Worcester daily spy. [volume] (Worcester [Mass.]) 1850-1888, 1872-12-18

WASHINGTON, D. c., Dec. 17.-George Bliss
Jr., was nominated by the president today 10
succeed Judge Davis rs United States attorney
for the southern district OF New York
The supreme court adiourns on the goth TO
January 9th.
Secretary Boutwell, and Jay Cooke were be-
fore the committee on WAYS ard means this
morning in reference to finding the loan.
Mr. Boutwelrs explanation of the S2OO,OO0,-
600 negotiation of last year was full and com
pete. He showed that the alleged loss of interest
growing out of the necessity of giving ninety
days notice to holders of called bonds was
practically unavailable under any plan that
could be adopted, since, even with money on
hand TO met call, it first must be raised from
the sale OF bonds which would bear interest
from date of issue. He further showed that fine
amount of interest so paid, together with the
whole cost OF negotiation, including the engray-
ing and printing of bonds was reimbursed TO
the treasury in the saving Of interest by the new
issue up to June last, and there has been since
saved over a million dollars in reduced interest
The annual saving from that negotiation
amounts to s2,OOO,O0O, with interest annually
aCcruing and compromising thereon during the
term of the debt. The secretary considered tbis
plan the best that could be devised, involving
the least cost TO the government, while it did
not interfere with or in the least derange the
ordinary operations of moneyed or commercial
interests.
Mr. Cooke said he had little to add TO the sec.
retary's statement. He would refer, however, TO
the fact that when the government was a Dor
rover at high rates of interest, all other Dor.
towers, as rule, were obliged to pay still higher
rates. The lower the governmcDtrale, the better
1t was for industrial and commercial enterprises
of all kinds, which were relieved Of taxation TO
the extent Of the reduction aud OF competition
with the government at high rates His firm
conviction was that an attempt to sell the new
five per cents, and to retain the proceeds Of
guqbg eis
could be bought in, would create drain of
money from its ordinary channel which Would
speedily check sales. and thus elfectually deprive
the government OF means to redeem fve.tweu.
ties BY the plan recommended by the secre-
tary, this difficulty, rs shown by experiencp
would be avoided and the conversion into new
bonds would be effected without the slightest
monetary or commercial disturbance
Secretary Boutwell, sends the following TO thu
house in reply TO theresolutions concerning the
increased issue of legal tenders in October: /
have to say that the amount of United States
notes in circulation was increased in October last
upon order OF Assistant Secretary Richardson,
then acting secretary in the absence of the sec,
rotary of the treasury, in the sum of about
600 over the amount outstanding when
the act Of February 4, 1868, became law. The
object of the issue was the relief of the business
of the country, then suffering itom the large de,
mand for currency employed IN moving croos
from the south aud west. The condition of
affairs then existing in the country seems to me
to have warranted the issue, on grounds OF public
policy. Authority for issue Is found In the acts
of February 25th, '62, chapter 49,; OF July 18th,
62, chapter 142, and Of March 3D., 'G3, chapter
10. At the December term, 'Gs, of the supreme
court of the United States, the chief justice, in
giving the opinion Of the court in the case of Il
bank versus the supervisors, 9TH vol. Wallace,
twenty-six), said the act OF February %, '82,
provided for the issue of these notes 10 the
To. N.TI LII. al.