The representative. [volume] (St. Paul, Minn.) 1893-1901, 1896-06-24

300 of the Revised Statutes has no
more force in the connection In which
it has been used by the President
than would passage of law author
izing the funding of the national
debt; that it has absolutely no con-
nectiOn whatever with the tranSac-
tion; that it gives no authority for
intended for that purpose, but for a
wholly different one. It served its pur-
pose in 1862, and has never been Of any
force from that day to this,
The President uses section 300 of
the Revised Statues, which was an
act originally passed for the purpose
of authorizing the Secretary of the
Treasury to purchase coin to pay In
terest on the public debt, and to pay
other little coin demands that were
then in force against the Govern
ment.
Here is the contract. I shall not
stop to read it, but will have it in
serted as sort Of supplement to the
message:
''This agreement entered into this
Sth day OF February, 1895, between the
Secretary of the Treasury of the
United States, of the first part, and
Messrs. August Belmont & Co., of New
York, on behalf of MeSsrs. N NJ.
Rothschild & Sons. Of London Eng
land, and themselves, and Messrs. J.
P. Morgan & Co., of New York, on be-
half of Messrs. J. S. Morgan & Co., of
London, and themselves. parties of
the second part.
Witnesseth: Whereas it is provid-
ed by the Revised Statutes of the
United States (section 37OO) that the
Secretary Of the Treasury may pur-
chase coin with any of the bonds or
notes of the United States authorized
by law, at such and upon such terms
as he may deem most advantageous
to the public interest; and the Secre-
tary Of the Treasury now deems that
an emergency exists in which the pub
lie interests require that, as herein
after provided, coin shall be pur-
chased with the bonds of the United
States, of the description hereinafter
mentioned, authorized to be issued
under the act entitled "An act to
provide for the resumption Of specie
payments" approved January IA, 1870.
entitled 'An act to authorize the re-
funding of the national debt"
Now, therefore, the said parties of
the second part hereby agree to sell
and deliver to the United States
I, 5 $1,000 ounces of standard gold coin
Of the United States, at the rate of
$l7,S0441 per ounce, payable in United
States 4 per cent thirty-year coupon
or registered bonds, said bonds to be
dated February /, 1895, and payable at
the pleasure Of the United States aft
er thirty years from date, issued un-
der the acts of Congress Of July IA,
1870, January 2O 1871, and January IA.
1875, bearing interest at the rate of 4
per cent per annum, payable quarter
ly.
First. Such purchase and sale of
gold coin being made on the following
conditions:
o. At least one-half all coin deliver
able hereinunder shall be obtained in
and shipped from Europe, but the
shipments shall not be required to ex-
ceed 3UO, 900 ounces per month, unless
the parties OF the second part shall
consent thereto.
(2j All deliveries shall be made at any
Of the subtreasuries Or at any other
legal depository OF the United States.
(3) Ali gold coins delivered shall be
received on the basis Of 25S grains of
standard gold per dollar, if WITHIN
limit OF tolerance.
ca Bonds delivered under this con-
tract are to BE- delivered free Of ac-
crued interest, which is to be assumed
and paid by the parties Of the second
part at the time of their deliverance
to them.
Second. Should the Secretary of the
Treasury desire to offer or sell any
bonds OF the United States on or be-
fore the 1st day OF October, 1895, he
shall first offer the same to the par
ties Of the second part; but thereafter
he shall be free from every such obli-
TO rfi inC x>f hn
part.
Third The Secretary of the Treas
ury hereby reserves the right. within
ten days from the date hereof, in case
he shall receive authority from Con-
greSS therefor, to substitute any
bonds OF the United States, bearing 3
per cent interest, Of which the prin-
cipal and interest shall be specifically
payable in the United States gold coin
of the present weight and fineness for
the bonds herein alluded to, such per
cent bonds to be accepted by the par
ties Of the second part at par, i. e.,
at $1S.60465 per ounce of standard
gold.
livered to the parties of the second
part, or either OF them, except in pay
ment for coin from time to time re-
ceived hereunder; whereupon the
Secretary Of the Treasury of the
United States shall and will deliver
the bonds as herein provided, at such
places as shall be designated by the
parties Of the second part. Any ex-
pense Of delivery out Cf the United
States shall be assessed and paid by
the parties of the Second part.
Fifth. In consideration Of the pur-
chase Of such coin, the parties of the
second part and their associates here
under ass tine and will bear ali the ex-
pense and inevita BILE loss Of bringing
gold from Europe hereunder; and, as
far as lies in their power, will exert
all financial influence and will make
all legitimate efforts to protect the
Treasury of the United States against
the Withdrawals OF gold pending the
com plete performance OF this con-
tract
In witness whereof the parties here
to have hereunto set their hands in
five parts this 8th day of February,
1895. J. G. CARLISLE.
Secretary of the Treasury.
AUGUST BELMONT s. co.
On behalf of Messrs. N. NJ. Rothschilde l.
j. p. MORGAN & Co.,
On behalf of Messrs. J. S. Morgan & Co,
London, and themselves.
It may seem almost revolutiOnary,i
and have no doubt that IL my good