The daily morning journal and courier., 1895-02-14
FOR THREE PER CENT. BONDS
lIR. WILSON REPORTS JOINT RESO-
 LUTON TO THE HOUSE.


 Bond Contract Given-Yiews Expressed
 by Leading Bankers of New York.
 Washington, Feb. 1S.-Mr, Wilson,
 chairman of the ways and means conn
 mittee. this afternoon reported to the
 house the joint resolution agreed upon
 this morning authorizing the issuance
 of thirty year per cent. gold bond. The report accompanying the resolution
 includes a copy of the presidents re- cent message to congress upon the sub
 ject. and copy of the contract made
 by the department with the European syndicate for the purchase of the new bonds, The report says the committee has had the benefit of a conference with the secretary of the treasury, who exhibited the original contract. The report sets forth the main points of the contract and states that the object of the resolution is to authorize the sec retary of thes treasury to substitute 8 per cent. bonds for the per cents. pro vided for in the contract. The report shows that the saving to the govern ment effected by the substitution would be $539159 per year or $16,174,770 in thirty years. The report says:
 "As it is not believed by the commit tee that the issue of bonds specifically payable in gold will impose any addi- tional burden or liability upon the government than if they are made pay able in coin under it's pledge and policy to preserve the parity of the coins in the two metals the saving of this large amount becomes a matter of substan- tial moment and advantage to the gov- ernment. And as the parties to take the bonds are under contract to fur nish gold it seems no hardship on the government to contract to pay them back in the same coin that they furnish to it."
 The following is copy of the bond contract:
 This agreement entered into this eighth day of February. 1895, between the secretary of the treasury of the United States on the first part and Messrs. August Belmont & Go. of New York, on behalf of Nessrs. N. M. Roths- child & Sons of London, England. and themselves; and Messrs. J. P. Morgan & Go of London, and themselves, parties of the second part.
 Witnesseth: Whereas, it is provided by the revised statutes of the United States (section 3,70O) that the secretary of the treasury may purchase 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 advantageous to the public in- terests; and the secretary of the treas ury now deems that an emergency exists in which the public interests require that as hereinafter provided coin shall be purchased with the bonds of the United States of the descrip- tion hereinafter mentioned, authorized to be issued under the act entitled "An Act to Provide for the Resumption of Specie Payments" approved January IA, 1875, being bonds of the United States described in an act of congress July IA, 1870, entitled An Act to Authorize the Refunding of the National Debt; now, therefore, do the said parties of the second part hereby agree to sell and deliver to the United States three million, five hun dred thousand ounces of standard gold at the rate of 17.8441 per ounce, paya- ble in United States 4 per cent. thirty year coupon or registered bonds, said bonds to be dated February 1, 1895, and payable at the pleasure of the United States after thirty years from date, issued under the acts of congress of July IA, 1870, January 20, 1871, and Jan- uary IA, 1875, bearing interest at the rate of per cent. per annum, payable quarterly.
 First-Such purchase and sale of gold coin being made on the following CD At least one-half of all coin delivered herinunder shall be ob- tained in and shipped from Europe, but the shipments shall not be required | to exceed 0,000 ounces per month. un- less the parties of the second part shall l thereto @ All deliveries shall l be made at any of the sub-treasuries or 1t any other legal depository of the | United States. (9 All gold coins deliv- sred shall be received on the basis of l .5.S grains of standard gold per dollar f within the limit of tolerance (4 l Bonds delivered under this contract are U pC hSilNOi Cp lAeG Ol dCCFueu inter- est, which Is to be assumed and paid oy the parties of the second part at he time of their delivery to them.
 Second-Should the secretary of the treasury desire to offer or sell any ponds of the United States on or before October 1, 1895, he shall first offer the 'ame to the parties of the second part, ,ut thereafter he shall be free from very such obligation to the parties of he second part.
 Third-The secretary of the treasury hereby reserves the right, within ten lays from the date hereof, in case he hall receive authority from congress herefor, to substitute any bonds of the United States bearing per cent. inter- st, of which the principal and interest hall be specially payable in United ;tates gold coin or the present weight nd fineness for the bonds herein allud- d to, such per cent. bonds to be ac- opted by the parties of the second part t par. i. e., at $1S.6O465 per ounce of tandard gold
 Fourth-No bonds shall be delivered 0 the parties of the second part or ither of them except in payment for oin from time to time received hereun- CT, whereupon the secretary of the raesury shall and will deliver the bonds