The New York herald., 1871-12-01
The Receipts and Expenditures Of
the Last Fiscal Year.
ReFuND!,G CT The |uBL.C DEBT.
National Banking and Ma
tiOnal Insurance.
TREASURY OF THE UNITED STATES,
W.slitS,.T.lN Get Al 1877.

StooN "a
cal year which ended with the Both day OF June,
1871 Full tabIes are appended hereto, that will
hibr 10 you more readily and clearly than could DC
done through mere verbal statements, the moley
TRANSACTIONS and the general movements OF the o1ce
during said fiscal year.
In addition desire 10 make a statement In regard
TO my own action during the past season. ana some
suggestions bearing upon the interest or the public
service In the future.
NEGOTIATION or NEW LOAN ABROAD.
Under authority OF your commission have visited
during the past the principal cities or Great
Brl ain, ana or Belgium, Holland, Prussia, Saxony,
Baden, Bavaria, W1rtenperg, Austria, Bohemia
Switzerland and France, "for the purpose OF aiding
In the negotiation of the new loan.n In compliance
with your written instructions l called upon
fhe agents appointed BY the government, with
view to ascertain the steps already taken by them"
IN regard the negotiation or the loan, ana made
10 'such Suggestions seemed expeuIcnt
10 place the subject In favorable light before the
European pnOlic.n With The same oh ec5 In view
called upon our ambassadors and MN sters ana
npon our consuls and commercial agents. ana upon
many BANKERS and financial men, IN the countries
nanei. Through this intercourse with all kinds or
persons WHO were well lnoraed upon such sab
iecis, learned that the time for placing our new
loan was an ullav0rabc one for lts success In .ne
European money markets. 1t was too late and too
Boon.
Had Congress given you the authority 10 negou-
this loan before the breaking Oh the late war
thar France male u pom Germany 1t would
have been eli taken at once that time. BuL later
the bonds of several oher ents these
markets. anu were oderel 1T rates nuci more
favorable 10 tue purchaser than those authorized uy
Congrc-s Tor tie EQUATION ol our loan. Prominent
among these was the new French i've per cent loan.
Jhis loan OF the French republic was finally DIS
posed OF at q ate that ne,,ed The borrower l'ss
tran eighty cents on the dopar. The sngu ar lea.
lure IN lis negotiation Was tldb II largely laAen
by the late enemies OF the French, the Ger
our own country, been our principal
reliance Tor The disposal OF our stocks, and
every hope thai Tor TINS Frencn inter-
terence tnat country would have alone ABSORBED all
our SHOCKS thai were offered for SALE Under these
exisung circumstances hardly TO be supposed
that the German people could tnen be induced 10
take our loan wnen they could az tao same time pur-
chase i've thousand dollars, race value. oil the
French bonds, bearing the same OF interest as
ours, Tor less money man would purchase tour lii ou-
BAND doilars lace value OF the bonds OF the niteu
States. But Notwithstanding this disparity between
the prices OF the two stocks, in consequence the
credll OF our government standing SO hisn iu the
motley markets Of Europe and especially IN those
Of Germany our loan, although netting me ho der
taken In preference 10 tue French uut Tor The TACT
that IL was generally understood by the German
people that nasmdci as the proceeds OF the French
loan to Ue paid 10 their goyclnmeats, their
lers would consider the SUBSCRIPTION 10 suci loan by
over GENERALLY understood that The German empire
would il need be. enforce, III iavor OF IL SUBJECTS,
the punctuai payment OF the interest," ana tne repay
mcnt OF the principal OF the loan AZ the maturity Il
the bonds. Another circumstance unIavorabie
allowed 10 us ' ageMs I for 'At negotiating sr'ea is
loan at least two ner cen, on the net
proceeds realized fom II, while you auth oriZcd
to allow To your AGENTS an amount that would yield
10 them only one quarter OF one per cent In addi-
ton TO these advantages In favor or the French
they had III cir. aaton five per cent treasury notes
that had not natsred; these the government agreed
lowing the purchasers unaccrIed interest on these
notes TO their maturity
An almost nsuperabe difnculty In the way OF the
negotiation this low of
missions that 1t was provided 30 arrow your
single exception, and in that case he disagreed
with the otner members or his firm, ever,
banker ana business man with whom Sonvcrscd
ON the SUBJECT gave 1t as his opinion that quar-
Ter ol one per cent was altogether too small
rsKs to be Incurred 1t was generally insisted that
lnasmuch as other governments allowed at least
any circumstances, be compelled to allow lie same
rate or compensation before any considerable
known to you that the house or Hope L. Co., OF Am.
slerdam-a house that has loaned much money To
our government, commencing with our revolution
AIRY war-re. used 10 act your agent on that
account. member OF the firm SAID 10 me that
pensatOn. IL WAS frequently intimated that many
who nsd aCccpici agencies had done Tor the
hoaor y conferred on them and not because they
noie part ol the loan. fnese lacts, and Others as
times aud places Luckily, you not dts.
Leartened ny my reports, but you sent your a,le
nSsisJaDi- Judge Richardson TO Europe with
miion dollars worth OF the bonds on his arrIsa
III London l. then being at FranSforf-on.lhe- Mnlni
Immediately pat myself In communication with,
him, aud suggested to MIN a plan 10y when lie
whole amount OF LIe five per cent loan could pro-
badly be placed. lie advised OF another pan
that he had devised, which. with alterations, suy.
gesied 10y you has succeeded. anu which, ] am now
satisfied was the very best thing 10 be done Il IS
certainly source OF graduation that by your own
aud Judge Richardson's adrot management. all
oos,aces o. - were ismoyed and tae loan was disposed
looked over the whole ground had supposed /; pos.
hiDe. ~ IS. therefore, not 10 10 wondered mat
even Cur friends ut nome should
ia wnst IS now known 10 be al accomplished fact.
The enemies OF The government are not even now
satisfied. aud woald perhaps, oe equally dssatls
ned, whether the loan was or was not taken. Waile
yet m Europe and after tue ioau had been taken, 1
noticed thst American newspapers very uniarly
cilllclsed yonr action III regard 10 this loan, some
,nssting that so nad mot placed tne ioan OF any
Ion IN lptiless advertisements, In fees
10 useless agents, and In sending super
to Europe? and mat the who.e had
that the loan might perhaps be taken: but II was
Al mad been hawkea abcut Europe Ia . manner dis
graceful TO the American people 'ior six months,'
emerging bruised. bleeding aud dlsuembereJ from
one ol tne most calamltous wars IN history, suc-
ccedcd IN placing loai OF equal amount IA hardly
more ilan the 4spe numper Of nours.n
The 1lst csvucrs are now silenced ny the fact
kn0un 70 all weii-lniormed persons, that al
,ue nve per cent stocks offered by you hare
been takcn. ana nat the government has now none
ioi naig. The oihcf grumDicrs VIII probably never
have tue laruess 70 INFORM Tie readers or TIER
papers that whe you realized tue face value OF 100
cents on Ae dollar your new ave per cent loan
Tue French government received less than eighty
GEMS on snch value; and that for tile eighty ceuts
ih3t government Will be Obliged 10 pay. at the
maturity 0i It9 bonds, more than quarter more
money ihsn u received. and ~ the mean time pay
i0f uie eiehts CeHis the same rate OF interest mat
our government viii pay ON the par value thai
IL received for It's bonds or loo cents TO the
dollar. u was 10 me u most gratifying fact
tbai The credlt Uf cur government wherever heard
u sposen %, ~ MI paris OF Europe, stood unchal.
1nged. Everybody conceded that VIC had noth the
2Disy and Tie disposition % pay all debts. The
rapidhr Win whacl ron have been enabled 10 pay
and reduce our national Indebtedness IL the con.
iTo.lng cause OF tns unbounded confidence mat our
government VIII always remain faithful TO its
Promises
Uaci governments that have financial standing
have supplied their needs, and, Ike our own, ale
huw out o! The way, and surplus capital has again
aggregated n the money markets OF Europe. Under
these cDanged circumstances ~ Is believed thai II
LoKress WIZ vest with larger dscretonary bow