Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1878-07-12
Resumption at Hand.
]. O. SMITH. Secretary.

Inc utteTauCcs lTOu w dsuiuSlOn tDeai
that resumption of specie payments is
close at hand. The Secretary of the
Treasury, now that Congress has ad
iourned, can move directly forward in the
path of resumption, and that is what he is
doing. His visit to New York is in rela-
lion to this matter. and SO confident is the
sumption is virtually accomplished" 1t
also gives good reason for its belief as
follows:
The very important statement by
Treasurer Gilfiilan, made public yester-
day, shows that the Treasury held SOL
343, 1914 in actual gold coin on the LIST. be-
side $l9. 469. 500 in its own gold notes
which are charged against coin on hand in
the regular debt statements. 1t held also
sc .099. 439 In gold bullion, making over
sl67. SOC, 900 in actual gold. Moreover it
held, of silver which can be used to aid re-
sumption. 81. sS7 .94s in standard dollars.
and IS 1871. POI in bullion, besides 81, 1885,
529 in fractional coin. The amount of
specie is larger than was reported in the
debt statement, because the last payment
of s10, 000, 900 was made by the Syndicate
on Saturday, but notice was not received
at the Treasury until the monthly state.
ment had been completed. Of the specie
on hand, Treasurer Gilfllan states the
amount of the fund applicable for the re-
demption of United States notes AS Sl2l,-
600, 900, and thirty-fiye per cent of all
notes outstanding would be Sl2l ,3l6 ,305.
But the Treasurer obviously UNDERSTANDS
the amount practically applicable to that
end, because, first, there remained In the
Treasury $50 .222. SOP. while the aggre-
gate of coin liabilities June 80 was $685.
997 .410; and second, because not ineon-
siderable part OF the debt on which inter-
est has ceased, of the unmatured called
bonds, and Of the unpaid interest. will
practically remain outstanding, at least
until after the date fixed for resumption.
In practical operations moreover, the
Treasury can and will Ultimately use the
fractional coins on hand, and The law en-
ables the Secretary moreover, to issue gold
notes in excess Of the coin actually depos
tied. The Treasury holds in coin and
bullion s206, 1928, 351. including fractional
coin. and can in effect command abou,
$4,000, 900 by issue of certificates. and il
is safe TO say that the actual demands for
coin, on account of bonds called. interest
due, and certificates outstanding June 80
will not exceed 100000. Practically.
the balance may be considered available
for redemption of notes.
In any case, the reserve is abundantly
large. 1t is really over 4 per cent, the
ratio of coin to liabilities which the Bank
of England has deemed ample. For a
part OF the legal tenders technically out
standing are really owned by the Treas
ury, and cannot be presented for redemp
tion.-lts currency balance on the LIST was
s12. 653, 479; it also holds, and must at all
times hold, considerable sum for the
redemption OF bank notes, and other large
sums in other funds. A portion of the
outstanding circulation, also, has been
lost or destroyed during sixteen years of
use. Less than $500, 900 can at any time
be in the hands OF the people or represent
ed by certificates of deposit, and against
that amount the Treasury has more than
90 per cent in available coin
That resumption can be realized AT AL
most any time, no reasonable man can
now doubt, and the only question remain
Ing is as to the best means of using the
powers of the Treasury"
OF what practical use there can be of a
greenback, antl-resumplion party, after
resumption has become an accomplished
fact, it is difficult to see. When specie
payments shall have come again they
VIII have corle to stay. Ii there was not
anti-resnmption power enough in the
country to block resumption, under the re-
sumption act, there is most certainly not
enough to cause return to jrredeemable
paper after specie payments shall have
been resumed. Very few men will be
crazy enough to advocate going back to
inconvertible bills when the day of coin,
and paper equal to coin, has been reached.
The struggle TO reach that point is here
In our financial distress and perplexities
have arisen, and only men afflicted with
insanity would for a moment think OF
leaving the safe and solid ground Of spe.