The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1881-01-10

at present.
Mr.. Bayne offered IN amendment pre-
= viding the rate shall not exceed four pc
: cent, and making It the duty Of the SCI
Q retary Of the Treasury 70 negotiate th
|. sale or exchange OF such bonds Rt III
lowest rate of interest practicable,
n Mr., HaWley said he did not believe
/. three per cent, bond could be Just noI
q loated at par, II was possible, however
4 that II perpetual bonds were issued, as Il
i England, Il could be iloated at three pc
cent, He believed himself that that, al
a though unpopular, would be the best AM
! cheapest way, for the Government conlt
always go into the market and buy VI
i such bonds at market prices. He hat
had calculations made, from which 1t Rp
I peared the lowest rate Of interest which
Government bonds produced at pFesen
market prices Of bonds was 3 2l.l00 pc
cent, and that at the rates ruling for four
and fourEsnd a.half's the value Of thre'
per cent thirty'ysar bond was from
04 to 90,
Mr.. Bland argued that II the bond
were paid, as they should be under thu
existing law, In lawful money, q large
saving could be effected.
Mr.. Converse argued that three pei
cent government bond, Rs proposed, wal
equivalent TO six per cent interest IN
private loans.
Mr.. Fer ando Wood asked Mr.. Converse
whether the effect oil the establishment oil
q three per cent rate by the government
would not be to reduce rates on farm
mortgages In the West,
Mr., Converse replied thatsit wouldIhRve
that effect; that there was large amount
Of saving involved 10 that idea, ts.f
Mr. Buterworth argued that three per
cent was too low o rate OF interest, and
said no guardian would be justified in in.
vesting the funds oil his ward In q three
per cent bond.
Mr.. Townshend, OF Illinois, referred to
the recent subscriptions 10 the Northern
Pacific five per cent bonds, and asked the
question whether, II an unOonstruCted
railroad could float at premium Of over
two and q half o five per cent bond, sub.
ieGt TO oil kinds OF State and local tax, /.
tion, there could be any doubt OF tho
ability oi the government 10 float q three
per cent bond exempt from all taxation.
He believed . three per cent government
bond would be regarded In Illinois as q
good Investment.
Mr.. Keller declared his belief that not
one three per cent bond would be taken
In his or any other district Of Ohio.
Mr.. FELTON, Raid this bill was an illus.
tration Of the benefits Of delay and eau.
tious legislation In such matters, because
last session the proposition was 10 refund
the maturing debt In long four per cent
bonds, while now II was admitted that 1t
could be refunded In short three per cent
bonds. In his opinion II would be Crimi.
nal to perpetuate the debt. He wanted TO
keep 1t always within the grasp ol the
Government, He paid q high tribute to
the financial abilities oil Secretary Sher.
man, which had contributed so much to
the credit OF the Government. The other
elements that had promoted the general
prosperity were the large increase OF agrl
Of silver. He appealed to the House to
make tho declaration that the debt shall
be paid according TO contract, In lawful
money.
Mr.. Bayne's amendment was rejected
without divialon,
/ Mr.. Warner thought the most import.
ant question presented was the question
oi the length Of time or which the bonds
were to run. il by fixing three per cent
1t was proposed 10 lengthen the time, he
would vote against three per cent.
Mr.. Newberry offered au amendment
striking out so much OF the bill as au.
thorSes the issue oi bonds and notes and
inserting the following: "The Secretary Of
the Treasury Ia hereby authorised to issue
bonds not To exceed $3.50. .0O0, 900, redeem.
able at the pleasure Of the United States
after ten years and payable thirty years
after date OF issue, Also noteS In the
amount Of $3.50 900 600, redeemable at the
pleasure OF the United States after two
years and PAYABLE In ten years after date
Of issue, which notes 1t shall be lawful and
national bauks shall be permitted 10 hold
as part ol their legal reserve, and interest
on said notes three.and.a.hali per cent" :"
Mr.. Clalin inquired OF Mr.. Newberry
how many bonds he supposed would be
taken uptn Michigan at three per cent
Mr.. N0wberry replied the Second Ma.
tlonal Bank OF Detroit, OF which he was a
director, would retire all bonds which It
held on its circulation and take the three
per cent. bonds, and he thought the banks
generally would take the three per cent
bonds II Congress would reieYe them
from taxation on their circulation, which
was nearly one per cent. laughter He
had gone 10 the bank OF which he was a
director because he wanted to know how
10 vote on this question laughtef1, and It
had said TO him, "Yote ior funding bill
al three per cent" without condition as 10
taxation.
Mr.. Blount argued that the Secretary oi
the Treasury should be allowed some dis.
cretion, and opposed the rate Of interest
being arbitrarily fixed at three per cent.
Mr.. Hurd opposed any measure OF re.
funding which deprived The Government
Of its option TO redeem bonds gt any time,
unless II be a measure which should re-.
duce the rate Of interest Of the bond.
There VIVA no debt due now except about
$l4, 900. 900; the rest Of the debt maturing
was redeelnable at the pleasure of the
Government. He believed that all that
debt could be paid In ten years. He did
not believe that prosperity, about which
the gentleman from Georgia Mr.. Felton,
had spoken, could long continue. He did
not believe that prosperity In any country
could long continue without resumption
Of specie pay ments, and he had no hesita.
tion In saying, from all lights which he
had, that specie resumption Ia this cotin.
try was denstve and snare Detisive
laughter on the Republican side
Ii was based oil false and irau1llept sil.
YER dollars, which WE'RE every day an.
ttuthinlly certified TO. [Applaute OH the
Republican side II was based on the
legal tender paper currency, There could
be no specie payments, unless nothing but
speUie Oould pay the debt; and when
paper currency pbsssssed all The irnctiUns
Idi money there was no specie payment.
In little while the prosperity OF The Coun.