The Republican. [volume] (Oakland, Md.) 1877-current, 1926-01-28

all -'uUllC ueUI IIeElS WHICH HldIuIe
and are presented for payment. Dur
ing the fiscal year 1925 there was
paid on account of the principal of
the public debt, such as, certificates
of Indebtedness, Treasury notes,
| Treasury bonds, war savings securi-
ties, Treasury savings securities, Lib
erty bonds, loan of 1925 and other
public debt items, a grand total of
S3,S1S, 100000.
The money to pay the above public
debt items was secured by the refund
ing of something over S3,000,000,0
of government securities, from the
sinking fund and other debt retire
ment items, and from the surplus in
the general fund. The net reduction
of the public debt during the fiscal
year ending June 30,1925, was 1884,
619,101. The total of all public debt
items outstanding on June 80, 1925,
amounted to S20,516, 193,SS8. There
was also paid through this division
interest coupons and checks amount
ing to S85O,OOO,OO0. The Division of
Securities also pays interest and prin-
cipal, when due, on Porto Rican and
Philippine obligations. 1t collects the
tax on national bank currency. This
division in custodian of all bonds
held by the Treasurer to secure
national bank currency, the deposits
of public moneys, postal savings and
various other bonds and securities de-
posted by the Secretary of the Treas
ury and other public officials for safe
keeping. The total of bonds and Sc
curtiies so held amounts to more than
$4,000, 100000.
The Redemption Division of the
United States Treasurer's office is
charged with the redemption of the
unfit and WORKOUT United States cur
rency. This currency consists of gold
certificates, silver certificates and
United States notes. These notes are
carefully examined as to their gen
uineness, are counted and finally de-
stroyed. This money is destroyed by
passing it through machine called
macerator. This macerator has
chemical in it which takes all the
mixing out of the paper and also has
knives that grind it up into very
fine pulp. This pulp is sold to manu-
facturers of paper. A great deal of
burnt money and pieces of notes are
also received. When three-ffths or
more Of bill is received full value
is given; if less than three-ifths but
greater than two-fifths half value is
given. The burnt money received is
in all stages of incarceration, from
the smallest recognizable fragment OF
burnt bill to whole notes that are
merely charred. There must always
be enough of a burnt note intac,
even though it be burned and charred
almost beyond recognition, to identify
it as to kind and denomination. The
amount of unfit currency redeemed by
this division during the past fiscal
wear was Sits, 636,294 or 566, ,692
notes of the several denominations.
Of this vast bulk of money there were
474, 766.556 one-dollar bills alone. The
average life of a one-dollar bill is
about nine months.
The Treasurer of the United States
is also charged with the redemption
of the circulating notes of the nation
al banks and the federal reserve
banks, and is the custodian of the re-
demption funds of gold and lawful
money deposited by such banks for
the redemption of their notes. This
work is performed by an organization
in the Treasurer,s office commonly
known as the National Bank Redemp-
ton Agency. There are now PIG en-
ployes in that organization and their
salaries together with all other eX-
penses, in connection with the re-
demption of circulating notes are re-
imbursed to the government annually
by the banks. During the fiscal year
1925 the agency assorted and re-
deemed over $50 million dollars in
national bank notes and over one bill
lion, three hundred million in federal
reserve currency. The total number
of pieces assorted and redeemed by
the agency during the fiscal year was
approximately 2O6 million pieces.
Five kinds of paper currency are
now issued and in circulation. The
gold certificates are secured by de-
post in the Treasury of 100 per cent
gold reserve. The silver certificates
are secured by 100 per cent of coined
silver dollars. United States notes
have gold reserve of forty per cent.
Federal reserve notes have now re-
serve of trifle over eighty per cent
of gold and twenty per cent of COM
mercial paper. The national bank
notes are secured by government
bonds deposited by the banks with
the Treasury equal to the amount
that is issued.
The Treasurer's office functions
like large bank and must have it's
| accounts in balance at the close of
each day, The maximum of care, ac-