The Iola register. [volume] (Iola, Allen County, Kansas) 1875-1902, 1895-02-01

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 be sold only for gold or its
representative and because there would now
probably be difficulty in fsvorably disposing Of
bonds not containing this stipulation.
suggest that the bonds be issued in de-
nominations OF $50 and $50 and their multiples,
and that they bear interest at a rate not ex-
ceeding per cent per annum. do not see
why they should not be payable fifty years
from their dates. We OF the present gen.
GRAFTON have large amounts to pay II We
meet our obligations, and long bonds
are most salable. The secretary Of the
treasury might well be permitted at
his discretion to receive on the sale OF bonds
the legal tender and treasury notes to be re-
tired, and Of course when they are 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 cireu-
lation up to the face value OF these or any other
bonds so deposited except bonds outstanding
bearing only 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 less denomination
than $40, and when such as are now outstand-
ing reach the treasurer, except for redemption
and retirement, they should be cancelled, and
notes of the denomination Of so and upwards
issued in their stead. Silver certificates of the
denomination of $40 and upwards should be re-
placed by certificates Of denomination under
$40
Objection has been made to the issuance OF
interest bearing obligations for the purpose OF
retiring the nOn-intereSt bearing legal tender
notes. In point Of fact, however, these notes
have burdened US with a large amount Of in
terest and it Is still accommodating
The aggregate interest on the Origi-
nal issue Of bonds, the proceeds Of
which in gold bonds, constitute the reserve fer
the payment of the notes, amounted to $40, 326,-
$50 on January l, 1895, and the annual charge
for interest on these bonds and those issued
for the same purpose during the last year will
be s9.I45, 600 dating from January /. 1895
While the cancellation of these notes would
not relieve us from the obligations already in
CURED 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 ex-
pensive will they become.
In conclusion desire to frankly confess my
reluctance TO issuing more bonds in present
circumstances and with no better results than
have lately followed that course l can
not however, refrain from adding to
an assurance of my anxiety to cooper
ate with the present congress in any
measure of srelief an expression
Of my determination to leave nothing undone
which furnishes hope for improving the stu
alton or checking suspicion of our diSinclina-
ton or disability to meet with the strictest
honor every national obligation.
GROVER CLEVELAND
The Executive Mansion. January %. 1926.