Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1895-10-04
THE BOND CONTRACT.
Terms of CarIisle's Contract with
the SYndtcate.

Tue terms OF the agreement entered
into last February by the Treasur.
Department and the bond syndicate
1t is as follows:
This agreement, entered into The
sth day of February, 1895, between
the Secretary of the Treasury of thu
United States, of the first part, ant
Messrs. August Belmont & Co., of New
York, on behalf OF Messrs. N. NJ
Rothschild & Sons, of London, Eng.
land, and themselves, and Messrs. j
P. Morgan & Co., Of New York, OIL be.
half of Messrs. J. S. Morgan & Co., oi
London, England, and themselves, par.
ties of the second part.
Witnesseth: Whereas, 1t is pro.
vided by the Revised Statutes of the
United States (section 3,700) that the
Secretary of the Treasury may pur-
chase coin with any of the bonds or
notes of the United States authorized
by law, at such rates and upon such
terms as he may deem most advantag-
eous to the public interests; and the
Secretary of the Treasury now deems
that an emergency exists in which the
public interests require that, as here
matter provided, coin shall be pur-
chased with the bonds OF the United
States of the description hereinafter
mentioned, authorized to be issued
under the act entitled AN act to pro-
vide for the resumption Of specie pay.
ments," approved January IA, 1875,
being bonds of the United States de-
scribed in an act of Congress, approved
July IA, 1870, entitled. can act to au-
thorize the refunding of the national
debt; now, therefore, do the said par
ties of the second part hereby agree
to sell and deliver to the United States
3,5OO,O 600 ounces of standard gold coin
OF the United States, at the rate of
$l7.SO441 per ounce, payable in United
States per cent, 3O.year coupons, or
registered bonds, said bonds to be
dated February l, 1895, and payable at
the pleasure OF the United States after
30 years from date, issued under the
act of Congress OF July IA, 1870, Janu-
ary 20, 1871, and January IA, 1875,
bearing interest at the rate of 4 per
cent. per annum, payable quarterly.
First-Such purchase and sale of
gold coin being made on the following
conditions:
l. At least one-half of all coin de-
livered hereinunder shall be obtained
in and shipped from Europe, but the
shipments shall not be required to ex-
ceed 100000 ounces per month, unless
the parties of the second part shall
consent thereto.
2. All deliveries shall be made at
any of the subtreasuries, or at any
other legal depository OF the United
States.
3. All gold coins delivered shall be
received on the basis OF 25 $40 grains
OF standard gold per dollar, if within
the limit of tolerance.
4. Bonds delivered under this con-
tract are to be delivered free of accrued
interest, which is to be assumed and
paid by the parties OF the second part
At the time of their delivery to them.
Second-Should the Secretary OF
the Treasury desire to offer or sell any
bonds of the United States on or be-
fore October l, 1895, he shall FIRST Of
fer the same to the parties of the sec.
ond part; but thereafter he shall be
free from every such obligation to the
parties OF the second part.
Third-The Secretary OF the Treas.
ury hereby reserves the right, within
10 days from the date hereof, in case
he shall receive authority from Con.
gress therefor, to substitute any bonds
OF the United States bearing 8 per
cent. interest, of which the principal
and interest shall be specifically pay
able in United States gold coin of the
present weight and fineness for the
bonds herein alluded to; such 8 per
cent. bonds to be accepted by the par
ties OF the second part at par. j. e., at
$18.60465 per ounce OF standard gold.
Fourth--No bonds shall be delivered
to the parties OF the second part, or
either OF them, except in payment for
coin from time to time received here.
under, whereupon the Secretary of the
Treasury of the United States shall
and will deliver the bonds as herein
provided, at such place as shall be des-
ignated by the parties OF the second
part. Any expense of delivery out OF
the United States shall be assumed
and paid by the parties of the second
part.
Fifth-In consideration of the pur-
chase of such coin, the parties Of the
second part and their associates here.
under assume and will bear all the ex-
pense and inevitable loss OF bringing
gold from Europe hereunder, and, as
far as lies in their power, will exert all
financial influence and will make all
legitimate efforts to protect the Treas
ury of the United States against the
Withdrawals of gold, pending the COM
plcte performance of this contract.
In witness whereof the parties here.