Evening star. [volume] (Washington, D.C.) 1854-1972, 1894-12-29

anu pOSSlDly the man 10 WnOm the cneck
was issued never makes a claim for the
money. But, as was said, this happens so
seldom that the profit from this source is
one to which no business man would give
any consideration in figuring out the posi-
bilities of a season. Uncle Sam, on the
contrary, can figure out pretty well before
the beginning of a fiscal year that so many
thousand dollars will be put to his credit
on profit and loss" account before the
year is over. This profit will come from
bonds and bank notes destroyed and never
presented for redemption, from money or
ders which are lost and never duplicated
and from stamps which are not put to
the use for which they were intended.
These profits are never cast up, because
debts of the government are seldom out
lawed. But they are as real as though
they were credited to Uncle Sam on the
books Of the treasury.
OF course, it Is no fault of the govern
ment that this profit accumulates. Every
effort is made to find the man to whom the
government Is indebted, and every reason
able opportunity Is given to him to claim
the amount of the Indebtedness. In the
case of q lost or stolen bond, he has sim
ply to prove ownership and give an in
demnity bond to protect the government
against loss. In the case of treasury
note injured by fire, he has to send In the
charred remains, and the treasury experts
will decipher as far as possible, the value
of the pile dts original valued and the
money will be restored to him. In the case
of a money order, both the remitter and
the remittee are advised again and again
that the money remains unpaid. STILL
claims against the government aggregat-
ing many thousands are left unpaid every
year, and the total or even the last thirty
years will run up far into the millions.
Even In the matter of unpaid money or
ders the government has just made an ac-
counting OF $l,30O,00O earned In the last
thirty years and now turned into the Post
Office Department fund, probably never to
be repaid to it's owners.
The Destruction of Paper Money.
. The greatest source of unearned income,
of course, is the destruction of treasury
notes. Nearly $4,000 900 have been made
by the government up to the present day,
as nearly can be estimated, by the de-
struction of treasury notes. Two years ago
last August a lively controversy arose be-
tween Mr.. Foster then the Secretary of
the Treasury, and some of the members
of the House and Senate concerning the
amount of money in circulation at various
times, as stated officially by the Treasury
Department. A letter was addressed by
Representative John Davis to the Secre-
tary of the Treasury charging that in the
treasury statements, among other things,
no allowance was made for the wasting
and loss of coin and the destruction of
greenbacks and coin certificates. There
fore, he commended the statement of money
in circulation was Incorrect each year by
the amount of the notes and coin destroyed.
Mr.. Foster, replying, said that the del art
ment had no authority to deduct an esti-
mated amount of lost coin and notes from
the tota. of it's liabilities. He denied that
there had been any considerable loss, and
said that the total estimated at that time
for the period ending January l, 1891, was
less than twelve and half millions. Here
is the statement in detail of the notes and
certificates issued by the government es-
timated to have been destroyed beyond all
possibility of redemption up to January
1, 1891: United States notes, s5,il0, 81;
silver certificates. SAT- 0O4; gold certificates,
$2OO,OOO; national bank notes, SG,394, $50.
Total ST., 452, 100.
Mr.. Huntington, the chief Of the loans
and currency division of the government,
estimates that not more than one or two
milliC MS have been destroy ed since Janu-
airy I, 1891. The carelessness which pre-
vailed during the war period, he says, was
responsible for large amount of the miss
ing money, and the destruction now, while
1t increases in proportion to the increase
in the amount of money issued, is not so
great propcrtionately as it was at that
time. 1t amounts probably to less than
half a million dollars every year.
Coin and Bonds.
As to the amount represented by unre-
deemed coin and abrasions of gold and sill
yer coin, that would be hard to estimate
accurately. 1t is estimated that 100000
worth Of silver coin is used every year in
the arts; and as the coin value Of this is
only about 10000, the government makes
SAC, 900 by the transaction. There Is about
$50 600 worth of abraded silver coin pur-
chased during a year at it's bullion value
and recoined, and on this the government
makes the difference between it's face value
and the bullion value, less the cost of COLI
ing. The amount Of silver and gold coin
which has disappeared from circulation
and which will never be presented for re-
dempton cannot be estimated. In the
| case of the gold coin, there Is no profit to
| the government represented. In the case
of the silver, the profit is 20 to 40 cents on
each dollar, according to the value of the
| silver when the dollar was coined
| OF the issue of fifty million dollars worth
| of bonds which has just been made
| certain proportion will never be presented
| for redemption. The Treasury Department
| could figure in advance, If the Secretary
wished to do so, Just about what the profit
| on these bonds from this source would be.
| The value of the missing securities of the
| United States now outstanding which will
probably never be presented for redemp-
| ton is about 81 ,25U,OOO, according to Mr..
| Huntington These oblieati date back
| to 1s47. Il series of s25 bonds was issued
! under the bounty land scrip act of 1S47,
| and even now. at long intervals. these
bonds come in for redemption. But the
| number is very few. There are still out
| standing about $500 worth of these bonds.
The loan of 1862, amounting to nearly
| $500 OOOO UO. was called between 1871 and
| standing. Four thousand dollars worth of
| these bonds, called March 20, 1872, came
| in for redemption during the past year.
| They had drawn no interest for twenty
| two years.
Bonds Never Paid.
| or the loan of June, 1854, there is still
outstanding $1,000, and none of it has
| drawn interest since 1876. There is so, $50
| of the loan of 1865 (the 5-2Os) still out. The
| last of this was called in 1877. OF the con-
soils of 1865, called between 1877 and 1872
| there was $4,000 worth presented for re-
| demption last year, and there is s113, 100
| worth outstanding, drawing no interest.
| OF the consols of 1867, s16,4O0 worth were
/ redeemed during the year and s1765OO
| worth remain unredeemed Altogether the
| government Is ahead about a million and
| q quarter on the bonds which will never
| be presented for redemption; and IT is
many thousands ahead on the unpaid In
| terest on large amounts which have not
| been paid when due. 1t is sing ilar that