The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1895-01-28

cations for purposes not related to the
benefit of our government. or our people.
The principal aud interest of these
bonds should be payable on their face in
gold, because they should be sold only
for gold, or its representative, and be-
cause there would now probably be diff
Guilty in favorably disposing of bonds
not containing this stipulation 1 sug-
gest that the bonds be issued in denomi-
nations of twenty and fifty dollars and
their multiplies, and that they bear
interest at rate not exceeding
per cent per annum. l do
net see why they should not be
payable fifty years from their date. We
of the present generation, have large
amounts to pay if we meet our obliga-
tions and long bonds are most saleable.
The secretary of the treasury might
well be permitted at his discretion to re-
ceive on the sale of bonds the legal ten
der and treasury notes to be retired, and
of course, when they are thus retired or
redeemed in gold, they should be can
celled.
National Banks.
These bonds under existing laws could
be deposited by national banks as secu-
rity for circulation, and such banks
should be allowed to issue circulation up
to the face value of these, or any other
standing bearing only 2 per cent interest,
and which sell in the market at less than
par.
National banks should not be allowed
to take out circulating notes of d less
denomination than ten dollars, and when
such as are now outstanding reach
the treasury, except for redemption,
and retirement, they should be cancelled
and notes of the denomination of SO and
upward issued i'll their stead. Silver GER
tihcates Of the denomination of $40 and
upward should be replaced by certificates
OF denominations under $40.
AS a constant means for the mainten-
ance of reasonable supply of gold IN
the treasury, our duties on imports
should be paid in gold, allowing all other
duties to the government to be paid il
any other form of money.
l believe all the provisions | have sug-
gested should be embodied in our laws If
we are to enjoy IA complete reinstatement
of a sound financial condition. They
need not interfere with any currency
scheme providing for the increase of cir
culating medium through the agency of
national, or state banks, since they can
easily be adj justed to such scheme.
Objection has been made to the issuance
of interest bearing obligations for the
purpose of retiring the non-interest bear
ing legal tender notes.. In point of fact
however, these notes have burdened us
with large load Of interest. and it is still
accommodating.
The aggregate interest on the orig inal
issue of bonds, the proceeds of which ii
gold constituted the reserve for the pay.
ment of these notes amounted to $79,9
326.250 on January l. 1895, and the IN
nual charge for interest on these bonds
and those issued for the same purpose
during the last year will be 80, $4,000,
dating from January I, 1895
While the cancellation of these notes
would not relieve Us from the obligations
already incurred on their account, these
figures are given by way of
suggesting that their existence has
not been free from interest charges and
that the longer they are outstanding,
judging from the experience of the last
year, the more expensive they will be-
come.
He Hate to do II.
In conclusion | desire to frankly con-
fess my reluctance to issuing more bonds
in present circumstances, and with no
better results than have lately followed
that course. l cannot, however. refrain
from adding to an assurance of my
anxiety to cooperate with the
present congress in any reas-
enable measure of relief, an
! expression of nv determination to leave
nothing undone which furnishes a hope
for improving the situation, or checking
a suspicion of our disinclination, or dis
ability to meet with the strictest honor
every national obligation. (Signed)
GROVER CLEVELAND.
lie Executive Mansion, Jan. %, 1895.