The Morristown gazette. [volume] (Morristown, Tenn.) 1867-1920, 1878-03-06
KING sHYLOGK's TRIBUTE.
One Thousand Million Clear Aris-
ing from no Investments at
Ala Startling
Exhibit

Exhibit.
In the United States Senate re.
Gently, Senator Beck. OF Kentucky,
spoke at length on the remonetiza
tion Of Silver. and in the course oi
his very able speech. he quoted from
Mr.. Voorhees,, of Indiana, a history
Of all the bonds which were sold
each year and the pri ices that were
paid. and that were given. and which
revealed the fact "that the bond
holders had up to 1869 received over
500, 100000 of profit before they
even got the principal Of their bonds
made payable in gold by the act OF
1862" The following is the state
ment quoted by Senator Beck, and
we recommend it to eur readers as
suggestive of the rapacity and ar
rogance of the bondhelding class.
unparalleled in the history of the
world:
In 1862 the government sold per
cent. 500 bonds to the amount of
$50, 982, ,450, and received for the m
greenbacks at their face. dollar for
dollar. The demand now is that
these bonds shall be paid in gold at
their face; and yet, owing to the
depreciation of green backs at tue
time oftheir purchase, only $44, ,030,-
GAG in gold was paid on them. This
makes a clear speculation OF $16,-
95l ,801 in favor Of the bondholder
in the first transaction. On this
clear speculation the bondholders
have received interest for eleven
years, amounting to $II,187.188,
which, added to its principal, makes
the SUM Of $28, 1885, ,989 already re-
ceived in that single transaction,
for which not one dollar was ever
paid.
In 1868 the government sold of
the same kind OF bonds $160, ,987,-
$50, for which it received an equal
amount in greenbacks. A standard
authority placed the average price
of gold during that year at $1.56 10
currency. 1t will thus be seen that
these bonds cost their purchasers
by Sl01 ,890,654 IN gold, leaving a
profit of $50 .O96, 500. without includ-
ing the interest. For ten years,
however. the government has paid
on this naked profit, this
without any. considera-
lion. The interest thus paid amounts
to $35, 458, 8,017, which, added TO this
fictitious prin cipal, makes $94 1885,
713 now in the pockets OF the bond !
holders on that years operation, for
which they never paid anything.
In 1864 the government sold these
bonds, amounting on their face to
1891. .292,250. Again the govern
ment received only deprecated pa
per for these bond obligations. and !
st that time our currency, was enor-
deprecated, if tried by the
gold standard. The price Of gold |
during that year was at an average
Of 201 in currency. The sale of |
these bonds, therefore, which are
now assumed to be geld bonds, only
realized to the government $780,
697, ,636 in gold, less than one half |
Of their face value. There was left |
10 the capitalists who sPeculated in
them as purchasers the immense
profit OF $191,594.614. This was
he amount of the brokers' shave,
and on it he has drawn interest from |
he people for ten years, amount
ng at this time to $I14.956, ,768.
Add this TO its principal, which
stands as pure speculation, and |
ge find that the bondholders
lave made as clear gain, as
for nothing. the sum of
1906, 1851, 1892 on the one years
transaction of 1864.
In 1865 the government sold
,ends to the amount of $279. 49,
80. on which it suffered discount
# $71 .532, ,060 at the hands of the
capitalists. The interest already
,aid by the people on this discount
caches $3S, 1921, ,307, making this
ears operation realize for the bend
olders $110. 159.367 for which not
ne cent was ever paid.
In 1866 the government sold
l24,914,400 of its bonds, for which
received deprecated paper cur |
ency amounting to S58.59I.735 in
old. according to the then price
f gold. The difference between
be face OF these bends and the
mount they realize to the govern
lent was $50, 332,627. Eight years
lterest received on this shave
to $l7, ,434, $50. Adding
ais interest and principal together.
nd we find that the bondholders
ave received $53.757.183 cut OF
lis years sale of bonds for which
OF one dollar ever left their Golfers {
r reached the United States treas. {
ry.