Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1839-02-12

mari of the Bank to gain possession OF them,o make ar
ranrement for their payment. .
% Tho 9Th of April 1888 the Senate BY a resolution,
instructed the Committee Finance to inquire into Inc
state Of the Treasury and in case there should be pros.
pect that means would be wanted than had oes.i
provided By Congress- further 10 inquire INTO Inc e*peul
ency Of raising those By sale OF the BANK bonus
On the 2lst Of the same month, MIR. Manchester ao'
dressed 10 the Secretary of the Treasury note, making
distinct propositions for anticipating the payment OF Tue
second bond 10 fall due IN September COP ana his
ing b correspondence. The documents exhibiting th'S
negotiation will BE- found appended TO the report OF 'e
Secretary Of the Treasury, now under cnns'oer
commencing at page | and are marked 10 M,
eve. The negotiation wes unsuccessin'' oeoL he
parties could not agree the medium IN "Alc vac
proposed payments should be made; but thefe are "
points in this spondence which CONSIDER ~ "'P
ant TO notice, for future reference, ana Will
rand to the Senate few short extracts Inc secretary,
in his reply to Mr. Manchester h1Sl Ho'e u'u u"' ~
2Sth April, writes as follows
ain the mean time, you DO not state .hat Tue p.o
po,al conained in your letter IS made unccr anlholy
from the Bank and the discussion OF such proposal
nIss made directly by the Bank lis authorized agent,
mich, be liable misconsructon and lead 10 no nseiui
result YOU will the necessity before my replying
fully that any arrangement desired should be maoe 10
that form . -,
In reply to this part Of the Secrearys noe hr Mac
alss,er under date of the I'd of May, says
"SiR: have the honor 10 acknowledge The rece'pt OF
your letter Of 2Sth u In answer TO which, have 10
state that | am authorized by The Bank OF the U.
nenis proposed in my letter OF the 2lst ut
This establishes the fact that Mr.. Manchester was here
acting the agent of the Bank with full power 10
make The arrangement he proposed and as We continues
throughout all the negotiations as TO both bonds, TO act
the principal agent and instrument OF the institution
without any thing further appearing upon The face OF
the papers, TO his character or powers the above IN
qury and were, doubtless, considered by bo'h
parties sufficient upon that point.
In the answer of the Secretary to MIR. Macalester
note Of the I'd Of May from which the above extract
ed and in which he makes formal propositions as to the
times, places, and manner OF payment OF the second
bond is the following paragraph which closes The letter
"To prevent misrepresentation, it should be- distinctly
understood that, with the exception OF Treasury notes.
the general has been 10 accept no credit unless
the deposte made specie ats Cgutcatent or unless
the depose has been received by some pubic ciahaht
as equivalent to specie The right of every claimant
be paid in the lego! currency OF The D Is iuiy re
cognised by this Department; and considering the OPT
Mon entertained by the Executive, and at least one
branch of the Legislature The idea must be expressly
cludsd thu the notes the second Bank Of the 81 char
tered in 1916. be permitted 10 be employed IN any Of
the transactions grootng out Of hss arrangement
This letter bears date the Sd Of May, aad, under
date of the 9Th Of May, Mr. Manchester replied, which
terminated that negotiation Among other things, he
says :" did not and could not have intended 10 propose
a negotiation on the basis Of a specie p"ymsnt
These the only references to this correspondence
necessary TO my purpose, and they are necessary be-
cause they establish the character Of Mr. Manchester
agent Of the Bank and the further fact that the Secrela
ry Of the Treasury in the negotiation adhered TO he
basis Of specie payment, or payment eqaraentt0 e'
Gle.
This correspondence covered the time from the 2lst
April 10 the 9th Of May We have before that,
the 5th of April, the Committee on Finance was in
sructed 10 inquire To the expectancy OF sale OF the
bonds, and The inquiry general, relating well TO
the second the thd and fourth bonds all of which
remained unpaid On the I'd of May, the committee
reported bill providing for the sale Of the third and
fourth bonds but not affecting the second; and The
5h of The month"; the negotiation as 10 anticipating
the payment Of this latter bond, terminated by the
agent Of The Bank unless other than specie basis
for The payment could he accPded 10. On the lh Of
May The bill for the sale Of the third and fourth bonds
passed the Senate and on the 9Th OF July after 1t be.
came law.
On the 23d of July, second negotiation opened
by Mr. Manchester, by inviting the Secretary of the
Treasury to make specific propositions for the payment
OF the second bond in three instruments, TO be paid on
the 18th days OF August September, and October 1888,
the bond being payable By its terms on The first day Of
October of that year To this invitation the Secretary
answered, under date Of the Path of July conserving 10
the times of payment proposed and naming the places
of payment and the be paid each place, and
closing with the following language:
ln all cases, however it is OF understood that
payments will be made IN specie or is eguiraisnt -
These terms MIR Manchester accepted, by note dated
18th July, merely requesting that the negotiation might
be considered open in relation TO the places Of payment
and the sums TO be paid at EACH far the convent
Of the Treasury and the wants Of The public service
would permit On the 9Th The Secretary replied,
sentng to make such changes in the places OF
and the amounts at each could be made without
teria inconvenience TO The Department. This cores
pondence will be found annexed TO the report of the Sc
cIeary commencing at page 81 and marked enclosures
No 10 inclusive.
On the 18th of August, the negotiation in relation 10
the payments upon the second band renewed by j
letter from Mr. Bddle the President Of The Bank the
Secretary OF The Treasury, suggesting such changes in
the places OF payment and IN the amounts 10 be paid oil
each place, he desired have made and referring
the correspondence above detailed with Mr. Manchester
the basis o! the arrangement in relation 10 this bond
This correspondence, thus re.opened continued be-
tween the officers Of the Bank and those OF the tcasu
~, up 10 the 18th of August when all the places Of pay
ment, and the payable at each, mutually
agreed upon and The negotiation completed; but in
the mean tme and on The 18th of August cert fca,e
OF deposite, to the credit of The Treasurer If the United
States issued by the Bank, and transmitted for the
first nslament of SS00000 payable that day towards
the second bond. These documents will be found ap
pended 10 the report Of the Secretary of the Treasury
now under consideration, commencing ut poge 81, and
marked =, TO- ii, -
This gives distinct and separate view Of all the
feria negotiations in relation to the payment Of The
cond bond the times Of payment the places Of payment
and the manner of payment. From the facts detailed
it will be seen that the bond 10 be paid and paid
in three equal ins;amens Of about $500 900 EACH on
the 10th days OF August, September, and October,
1885 which would occasion the firs inslalment to be
paid forty FIVE days before bond became due and pa
able the second instamtn fifteen days before, and the
third instamen, fifteen days after that tme that each
iBstamen, the day it became payable by the arrange
ment was to be, and deposited in the Bank TO The
credit Of the Treasurer of the United States; that upon
the strength Of these deposites, the Treasurer TO
draw his drafts upon the Bank, payable at the seve-
raj places named and for the several agreed upon
in the arrangement that those drafts TO be paid
by the Bank at the places at which they made pay
able, without being first presented at the Bank,
turned to il for payment and that nteres,
upon the two instruments anticipated when the money
placed 10 the credit Of the Treasurer in the Bank,
and was TO continue upon the third salment until that,
also was so placed to his credit
This is the arrangement which the Secretary Of the
Treasury did make for the payment of the second bond
which, upon its face became due and payable the LIST
of October, 1883 That the Of the Treasury re-
CURED the anticipated payments secured by the arrange
mel to ba ma hv he toft ba Go