The daily union. [volume] (Washington [D.C.]) 1845-1857, 1854-05-09
arY OF WASHINGTON, TUESDAY MORNING, MAY 8. 1854

United States are paying the interest peretaay but there
is idle in the treasury rot only the capital but more
than the capital required to produce this annual inter
est In order this and the second class which
have adverted, would require the formal assent Of The
tribes before it could be done and the amendment only au
thorzes the President make these investments for the In
dans when they agree and be judges e necessary
regard to the first class however, aM0unapg TO rss
and half millions Of dollars their assent nst necessary
because il has already been given by caty ad II Is sim
ply required Of to invest the moneys hch ought to hay
been done long since and would have been done ere TINS
but for the state OF the treasury The main object Is
prevent the accumulation OF these perpetual an
nutes, trust fluids and other national debts which are
swelling to alarming extent may say the annual APP
preparations in the Indian bill.
Mr. HUNTER. Nr. President if | understand this prop
osition is invest the money which owe to the In
ans in State stocks and those State stocks according to
tho practice Of the government heretofore must guar
any. If they ll below par il ts State fails TO pay
the interest have to make It good In carh Of the
nul appropriation bills have already spuations to
make good the interest the Indian funds which have
already invested in those stocks think experience
has shown that this is very dangerous relation TO hold
towards the States not disposed to see the United
States going into the market and investing money espe
caly in such large these in the stocks Of the States
for many The precedent Is bad one, and IT Is
dangerous sort of patronage especially when we come 20
extend further and il Is which be sought to be
extended further in the present condition OF the treasury
1t that had better meet the question al
once is far safer for the United States five have to
guaranty retain the funds and pay the interest our
selves instead Of running this risk. We have not found
heretofore that this relation of debtor and creditor between
the United States and the States has been very profitable
and am not disposed to extend the practice II has
gone far enough already
Mr.. SEBASTIAN / wish, Mr. President, to be allowed
correct what think is obvious misrepresentation Of
the senator from Virginia do think the Indian bill
contains the feature OF which he speaksthat of annual
appropriations make up for the fall or depreciation in
the price of State stocks.
Mr. HUNTER The failure to pay the interest
Mr.. SEBASTIAN 1t is true there is in every Indian
appropriation bill appropriation to pay interest, but
that interest is received from the States into the Treasury
nf nj
ton TO pay it out again That is mere matter OF form
After the money goes into the treasury il requires anact
of appropriation get it again. The government OF
the United holds largely of the stocks Of the States
for the Indians at this time in pursuance OF treaty
spulaons and to the first class of cases embraced in the
amendment there cannot be any question doubt 10
the proprety Of it, because such is the positive imperative
obligation Of the treaties that it must be invested for the
benefit Of the Indians in safe and profitable stocks The
duty which we take upon ourselves to discharge is that
trustee; plain one which involves responsibility where
the is honestly performed II stocks arc safe and
paying stocks at the time we buy them, we are certainly
bound to guaranty the fortunes OF the particular STATE
or its puncuality and promptness through all coming
time Such has not been the view which the United States
have taken Of their obligations heretofore well remem-
Der that in case where bonds bought for the
ChickaSaws they fell from par TO twenty-five cents on the
dollar We have large stocks of the State of Michigan at
this time which are paying interest but the annual inter
est thereon is appropriated in the Indian appropriation
bill and these the appropriations which the senator
Virginia enormously supposes TO be appropriations
10 make good ont OF the treasury Of the United States the
losses TO the Indians Such is not the There be-
therefore difficulty the first class, amounting to
about three and half millions Of dollars in regard to
which we mpcratyely engaged by treaty to do
the very thing which he amendment proposes to require
the President TO do
The second class of caseshose in which hold
eys In trust where we have engaged pay perpetual
nuities assnilae the of national debt and al
low them be converted into stocks with the assent OF
the Indians If they give that assent in such manner
enable 10 be freed from any responsibility after
wards 10 these surplus funds for their benefit il will
be Of great advantage We paying interest on large
OF money which lying idle in the treasury Of the
United States and this viii be, 10 that extent discharge
OF the national debt The amount which we have thus
engaged pay interest 70 the Indians reaches at this time
the astonishing Of Slo000oo0i and am sure that
few senators are aware that this is perpetual
charge against the United States unless be redeemed
its extinction provided for in the manner pointed out BY
the amendment
But the amendment does stop simply with requiring
the investment Of these funds Of the Indians in safe and
profitable stocks II allows with their consent these long
annuies to be turned into shorter annuites in such
cases where the President may judge il 70 be advisable the
whole capital may be paid TO the Indians inn
agne many cases which the Indians highly compe-
tent to manage the funds for themselves and where in
stead Of dealing out 20 them tne drbbng annues per-
peaaly II would be much better for their condition
ciay and physically that the whole capital should be
deemed and extnguished by the payment Of the principal
Mr. HUNTER Mr.. President, think that If the senator
from Arkansas will look into the matter, lac win find that
we have been in the habit Of making good appropra-
ton TO Indians account of the failure Of Indiana 70 pay
The interest certain moneys invested in Indiana State
stocks think we have made good investments in Ar
kansas stock for the Smithsonian Institution.
Mr. SEBASTIAN No, sir.
Mr.. HUNTER | think have think the senator
will find that such is the case And approhend II We
were invest these funds Of the Indians in State stocks
and the States should fail to pay the interest should
hold ourselves bound TO make il good TO the Indians Now
IL this be the case If bound to guaranty this pay
ent 10 the Indians not safer 10 retain the money In
our hauds7 What do we gain BY investing il Ia State
stocks III to have this obligation imposed upon u.s.
h ii not far better to retain the fund in hands and
pay the Indians the interest annually So far these
long annuites concerned II II he desirable 10 exchange
them for shorter annues, paying them larger sums that
could be done BY treaty whether pay them directly
Of the treasury In the form Of State stocks There Is
why treaties bargains contracts should not
be entered into for that purpose II IL be desirable object
What object 10 is taking this money and investing II in
State stocks in mode and shape which win make us re-
ponsibe for the payment of the interest those stocks
object to that for many reasons One is that Il is
species Of obligation which do not wish imposed
on this government Another Is that il may be the
menccment Of very dangerous system Suppose when
ever we have surplus in the treasury II Is proposed
extend the system further and invest the whole surplus in
State stocks what dangerous sort Of patronage and 10
what evils might II not lead II is better think to OPP
pose these things in the beginning Now there Is nothing
in the treaty stipulation with the Indians which forces us
invest this money in State stocks long as We gunran-
" and 10 them the payment Of The interest which
truth and in effect in the United States stotksin six per
cent United States stock and this is ar better for them
than any State stock which we could purchase
Mr., JOHNSON The senator lfom Virginia Is not corr
rect in regard 10 the delinquency of Arkansas as con-
nected With the Smithsonian Institution; bat st be-
eve he Is Substantially right IN this that they were por-
ton Of the bonds Of the State Of Arkansas now under par
the State unable pay the interest which did con-
stitue an investment by this government. The State
having failed to pay The interest and the stocks having