New-York tribune., 1884-01-09
ions Of that law cents omittedJ

Fourth. How the amounts so required can be- applied
to the sinking fund prior 20 1901 read this inquiry
seeking opinion Of what may De lawfully done in that
regard and not my Judgment Of what may De cxpedeut
TO do think that Acts Of Congress authorize supplies to
the sinking fund in the following ways: al By calling
three per cent bonds So long there remain outsnd
ing and urpad amy OK the three per cent bonds OF l9s-
css for their redemption De made and the amounts
redeemed hereunder applied 10 The sinking fund.
July l, about $3.50, 100000, all OF which, II Is estimated
will be exhausted by the terms OF the sinking fund during
half per bonds After the three per cents thus
absorbed the four and hall per cent bonds Of 1891
the Of the issue not redeenabe until September /,
1891 the deparint can Ouy OBTAIN them up To thdt
ing Il S250OOOOOO, and they can IN all probability be
eXtingshed by the purchase and redemption by the end
OF the fiscal year 1894. (Cj BY purchase of the four
per bonds The only interest bearug debt then left
iOr redemption viii be the per cent bonds OF 1907
They must be got by purchase. BY the application OF tie
terms OF me slnS !III 10 inc pCpsJ % o. lcrS Don5
prior TO July l. 1905. do not by the foregoing
tIat order That IS the order which by their terms
they are redeemabe. They may be purchased without
regard 10 that order.
PROVISIONS UNDER WHICH The DEBT WAS REDUCED.
"Fifl Under what provision Of law las the reduction
OF the public debt been enecedf Under the act which
oyided for a sinking fund, and additional acts to wit:
Act Of February 25 1862 2 stat at l., p 346; recOg
nz,d by jont resolution Of March H. ls64 3 stat at L.
u 4O; act Of July a. 1870 90 stat AZ L. p. 273, sec 81
United states Revised statutes sections So0j 20 5O55
both iuclusiNe acts OF March g 1870 ~ stat at L. T.
40lJ; act Of April II 1877 % stat at L., D. So sec. -
act Of March g. lssl (2l Stat at l., p 451, sec. p
The act OF July l. 1870, above c!te contains Tue I0I
lowing clause Amy bonds hereafter applied to SAID
sinking fund and all other United states bonds which
have been purrhased by the Secretary OF the Treasury
with surplus fund. now In the Treasury and held ia
the Treasury the United states, shall he cancelled and
DESTROYED . ANY bonds hereafter applied 20 said
sinking fund.- and AL other United states bonds redeemed
or paid hereafter by the United states shall also IN IKE
manner De recorded cancelled and DESTROYED &c ms
h an implied If not direct recognition that the pur
chase Of United states bonds with surplus moneys j.
lawful use thereof. The second port OF the act OF
March g. 1851 also cited above, Is A. follows IhaI the
Secretary the Treasury at any time apply the sur
plus money in the Treasury not otherwise appropriated
or 40 much thereof be may consider proper 10 the pu
cbase or redeupon OF United states bonds, provided
that the bonds 30 purchased redeemed shall constitute
no Dart OF the sinking fund, but shall be cancelled
The requirements Of law that, aLtd proportion OF the
existing debt shall each year be paid render imperative
the purchase redemption OF United States Dohus Othe
provisions OF law cited permit the use of surplus moneys
in the Treasury the payment OF the public deDt All
OF which is respectfully submitted.
- CHARLES j. FOLDER, Secretary.