The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1868-02-08
Financial Schemes offered I'm she
Senate Thus.sdn~

s%-"waNE# SShsSs&V AhekESuAEs - PITS
The Committee ON Finance reported o
substitute for Mr.. Sherman's bill. intro.
auced December nth, providing as fol
lows:
The Secretary Of the Treasury is au-
thorized to issue bonds bearing int.
rest at five per cent, payable principal
and INTEREST," in coin, due in forty, but re-
"eemable in ten years, to on amount sufi
Gent to cover all outstanding obligations of
the United States other than five per cent.
bonds, and to be exchanged for such obi
cations, or disposed Of otherwise, at not
less than par and said bonds, OF proceeds
thereof, are to be exclusively used for re-
demption, or in exchange Of existing secu-
rites Of the United States.
The bonds to be issued shall be known
as the consolidated debt of the United
States, and shall be exempt from all tax
alton by State or local authority and the
same, with interest thereon and income
therefrom, shall be exempt from the pay
ment Of all taxes or duties to the United
States other than such income tax as may
be assessed upon other incomes; and in
consideration of the reduction of the rate
of interest, there is appropriated out Of the
import duties an amount equal to one per
cent. on the bonds issued, which shall be
applied to the purchase or payment of the
national debt.
In addition to the sums necessary to pay
interest and the maturing funded debt Of
the United States, there is appropriated
out of the Treasury a sun which, including
said interest and maturing debt, and the
one per cent. as aforesaid, shall amount to
one hundred and thirty five millions annu-
ally, which sum shall be applied to the re-
duction of the debt, in lieu of the sinking
fund contemplated by the act of February
25, 1862. Five-twenty bonds shall, after
the expiration Of five years from date, at
the option of the holders, be exchanged
! for new bonds, and such as are now re-
| deemable shall be presented for exchange
| before the first of November next, and
| not thereafter, and the residue not later
than six months after expiration, five
years from date. Lawful money Of the
| United States and the new bonds are to be
exchangeable for each other when pre-
sented to the Treasurer of the United
States, unless the amount of United States
notes outstanding shall be equal to four
hundred millions, or unless the United
States shall have resumed payment Of coin
for notes.
The last section provides that any con
tracts hereafter made specifically payable
in coin shall be legal and valid, and may
| be enforced according to terms.
Mr.. Henderson, from the Committee
on Finance, reported a bill to provide a
national currency, &C., which was passed
to a second reading.
1t repeats the limitation of the amount
Of national bank notes to three hundred
millions, and authorizes the issue to bank
ing associations, organized under its pro-
visions, of circulating notes to the amount
of eighty (S0) per cent. on par value bonds
| of the consolidated debt of the United
| States deposited as security, but not ex-
ceeding the proportion to their paid up
| capital now prescribed by law.
Existing banks are required to substi-
tute the new kind of bonds for those now
deposited within one year from passage OF
the bill, under penalty of forfeiture of old
bonds and winding up of their affairs.
Provided that whenever the amount OF
United States notes and national bank
notes together shall exceed seven hundred
millions the Secretary of. the Treasury is
required 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
two hundred and fifty millions.
THE first will not be adopted