Alexandria advertiser and commercial intelligencer. [volume] (Alexandria [Va.]) 1800-1803, 1803-08-20
MANAGEMENT OF THE SINK
ING FUND.

extraordinary doctrine, Secretary Iaiia
tin assumes different position, and con-
tends, that more than 1900, 900 dollars
have, exclusively of the payment to the
bank, been applied, during the year So2,
towards the further redemption by pay
m-nt Of the debt Of the United States, and
that after having paid the interest and IN
stalments which fell due during that year,
the purchase Of about three millions and
half of guilders, RENTED to Holland,
towards the payment of the Dutch debts
falling due next year, was faithful, legal
and proper execution of the law.
With respect to the payment OF i,glo,
600 dollars made to the bank OF the Unit
ed States, the whole OF it, except 2,40o
dollars, ought undoubtedly to be excluded
from the account. The proceeds OF the
bank shares belonging to the United
States, amounting TO ,2S7 500 eollafs );
and secretary GslIatin himself, in his OF
fetal report, has stated these proceeds as
distinct from the annual appropriation tor
the year 1902. What is more decisive,
the bank shares were not appropriated to
the sinking fund /; nor were their proceeds
declared to be vested in the commission
ers, by the act Of the SIst of May, 1926.
Yet this IS the act under which II has been
attempted to Justify the sale OF the shares
lately belonging to the United States
Let any person examine it With attention,
he cannot find in any section OF It, that
the bank shares or their proceeds were e
yer appropriated and vested as part Of the
sinking fund.
With these incidental re marks, the SUBJ
jed of the bank shares is dismissed. And
this is done the more readily, as the trans.
action has been examined and exposed, IN
congress, by the talents Of Bayard & Grls-
void. We return, therefore, to the main
position assumed by Secretary Gallatln.
He contends, that, after having paid the
interest and il,staln'ents which fell due
during the year 1902, the purchase OF a.
bout three millions and a half of Suilders,
RENTED to Holland, towards the pay
ment of the Dutch debt which fell due
next year, was faithful, legal, and pro-
per execution Of the law. The triad OF
epithets will not prove this assertion to be
correct and he comments, with labori-
Gus minuteness, on the third section of
the act. The third section, he says,
directs the commissioners to pay, eve
ry year, the interest accruing and. the
inssalments or parts of principal falling
due during that year, and then proceeds
iii the following words I" And also It
shall be the duty of the commissioners &c
cause to be applied the surplus of such
fund as may at any time exist, after salts
flying the purposes aforesaid, towards the
further and final redemption, by payment
OF purchase, of the present debt OF the U.
States
In attending to this clause be particu-
Iarly relies OH the force of the word, to-
wards, as the sheet anchor OF his argu-
ment. It would seem, however, as it the
true construction of the clause might be
apprcheEded, without much difficulty, by
any person competent to be secretary OF
the treasury. Those who understand the
fiscal arrangements of the United States
need not be Informed, that the public debt
comprehends various species of stock, some
of which are reimburseable at pleasure,
while Others are reimburseable by install
ments. An extinguishing annuity of
eight per cent. is payable on the funded
six per cent. and deferred stocks. And
the reimbursement Of the eight per ceot.
stock is postponed, by contract, until the
principal inslalments of the foreign debt
shall have been paid. As to any Of these
species of debt, if it is intended to dis 4
charge more thanis reilnburseable, by con,