CHAPTER XLIX.

SOUTHERN AFFAIRS IN SPECULATION.

THE PRESERVATION OF THE UNION A GREAT BLESSING.—TO LET THEM “SECESH”

WOULD HAVE BEEN NATIONAL SUICIDE.—HOW IMMIGRATION HAS ASSISTED

NATIONAL PROSPERITY.—RESCUED FROM THE DYNASTIC OPPRESSION OF

EUROPEAN GOVERNMENTS.—SHOWING GOOD FELLOWSHIP TOWARDS THE SOUTHERN

PEOPLE AND AIDING THEM IN THEIR INTERNAL IMPROVEMENTS.—THE SOUTH,

IMMEDIATELY AFTER THE WAR, HAD GREATER ADVANTAGES THAN THE NORTH FOR

MAKING MATERIAL PROGRESS.—THE BUSINESS OF THE NORTH WAS

INFLATED.—THE STATES OF GEORGIA AND ALABAMA OFFERED INVITING FIELDS

FOR INVESTMENT.—ISSUING STATE SECURITIES, CHEATING AND

REPUDIATING.—PRESIDENT JOHNSON CHIEFLY TO BLAME FOR THE BREACH OF

FAITH WITH INVESTORS WHO WERE SWINDLED OUT OF THEIR MONEY.—REVENGE

AND AVARICE UNITE IN FINANCIAL REPUDIATION.

During the war I did all that lay in my humble power to farther the

cause of the Union, believing that it was a righteous one, and that the

North went into the struggle to maintain, uphold and preserve the best

form of government known to man, and certainly the only one suitable to

America.

View it as we may, the wisdom of man has yet evolved nothing to surpass

the Constitution of the United States. Whether Thomas Jefferson or

Thomas Paine was the author of its leading features, is a matter that I

shall not stop to discuss, but suffice it to say, that upon it has been

established the best government in the world. There is no other system

in ancient or modern history that could weld together and bring into the

social and political affinity of one great integral harmony the immense

variety and diversity of human elements that are dwelling as one large

and comparatively happy family in the United States.

What other system could combine so many nationalities, creeds, passions

and prejudices, modifying all of them and uniting all for the general

good and the perfection of a higher development of human nature in

political and social life?

There is none. We must go to the pleasanter pages of political fiction

to find a comparison.

This country has made greater strides in each decade towards the

possible approach of More’s Utopia or Plato’s Republic than any other

country has done in the same number of centuries.

It must be admitted that we are a considerable distance from the happy

goal contemplated by the writers named, but we are moving in the

direction to show that its attainment is possible. We shall yet

accomplish what the world has hitherto considered a pleasant fiction

overworked through the highest ideal of Greek art.

This high state of development is what we are coming to in spite of the

fact that the average ward politician has immense chasms to cross before

the hill tops of his evolution shall appear in sight. When he begins to

climb, however, his ascent will be marvellously rapid and he will leave

that vehement youth of Longfellow’s, whose watchword was Excelsior, far

in the distance. Moreover, his steps will be steady and prudent, and not

liable to unfortunate reaction or fatal mishap.

It has been said that revolutions never go backward. With much stronger

emphasis it may be asserted that evolutions in a Republic like those I

am now contemplating never recede, but still press forward and upward

towards the mark of a higher ideal.

A large proportion of the people who come here do so for the chief

purpose of getting away from other forms of government that are despotic

in their rule and oppressive to their subjects.

These people who come to us are saved and redeemed Their lives would

have been wasted if they had remained in the land of their birth. In

this country, they not only add to the wealth of the nation, but they

become useful members of the social fabric, with few exceptions,

enjoying happiness themselves and bringing up children, whom they teach

to admire, honor and revere the institutions of this country in contrast

with the land of their own nativity.

This country has thus become the asylum for the down-trodden of every

nation, and it is a great gainer by the contrast thus constantly

presented to the minds of those who come here. Our own people are also

in this way taught to appreciate their privileges and set a higher value

upon the advantages they enjoy.

If it were not for the constant stream of immigration to these shores,

the people of this country might begin to think that Republicanism was

the birthright of all, and forget that they enjoyed especial privileges

by birth, and came into this world with a very important start of other

nations. I fear that some of them are prone to imagine, especially some

of the fair sex, that we suffer here from that long felt want of a

hereditary and native nobility. Some of these fair ones have had sad

experience, that should have disabused their young minds of these

notions not very long ago. The force of these examples will have some

effect, at least, in moderating the folly of their mothers. It can

hardly be expected that many of the young ladies will learn much

themselves, except by a repetition of the same sad experience, but the

persuasive powers of the mammas may exercise a deterring effect in many

instances where hasty matrimonial alliances to catch the bauble of a

foreign title would be the forerunner of much misery and sometimes

shame.

I might cite many instances of these from our own city, but the

sensational papers will deal with them _ad nauseam_. I don’t aspire to

be sensational in this book. I only attempt to state in matters of this

kind what may suffice to point the moral, leaving the sensational

story-teller to adorn the tale Nor do I mean to cast any reflection on

such happy marriages as that of Miss Jerome to Lord Randolph Churchill,

and others I could mention.

Our expansive territory has enabled the adventurous and energetic of all

nations of the world to come here and make homes for themselves, instead

of remaining in the land of their birth, where many of them were

existing in a modified condition of slavery under other names.

The idea of encouraging this large exodus from other lands, and this

freedom of assimilation with our people, has been one of the great

bulwarks of our prosperity.

I realized this fact very clearly at the commencement of the war of the

Rebellion, and have cherished it ever since.

I therefore felt deeply earnest in my sympathy with the North against

the South, whose great effort was to break up the present form of

government, attempting to destroy its autonomy and powerful

cohesiveness.

The nation would have been split in twain to start with, if Horace

Greeley’s advice had been taken, “Let them secesh.” Mr. Greeley’s

counsel was well meant, as he thought the Southern people would soon be

glad to return to the Union, but it would have been national suicide to

follow it.

The two parts of the dissevered nation would have been constantly

menacing each other, and kept on a war footing, with occasionally

recurring hostilities across the border on every slight provocation. The

result would have been that some or all of the European powers would

have taken advantage of this state of affairs to plant the standard of

despotism once more on these shores, making this fair land a battle

ground for Imperial and kingly ambition.

These designs were foreshadowed by Napoleon III., whose actions I have

dealt with more fully in another place, and Great Britain was only

awaiting the opportunity to avenge Bunker Hill, Saratoga and Yorktown.

In fact, all the powers of Europe would have taken advantage of the

chance of acquiring a slice of such a fine domain, where in the event of

successful secession only feeble resistance could have been offered to

foreign aggression.

In the event of a decisive victory for the Confederate arms, faction

fights would have always been springing up, and the tendency would still

have been increasing to create a greater number of separate and

independent governments.

Napoleon had been looking at matters in this probable light, when he

resolved to make Mexico a backdoor, with Maximilian as its keeper, to

enable him to gain an entrance to this country when a favorable

opportunity for the completion of his purposes should arise.

Having myself been born in a foreign land, where I passed my boyhood’s

days, I have a vivid recollection of the workings of the harsh system of

a European government, although by the accident of birth I was placed in

circumstances where the pressure on myself was not very galling.

I saw enough, however, to make a durable impression on my mind, to

arouse my sympathies for others and to excite my lasting indignation

against dynastic oppression.

I lost no opportunity during the dark days of the rebellion in this

country, to be outspoken in favor of the cause which I had espoused from

a firm conviction that it was right. I did all I could to help to

promote ways and means for aiding the North in carrying on the war. I

went into the contest with my whole heart, and gave my entire and

undivided attention to the sale of Government securities to raise the

sinews of war.

In this way, I believe, I rendered more valuable assistance to the cause

than if I had been performing deeds of valor amid the roar of cannon and

the rattle of musketry.

I became pronounced in my opinions and made myself active in organizing

meetings to celebrate every victory of the Union army, thus inspiring

the men in the field and the recruits on their way thither, and

sustaining the hearts of our business men to place implicit confidence

in the future triumph of the nation.

It required more courage than many people now imagine to take this stand

at that time, for opinion was largely divided in this city on the

prospects of the issue, and a strong sentiment in favor of the enemy

threatened at one time to become predominant.

Many people were eyed with very strong suspicion during the greater part

of the struggle in regard to their loyalty, who had followed the course

of extreme prudence in keeping their counsel, being doubtful of the

result. I took the ground that citizenship would not be worth much in

the event of final disaster to the Union cause. I was also of the

opinion, when the war was ended to the glory of the country and the

maintenance of the Government on a substantial basis, that the time had

come to bury the hatchet.

I believed not only in bringing back the South under the old flag, but

also in extending the right hand of fellowship to the people, who,

whatever may have been their faults, had been terribly punished.

I believed that no good could come out of a policy that persisted in

trampling upon a fallen foe, especially as that foe had, after all, only

been an erring brother, and could be brought back again into the family

fold to share its mutual sympathy and material prosperity.

I felt, therefore, that I could afford to be prominent in a movement

that had this great and harmonious end in view, the more especially as

my loyalty had never been questioned in the hour of our greatest peril.

I not only extended the right hand of fellowship to Southern men, but

gave aid and comfort to them wherever they appeared in our midst.

My office, therefore, after having been the headquarters of loyal

Northern men, and for every project in the interest of the Union cause,

became notorious as the rendezvous of Southern generals and Southern

people generally, almost as soon as the war was over.

General Beauregard was one of the prominent leaders of the Confederacy

to whom I exercised the liberty of extending hospitalities on his first

visit here. I relaxed no effort to make his visit agreeable, and show

him the sights around the city. I recollect escorting him as my guest to

the Gold Room, which was then quite an institution in Wall Street. At

this time gold was selling at a premium of about 50.

On our entrance to the Room it was at once whispered around that my

distinguished guest was General Beauregard. The President of the Board

was at that time outspoken and bitter in his opinions against everything

Southern, and had not the good sense and common manners to conceal his

animus on this occasion. Others took a similar attitude, and the feeling

manifested became as belligerent as if the war had been actually raging.

This exhibition of bad blood and bad manners was very distasteful to me.

I was a member of this Exchange, and I thought I knew my rights, and I

was disposed to maintain them. I regarded the insult to Beauregard as

offered to myself, and was prepared to resent it accordingly. He was my

guest, and I had determined to stand by him at all hazards. I informed

those who were foremost in manifesting these unworthy feelings of

resentment that I should protect my friend no matter what course they

should take, as long as he desired to remain in the room. This had some

effect in smoothing down the asperities of the most hostile, and we were

permitted to depart in peace. I escorted General Beauregard afterwards

to the New York Stock Exchange, where he was kindly received, and

without a murmur of feeling. I introduced him to many of the members

individually, who shook hands with him and interchanged civilities in

the warmest manner, giving him a hearty welcome to our city. Beauregard

was delighted with this reception at the Stock Exchange, but was greatly

chagrined at the conduct of the people in the Gold Room.

After this, many other Southern notabilities from time to time came to

the Street, and received at my hands similar treatment. Among others,

General Forrest, of Fort Pillow carnage notoriety, paid me a visit.

I could relate a great many other instances, if time and space would

permit, showing very explicitly the efforts I have made to help along

harmony and reconstruction. I was anxious, in the interest of general

prosperity, to assist the South to recover from the dreadful blow

inflicted upon her by a fratricidal war as soon as possible.

So, as the work of reconstruction progressed, I became interested in the

internal improvements of that section of our country, as my subsequent

investments there will fully attest. I thought that the South had

experienced fighting enough, as the North had, and that the people of

that section would gratefully accept the terms in the main agreed upon

under the appletree at Appomattox, between General Grant and General

Lee. I had hoped that the peace would be such as to conserve all the

interests of the country, including every man, from the boldest and

bravest Confederate general down to the lowest of the negro race,

without any invidious distinction. I had the hopeful impression that all

would go to work and do all in their power to till the soil, or do

anything else that would add to the material wealth of the country and

the individual happiness of its recreated citizens; that they would

apply themselves to every form of industry that would help in any degree

to a recovery from the disasters growing out of the war, and the

lamentable destruction of property attending it.

The South immediately after the war had greater advantages than most

people imagine, if it had only taken hold of them in the right spirit.

It had various sources of prosperity, which under prudent management

would have enabled it to leave the North far behind in the race for

wealth. Its leading staples, cotton, tobacco, and rice, had all a gold

value in the markets of the world.

This opportunity of going in to produce at hard-pan prices on a gold

basis invested it with an immense leverage against the North, with its

inflated currency and war prices, growing out of the large issue of

paper money necessary to carry on the war, and consequent

over-speculation as a natural result or sequence.

It seemed to me, then, that, while the South had a grand opening for

growth in prosperity on a solid basis to begin with, the business of the

North was, in comparison, in an inflated position, that must burst

before it could get a fair start on a solid foundation. It appeared as

if it would sooner or later suffer a temporary collapse, while the South

had only to begin and build without fear of any such interruption.

I, therefore, selected for my investments as the best fields in the

South the two States that stood the highest in their financial credit,

in their character for integrity and enterprise, and that then had the

brightest outlook, namely Georgia and Alabama.

These States took my money freely, issued their State securities, their

County securities, sold me their bonds, and got me thoroughly

interested, and that to a very large extent, and then treated me with

the basest ingratitude, repudiating their bonds, and cheating me out of

my money and property in every way conceivable.

I attribute the cause of this unjust treatment, however, to Andrew

Johnson, who, by accident, through the assassination of President

Abraham Lincoln, became President of the United States.

Mr. Johnson was a Tennesseean, loyal during the war to all appearances,

and for all practical purposes of the Union cause, and he would

doubtless have so remained had it not been for the unfortunate

circumstance of Abraham Lincoln’s death.

This made him Executive of the nation, for which by ability he was amply

fit and qualified, but through bias and temperament, entirely unfit to

fill creditably this eminent position for the best interests of the

country at large.

The position I took, as above stated, was, that since the war was over,

it was a thing to be forgotten as speedily as possible. The finality was

seriously delayed owing to the hostility that President Johnson did his

best to excite and prolong amongst the people of the South.

Congress, it will be remembered, was leniently disposed in the passing

of measures and framing of laws to bring the traitorous States of the

South back again into the Union. The members of Congress most cautiously

and delicately worked to patch up old sores that were supposed to exist

between the victors and the vanquished, but when their bills went to the

President they were unmercifully subjected to a wholesale process of

vetoing, almost indiscriminately. This produced a condition of chronic

hostility between the legislative and executive branches of the

Government, and the wider the breach became the stronger and more

vindictive grew the spirit which it naturally aroused in the Southern

people.

These people were sadly misled by the President, whom they trusted, and

his hobbies were humored at the expense of their prosperity.

Johnson made the people of the South believe that his vetoes would only

delay legislation until Congress should be forced to find them something

better. They, accordingly, reposed faith in him, and were badly

deceived.

The feeling of animosity excited by this condition of things so worked

on the minds of the people, causing the South to wax bitter and

revengeful, that it appeared to people on this side of Mason and Dixon’s

line that their Southern brethren had become even more implacable than

during the hottest scenes of the war.

It was for the reasons above stated that bonds which had been issued by

the South for money invested by the North were, in a large measure,

repudiated. As soon as it was discovered that most of the vested

interests were owned by Northern people, the spirit of revenge and

avarice combined was aroused to the point of repudiation. And, unlike

the courage of Macbeth, it did not require any stimulant to make that

the sticking point. Every method that ingenuity could devise to strike a

blow at the North was employed. No opportunity was allowed to slip that

afforded any advantage, either material or moral.

Thus, instead of accepting the situation as General Lee had done, they

were led astray by every one who had a political axe to grind. They took

an active part in politics instead of looking after the various

industries of the country and developing its resources. They engaged in

political discussions and their attendant broils, to the neglect of

necessary enterprises that would have brought them material prosperity.

Thus they became poorer and poorer. Many years were lost in these

political turmoils, and the people became more and more embarrassed.

From these circumstances there were many financial victims, but few, if

any, suffered more in that respect than myself.

I had over two and a half millions of dollars invested in the State of

Georgia securities, and in other ways, a million more at least in

Alabama and North Carolina together, all of which was perfectly

annihilated, the entire disastrous result growing out of the factious

spirit that was created and fostered by the vile and narrow prejudices

of President Andrew Johnson, of whom I have still more to say in another

chapter.

[Illustration:

_Most Very Sincerely Robert Garrett_

]

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