The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1895-01-29


ton Of the question now pressing on us re-
silver and a concession OF its Importance
rightfuily or wrongfully acquired. as
OASIS or national credit, necessity In the
honorable discharge OF our obligations pay
able in gold and badge Of solvency: 1 do
not understand that the real friends OF silver
desire condition that might follow In
action or neglect to appreciate the meaning
or the present exigency IL 1t should result
in the entire Punishment of gold from our
financial and currency arrangements
Besides the treasury notes, which certain
~ should be paid in gold. amounting to
one hundred millions of bonds issued during
the last year, for which we have received
gold. and in 1907 nearly six hundred I'LL MI
gold be repudiased? If they are 10 be paid
our national honor and national solvency
demands we should not destroy or even
imperil our ability to supply ourselves with
While / am not unfriendly to silver.
and while desire to see il recognized TO
financial safety and the preservation or
national honor and credit, not willing
currency and finances. To avert such a
consequence l believe thorough and radical
remedial legislation should be promptly
passed: l therefore BEG the Congress to
give the subject immediate attention. In
my opinion the Secretary of the Treasury
should be authorized to issue bonds of the
government for the purpose of procuring
and maintaining sufficient gold reserve and
United States legal-tender notes and the
treasury notes issued for the purchase OF
silver, under the law of June IA; 1890, We
should be relieved from the Illuminating
process of issuing bonds TO procure gold
to be immediately and repeatedly drawn
out on these obligations for purposes not
related to the benefit of our government
or our people. The principle and interest
"a is s o1ndi pc hoa en- so
only for gold or its representative and be-
cause there would now be difficulty in ia
this stipulation. / suggest that the bonds
be issued in denominations of twenty and
fifty dollars and their multipies. and that
they bear interest at rate not exceeding
they should not be payable nifty years from
ton have large amounts to pay If we meet
our obligations, and long bonds are most
might well Be I permitted at his discretion
to receive on the sale of bonds the legal
tender and treasury not, notes to ,b be retired i
redeemed in gold they should be cam
celed
COULD BE USED BY BANKS.
These bonds under existing laws. could
be deposited by national banks as security
for circulation and such banks should be
allowed to issue circulation up to the face
value of these or any other bonds so de-
posted, except bonds outstanding 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 a 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 ten dollars and upwards issued in their
stead. Silver certificates of the denomina-
ton of ten dollars and upwards should be
replaced by certificates of denominations
under ten dollars. As constant means for
the maintenance of reasonable supply OF
gold in the treasury, duties on imports
should be paid in gold, allowing all other
duties to the government to be paid in any
other form of money.
! believe all the provisions l have sug-
gested should be embodied in our laws IL
We are to enjoy a complete reinstatement
not interfere with any currency scheme
provided for the increase of the circulat-
tional or State banks since they can easily
be adjusted to such scheme. Objection
has been made to the issuance of interest
bearing obligations for the purpose of re-
firing Notwithstanding legal tender
notes In point of fact, however, these
notes have burdened us with a large load
of interest and 1t is still accommodating.
The aggregate interest on the original
issue of bonds, the proceeds of which. in
gold constituted the reserve for the pay
ment of these notes. amounted to $7e.326,-
$50, Jan. 1, 1885, and the annual charge
sued for the same purpose during the last
year will be $9,145,000. dating from Jan. 1.
1895. While the cancellation of these notes
would not relieve us from the obligations
already incurred their account, these
figures are given by way of suggesting that
their existence has not been free from in
terest charges and that the longer they
outstanding, judging from the experience
of the last year, the more expensive they
will become.
In conclusion / desire to frankly con-
fess my reluctance to issuing more bonds
in the present circumstances and with no
better results than have lately followed
that course. l cannot. however, refrain
from adding to an assurance of my anx-
iety to cooperate with the present Con-
gress in any reasonable measure of relief.
an expression of my determination to leave
nothing undone which furnishes hope for
improving the situation or checking
picion OF our disinclination or disability TO
meet with the strictest honor every national
Obligation. GROVER CLEVELAND.