The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-11-06
FIRST ED1TIO N
Specie Payments to be Resumed.
Secussary Boutwelrs Scheme for Pay
ing Coin upon the 1st of
January, 1870.

Tie New York World has the following despatch
1rom Washington, confirming the statement pub
lshed by yesterday, that Secretary Boutwell, was
maturing scheme for the resumption OF gold and
silver payments--
Quite commotion has been created here over a
report coming from apparently authentic sources
that Secretary Boutwell, is maturing scheme for the
return to specie payments by the first OF January
next. The precise mode which he will adopt 10
bring about that result is not clear No person ap-
pears to know whether 1t Will be by retiring three
The fact being apparent that the Supreme Court
tender act is unconstitutional, the Government is
anxious to anticipate the results by securing the re-
turn to specie payment before The decision is given
It is already known that Hon. L. G. spauldIng of
BufTalo who is the reputed author of the Legal
tender act, has already publicly declared that the
Legal-tendor act was only intended to apply during
The war, enacted to aid the Government in an emer-
rency and that it s clearly unconstitutional in
time OF peace In short, that the only power which
Congress had to pass 81 such ma law WAS under & the
opinion, coming from the Trainer of that law, must
OF necessity have Its effect upon the supreme Court,
II in fact it does not foreshadow the decision of that
court This adds to the interest which is taken in
the reported movements of Secretary Boutwell,
The Decision to be Anticipated.
1t is privately given out by those who have in
sight to matters in the Treasury Department, that
the Secretary of the Treasury is determined to anti
cipate this decision, and thus obviate any adverse
results to the business interests OF the country
which might result from such decision I. is ike
wise stated that Mr.. Boutwell, believes that the time
resumed without any serious embarrassment
to the country. The reasons given for his
belief in this respect are, that the banks OF
your city have now larger surplus of gold than
at any other time for some years, and that this
surplus is likely to be double the present sum by the
first of January. Gold is now drug on their hands,
as currency and in the regular and legitimate deal
ings of the country, instead OF for speculative pur
poses Again, the large cotton crop will increase
our exports beyond the figures which they have
reached since the commencement OF the war; and
thus turn the balance OF trade in our favor not only
cNA flan nf fon1A
of the precious metals to this country from abroad.
The destruction produced by the war in the South
left that section in a destitute condition, but last
years crop of cotton was sufficient get the South
ern people out of debt, which, with their rigid sys-
present crop is nearly all profits The receipts from
this years crop VIII add so much direct wealth to
this te Cotton cop viii II be- eed aSS ii
will in return bring to this country an amount OF
gold in excess of anything which has taken place
This adds to the feasibility of the scheme which
it is said, Mr.. Boutwell, contempates declaring in
favor of specie payments. He has on hand in the
Treasury Department about one hundred millions of
dollars in gold now, in addition to that which is held
by the banks and Will be brought to this country in
return for cotton.
one thing is certain--the opinion is quite preva-
lent here that the return to specie payments by New
Years Day is in every particular feasible. The cur
rent gossip at the same time is that the Secretary of
the Treasury intends to take advantage OF the cir
cumstances and give the country the oenent OF
specie circulation.
Pressure for II Reduction of Amount of Gold
in the Treasury.
There is a strong pressure being brought to bear
on Mr.. Boutwell,, to induce him to reduce the amount
OF gold in the Government vaults to thirty millions
in order that the question may be settled whether
any further contraction Of the currency necessary
to equalize the value OF greenbacks and gold, as a
step towards specie payments. Those who urge this
course argue that The sale of seventy millions of
gold on the market would bring the value OF gold
nearer TO the proper value in relation to greenbacks
and in this way the question could be determined
whether further contraction of the currency would
be essential before specie payments could be re-
Sumed.
All these rumors and gossip, pressure and figuring
clearly indicate that we are on the eve OF eXtraordi
ry financial operations on the part of the Govern
ment. Taken with the prospect of an early decision
hy the Supreme Court on the Legal-tender act, the
public need not be surprised at early coup detdt
the part of the Secretary OF the Treasury which
will noceably change the relative values of gold and
currency the market and put an end to the specu
aton in gold, changing it from an article OF mer-
chandse to that Of currency.
Ii is too good a thing to hope for from this admins
ration but if reports to be believed the peri
ment is to be tried The Secretarys project is said
to be due to the recent brilliant Democratic victory
i'm New York since he well knew that the Demo-
cratic party always has been in favor of hard money
as opposed to paper money, and he is anxious to 50
trim his sails as not to suffer harm from the Demo-
cratic gale Of 1872, which he is slrewed enough TO
fOregoe,