The weekly intelligencer. [volume] (Lexington, Mo.) 1891-1901, 1895-02-02

extent as Is consistent with financial safety
aud the preservation Of rational honor aud
credit. am not willing Ia gold entirely
bani-hed from our currency and finances.
In my opinion the secretary OF the treasury
should be authorized to issue bonds OF the gov
erument foT the purpose OF procuring and main
tanning u sufficient gold reserve and the re-
dempt lou and cancel tion OF the United States
legal tender notes and the treasury notes issued
for the purchase Of silver under the law OF July
II, 1895. We should he relieved from the
humliatng process Of issuing bonds to
procure gold To be Immediately and repeatedly
drawn out these obligations for purposes
not related to the benefit Of our government or
our people The principal and interest Of these
bonds should be payable on their face In gold,
because they should he sold only for gold or It's
representative aud because there would now
probably be difficulty In favorahly di>postng OF
bonds not containing this stipulation.
l suggest that the bonds be issued in de-
nominations Of 80 and ~ and their multiples,
and that they bear interest at - rate not ex-
ceeding per cent. per annum. 1 do not see
why they should not be payable hfty years
from their dates. We Of the present gen
GRAFTON have largo amounts to pay IL we
meet our obligations. and long bonds
ore most Selsbie. The secretary OF the
treasury might we'll be permitted at
his discretion to receive on the sale OF bonds
the legal tender and treasury notes to be re-
rtrsd. and OF course when they ara thus retired
or redeemed In gold they should be Cancelled.
These bonds under existing laws could be de-
posted IN national banks as security for circu-
lstion up to the face value OF these or any other
bonds 50 deposited except bonds outstanding
hearing only per cent. interest ana which sell
in the market ut less than par.
National banks should not be allowed to take
out circulating notes o! a less denomination
than go, nnd when such now outstand-
ing reach the treasurer. except for redemption
and retirement. they should be cancelled. and
notes Of the denominetio OF $40 and upwards
issued In their stead Silver certificates OF the
denomination of $40 and upwards should be re-
placed by certificates Of denomination under
si0.
Objection has been made to the issuance OF
interest bearing obligations for the purpose OF
retiring the non-interest bearing legal tender
notes. Iu point OF fact. however. these notes
have burdened us with large amount OF in
tsrsst and It is still accommodating.
The aggregate interest on the origi-
usl issue OF bonds. the proceeds OF
which In gold bonds. constitute the reserve for
the payment OF the notes, amounted to o7J. csn, =
s50 ON January ]. 1895, and the annual charge
for interest on these bonds and those issued
for the same purpose during the last year will
be =. les 90. dating from January I. 1875.
While the cancellation of these notes would
not relieve US from the obligations already In
ourred on their account, these figures are given
by way Of suggesting that their existence has
NOT beon free from interest charges. ana that
the longer they are outstanding. judging FROM
the experience of the last year. the more er-
peusive will they become.
In conclusion desire 10 frankly confess my
reluctance to issuing more bonds In present
circumstances and with no better results than
have lately followed that course. i can
not. however, refrain from adding ta
assurance OF my anxiety to Cooper
ate with the present congress la any
reasonable measure OF relief expression
of my determination to leave nothing undone
which furnishes hope for improving the sltu-
alton or checking suspicion Of our disinclina-
tfon or disability to meet with the stricies,
honor every national obligation.
GROVER CLEVELAND
The Executive Mansion. January ss. 1882