The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-02-13

WASHINGTON, q. c., Feb. 8-The presi-
| dent today sent the following message to
congress:
To the Congress Of the United States:
Since my recent communication to con-
gress calling attention to our financial con-
| dition and suggesting legislation, which
| deemed essential to national welfare
and credit, the anxiety and apprehension
| then existing in financial circles have con-
| tinued
LAS a precaution, therefore, against the
| failure of timely legislative aid through
| congressional action, cautious preparations
| have been pending to employ to the best
| possible advantage, in default of better
means, such executive authority as may,
without additional legislation, be exercised
for the purpose of reinforcing and main
tanning in our treasury adequate and
safe gold reserve.
In the judgment of those especially
charged with this responsibility, the bust
ness situation is so critical and the legis-
latVe situation is so unprOmisng with the
omission thus far the part of congress
to benefcially enlarge the powers of the
secretary Of the treasury in the premises,
as to enjOin
IMMEDIATE ACTION
with the facilities now at hand.
Therefore, in pursuance Of section 300 Of
| rangement have this day been concluded
with parties abundantly able to fulfil their
undertaking, whereby bonds of the United
States authorized under the act of July A.
1875, payable in coin, 80 years after their
date, with interest at the rate of per
cent per annum, to the amount of a little
less than $62, 600 are to be issued for the
purchase of gold coin amounting to sum
slightly in excess of $65 600, to be de-
livered to the treasury of the United States,
!, <h,, .laEt Mold
the reserve, will rest in such reserve as
to make it amount to something more than
$1,000 900. Such premium is to be allowed
to the government upon the bonds as to fix
the rate of interest upon the amount of
gold realized at the rate Of 3A per cent
per annum. At least one-half of the gold
to be obtained is to be supplied from
abroad, which is very important and ia
vorable feature of the transaction.
The privilege is especially reserved to
the government to substitute at par within
10 days from this date in lieu of the per
cent coin bonds other bonds in terms pay
able in gold and bearing only 3 per cent
if the issue of the same should in the mean
time be authorized by the congress.
THE ARRANGEMENT COMPLETED
which, after careful inquiry, appears in
present circumstances and, considering all
the objects desired, to be the best attai1a-
BILE develops such difference in the esti-
nation of investors between bonds made
payable in coin and those specifically pay
able in gold in favor of the latter as is
represented by three-fourths of cent in
annual interest. In the agreement just
concluded the annual saving in interest to
the government, if per cent gold bonds
should be substituted by per cent coin
bonds under the privilege reserved, would
be $3.50, 159, amounting in 80 years. at the
maturity of the coin bonds, to $751; 10 Of
course, there never should be a doubt in
any quarter as to the redemption in gold
of the bonds of the government which
made payable in coin. Therefore the dis
elimination in the judgment of investors
between bond obligations payable in
coin and those specifically made payable in
gold is very significant. 1t is hardly neces-
sary to suggest that whatever may be cur
views the subject, the sentiments
preferences of those with whom must
negotiate in dispOsing of our bonds for
gold not subject to our dictation.
Il have only to add that, in my opinion
the transaction here intmated for the in
formation of the congress promises better
results than the efforts previously made in
the direction of effectively adding to our
gold reserve through the sale of bonds;
and I believe it will tend as far as such
action can, in present circumstances, to
meet the determination expressed in the
law repeating the silver purchasing clause
of the act of July IA, 1890, and that i'll the
| language of such repeating act, the ar
| insure the maintenance of the parity in
value of the two metals, and the equal
| power of every dollar at all times in the
markets and in the payment of debts
"GROVER CLEVELAND
Executive Mansion Feb g. 1895"