The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1895-02-16
MORE BONDS.
President Cleveiand's Spe cial Mes-
sage on tho Subject.
Congress Informed That Arrangements
Have Been Made TO Dispose of t-30
Coin Bonds to the Amount
of S02. 400. 900.

WARRINGTON. Feb. 0.-The president
issued the following message to con-
gress at noon Friday:
TO THE CONGRESS or THE UNITED STATES,
Since my recent communication 70 congress
calling attention 10 our financial condition
and suggesting legislation which deemed eas
senuai 30 our national welfare and credit. tho
anxiety and apprehension then existing in
business circles have continued
Asa precaution. therefore, against the fail
ure OF timely legislative aid through congress-
ional action cautious preparations have been
pending 10 employ TO the best possible advan-
tage, In default Of better means. such execu.
tive authority as may without additional lcRis-
lation be exercised Tor the purpose OF rein
forcing and maintaining I'm our treasury an
adequate and safe gold reserve
In the judgment OF those especially charged
with this responsibility, the business situation
Is so critical and the legislative situation is so
unpromising with the omission thus far on
the part OF congress 20 benchcially enlarge
the powers OF the secretary OF the treasury Ia
the premises as 70 enioin immediate executive
action with the facilities now at hand
Therefore IN pursuance OF section S.T00 OF tho
revised statutes the details OF an arrange
ment have this day been concluded with parties
abundantly able 20 fulfill their undertaking
whereby bonds OF the United States author
lied under the act OF July H. 1873, pay
able "A coin. thirty years after their date. with
interest &c the ratio OF per cent per Gnnum
20 the amount OF little less than sd2,-
100000, arc 70 be issued for tho pur-
chase OF gold coin amounting TO q
sum slightly IN excess OF sGS 10000 10
be delivered 90 the treasury OF the United
States, which sum added to the gold now held
in our reserve will so restore such reserve as
10 make IL amount 10 something more than
SiO)0oJOO0 Such premium Is 20 be allowed
20 the government upon the bonds as 20 fix the
rate OF interest upon the amount OF gold real
ized az 81 per cent. per annum AZ least one
half OF the gold 10 be obtained is to be sup
piled from abroad, which Is q very important
and favorable feature OF tho transaction
The privilege is especially reserved TO tho
government 20 substitute at par within ten
days from this date Ia lieu OF per cent coin
bonds, other bonds IN terms payable IN gold
una bearing only per cent interest II tho
issue OF the same should IN the meantime DO
authorized by congress
The arrangement thus completed, which
after careful inquiry appears In present cir
cumstances and considering all the objects de-
sired 20 bc the best attainablc, develops such
difference In the estimation OF investors be-
tween bonds made payable Ia coin aud those
specifically made payable In gold In favor %
the latter. aud Is represented by three-fourths
OF cent Ia annual interest.
In the agreement just concluded tho annual
saving in interest TO the government II 3 per
cent gold bonds should be substituted for 4 per
dent cOin bonds under the privilege reserved.
would be s530 1870. amounting IN thirty years
or at the maturity OF tho coin bonds, to si6,-.
i7d.770
OF course, there never should be a doubt IN
any quarter as 10 the redemption IN gold OF
the bonds OF the government which are made
payable IA gold. Therefore. tue discrimina-
tion, IN the Judgment OF investors, between our
bond obligations payable In coin and those
specifically madc payable Ia gold isyory Sig
niflcgnt.
IL IS hardly necessary TO suggest that what
ever may be our Views on the subject the sen
timents or preferences OF those with whom We
must negotiate IN disposing OF our bonds for
gold are nos su blcct 70 our dictation
Ihave only TO add that IN my opinion tho
transaction herein detailed for the informa-
tion OF the congress promises better results
than tho efforts previously made IN the direc-
tion OF effectively adding q our gold reserve
through the sale OF bonds, ana / believe 10
will tend. as far A. such action can IN
present circumstances. 20 meet the de-
termination expressed In the law ropealag
the silver Purchasing clause OF the act Of July
ID 1890. and that IN the language OF such re-
pealing act the arrangement made will aid
our efforts 20 ENSURE the muintenanos OF the
parity in value OF the coins OF tho two metals
and the equal power OF every dollar at all
times In the markets and in tho payment OF
debts" (Signcdl GROVER CLEVELAND
Executive Mansion Feb. 8. 1895.
WASHINGTON, Feb. o.-Thc following
official memorandum OF the bond trans
action referred TO in the presidents
message has been made public by the
treasury department.;
Tho contract was made with August Bel
mont s. Co., OF New York, on behalf OF Messrs
y. NJ Rothschild Sons, OF London and
themselves. aud J. Il. Morgan q Co, OF
New York. on behalf OF J. S. Morgan &
Co, OF London. and themselves, and pro-
vides for the delivery 70 the United States
OF 100000 ounces OF standard gold coin
Of the United States TO be paid for In United
States per cent bonds A large number OF
other banks aud financial institutions are in
terosted In tho transaction. but their
names are not mentioned In the con-
tract itself The department does not
know IN what proportion the various par
ties are 10 furnish the gold coin or receive
the bonds. as this Is a matter for Arrangement
between themselves. by the terms % the
contract the parties are TO bear all the cx-
pcnsc OF bringing gold from abroad. and they
arc, so far as Il lcs In their power 10 exert All
thor financial influence aud make all Legitimate
efforts 20 protect the treasury against with
drnwals or gold pending complete performance
OF the contract No bonds arc 20 bo deliv-
cred except In payment for gold actually de-
liyorcd. In view or tho possible failure
OF legislation In congress negotiations
have been pending for some time here and
abroad and the terms Of this contract are the
best that could be procured with coin bond
WASHINGTON, Feb 0.--Senator Lodge
rep, Mass has (by request introduced
bill 20 provide for the issue of 81, ESQ.,
600, 900 worth OF bonds, payable IN gold
coin, nj 20 per cent. interest, 10 fun
for from ten TO twenty-five years
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