The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1878-03-28
SHERMAN wEAKENs.

lie COHfesses He Can't Pay GOld-Ahu OlalIhs wv
Right to Reissue the Greenbacks !-WithOu'
Such Power Resumption Cannot be Carried Oul
He Must Have Authority to Reissue at LeaS
$780, 900 900 In Legal Tenders
WASHINGTON, March 20.-At the meet
ing of the Committee on Finance with
the Secretary of the Treasury in regard
TO the repeal of the Resumption Act o.
the 18th inst, the Chairman said;
Mr.. Secretary, l have jotted down q
few general questions, and some in de,
tail, which, propose asking you, and
snpnose that other members of the Com
mittee may have questions they may de,
sire to ask at later period; but will
ask some general questions, in order that
Won NAV make statement, ify you choose
with more freedom than you can by 60
ing into smaller details at the commence
ment.
/. Ought the Resumption Act in your
opinion, be repealed, and if not, why mott
Secretary Shenandoah question, as
you say, is very general, and is rather 9
legislative than an executive one; but l
have no objection to answering. think
the Resumption Act ought not be re,
pealed, that it was declaration oil
public policy, commenced with the
act of Feb. 9th, repeated by Congress
several times, notably in 1866, again in
1869, and again by the passage of the
Resumption ACt-that we would, as soon
as practicable, redeem any United States
notes which were presented for redemp-
ton in gold and silver coin. That is the
declared public policy Of this country,
and it ought to be adhered to, and | am
fully convinced that we are able to do
what we have so often promised, and
ought to do. Besides this, several States
have by their legislation indicated pur-
pose to conform their laws to ours.
Senator Bayard-Which States besides
New York?
Secretary Sherman-Well, Massachu-
setts to some limited extent, but don't
know how far; and many corporations
and individuals have made their con-
tracts upon the basis of resumption in
1879 The whole country seems to have
settled down to the conclusion that we
can resume, and that business has adapt
ed itself, and contracts have been made
with that view. So far as any suffering
from resumption, or preparation for re-
sumption is concerned, we have already
suffered, and now to go backward would
be only to invite suffering again. 1t
strikes me- therefore, that it is better to
90 ahead, and that to retrace the policy
of resumption now would separate the
metals from our currency, and we would
have to 90 through the same trouble
again. 1t would be an evidence OF Ma
tional weakness. The struggle between
metallic money, as basis of paper mon
ey, and irredeemable paper money must
be made some time, and | think we had
better complete it now. Therefore, l
say, in regard to your question, although
legislative question for you gentlemen
to answer, and not for me, think we
ought to adhere to the policy of resump-
ton and complete it.
The Chairman-Doyou think resump'
ton is practicable under the present law?
You have partially anticipated that ques'
tion, but still ask it.
Secretary Shenandoah is question
very much of figures; and, supposlng that
| would have to ansWerit, | have brought
quite number of documents here, that
will give you, and they will speak bet
ter than can. The best evidence that
we are able to resume Jan, lst next is the
progress already made. When the Re-
sumption Act passed, the premium on
gold was l03 per cent, since that time it
has been reduced to nominal rate. 1t
is now little over l. Since that time
we have accumulated, in preparation for
resumption, large sum in gold. have
taken some pains to get the figures, and
| will give them now. They are accu-
rate, so that you may have the exact con-
dition of the Treasury. Thisis the state
ment of the Treasury yesterday:
TREASURY OF THE UNITED STATES,
Washington, March Is, '78.
SIR-In accordance with your request
have the honor to state the amountof
gold and silver in the Treasury on the
28th ult., the date of the last debt state
ment. as follows: Gold coin Sll7.l5l 455;
gold bullion S79S7 300; total SIPS 508S 755;
less amount to credit of disbursing Off
GERS and outstanding checks $6l 879 626;
gold certificates actually outstanding S44'
498 500; called bonds and interest S6 Sl8-
677; interest due and unpaid $4,9997O5;
total S62 416 500; available gold coin aud
bullion S62672 246; available silver coin,
fractional, So 972 S95; available gold and
silver S7l.775 $50; amount of gold coin in
the Treasury $l17l5l 455; amount of
gold bullion $7.937 800, making the ag-
gregate of gold coin and gold bullion
Sl25.O .O88 755. This is, however, subject
to a deduction of the following items;
First, outstanding checks to officers ST.
l89 626. Although that is really money
in the Treasury, yet it is drawn for and
not paid.
The Chairman-Doesn't that always
happen?
Secretary Sherman-It always hap
pens that some money is drawn upon
and not paid, and this item is also large.
Senator Bayard-You spoke of gold
bullion, that is the property of individu.
ais, is it not?
Secretary Sherman-All that is Gov
ernment property.
Senator Bayard-Where does the Gov
ernment get gold bullion?
Secretary Sherman First, we buy it,
or receive it on deposit, or melt foreign
coin into bullion and coin it as needed.
We receive it just like gold coin, but not
much of it in comparison with coin re-
Ceived. Second, there are coin certif-
Gates outstanding $44498 500, for gold
deposited by banks and individuals.
Third, called bonds and interest $6 SlS-
677. That amount is always large, and
has reached Sl8000000. Fourth, inter-
est due and unpaid S4,9O9.7O5. That
makes $62 gold subject to demand
or about one-half the supply on hand,
leaving available gold and bullion against
which there is no demand liability S62
672.246. Then there is silver fractional
coin S. 672 895; silver bullion $319O7l8.
can say, though, if this statement was
made up to date, thesilver bullion would
be good deal larger-we have bought
lately. The total available gold and sill
yer over and above demand liabilities is
$71.775800. OF the items that are count