The record-union., 1895-04-19

plratlon of said time the whole sum then
unpGid shall be due and payable; but on
the I'd day of January of each year after
its date an even annual proportion of its
whole amount is due and payable upon
presentation of the coupon therefor,
until the whole is paid, with accrued in
terest at the rate of - per centum."
Now, what is accrued interest? Why,
just what Section declares it to be,
namely: 1.-The interest shall be payable
seini-annually by coupon . j on
all sums unpaid until the whole of said
principal and interest are paid"
Q.-Then you hold that as each pay
ment on the principal is made it is TO be
subtracted from the whole amount?
A.-Unquestionably The law abhors
absurdities. 1t would be absurd to make
one pay interest upon money he has not
Clearly the law is as we have stated it to
you. Ask any good lawyer and he will
tell you that the reasonable construction
of the Act" discloses the intent of The
law maker, and here the intention was as
we have stated it to you.
Q.-But at s per cent, for instance,
the partial payment interest on $l0O for
five years would be S24.
A.-Well, what
Q.-Hold on! But the calculation of
interest on the whole 500 would be $40.
Ayes.
Q.-WelI. that is the sticker.
A.-No "sticker" at all. At the end of
the fourth year you owe $40 principal.
Q.-Yes?
A:-And you mean to tell us you'd be
paying interest that year on 500?
Q.-Well, 1t isn't reasonable.
Al should say not, it would be ridic-
ulous. But supposes il were so. would
you not have the benefit of the street i'm
proyement meanwhile? Besides, friend,
II 1t was the intention of the law
that you should pay interest upon the
whole sum OF the principal for the whole
term, there would have been no provis-
ION Tor the payment of the principal in
lnstallments; the law would leave the
whole sum in your hands for the whole
term.
Q.-Yes, see it. But suppose 1 should
not make my installment payment of
principal, then the interest coupons
would not represent the sum of interest
upon The whole amount, and the con-
tractor would be out and injured SIG, the
difference between $24 and $40.
A.-Not SO. If you fail to pay the
whole bond Is forfeit and can be pro-
ceeded upon to collect it. If the holder
does not do so it is his look out.
Q.-N ho issues the bonds and keeps
the account OF the payments?
A.-Ihe City Treasurer He issues the
bonds. receives payments, and in case of
default compels payment by selling the
delinquent property.
Q.-Any fees?
A.-No. He is salaried officer. He
himself says it can easily be done in his
Office. He'd have to do do it or give
place to some one willing to do it. and
candidates for that office are always
plentiful.
Q.-How about street railway compa-
MES assessments?
A.-Ihey are treated Just as are other
taxpayers. The law prescribes in detail
now thelr street assessments are to be
laid and collected.
Q.-Ihen, as L now understand it. it is
simply an optional matter with taxpay-
ers 10 pay cash down or take time and
pay by instalIments?
A.-Ihat IS 1t exactly. The bonds are
simply scrlp-home scrip-evidences of
Indebtedness Tor work done and benefits
assured. Ihey are forced upon no one,
therefore 1t would be an unfair assump-
ton OF power for the Trustees to refuse
the people the right of paying in this
new form when any Of them wish to d O so.
Q.-Certainly, L see that clear enough.
see something more worth consldera-
ton.
A.-What is that. the gain in improve
ment?
Q.-Yes. The enhancement of values
and the Iessened taxation that will follow
extensive improvement; and the employ
ment of the plan will make a field for
labor worth all the interest that will be de-
manded. But. before go, let US figure
up sample case and see how the Thing
works.
A.-All right, shall we take frontage
Of fifty feet al 81 a foot?
Q.-Ges, that will do.
A.-Remem Der. no bond for less than
$50 can issue?
Q.-Yes, l know.
A.-N ell, a fifty-foot frontage at 50 as
seSsnent 1or hve years will be 500 pay
able in five installments of priucinsI and
ten OF interest. The result will be: