The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1895-01-29
APPEALS TO CONGRESS-
Cleveland Advises an Amend
ment of the Bond Law.
ANOTHER LARGE BOND ISSUE.
He Fears the Time is Coming When
1t will be Hard to Dispose
of Bonds.
ANOTHER LARGE BOND ISSUE.


Associated Press.
Washington, Jan. 2S.-The president
sent a message to congress today call
ling attention to the necessity of inn
mediate legislation for the protection
of the treasury from further depletion
Of the gold reserve The president says
the real trouble which confronts us
spread and constantly increasing, in the
continuing ability or disposition of the
government to pay its obligation in
gold. This lack of confluence grows to
some extent out of the palpable and ap.
parent embarrassments attending the
government under existing laws to pro.
cure gold, and 20 greater extent out
Of the impossibility of either keeping 1t
in the treasury or cancelling obligations
by it's expenditure after 1t is obtained.
The only way left open to the governs
ment for procuring gold is by an Issue
and sale of bonds. The only bonds
uhat can be issued were authorized
nearly twenty-five years ago, and are
not well calculated to meet our present
needs. Among other disadvantages
they are made payable In coin, instead
Of specifically In gold, which in the ex-
listing conditions detracts largely and
increasing the ratio from their desir-
ability as investments. 1t is by no
means certain that the bonds of this
description can be much longer dis
posed of at price creditable to the
financial character of our government
The most dangerous and irritating fea-
ture of the situation, however, is found
in the means by which the treasury is
despoiled of gold, thus obtained with
out cancelling a single government OBJ
legation and solely for the benefit of
those who may find profit by shipping
II abroad. We have outstanding about
s5OO,O0O,0OO In currency notes.
The president, after reviewing the
condition of the treasury says:
certainly should be paid in gold
amounting to nearly S5OO,OOO,OcO, there
will fall due in 1904 hundred million
dollars issued during the last year for
which we have received gold, and In
1907, nearly $6O0,OOO,OOO four per cent
bonds issued In 1877. Shall the pay.
ment of these obligations in gold be
If they are to be paid
in such manner as the preservation of
our national honor and national sol.
vency demands, we should not destroy
or even imperil our ability to supply
with gold for that purpose
While 7 am not unfriendly to silver
and while l desire to see 1t recognized
to such an extent as Is consistent with
the financial safety and preservation
Of the national honor and credit, l am
not willing to see gold entirely banished
from our currency and finances. 10
avert such consequence / believe a
and radical remedial leglsla-
ton should be promptly passed. i
therefore beg congress to give the sub
iect immediate attention. In my opin-
lon the secretary of the treasury should |
be authorized to issue bonds Of the gov
for the purpose of procuring
and maintaining sufficient gold re-
serve, and the redemption and cancel |
lation Of United States legal tender
notes and treasury notes issued for the
of silver under the law of
July IA, 1890.
we should be relieved from the hui
initiating process Of issuing bonds to
procure gold to be Immediately and
drawn on these obligations
lor purposes not related to the benefit
'f our government or our people. The
principal and interest on these bonds
should be payable on their face In
sold, because there would now probably
be difficulty Of favorably disposlne
If the bonds not containing this stip.
llation. l suggest the bonds be used In
Of $40 and $50 and their
and that they bear interest
lot to exceed three per cent per an
ium. l do not see why they should
iot be made rayable so years from their
late. The secretary Of the treasury
night well be permitted at his discre-s
ion to receive on the sale Of bonds,
egal tender and treasury notes TO be
retired. and Of course when they are
ihus retired or redeemed by gold they
hould be cancelled, These bonds under
existing laws could be deposited by
national banks as security for clrcula-
ion, and such banks should be al
owed to issue circulation up TO the
face value Of these or any other bonds
70 deposited. except bonds OUTSTANDING
bearing only per cent interest and
which sell in the market at less than
par. The national banks should not
'e allowed TO take out circulating notes
4 less denomination than SO and wher
'uch are are now outstanding reach
he treasury except for redemption,