Evening star. [volume] (Washington, D.C.) 1854-1972, 1895-02-14
THE BOND CONTRACT.
All the Terms of the Agreement With
the Syndicate.

the Syndicate.
The contract entered into by the Secre-
tary of the Treasury with syndicate OF
bankers for the issue of series OF 3-l
per cent bonds is as follows:
This agreement, entered into this Sth
day of February, 1898, between the Sec
rotary of the Treasury of the United
States of the first part and Messrs. August
Belmont & Co of New York, on behalf
of Messrs N NJ Rothschild Sons of
London, England, and themselves; and
Messrs. J. p. Morgan & Co. of New York.
IN behalf of Messrs j. S. Morgan q co.
of London and themselves, parties OF the
second part; witnesseth:
Whereas it is provided by the Revised
Statutes of the United States (section 5000
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 interests; and the Secretary OF
the Treasury now deems that an emer-
gency exists in which the public interests
require that, as hereinafter provided. coin
shall be purchased with the bonds or the
United States of the description herein
after mentioned. authorized to be issued
under the act entitled An act to provide
for the resumption of specie payments
approved January Ii, 1873, being bonds of
the United States described In an act OF
Congress approved July IA, 1870, entitled
AN act to authorize the refunding of the
national debit now, therefore, the said
parties of the second part hereby agree to
sell and deliver to the United States three
million five hundred thousand ounces of
standard gold coin of the United States, at
the rate of s17.SO4H per ounce, payable in
United States per cent. thirty-year cou-
pom or registered bonds, said bonds to be
dated February 1, 1895, and payable at he
pleasure of the United States after thirty
years from date. issued under the acts of
Congress of July IA, 1870; January 20, 1871,
and January IA. 1915, 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 condi-
lions:
a. At least one-half of all coin delivered
hereinundcr shall be obtained in and ship
ped from Europe, but the shipment shall
not be required to exceed 3O0,OOO ounces per
month, unless the parties of the second
part shall consent thereto.
CD All deliveries shall be made at any of
the subtreasuries or at any other legal de-
pository of the United States.
81 All gold coins delivered shall be re-
ceived on the basis of % $40 grains of
standard gold per dollar, if within the limit
of tolerance.
a. Bonds delivered under this contract
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 before october
l. 1895, he shall first offer the same to the
parties of the second part; but thereafter
he shall be free from every such obligation
to the parties of the second part.
Third. The Secretary of the Treasury
hereby reserves the right, within ten days
from the date hereof, in case he shall re-
ceve authority from Congress therefor, to
substitute any bonds Of the United States
hearing 3 per cent interest, of which the
principal ard interest shall be specifically
payable in United States gold coin of the
present weight and fineness, for the bonds
herein alluded to; such per cent bonds to
be accepted by the parties of the second
part at par; that is, at $1SGO465 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 hereunder; whereupOn the
Secretary of the Treasury of the United
States shall and will deliver the bonds as
herein provided, at such places as shall be
designated 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 purchase OF
such coin, the parties of the second part,
ard their associates hereunder, assume and
will bear all the expense and inevitable
loss of bringing gold from Europe hereun-
der; and. 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 with
drawals Of gold, pending the complete per-
Torrance Of this contract"