Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1878-01-24
Sherman's Plan.

WAsHIHGroS, Jan. l5.-Secretary
Sherman to day appeared before the
Committee on Ways and Means. He
said it was known that there had
been syndicate for the sale of the
8 per cen bonds, but in Difference to
what was regarded as popular senti-
ment, and also for convenience of ne
gotiation, it was deemed best to ter.
inmate that contract and to place
these bonds on the market on a some
what different plan, namely, to EN-.
ploy, as far as possible, all national
banks and bankers of established
credit who would give the requisite
security in the sale of bonds, to reach
if possible all classes of people: to
treat them all alike; to allow them
the same comission, and 10 deliver
bonds to them in any part of the
country free Of charge, and to invite
popular subscriptions for that purpose.
When, however, the Treasury De-
partment came to put that plan in &C.
tual operation, it was found that un
der existing laws there were some
embarrassments which, if Congress
should see proper to remove would
enable it to largely increase the loan
and to distribute it more rapidly than
it could be done at presen: under the
law as it now stood. The Secretary
then proceeded to show existing EN-
barrassments, and presented to the
consideration of the committee the
draft of bill to promote the deposit
OF savings and the refunding OF the
national debt. In commenting on
the provisions Of this bill he said if
Congress would pass it he would be
able to refund the public debt very
rapidly, and to carry out the opera
tons of the Treasury with increased
advantages TO the public. He preferred
this mode to the one he had previous
ly indicated for popular loan. 1t
proposes that any holder of United
States notes may deposit them at any
postal money order office in the Unit
ed States, and shall be entitled to re-
ceive therefor, free of charge, postal
orders on the Treasurer Of the United
States. Such postal orders, when
presented to the Treasurer at Wash
ington in sums of $40, or any multi.
pie of that sum, shall be convertible
into certificate of deposit of the
United States, of the kind and de
scription provided for in the bill.
Such certificates may also be issued
in exchange for United States notes
at the Treasury Of the United States,
at the office of any assistant treasurer
OF the United States, the certificates
of deposit to be issued by the Secre-
tary of the Treasury of such form and
description as be may prescribe, and
of the denominations of $40, $40, $50,
and 800, and bear interest at the
rate of 3.65 per cent. per annum, for
the term of one year and no longer,
and shall be received and redeemed
by the United States in payment only
for bonds; and certificates may be
held by any national bank for that
portion of its reserve not required TO
be kept on hand in specie or legal
tender notes. The Secretary is au.
thorized to receive either United
States notes, postal orders or ccrtifi-
Gates of deposit at their market value
in coin in payment for United States
bonds issued under authority of law;
or in lieu of such bonds a registered
bond or inscribed debt on the books
of the treasury similar in character
leaving interest to be compounded
every six months. All United States
notes received into the treasury to be
applied exclusively to the payment Of
any bonds of the United States re-
deemable at the pleasure of the Unit
ed States or to the purchase of the
coin or bullion TO be applied exclu.
sively to the payment of such bonds.