Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1878-11-29
About Resumption.

~NSNN ANSSNAAf
WASHINGTON, Nov. %.
A committee of associated banks of
Baltimore, appointed to consider and
report upon the action expedient by
Baltimore banks, expressing their SYM
pathy with and cooperation in resump-
ton by the Government of specie pay
ments the first of January, had an
interview to-day with the Secretary of
the Treasury and submitted a series of
questions. The chairman said the
questions were suggested in conse-
quence of the law providing that re-
demption shall take place in New York.
The questions prepared and submit
ted are:
First. Are United States legal tender
notes to be received at the Baltimore
Custom House on and after January l,
1879, in payment of customs duties at
their face valuep
Second viii United States legal ten
ders be received on and after Jan. 1,
1879, at their face value in purchase of
United States bonds from the Treas
urer?
Third. Will United States legal ten
der notes be redeemed in notes at the
office uf the United States Assistant
Treasurer in Baltimore on and after
Jan. l, 1879?
Fourth. Will the standard silver dol
lar be issued in exchange for green
backs in Baltimore on and after Jan. l,
1879, and contrariwisc; that is, will
greenbacks be issued for standard sill
yer dollarsp
Fifth. Will there be an issue of GER
tificates of deposit of silver with the
Assistant Treasurer of the United
States at Baltimore, and will these cer-
tifcates be treated as silver coin in pay
ment of customs duties and other in
debtedness to the Government?
Sixth. Will the Government after
Jan. l, 1879, continue the issuance of
certificates of deposit of legal tender
notes, commonly known as clearing
house certificates?
Secretary Sherman replied: in
ferred, gentlemen, from the appoint
ment YOU made with me that some such
questions as you now propose would be
submitted to me. But, as the law re-
quires me officially to report to Con-
gress in little more than week upon
the very topics you suggest, it would
be manifestly improper for me to now
discuss them in such detail as frank
ness would require; but I may say few
things which will substantially answer
the object of this interview. 1t is true
that actual redemption is confined by
| law to the office of the assistant Treas
urer at New York. This is wise pro-
vision, for it would be ineXpedient to
scatter redemption funds so that il
would not be readily available. Re-
demption in New York, the chief COM
mercial city of the country, establishes
the equality of United States notes with
coin, and this is the main thing, and
carries with it their equality in all parts
of the United States. The difficulties
suggested by the Baltimore banks
could be met by either of several
expedients.
First. This department can now by
express provision of law sell or ex.
change coin for greenbacks. This has
been done for years at Boston, Balti
more, Chicago and other leading port!
at the same premium for gold as thu
market rate at New York. This coulC
be continued after Jan. /, when at New
York the rate will be par and, there
fore, the same elsewhere.
Second. United States notes, being
at parity with coin, can, think, under
the existing law, be received for Gus
toms duties, and this is the only pur
pose for which coin is required by Law
to be paid to the Government by citi
zen, and it is the purpose for which
is usually desired. If there is any doub
upon this point, Congress may express
" authorize it.
Third. If United States notes arr
taken for duties in New York they mus
be taken for duties in every part of TIL
United States, otherwise an unconstitu
tional preference would be made in ia
vor of one part over other parts in tn,
United States.
Fourth. After resumption Unitet
States notes must be held and main
tanned at par for all purposes in al
parts of the United States. They cal
be transported easily and speedily
+ while coin cannot be so readily an
cheaply moved. 1t would seem that
, we secure absolutely the convertibilit
of United States notes into coin at tn
chief commercial city, we PRACTICAL
,, secure the same convertibility at ever
! other place in the United States. EN
+ change is usually in favor of New York
I but the temporary premium elsewher
q will be insignificant and cannot excee
! the small cost of transporting Unite
! States notes to New York. That ma
: and has occurred when specie pay
y ments were the rule everywhere, and
n less likely to occur now when we hav
! uniform paper circulation current in a
4 parts of the United States.
= My general answer, therefore, to yc
i is that the United States will maintai
{ its notes at par in coin in all parts
the United States, and will do so
It the redemption of such notes as a
l. presented to the Assistant Treasurer
}. New York, and by the receipt of Unit
e States notes for both customs duti
l. and bonds. think this can be dol
Y without change of law, but as to th
r Congress must be the Judge. III
n Treasury will treat United States not
le and coin as an exact equivalent in ;
10 transactions with the Government, al
a then all business everywhere in {
" United States will adapt itself to t
Z same standard Having stated Il
s. much, do not think that ought to
g, further, and perhaps, in my desire
g, be frank with you, may have broach
er questions that should await the openi
ce of Congress.
of ~
it 1t takes the man who wants off