Goldsboro weekly argus. [volume] (Goldsboro, N.C.) 1885-1909, 1895-02-14
THE BOND ISSUE.
PRESIDENT CLEvELAND'S MESSAGE
TO CONGRESS.


the Amount of $62 100000.
WASHINGTON. Feb. 8.
The President sent the follow
ing message to Congress to-day
To the Congress Of the United States:
"Since my recent communica-
ton to the Congress of the
United States, calling attention
to our financial condition and sug-
gesting legislation which I deem
ed essential to our National well
fare and credit the anxiety and
apprehension then existing in
business circles have continued.
''As a precaution, therefore,
against the failure of timely leg
islative aid through Congress
sional action, caucious prepara-
tions have been pending to en-
ploy to the best possible advan-
| tage, in default of better means,
such executive authority as may,
without additional legislation, be
exercised for the purpose of re-
| inforcing and maintaining in our
Treasury an adequate and safe
gold reserve.
I'm the judgment of those es-
pecially charged with this re-
sponsibility, the business situa
ton is so critical and the legisla
tive situation so uncompromising
with the omission thus far on
the part of Congress to benefici-
tally enlarge the powers of the
Secretary of the Treasury in the
premises, as to enjoin immediate
legislative action with the facili-
ties now at hand.
Therefore, in pursuance of sec
ton 27OO of the Revised Statutes,
the details of an arrangement
have this day been concluded
with parties abundantlyable to
fulfil their undertaking, whereby
bonds of the United States au-
thorized under the act of July
IA, 1873, payable in coin, thirty
years after their date, with inter
est at the rate of 4 per cent. per
annum, to the amount of little
less than sixty-two millions and
four hundred thousand dollars,
are to be issued for the purchase
of gold coin amounting to a sum
slightly in excess of sixty
five millions of dollars to be de
livered to the Treasury Of the
United States, which sum, added
to the gold held in our reserve
will so restore such reserve as tC
make it amount to something
more than one hundred millions
e of dollars. Such a premium is
to be allowed to the Government
upon the bonds as to fix the rate
, of interest upon the amount O
gold realized at three and three
fourths per cent, per annum. A
least one half of the gold to b'
;, obtained to be supplied from
| abroad, which is very impor
tant feature of the transaction
:. The privilege is especial,
= reserved to the Government te
= substitute at par within ten day
. from this date, in lieu Of the fou
per cent coin bonds, other bond
3 in terms payable in gold AM
bearing only three per cent. in
> terest, if the issue of the sam
should in the meantime be au
= thorized by the Congress.
+ The arrangement being thu
completed, which after careful
inquiry appears in present Gil
:. cumstances, and considering al
= objects desired to be the best OF
tainable, develops such q differ
y ence in the estimates Of investor
J. between bonds made payable i
II coin and those specifically mad
payable in gold in favor of tn
O latter, as is represented by thre
y fourths of a cent. in annual il
a terest. In the agreement jus
: concluded the annual saving i
interests to the Government of
v per cent. gold bonds should b
= = substituted for four per CEN
= coin bonds under the privileg
:. reserved, which would be fiv
: hundred and thirty y-nine thou
: sand, one hundred and fifty min
"a dollars, amounting in thirty year
is or at the maturity of the col
is bonds, to sixteen million, on
hundred and seventy-four thol
sand, seven hundred and se1
enty dollars.
''Of course there never Shoul
ie be a doubt in any quartz as t
II the redemption in gold of th
le bonds Of the Government whic
1. are made payable in gold. The :,
% fore, the discrimination in tE
ef judgment of investors. betwee
re our bond obligations payable
IN coin, and those specifically mac
payable in gold, is very signit
I. cant.
sa ''It is hardly necessary t
a6 suggest that whatever may I
rs our views on the subject, tI
nt sentiments or preferences {
IL those with whom we must neg
le tiate in disposing of our bone
a. for gold are not subject to OF
le dictations.
I have only to add that in n
opinion the transaction here
detailed for the information
g. Congress promises better resul
ly than the efforts previously mat
n in the direction of effectively ad
=, ing to our gold reserve throus
!, - the sale Of bonds, and I belle
ht it will tend as far as such actit
gel can under present circumstance