THIRTY-THIRD CONGRESS, 1853-55. 637 



the time to produce the multitude of considerations which 

 crowd upon me on this subject, but I am happy to be able 

 to present those most important in the lucid argument aiid 

 appropriate language of the select committee. 



(Mr. MeaciiAxM then gives copious extracts from the report 

 of Mr. Upham, the whole of which will be found in pre- 

 ceding pages.) 



Mr. Jos. R. Chandler, of Penna., from the Select Com- 

 mittee to inquire into the expediency of withdrawing from 

 the treasury of the United States the Smithsonian fund, 

 and investing it in sound stocks, made the following report : 



That immediately after the appointment of a committee 

 the chairman addressed a letter to the Secretary of the 

 Treasury, inquiring into the history' and present state of the 

 Smithsonian fund. To that letter the following answer was 

 received : 



Treasury Department, March 6, 1854. 



Sir : I du]y received your letter of the 4th of January last, enclosing a 

 copy of the following resolution, adopted by the House of Representatives 

 on the 3d of that month : ^'liesolved, That a select committee, consisting of 

 nine members, be appointed and instructed to inquire into the expediency 

 of withdrawing from the treasury of the United States the Smithsonian 

 fund, and investing the same in sound stocks, or in such other way as may 

 be to the interest of said fund," and requesting a statement of the amount 

 of the Smithsonian fund in possession of the department, or under its 

 control, and the amount of interest accruing thereon, with any other infor- 

 mation that may assist the committee in the discharge of the duty enjoined 

 by said resolution. In compliance with your request, I have the honor to 

 transmit herewith the accompanying statements, marked A, B, C, and D. 



The sum received in London from the bequest of Mr. Smithson by the 

 agent of the United States appointed in pursuance of the act of July 1, 

 1836, was $515,169. But the sum actually received into the treasury was 

 $508,318.46, the difference between the two sums having been absorbed by 

 certain expenses in collecting and transferring the money to the United 

 States. 



By the sixth section of the act of July 7, 1838, it was provided that the 

 money so received should be invested by the Secretary of the Treasury, 

 with the approbation of the President of the United States, in stocks of 

 States, bearing not less than five per cent, interest, and that the said stocks 

 should be held by the said Secretary in trust for the uses specified in the last 

 will and testament of James Smithson, until provisions should be made by 

 law for carrying the purposes of the said bequest into effect, and the annual 

 interest accruing on the stock aforesaid should, in like manner, be invested 

 for the benefit of the said institution. 



By the act of September 11, 1841, so much of the before mentioned act 

 as authorized investments in stocks of the States was repealed, and the Sec- 

 retary of the Treasury was required thereafter to invest in stocks of the 

 United States. 



But between the dates of these two acts the sum of $508,318.46, together 

 with the interest accruing on the first purchase, was invested in stock of the 

 State of Arkansas, upon which the State, in the sequel, failed to pay 

 interest, and upon which, from the time of such failure, nothing has been 

 realized, except certain sums which have accrued to the State from the sale 

 of public lands under what is commonly called the five per cent. fund. 



