The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1871-12-05

trolrer ana other Bureau ofncers whose duties ars
hardly less Important, receive onE Sa'vo1 Inc
.O q me ~ srna sss q
Of $4,000 The ncads Of DIVISION IN the internal rev.
enSe receive salaries OF 81 500 per annum while In
every other branch Of treasury they are selected
nom fourth Class clerks. whose salaries are nxed
an appropriation had been made, from which the
Secretary OF the Treasury, In his discreMon, has in
fcreased the salaries 10 MS own ONCE 10 81 800 per
IL is not an exaggeration 10 say that the head OF
division IN charge OF Tho loans, OF the warrants,
Or OF the sub. treasury accounts, occupies
position In which the country and the world
are more concerned Than m that Of the col
Oncer receives more than My thousand dollars
ayear, wne IT IS win diiculty that the former Is
same remark might with truth be made OF several
bureau officers and Of persons IA the oiiice Of the
! also recommend an increase OF the salary OF tho
supervising surgeon Of the marine hospitals. l
act creating the Department Of JUSTICE BY which
the Solicitor oil the Treasury and the solicitor OF the
Internal Revenue ofiSs are made oiSers OF tnas
solicitors ID 10 give ADVICE 10 the Score,
.ary and bureau officers upon questions which
Under the existing system the Attorney General Is
made nomInally responsible, while IN iact he ought
by THESE officers, tnat upon reference TO hun or
questions which may nave been previously consid.
iner action These officers should receive their ap
polntments through the Treasury Department and
IN administration TO place In one the Departments
officers deriving their appointment from another
these oiicers to the department Of Justice a. ap-
pears to nave been contemplated ~ the act TINS
services. srnestly recommend the restoration OF
these ocers TO their former positions IN the Treas
ury. CGilHN 9t lgH L. NsfAt 8fst
The examinations OF persons deslgnated Tor
clerical service aud for promotion In INC Treasury
Department has been continued with beneficial
results and the examination is even more exacting
IN It's requirements than at tho date OF my last
annual report, and means Will be taken TO extend
tho system. with such notifications a. the diner
encc OF duties may suggest but with equal en-
and TO other branches Of the public service under
the control oil this department..
On the Sstn Of February Vi last public notice was
given that the 9th OF the following Marcn books
~ 10 the national loan under % act
approved July IA, 1870, ana the conditions on which
the subscriptions would De received were also
number OF bankers. both In this country and III
Europe, were authorized to receive subscriptions.
1hc lrst preference was gwen TO subscribers to the
Ave per cent bonds, wihl the limit OF two hundred
million dollars On the lat OF August the subscrip.
banks. Under date of July IA, 1871, despatch was
received from Hon. Nm. A. Richardson, Assistant
that certain bankers in Eurore proposed 10 take
the remainder or the S20J,000,0J0 oil i've per cent
bonds upon certain condItions THIS proposition
vi agreement was made with Jay Cooke Co.,
bankers In Europe and IN the United states. by
the terms Of the agreement the parties represented
by Aiessrs. Jay Cooke II Co. had the right
TO subscribe for the remainder or The 0O0 OF
aid bonds by giving notice thereof 1T time pre-
ylous 10 tue LIST OF Auri next, by subscribing for
$40 $4,000 at once, and Tor an average VI ut least
sodoo,ooo oil bonos per month"; during the interven-
ing time subject TO the right OF the national banks
to subscribe Tor $50CO0,0JO within sixty days from
ne
tional banks. ami certificates OF deposit therefor
Issued by said hanks 70 the secreaary OF the Urea
Sury; bonds 10 be lodged with tho Treasurer Of the
United states Tor the amount OF the deposit.
BY printed circular Issued on me l0,h OF August,
IT obtaining subscriptions payable IN coin would be
designated by Inc secretary OF inc Treasury as de-
placing In the hands Of The treasurer the United
btates bonds oil The United States Tor The security Of
%oa ans os me
pi an amount OF bonds equal to tho
s mon to Cease % uns S
days from the date Of such notes. It. was also
stated in the circular that Us the bonds called should
eral banks proportionally. II was further agreed
that the subscribers to Inc loan should receive as
one per cent allow ed BY law upon the two hundred
millions after paying the cost OF paper for the bonds
Iii olnsr expenses Of the same. Under this agree
ment The books were opened IN this country and In
were cb,aincd Tor the entire amount offered.
ON the Ist Of September public notice MAS given
sioo 900, Of the issue q lsd3 specned ~ mum
bel ~ nearly as WAS practicabie securing 10 me
ns IN 81 as a s Dad
cease on that date. Of me bonds 30
called more 'nan eSas m01 q o. e s0 da
paTtmeut OF which amount SIT ,000. 900 have been
pad in coin and the remainder nave Goen received
% the amount Of sSa 1880 had been issued aud
IL ehnrn ~
tho bonds subscribed Tor Vt that date Is now going
on, and under such circumstances as to leave no
Z brief period OF time. by the act establishing tho
national banking syStem Inc secretary OF tine
OF any public money. except receipts from Gus
toms, and the act authorizing the refunding or
tie national debt directed the Secretary Of the
treasury 10 give three months notice OF inc pay.
nent Of any bonds which In such notice might DC
apeciaed ana called or payment In Inc sane f acs
new bonds should be used only In payment OF bonds
outstanding known as nvc.tweniy bonds: me
statute PROCEEDED upon the idea that the holders OF
nve-twenty bonds should receive three months IN
up0n their bonds AFTER notice should be gwen
Oy the government. as TINS notice could be gwen
safely upon subscriptions already made or secured.
Tue general meet ssary result even IN case the
treasury Of the United States, would be =
loss or interest Tor three months. On tho
new bonds had nearly ceased. but by the agreement
referred the necessary loss 10 Tue governments IN
cadent to me rebuilding Oh me puonc ae9s was auG
OF about hundred and thirty millions or dollars
The panks or those represented by the banks, de-
rived the OF the amount OF their
subscription Tor three months, but this without
other loss to che government tan what was incl
mt To the negotiations oil The loan under the law.
am informed BY Judge richardson, and such Ii
my own opinion, that tho most serious obstable IN
tne way 0l negotiating the four and TOUR anu y haf
per cent bonds IN Europe Ii the
INADBQUACI or TuE COMMISSIONS ALLOWED
When the circular oil the 2Stn February last was
Issued one or two leading European bankers de-
cned to act AZ agents. and ! am persuaded that
others who accepted tue agency failed 10 give that
attention to the b,sin which would have been be-
stowed upon 1t had tie commissions corresponded
more nearly to those usually received by them Tor
the req OF public lOans The credit Of the cOun
try IL Iny established Ill every financial centre IN
Europe ana the bonds OF The United be ne
ootiated ut their market value IN larger number
Than the hlnda Of any Other country In