, 1881-01-09

this time to 1.-THE sense of* the House as to
whether the bonds should be long bonds o.
short bonds -: 7 - )
|, The Chair replied that 1t was not. -
Mr.. Clafin opposed the amendment. He
| was opposed to fixing the interest at 8 pei
cent.
MI. Tucker-Does the gentleman want q
larger rate?
:: Mr. Clafin-I propose that the rate In the
bill shall stand there In-upposlng the
amendment, Mr.. Claain had read the amend
ment which he proposed to offer. leaving the
interest at 3X per cent, and providing that
the bonds shall be .tedeeniahle. after the i've
years and payable In twenty years. No busl-
ness-man, hethought;, believed 1t possible to
float bond at per cent It was - .
:. THE uSAH1Mous OPINION OF. FNANcrERs
that So per cent bond might be fioated, but
that it would be dangerous to put 8 per
cent bond on the market.
Mr.. Kelley commented on the fact tnat IN
the purchase OF over S1o8 ooo. eco Of bonds IN
the year ending October last the Secretary OF
the Treasury had to pay over S112t 2to0o,oUo. OF
about 31{ per cent premium. e
/ MI, Warner suggested that the rate OF In
terest should be fixed at "a per cent; 1t was
impossible to sever the rate Of interest," from
time. It this bill were to pass he should be
In favor of the amendment Of the gentleman
from Vermont, though he would oppose the
bill.
Mr. Wood suggested that, for the sake OF
convenience. his amendment coming from
the Committee on Ways and Means should
be, by, unanimous consent, considered as
agreed to, if it was seriously intended to act
on this bill. Hours should not be wasted in
huitless and unnecessary discussion. +
MK. C1AF1IN OBJECTED.
Mr.. Frye thought the question might as
well be met now between a 3 and i 311 per
cent bond. a 8 per cent bond must neces
sarily run for twenty or thirty years. Vot-
ing for per cent would be voting for n
long bond. ~ 49,
Mr. +. Wood thought the gentleman was
In error in that assumption. He wished to
call the gontlcman's attention to the report
OF the Secretary Of the Treasury, in which
he said he believed that short-time cer-
ti6cates having less than ten years to run
could be negotiated at 3 per cent He
Wood thought short-time 5 per cent
bond conld be negotiated. Particularly It
accompanied by some attributes which would
make It acceptable and desirable. He hoped
the gentleman from Maine (Frye) would not
endeavor to have the House commit itself to
position which was untenabie. :. .f
Mr.. Frye said he had voted In favor Of a 8
par cent bond before the recess.
DURING THE RECESS :; . !.
he had seen large number Of Businessmen
in New York, Boston, and New England,
and he had come to the deliberate conclusion
that it would be utterly impossible to float a
per cent bond running less than thirty
years, He believed the attempt to float q 5
per cent bond would be disastrous The
Government had never sold a per cent
bond; =.
NO COUNTRY ON EARTH HAp EVER PLMED
per cent bond on the market at par, and
he was fully convinced that 3 per cent
bond could not be placed, and il Congress
undertook to do it and failed it would be a
disaster. He believed in leaving to the
Secretary Of the Treasury discretion UP to
314 per cent
Mr.. Keifer offered an amendment to
Woods amendment so as to fix the interest
at q rate not exceeding 4 per cent He be-
lieyed per cent was as low rate of interest
as the bonds could be hoated at. In the
West it would be impossibleto sell the bonds
a. " Ao"0t -@'o S41o 4l0 S'9e4AA eA'
par. ,'->
nl' Aeales calleu es A4' clJo "''ons,on
eae lact ulae III 1o4os "hen sne coai'Atsteo w
ways ana means was considering LIS neas-
ure 10 te1anu III pe1 cene' -. !:
MANY OF TIE MOST REsPEcTABLE BANKERS
Of the country appeared before that Commit
tee and assured 1t that per cent bond
could not be f1oated, and yet it was found out
afterwards that these very bankers were at
the same time arranging syndicate to take
these very per cent bonds. For himself. be
was Indifferent to rate OF interest, whether
!, 4 ), or per cent, PROVIDED the policy OF
constant payment oul OF ue surplus revenue
were continued. he presented calcalal1on
showing that the aggregate amountof interest,"
that would De palo on Soo1ooo,ooo OF oeot III
ten years unoer per cent oono Wonlu pe
over l9l,oO,uo, whlle tue amount that
would be paid on the same debt at existing
rates OF interest under the policy Of paying
of the debt at the rate OF $5.ooo,ooo month
would only be S162, ,ooo, 600. 49,
Ar. Anderson offered substitute proV1d-
ing that interestshall not exceed 81 per cent,
at the discretion OF the Secretary Of the
Treasury -...... ,...,.-
Mr.. Townshend (of Illinois,. said that In
*fSf1 SYA1t sol inf 1aT IN