New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-02-01
MR.. ALIENS NOVEL IDEAS.
THEY WILL SURPRISE TINANCIERs MIR. HoARS
VIEWS OF THE STATUS OF THE BONDS.

THEY WILL SURPRISE TI%ANCIERs MR. HoARS
VIEWS OF THE STATUS OF THE BONDS.
Washington. Jan 3l.-Among the numerous re-
nonstranccs presented this morning against var-
ous noints in the Wilson bill batch from re-
ligious societies asking that the tax on whiskey
be trebled.
After the routine morning business the Vice
President laid before the Senate Mr. stewart Z
resolution declaring that the Secretary of the
Treasury is not legally authorized to issue ana sell
bonds; and Mr.. Allen Top.. Neb) made an argu-
men, I'm response to and contradictory OF that Of
Mr. sherman Yesterday. He denied the claim that
the power given in the Resumption act was
continuing power. and said that IN" language Of the
act did not Justify that construction
II provided for a single act Of redemption. and
provided that the Secretary OF the Treasury might
ss,. sell and dispose Of Government bonds for
tn. purpose ~ making the redemption contem-
plated by the act being the surplus over S"'
on go OF Treasury notes. or about S'1.nOVo. When
that redcmption was made the incident Of power
to issue bonds ceased with IT,
Mr. Plat Rep.. Conn)-Does not the duty OF
red.eming the 500 O1OrO continue as before?
Mr. Ailcn-I do not know what the Senator
means.
Mr. platt-Is not the Secretary of the Treasury
,ust as much bound to redeem Treasury notes pre-
sented now he was before?
Mr.. Allen-No. sir
n.
ury note is now presented the Treasurer IL not
bound to redeem II?
Mr. Allen--IIe Is not. under any act OF Congress
now in existence. When this s75O0o,oCO once
redeemed the power OF the Resumption act was ok
pended.
Mr. Allison Glep.. Iowal- Does the Senator main
tain that. under the Resumption act of $50 II was
only intended 20 provide fer the redemption Of
SO 10000 OF greenbacks. and that. when that was
done there was an end OF the Resumption act?
Mr. Stewart Htep.. New said that that was the
extent OF the power given by tho law
Mr. Allison asked Mr. Allen whether that was
his construction OF the law.
PoPt'IIsT LAW INTERPRETATION
Mr. Allen-My construction Of the Resumption
act is this: That the only power conferred by that
act on the Secretary OF the Treasury was to re-
deem the volume of legal tender notes outstanding
on the LIST Of January. 1879 down to $0.oO,TO; and
that his power to redeem them stopped when he
reached that point.
Mr. Allison-I think that the Senator misappre-
bends the purpose and policy OF that act. So far
as the redemption Of the surplus over NOo.U0Vo Is
concerned. that redemption to begin at once.
1t was not to walt TIL 1879. Then all the surplus
beyond 500 G00 900 TO be redeemed AT once. and
as fast National bank note circulation was Is
sued. And 1t was to arrest that redemption and
retiring OF this surplus that the act OF 1873
passed. There WAS no change OF pohcy "a respects
the redemption OF those notes except that the re-
firing OF them should stop at Si6,O"WD as against
500 10000
Mr. Harris O)em Tenn) asked Mr.. Allen what he
understood to be meant by the words In the act
from time to time"
Mr. Alen-The Secretary of the Treasury never
had power to redeem notes below the $4,000 900.