The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-06-17
THE NEW ISSUE OF BONDS
FULL INFORMATION FOR THOSE
WANTING TO SUBSCRIBE.
Blanks and Complete Instructions to
Be Had at the POstOfiice and at
ANY of the National Banks.


understanding of the issue of new govern
ment bonds, the manner of obtaining them
and their value. 1t is evident that the
Treasury Department believes this to be a
condition over the whole country, for it has
sent out leaflets and an open letter signed
by Secretary Gage, the object of which is
to make the matter clear. Postmaster Hess
has received a consignment of this printed
explanation. General interest in the bonds
has been shown in indianapolis, possibly
because so small a sum as $40 may be in
vested in them, and for the benefit of the
public at large the Journal prints tire leaf1et
and the letter from the Treasury Depart
ment. The leaflet is entitled Facts About
Government Bonds,' and is as follows:
United States bonds are recognized as
the most secure and stable form of obliga-
ton that investors can hold. They are at
tractive, not only because of the absolute
security offered, but because there is at all
times a public market for them on which
holders can quickly sell; and they also offer
the most desirable form of collateral If the
holder wishes to secure temporary loan:
The TACT that United States bonds are not
subject to taxes of any character-federal,
state, or muncipal--is valuable feature
of that form of investment. United states
bonds issued in both coupon and regis
tered form.
"a coupon bond is payable to the bearer.
1t may be bought and sold without formal,
ity as freely as any kind of property and
without Endorsements of any kind Owing
to the freedom of transfer, coupon bonds
are usually preferred by persons who ex-
pect to hold them but short time. Their
disadvantage for the person who wishes TO
make ,i be Tds+ lies fto tne
in which case the loss to the owner would
be as complete as would be the loss OF a
bank note. The coupon bonds take their
name from the method by which interest is
collected by the holder.
Printed on the same sheet with the bond
t. nfn nTs
of interest due, which are so designed that
one is cut off at each interest period. Each
coupon bears the number of the bond and
shows the date of the coupons maturity
The holder of coupon bond, at each in
terest period, detaches the coupon due that
day and collects it, The coupons are paya-
BILE at any subtreasury, and may be col
lected through any bank. and will usually
be accepted by any merchant having pank k
account with whom the holder of the bond
has dealings. The holder of coupon BOND
may at any time have it converted into
registered bond free of charge.
REGISTERED BONDS
"a registered bond is payable to the or
der of the owner, and can only be trans
ferred by being properly Endorsed and as
signed by the owner. Such assignment is
made by the owner filling in the blank form
on the back of the bond, and must be wit
messed by some officer authorized by the
regulations of the Treasury Department to
witness assignments. The owner of the reg
istered bond who wishes to part with it
writes his name on the back of the bond in
the presence of the officer; then the wit
Messing officer writes his name in its proper
place and affiXes an impression of his Off
cial seal.
THE officers who are authorized to wit
ness assignments United States judge,
United States district attorney, clerk of a
United States Court collector of customs,
COLLECTOR or assessor OF In5ernal
urer, or the president or cashier of a ma
tional bank, or if in a foreign country,
United States minister or consul. In cases
where there is no officer within a reasonable
distance, or when, through sickness or for
some other good reason, the owner of regis
tered bonds cannot 90 before one of these
officers the Treasury Department will des-
ignate some person near the owner to act
when the owner of a registered bond
disposes of it and has properly assigned it,
he delivers it to the new owner, who should
treasury for transfer on the books of the
department. The register cancels the bond
so forwarded and issues new bond in the
| name of the new owner. and sends it to him
by registered mail. The department makes
| no charge for transferring bonds.
IF the owner of a registered bond loses
it. or if it is stolen from him, he should at
once notify the secretary of the treasury.
Stoppage will be entered against the
bond and If it should be presented for
transfer, the department will hold possess
sion OF the neha unf at o WEES hon as
| is not recovered within six months, the de-
partment will issue duplicate bond upon
proof of loss and bond of indemnity being
| furnished.
PAYMENT OF INTEREST
'The interest on registered bonds is paid
| by the government by means of checks. In
| order that no mistake may be made in the
| payment of interest, the books of the de-
partment are closed for period, varying
according to the Importance Of the loan.
| The books of the per cent. loan of 1907 are
| closed for the whole month preceding the
| payment of a quarters interest. On other
| loans the books are closed for fifteen days
preceding the interest payment. During
| this period no transfers are made, and the
| time is devoted to preparing schedules
| which contain the names of the owners, the
amount of bonds each one holds and the
amount of interest due each one When
| these schedules have been prepared and
proved they are sent to the treasurer of the
| United States who Immediately has checks
and envelopes addressed and in due time
| each check is mailed to the address of the
owner The checks for the more distant
| points are first mailed. Interest checks are
| obligations of the United States and OF
| course, are good everywhere.
Coupon bonds are issued in denomina-
/ tions of 500 $780, $500 and $1,000. Registered
| bonds are issued in denominations of $40,
| 500 $780, 81 ,000 5000 and $1,000
| will be sold to subscribers at par during
/ the period of subscription, which ends July
| II, 1898. The method of subscription has
/ been made as simple as possible. Blank
| forms may be obtained at every money
| order postoffice and at most of the banks