Saint Mary's beacon. [volume] (Leonard Town, Md.) 1867-1983, 1878-11-28
PNpTroE AND IT. WoRKIECs. -
sEiee Of Baltimore Bankers Iase-

MPTf0N AND ITs w oRKINGS.--~
sEtee Of Baltimore Bankers Iase-
. call upon Secretary Shermas
Eh Of information q the subject
le Resumption Act. which goes into
g||ect the ist Of January next. and its
workings. The questions propOunded
10 the Secretary were As follows:
First-Are United States legal ten
der notes 70 be received 1t the Bali
more custom house on and after Janua-
" 1si, 1873, m payment Of customs do
n et their face values
econd-Will United States legal
8ers be received on and after Janu-
ary fst, 1879, Al their lace value in the
purchase Of United States bonds from
the Treasury
Third-Will United States legal ten
der notes be redeemed in gold at the o.
fee Of the United States Assistant
Treasurer IN Baltimore On and after
January 1st, 1872
Fourth--Will the standard silver dol
lar be issued in exchange for green
backs In Baltimore On and after Janua-
~ 1st, 1879, and contrariwise, that is (:
win greenbacks be issued for the stand
ard silver dollars'
Fifth-WilI there be IN issue Of GER
tificates for deposit Of silver with the
Assistant Treasurer ofthe United States
al Baltimore; and will these certificates
be treated as SILVER coin in payment Of
customs duties and other indebtedness
|4oAhe goveennentf
Sixth-WiIl the government after
January 1st, 1879. continue the issu-
ance Of certificates of deposit Of legal
tender notes commonly known IS clear
ing house certifcatess
To these questions Of the Committee,
the Secretary made answer
First-This department can now, by
express provision of law, sell or ex-
change coin for greenbaeks. This has
been done for years nc Boston, Balti-
more, Chicago and other leading ports
at the same premium for gold rs the
market rate at New York. This could
be continued after January 1st when at
New York the rate will be par, and
therefore the same elsewhere.
Second-United States notes being
at parity with coin, can. think, I'M
der existing law be received Tor customs
duties; and this is the only purpose for
which il is usually desired. If there is
any boubt upon this point, Congress
may expressly authorize il.
Third-If United States notes are
taken for duties in New York, they must
be taken for duties in every port in the
United States; otherwise an unconsti-
lutional preference would be made in
favor OF one port over other ports in
the United States.
Fourth-Aiter resumption United
States notes must be held and main
tanned at par for all purposes in all parts
of the United States. They can be
transported easily and speedily, while
co,a cannot be so readily and cheaply
moved. II would seem that if we Sc
cure absolutely the convertibility of u.
S. notes into coin at the chief CONNER
cial city, we practically secure the
same convertibility at every other place
in the United States. Exchange Is US
ually in favor Of New York, but q tenn
porary premium elsewhere will be insig-
nificant and cannot exceed the small
cost Of transporting United States notes
10 New York. That may, and has oc-
Cured. when specie payments were the
rule everywhere, and is less likely to
occur now when we have q uniform pa
per circulation, current in all parts Of
the United States.
My general answer. therefore, to
you is that the United States will main
tain its notes at par in coin in all parts
of the United States, and will do so by
the redemption of such notes rs are
presented 10 the Assistant Treasurer nj
New York, and by the receipt Of Uni
ted States notes for both customs du-
ties and bonds. ] think this can be
done without q change Of the law. But
as to this Congress must be the judge.
The Treasury will treat u. s. notes and
coin as an exact equivalent in the trans
actions with the government, and then
all business everywhere in the United
States will adapt itself to the same
standard. Having stated this much, |
do not think that ought to 60 further,
and perhaps in my desire TO be frank
with you may have preached ques-
tons that should await the opening Of
Congress.