The Kenosha telegraph. [volume] (Kenosha, Wis.) 1860-1888, 1870-03-17
The Funding BiaE.
It's Passage in the Senate synopsis of IFS Princ
pal Features.

| q
The Senate, on Fridy night, after a
| most sprotracted discussion OF nine hours
and the defeat of numerous amendments
| finally passed he bill to fund the public
debt by "a vote of 80 to 10. Notwithstand
ing all the propositions to modify the
measure, and the struggle of the national
bank interest in that direction, the bill.
passed almost as it originally came from
he Finance Committee. The section e
pay the interest to foreign holders In for
leign countries was stricken out, and tbs
/ per cent. commission to negotiate the
loans was reduced to one-half of 1 per
cent. These are the only important
changes. The efforts of the bank inter
EST to provide for different exchange Of
the old for the new bonds, and to secure
reduced taxation when the new bonds are
made use of for banking purposes, were
defeated. The rates Of interest at 5, Az
and per cent were retained. The bill
now goes to the House.
The Funding bill, as it passed the Sen
ate, provides for the issue Of 800, 100000,
coupons or interest 1910 year bonds,
bearing per cent. coin interest, for dis
posal in the United States and elsewhere
at not less than per value for coin, or in
exchange for $50 bonds of equal aggre-
gate par value. Also, tor $500, 900, 600 OF
1910 year bonds bearing AZ per cent.
coin interest, for similar disposal at not
less than par value for coin, or the re-
demptlon of bonds bearing higher rate
| Of interest. Also, for the issue of $780,
100000 of 20-40 year bonds, bearing
per cent coin interest, for similar dispo-
sal at not less than par value for coin or
the redemption Of outitanding bonds. a
further issue Of the last-nanfed bonds is
authorized at the discretion of the Score
tary of the Treasury, provided he aggre-
gate debt of the United States is not
thereby increased All these bonds are
to be entirely exempt from taxation.
The Secretary Of the Treasury is autherl-
zed to appoint agents In the United
States for the negotiation of bonds, and a
sum not exceeding q of ! per cent is APP
priated to pay the expense OF preparing,
issuing, and disposing of the same One
hundred and fifty million dollars annual
y Of duties on imported goous are to be
applied to the payment of interest and
the reduction Of the principal and public
debt. United States bonds now held as
a sinking fund, and those in the Treasu-
ry, as we'll as those hereafter purchased
Shall be Cancelled and destroyed on and
after the first of October next. Register
ed bonds OF any denomination not less
than $1,000, issued under the provisions
of this act, are to be deposited with the
Treasurer as. security for the circulation
of national banks The circu alton OF
those banks whiah do not comply with
this provision within year from the
passage of the act, is to be forfeited !;
provided, banks shall be allowed, upon
giving thirty days notice to the Comp
roller of the Currency, to deposa legal
tender notes with the Treasurer to- the
amount of the outstanding circulation,
and take up the bonds pledged for its
redemption and provided further, that
rot more than one bird of the bonds de.
posted by any bank as security shall be
Of either classes of bonds hereby author
lied on which the maximum interest Is
fixed at AZ or per cent. per annum. The
amount of circulating notes received by
any bank shall not exceed 80 per centum
of the par value Of the bonds deposited
Thelast Section authorizes banks to be
organized and do business on depositing
$4,000 in United States notes with tue
Comptroller of the Currency in exchangc
for per cent. bonds, and, receive circl-
lating notes thos asother banks with
out respect to limitation of the aggregate
circulation of the national currency; pro-
vided, however that as circulation notes
are issued under this section, an equal
amount of the United States notes shall
be Cancelled aud destroyed