The New York herald., 1878-03-12
THE NEW SILVER LAW.

THE CONSTRUCTION OF The ACT-sECRETARY
SHERMAN AND DIR. LINDERMAN BEFORE THE
COMMITTEE ON COINAGE, WEIGHTS AND
MEASURES.
WASHINGTON, March II, 1873
The Secretary Of tho Treasury and the Director OF
the Mint we're today before the Committee on Coin
age Weights and Measures for consultation refer
ence the silver coinage, 10 the construction they
were giving to the recent law and 10 their views in
reference to additional legislation.
Fret the Chairman, Mr.. Stephens, OF Georgia,
wanted TO know the construction which the Secretary
Of the Treasury gave to tho provision OF the
act regarding the issue of certificates deposors
of SILVER bullion, whether those certificates were
to be Tor tho coinage value OF the
silver at the ratio OF 81 for every 4l2k
grains of weight, or whether they to be tho
actual market value or tho silver The explanation
OF the Secretary, as we'll as OF the Director Of the
Mint was that tho certificates were to be based on
act uai market value OF tho silver tho day OF de-
post, based upon the London and New York
quotations OK that day. II they were TO o.,
never would be presented Tor redemption until silver
was worth alty nine pence per ounce The Secretary
the receipt oi the bullion on deposit Tor them but
one point, and that New York, the great
think that II tho deposits were allowed to be
made At San Francisco and Carson City, tho
bulionists would not sell tho silver, but would
deav0r 10 ''corner' the government as they would
have the of the certificates while they sim
rcscrvine their silver. This could not well he done
IN New York, with its supplies coming from Europe,
Mexico and this country. Ho showed how already
the ordinary rule OF supply and demand had been
reversed, and that silver, instead OF being cheaper
San Francisco than IN New Orleans. cheaper IN New
Orleans than In New York, cheaper IN New York than
in London, cheaper IN London than IN India,
highest NJ Its best point OF production. and
Both ho and the Director VI the Mint seemed thuK
that there was pretty heavy contest pending be-
tween the government and tho bulliOnsts, aud that
therefore, should be taken hot to lcsisuto
derment OF the interests OF government IN which
view OF the matter the committee seemed to coincide
Both Secretary Sherman and Dr. Lnderman put
The present capacity OF the mnts at from two and q
half 10 three million silver dollars month TO tho
question to the cost OF doubling the
capacity OF the m!nts. both gentlemen re-
one OF delay than OF cost and OF the supply
OF bullion than oil tho capacity OF the mns. Dr. Ian
derman, however, thought that Two additional mints
wii b tho rc-establishment OF the New Orleans Mint
which he regarded as most important. striking tho
Nc silver would bc all tnat would be needed aud
would cost about 81, 900 600
Secretary sherman gave 1t as his opinion that
under tho legislation as II stands, from hity to ono
hundred millions OF silver dollars can be put CIR
cuIation and kept ut par with gold. He favored tho
dscon Ot the trade dollar coinage apt
be "a source vi embarrassment; preferred nickel i've
twenty cent silver coin whose only
was paying for ten cent drinks suggested the
restriction OF the legal lender quality OF subsidiary
silver coin to $40, and the redemption oi II legal
tender coin when presented at subtreasurcs IN
OF $l00
officials seemed to harmonizc In their views on most
Ol nil questions discussed.