New-York tribune., 1901-04-01
ISSUES OF CUBAN BONDS.
WIDESPREAD INTEREST IN CONVEN
TONS FINANCIAL ACTION.

The most frequent inquiry is made regarding the
'noan bonds issued by the various revolutionary
luntas- il is assumed that when the Cuban repub-
nc is established these bonds will be paid. Per-
sons IN Aew-York and Havana are said TO be bring
ing pressure on the constitutional convention 10
1orm a government soon in order that they NAV
hot nave TO wait longer to realize their Cuban
investments or speculations The constitution as
framed and adopted by the convention covers this
subject The restriction in the Platt amendment
against contracting debts would not prevent the
payment Of any obligation incurred by the Cuban
Junt2s or revolutionary governments since the be-
ginning Of the last insUrrection, which is officially
placed at February. 1895. But obligations contract
ID previous 10 this insurrecton not been rec
ognized by the present constitutional convention
50 far as can be learned there three classes
of Cuban bonds which made the basis OF specu-
lation. Two Of these are xof the issues made in
the Ten Years War The third class was issued in
The last insUrection. OF the Ten Years Mar issue
i2ere are a number OF stock certificates issued i'm
1862 payable 10 bearer. which have no coupons
attached 10 them. They are printed in Spanish
on the face and English on the back. They are
signed BY Jose Morales Lemus. president of the
Junta at the date of issue. and also by J. l. Basada
secretary. and r. Fesser treasurer They are
known as the green bones. because that the
color OF the certificates. The amount authorized
by The Cuban Junta OF that date was s20oHa 00o
but il is said thar only 100000 was issued.
TOTAL BONDED DEBT OF ISLAND
Then there were the bonds OF 49,. which have
wording Which
Spanish. They are signed by tWo members OF the
junta OF that date-R. Cespedes and jose N.
Nayorga-as commissioners. There were three de-
nominations-those OF the $500 bonds red. the
$1,000 in blue and the $4,000 in white. Il IS not
known that these ever GOT into circulation. bond
dealer in a recent circular says that the price OF
these bonds iuctuates with the news from Cuba,
and quotes the issue OF 1863 2i2 per cent. Se5
per 5000, and the issue 81 1872 al per cent. or
SO per 5000 The bond cealer says he considers
rhem an excellent speculation. and believes they
Will be ultimately paid on with interest; as the old
Mexican bonds were. He says that the old MeNt-
can Republic bonds were first repudiated and
sold down 10 SO each. but were afterward recog-
nlzed al par and accrued interest and netted the
holders about 80 per cent % the face value. The
circular declares there b. doubt about these
bonds being moral obligation the people Of
Cuba which they Will honor in time The dealer
says that the total issues OF all kinds of Cuban
Republic bonds which enabled the people 10 gain
their freedom about 100000. This included
the issue made IN the last insurrection
II may be pity 10 destroy TIE speculation, but
there is no why the price OF the Cuban bond
issues Of 1853 and 1872 should the price OF
these bonds TO huctuate with the news from Cuba.
The news which should have ended the huctuauon
came six weeks ago when the constitutional con-
vention perfected and adopted TIE constitution.
which when the Plat amendment is accepted. Will
be the organic law OF the republic The article
regarding debts and obligations specifically re-
stricts those which shall be recognized and for
Congress 10 those contracted since February 1856
the OF the last insurrection. The CONSTRUCTION
Issues mace 3y ou6an 9Gn'as duFins ms len ears 3
would be removed by the recor Is Of the cJnsitu-
were offered to include obligations contracted IN
previous instructions, and were voted down.
THE ISSUE OF PLEDGES IN 1886.
Regarding the Cuban bond issue OF 1886. much
greater interest IS shown by American officials in
cuba last winter, and members OF the Senate Com
Inittee Cuban Relations were told that II was
the purpose 70 recognize the obligations incurred
ne head md "a the rnr-atfrg inslIrgent govern
forces which had their headquarters ~ the
eSSr MADE s5S bond @ issue e Ther Obligations relate
10 nc payment OF the insuTgent troops. . 80
amount Of thes Cuban Junta's bond issue OF 1885
Estrada Palma deiegate. and b r Guerra treas-
urer ot The JGnta These bonds are Of the lace
raised whether the printing presses might not have
Solemn and apparently satisfactory assurances
were given 10 the American officials that the plates
had been deposited with a safety deposit company
snd that there was no POSSIBILITY OF spurious issue
intervention the affairs OF Cuba. The assurance
also given that record was kept OF every
which would able il 10 be identifed b. r Guerra.
me e 81 b tfs fras nI % fsa Is m m ae
republic, ~ -''-''
SPECTATORS TRYING TO Buy.
The face value OF this later issue Of Cuban bonds
members Of the Senate Committee. These bonds
were sold anywhere from 10 cents 10 50 cents on
The dollar. according 10 the degree Of patriotism
which was exhibited IN taking them up A good
among The cigarmakers Of Tampa. Key West and
EeN-4ork These paid regular assessments 70 the
local JCutas, and sometimes ia burst OF enthusi-
asm special subscription would be taken up and
a considerable amount of the bonds bought At
fhe time n Was not thought that the holders would
realize on them. but the cigaImakerS kept their
oeruncatcs as souvenirs % patriotism. IN the last
"a 2I elsai months speculatcrs have tried 20 buy
on fhe dollar, but The cigarmakers have refused
'-..i /. tpI, ,loh ls aala 10 te II ne hands
- tWo uf trror steamship companies and Of indi-
irE They aINavs exactei heavy ca indemnity
for the use of their vessels and took nttle risk
lnent oi as an additional gratuity. Probably the
larEer amount ~ the cuban bond issue OF 1896 IS
Is that when the future cuban Congress comes TO
pass upon the various obligations Of the Cuban
ments. Viii subject the bond issues 10 a rigid
scrutlEy. that the value still largely specu-
,n the cuban troops. rather than for the recogni-
'lban revolutionary Obligations have connection
with the Spanish-Cuban bonded debt This is the
down the various insurrections and the total
amount runs, according 10 the estimates, anywhere
TO nave the ouban constitutional convention spe-
clfca4ly repuoiate any recognition OF this debt,
tne treaty az Paris repudiated II. The Cubans,
however conienced that the article in the consti-
nlzed was sufficient reputation of all other OBJ
legations, and so no mention made OF this debt.
EUROPEAN COUNTRIES HOLDINGS.
II IS perfectly well understood that when any
kind OF Cuban government is set up the Euro
pean governments viii seek 10 have the status Of
this bonded debt determined. VIII press for its
recognition by Cuba That Is one OF the interesting