to rule it out. The press of the State took up the discussion, and a large majority of the newspapers urged the passage of the bill. When it came up of consideration the fight lasted two day and every device known to parliamentary practice was used by the opposition to modify, amend or defeat the bill. But under the guidance of McNutt and “Russell of Jones,” it was carried safely through, received the