The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-02-23
THE NEW BOND ISSUE
How the Precious Securities
Are Made and Handled.
vANpERsILT's BIG HOLDINGS.
Small Cost OF Sending Ont the Bonds
Profit on Those Not Presented
for Rsdemption.
Copyright fwS


bo-ds we're opened at the treasury DEPART
nent q Washington City Secretary Car
hs-e reviewed and accepted such as Of
1erec tie government the greatest profit,
or rather the least expense in the nego-
tlation OF the loan The bidders were no.
tiled. ard word was sent 70 the chief Of the
bureau OF engraving ard printing 10 get 70
work on the bonds The plates were all
ready for printing the different deneunina-
tons. They have been ready for some time.
IL Is easy enough TO prepare plates FOR a
bond issue The designs already on hand
are used. with such minor changes IN dates
are made requisite BIZ the terms OF the
new loan. The bond designs are stereo-
typed. They are made up in the bureau
from the old stock BORDERS and wig
nettes." which fll a huge album IN the
Office OF the bureau chief. No attempt 70
make a distinctive bond design has ever
been made. In fact. there was never q
complete design for currency until the
bureau accepted the work OF Artists Shir-
law and Low recently.
The stereotyped bond designs are kept
on cylinders OF hardened steel From one
OF these the design can be transferred 10 .
soft steel plate Ia transfer press by tho
process of rolling under heavy pressure.
Then the figures. dates. etc. on the plate
can De removed and new figures and dates
put in their places. The plate is hardened
then. and from IL the altered form is trans
ferret on the press to a cylinder Of soft
steel. This cylinder is hardened IN the
furnace. and with IL many plates are made.
There Is a different plate, OF course. for
each denomination. The number Of plates
Of each design made from the cylinders Is
regulated by the demand for those de-
nominations. The smaller bonds are IN
the greatest demand. Of course, and there
fore the number OF plates for the smaller
denominations Is greater.
A Matter of Record.
The distinctive paper on which the
bonds are printed has been seasoning in
the vaults OF the bureau for a long time.
Before the work OF printing is completed
the chief VIII have a memorandum Of thu
exact number wanted and this number
will be delivered to the treasury DEPART
ment. going over In the big inclosea wagon
which carries all the government securi-
ties from the engraving bureau to tbs
treasury department The bonds are not
made complete at the bureau. The final
touch Is added at the treasury department
when the government seal IL printed on
them. The signatures on bank notes or
government currency are engraved at the
bureau and printed when the notes are
printed, but the signature OF the register
on the bonds is made at the treasury. not
by the register himself, but by one of the
clerks, who also puts his distinctive mark
on the bond when he makes record of
IT, Every bond can be traced back through
the official hands which touched II In the
process OF making and issuing IL and the
responsibility for any error placed where
II belongs. This caution Is very necessary.
since one little bond may represent $50
600 Only one bond greater than this
amount was ever Issued by the govern
rneut. and this bond now hangs on the
wall OF the offics OF tho register OF the
treasury. II was for nS.soooco. ths
amount OF the Geneva award paid by Eng
land in Satisfaction OF what were known
as the Alabama claims" This money
was paid TO Hamilton Fish rs secretary
OF state. and as congress had made no pro-
vision for the disposal OF II, he invested
IL IN government per cents, ana the sec
rotary of the treasury. for convenience
issued single bond TO him. The bond
was Cancelled when the court or Alabama
claims distributed It's awards. Beside this
bIg bond on the wall OF the registers office
hangs the oldest bond recorded IN the
treasury. II was issued February D. lins
10 John Bonneld II was for s9oo and X
was 10 run Cor three years, with interest
at per cent
An individual Holding.
This bond of si50Oo. 600 which Secretary
Fish once held did not represent py 20 per
cent. the amount of government bohas
once held by an Individual William III.
xrars.rs;it once owned Ia registered bonds
ca 600 600 The records OF the treasury
shov th,s fact. The treasury department
knows tust where all OF the registered
horas ara held. with the exception OF
ysw which are In the hands OF people TO
whom they have not been transferred
formally after purchase. The purchasers
az registered bonds do not wait very long
$780, notifying the secretary of the
treasury and going through the Formally
OF transfer, as the checks for interest Tor
the bonds are sent 10 the persons whose
names appear on the books or the treas-
ury department. on the treasury DOCKS
an account ~ opened with each person
who becomes the owner OF registered
bonds. The books are closed one month
before the time when the interest Is Que.
After the books close no transfers are
,nade until the interest checks have been
mailed. These checks are mailed prompt
lv an the day when the interest Is due.
ans they are made payable 70 order. They
can be exchanged for gold az any sub
treasury IL the payee Is Identified. Ihese
rheoks are sent out in the official envel-
ones Of the treasury department, which
Require no rostare stamps. and which are
forwarded by the postof.ice department TO
apv change OF address. In fact, the post
oSsra aepsrtrnent makes every reasonable
e~or. 60 trace the people 70 whom these
interest checks are addressed, and ~ hap
pens In bat few cases that they are not
found In those few cases the checks are
returned 10 the treasury. where they are
heIs awaiting the claim Of the owner or
The bond. But the checks. which are de-
itvered promptly IN almost every case. are
No, ssnt In promptly for collection. Peo-
Of. who own large quantities OF govern
nsns securfties are methodical in their
handling OF treasury checks and deposit
them for collection the day they are re-
oeived. But people who have compare
tiveIv email sums invested IN bonds. ana
who have no good investment in sight,
frequently save the checks Of the treasury
as a safe form Of deposit. They aceumu-
iata until the owner dies. IN soTne cases.
ana then the executor or the estate sends
,har, in In a lump. Sometimes they arc
ae..rov.zf. and then the government IL
ahend so much. often bonds are de-
s.roved. and their value II not claimed,
an. the government has been the gamer
hy ~. careIesxness Of boncho.asrs Ia Al
enormous amount
Government Profit.
II happens several times In each year
that A bead OF date preceding the civil
war comes IN for payment In some cases
.hs interest has ceased for nifty years.
A, sIruuis interest alone the holder would
- entitled TO four times the face OF the
hora but tNs government recognizes no
claim 10 interest on moaey isnt 20 II un-
ASKED and he receives only the face OF
the bond Tbs government has made
profit Of s.. 30 o or more on bonds through
the failure OF owners 90 present them for
redemption and i,s p~osts or unpaid In
t-rsst must amount 20 nearly as much.
Yet every reasonable effort Is made By the
treasury 70 paw its loan dehts Provision
Is made for the issue 90 duplicates Of both
ces1uon ard registered bonds when they