The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1868-02-08
The Financc Ellis.

The Senate finance committee has been I'M
able to agree upon any plan for funding the
national debt Accordingly there were two
bills reported from the committee on Thurs
day one by Mr.. Henderson, and the other by
Mr.. Sherman as q substitute for the bill intro
duced by him on the 10Th of December. Mr..
Henderson s bin provides for national curren-
cy and repeats the limitation of the amount Of
national bank notes to $500 100000, aud author
ICES the issue by banking associations organized
under its provisions OF circulating notes to the
amount of 50 per cent. on the par value of the
bonds of the consolidated debt Of the United
States deposited as security, but not extend
ing the proposition to their paid up capital
now prescribed by law. Existing banks are
required to substitute the new kind of bonds
for those now deposited, within one year from
the passage of the bill, under the penalty of
forfeiture of the old bonds, and the winding
up Of their affairs, provided that whenever
the amount of the United States notes and ma
tional bank notes together shall exceed $780,
100000, the Secretary of the Treasury is re-
quired to retire and cancel United States notes
to the extent of such excess, until the whole
amount Of United States notes outstanding
shall be reduced to $3.50 600 600.
The substitute for the Sherman bill differs
widely from its predecessor. Itabandons the
proposed Withholding ofone-sixth of the six per
cent. as an idemnity to the States for the ex-
empton Of the bonds from taxation. The for
eign loan clause is also abandoned. The new
bonds are to bear five per cent. interest and
are payable, principal and interest, in coin,
or at the option of the government in the ten
years. All existing obligation of the United
States are to be converted into the new issue
or paid by the proceeds of their sale. The
new bonds are to be exempt not only from
State and municipal taxation! but from all
United States taxes except that the income
derived from them is subject to the income
tax. In consideration of the reduction in the
the rate of interest there is to be appropriated
ont Of the import duties an amount eqnal to
one per cent. on the bonds issued which is to
be applied to the purchase or pay ment of the
national debt In addition to the sums neces-
sary to pay the interest and the maturing
bonded debt ofthe United States there is APP
propriated out of the Treasury a sum which,
including said Interest and maturing debt and
one per cent. will amount to S135,G00 0OO,
which sum will be applied to the reduction
of the debt in lieu of the sinking fund contem-
plated by the act of February %, 1862.
The fve-twenty bonds, after the expiration
of five years from date, at the option of the
holders, may be exchanged for the new bonds,
and such as are now rcdeemable may be pre-
sented for exchange before the LIST of Novem-
Der next, and not thereafter, and the residue
not later than six months after the expiration
of five years from date, for lawful money of
the United States, and the new bonds are to
be exchangeable for each other when present.
ed to the treasurer unless the amount of
United States notes outstanding shall be equal
to $4,000 900, or unless the United States
shall have resumed payment in coin for their
notes.
The last section provides that any contracts
hereafter specifically made in coin, shall be
legal and valid and may be enforced according
to the terms of said contracts.
a LETTER FROM GARIBALDI.-The editor of
the Providence Journal has seen letter adj
dressed to an italian resident OF that city by
Garioaldi The following is a translation:
CABRERA Jan. IA, 1868
ny FTlend:--I have remembered YOU and
your Gear ialnIy with great Affection Many
thanks for your kind and hosnitabie offer W.
will not yet despair of our country's destiny.
but Will continue in our glorious lindertairing,
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