The Yellowstone journal. [volume] (Miles City, Mont.) 1893-1901, 1894-02-07
GOVERNMENT BONDS.
SOME BUYERS FORGET TO COLLECT
INTEREST OR PRINCIPAL.

Some Interesting Information Expressed
In Large Figures-The Difference BE-
tween Coupon and Registered Bonds.
How Interest Piles Up.
A number of snug fortunes are lying
in the United States treasury waiting
for somebody to step up and claim them.
This money is due on bonds long ago
called in. Some of them have never
been cashed by the holders. On the
.'old debt" which embraces all loans
made TO this government up to 1887,
1921 900 is still owing. Since that date
more than 81 ,O00, 600 has accumulated,
being uncalled for by the persons en-
titled to it. either through negligence or
for other reasons.
A considerable fraction of this great
sum is now held by the treasurer of the
United States in the shape of checks.
Interest on registered honds is paid by
check. but as people are constantly
changing their adore ses it not infre-
auently happens that track il lost for
awhile of an individuf b~ondholder. I'm
der such circumstanC : the quarterly in
terest checks are r aimed as they fall
due and in the cor se Of time pile mp.
They are kept for Il indefinite period
and are good forev :.
There are such , esIs in the treasur-
er's Office now wi n have accumulated
during more thar 10 years. On the 9TH
er hand. knowir- that they are always
good for the money they represent. peo-
pie often keep these interest checks. put
ting them away and boarding them, Just
as if they Were so much cash. Only the
other day a batch of 80 checks for 81
each was received at the treasury. The
owner had simply put them away a.
they came IN year after year.
The millionaire is commonly repre-
sented as engaged in clipping coupons
from bonds. This is an egregious error.
Rich men, as a rule, do not hold coupon
bonds. Such bonds are not safe prop
erty. They are always payable to bearer
like treasury notes. If lost, the govern
ment will not replace them. According
ly, for the sake of security. people are
constantly exchanging them for regis
tered bonds. The sum total Of coupon
bonds is now about $4,000. 900. mostly
in the hands Of small holders.
Registered bonds ARE rich mrn'- prop
erty par excellence. ~ present ah5ut
5000. 900. O00 worth OF ''''n b. held 10y
private individuals. OF r..> IT, Az
Ss;. 900. 600. or not far from uu--h"is. j.
owned by 1000 persons. r~ocrhlv -p"3S-
ing. whose holdings a"erng" $4,000
The names Of these fortunate iulivi'-
uals are kept secret by tine traa~u~~.
Some Of the fortunes possessed In this
shape are enormous. Among the grit
est holdings are those Of the Wander
bilts. Old William II. Vanderbilt bad
$45. 900. 600 in registered bonds at one
time.
About % years ago $4,000 worth of
the consols Of 1865 and 1867 We're stolen
in Havana. The thief altered them by
erssing the name from the face and sold
them to ignorant persons. They were
for 81 900 each. Ever since then they
have been coming in to the treasury
through banks and otherwise. Of course
they were useless TO the holders. being
registered and only payable TO the orig.
inal owner.
The original owner lost nothing. OF
course. All ne had to do was to notify
the secretary of the treasury, giving an
affidavit and a pond of indemnity. and
the stolen. consols were replaced. That
ia the advantage of registered bonds.
The number Of such bonds that have
been lost and stolen is astonishing. A
list of them, numbering nearly 1000, il
printed and circulated by the govern.
ment.
IL is called the ''caveat list" and is de-
sSened to warn bankers and others
against accepting securities Of the mum
bers mentioned. Some time ago a report
came from Indianapolis of a bond that
was said to have been destroyed. Aft.
davits. etc. being furnished, a new one
was issued to replace it. Ten years later
that identical security was forwarded to
the treasury from Holyoke, Mass.
II had been found in a lot Of waste
paper at a paper mill. There was nc
question of fraud in this case. The own
err lost it and supposed that it had been
burned.
A great many bonds called for re.
demption 20 years and more ago have
never been presented for payment. Some
of them nave doubtless been put away
and forgotten. 1t is imagined that 9th
ers have been lost at sea together witt
their owners. The quantity of gold and
silver in coin and bullion sunk from
wrecks in the ocean amounts to many
millions of dollars in the course OF a cen
tasy.
Only about $1,000, 900 worth OF bond
\ possessed by comparatively poor per
q and these in sums of $500 or less.
About 80 years ago Uncle Sam lent
lot of money to help build various trans
Continental railways. 1t was understood
Tat the companies would refund tn
cash as soon as they got well started
There is little likelihood that any con
siderable part of it will ever be paid
There is still owing s64 900. 900 of orig
inal~ indebtedness, plus $4,000. 900 of in
<0poat