Evening star. [volume] (Washington, D.C.) 1854-1972, 1876-02-28
The Facts I'm the Case OF the 3 -65
Bonds.

AS there is much Misrepresentation on the
part of members of Congress and others, in
regard TO the issue of S-65 bonds, Ii may be
well to state from an authoritative source
the manner and history OF such issue.
The act OF Congress approved June 20, 1874,
constituted Board of Audit, composed OF
the two Comptrollers of the United States
Treasury, TO pass upon and determine claims
against the late District government, and 10
issue therefor certificates for the amounts
thus found due. These certificates were is
sued In different amounts, some even
amounts, others for fractional amounts,
from two to three dollars up to thousands
The same act of Congress continued the
Board OF Sinking Fund Commissioner
which board had been in existence since IS7 l.
and had charge OF the sinking fund of the
misunderstanding then and now without
compensation, and made 1t their duty to
cause bonds to be prepared in sums of fifty
and five hundred collars, and were thereby
authorize to exchange said bonds at par for
like sums of any class of indebteines in the
preceding section of this act named, evi
deEced by certificates of the Auditing Board
provided for in this act"
These certificates for various amounts have
been marketable security, passing by de
livery and endorsement, and were presented
to the Sinking Fund Commissioners for con-
version into bonds in even sums, being the
multiples OF fifty or five hundred dollars.
there being no provision for the payment of
fractional amounts in cash.
The large amounts OF ceL .ifcates presented
during the TOnths OF December and Janu-
airy, caused the Com mi ssiOneTs 10 be behind
hand In their delivery Of bonds, for the reason
mat the bonds were not then printed, so that
list was prepared of cert ificates presented,
and of the parties presenting them. aud the
bonds promised them in tu rn as they shOu Id
be ready for issue. On the 18th of January
in view OF the action of TIE House of Repre-
sentatives, ii was resolved by the Commits
sioners of the Sinking Fund that no
more applications should be received, but
that the delivery of bonds previously ap-
piled for and promised should be perfected
In carrying out the delivery OF the bonds
promised before the 25th of January. for
which applications were then on file. some
were actually delivered after the 9th of Jam
uary, in amount about Sl51,0O0.
OF the certificates of The Board of Audit
thus converted into bonds, all bear date on
or before the 1st of December, 1875, except
one certificate, dated list January, 1876, for
-, IO914. None OF q later date have been con-
Verted.
The amount of bonds issued by the Sink
ing Fund Commission is SD i3, $50. while
the amount Of certificates convertible into
bonds is probably $780, 900 in excess of this
and are excluded from conversion by the act
OF Congress, and yet many OF them are OF o d
dates, going back as far as ISt August 1874
The holders of them have the same rights
that those had who got their bonds bat by
the action OF The Sinking Fund Commissions
eTS, acting in Difference to the EXPRESSED will
OF Congress, they are now deoarrel from o.
tanning bonds for them.
No 3G5 bonds have ever been issued except
III strict accordance with law, being "at par
Tor ike amounts Of certificates of the audit
irg board authorized by this act" and in q
majority Of cases TO assignees who presented
them in even amounts as before stated.
The idea that there has been any fraudu.
lent issue OF these bonds is absolutely with