The New York herald., 1879-12-17
Opinions Of the United States Sub Treasurer and
The Manhattan and Third Avenue Officials.
DAMAGED SILVER COINS LEGAL TENDER.
No One Has Right to Refuse Them on
Account Of Age or Abrasion.

lnt1ons OF passing into the stations through par
cular gates making their exit by others. dropping
their tickets in the boxes and moving hurriedy
along the platform to the conductors tune Of
"All aboard step livelyl' but certain kind
of change was also required to entitle them
to the privilege of ride. A gentleman
who had received from the ticket agent Of the Fulton
street station wellworn silver dime attempted to
pass the piece at the Eghtyfourth street station on
his return down town the next day.. The agent re-
fused to take the piece the ground that 1t was
"too much worn" The complaint was not that 1t
was clipped had hole in it, but only that 1t had
been slightly rubbed down by time and long usage.
The eagle on the coin was easily distingushable.
that there was doubt about its being lawful
money Of the United States The agent claimed that
the treasurer Of the company had instructed the
agents not to receive such silver pieces
A HERALD reporter yesterday detailed to learn
whether in reality such instructions had been issued
and to what extent they were carried out. The
public will learn with indignation that they
tirely at the mercy Of the ticket agents in this
spect, it being within their supreme discretion to
reject any coin that does not come up to their
standard of excellence.
Mr.. James A. Cowing, treasurer of the New York
"L road. said that the age of the dimes presented
was not considered. Their instructions to agents
generally were to take no defective coins.
'Do you define what defective coin isY'
mo. do not say what coins defective. You
cannot define that. In the particular referred
to Of course don't know whether the coin was de-
fective or not. If the gentleman who wrote the
plant to the HERALD had ten cent piece he could
noths in that way think he should not have made
such fuss about 1t. If allowed station agents
to take every kind of coin. we should have about
$40 $l2 every day in all kinds Of cut bored and
clipped silver
Mr.. John E. Boody. general treasurer of the con-
solidated "L" roads, found in his Office ut No. II
Broadway. In answer to the reporters question as
to what instructions had been issued to station
agents relative to the quality of coin they should
ccive. he replied :-"None whatever All such in
structions for both roads must come through this
ofce and no instructions have been issued about it
at all. II agent thinks piece is not passable he
is justified in refusing it. We take trade dollars at
to refuse a piece that is clipped or bored. II an
agent takesA coin that ia d forgery Of course he
tako bad dime or dollar. notoriously bad he would
have to make it good. But he would not have to do
40 on account of short weight or anything Of that
kind unless it were clipped all to pieces. Very
little bad or deficient coin Is received. the total
amount on the transactions OF whole month,
$lO3000. Is one twenty-ffth of one per cent. That
is the amount Of loss that falls from iinper-
tect coin There is SO little poor coin in circulation
that 1t is not worth while talking about"
"Then you leave the matter to the discretion of
the agen.s?''
"ons agent may say. That csin is SO worn 1t won't
pass another may say of the coin. Well, think 1t
fs good enough We have no regulations making
them responsible for short weight coins so taken.
have motive Mskisg trouble about 10. coin
IL genuine coin. For instance get lot Of Cana
dian money. Now we could not be so exacting to
say that our agents should not take Canadian
dime. How on earth Is he to tell IN the hurry
whether It is Canadian or noti II we found that
there any regular plan going on for forcing upon
us lot OK inferior COINS which won't pass in the
country we should take measures to stop it."
That the "I road employees, or indeed any persons
whatever, have right to refuse any silver coin Of
the United States so long it is dstinguishable
such aud SO long it is worn by merely natural
abrasion s made clear both by the statutes Of the
United States and the practice OF the Treasurer and
Assistant Treasurers OF the United States. Section
35S5 of the Revised Statutes provides follows-
The gold coins of the United States shall be legal
tender In all payments ut their nominal value when
not below the standard weight and limit of tolerance
provided by law for tho single piece. aud when
duced in weight below such standard ard tolerance
shall be legal tender at valuation in proportion to
their actual weight"
THIS standard weight and limit of tolerance" is
exp!ained by u reference to section 3.505. which
reads Amy gold coins Of the United States, IL re-
duced in weight by natural abrasion not more than
onehalf OF one per centum below the standard
weight prescribed by law after circulation OF twenty
years, M shown by the date OF coinage, and ut
ratable proportion for any period less than twenty
years, shall be received at their nominal value py
the United States Treasury and its offices, under
such regulations us the Secretary of the Treasury
may prescribe tor the protection of the government
against fraudulent abrasion or other practices
1t will be observed that the law makes distinc-
tion between natural ABRASION or that caused by
ordinary ana tear. and artificial abrasion,
that which is the effect Of design. The government
concerns gold coins, does not redeem those
which down by natural abrasion, more
than onc-haif OF per cent. But it will be OBJ
served that this relates to gold coins only With
gard to silver coius the following is the provision
of the law, found in section 5S6:-"Tho silver
coins OF the United states shall bc legal tender ut
their nominal value for any amount not exceeding
$5 in any one payment"
No limit OF is fixed for the silver coins
and hence they are all equally legal tender at their
lawful cop OF the United states and its denomina
tion can be determined. Therefore, when rendered
~ payments OF 50 or less, no one has right to
But in order to mako assurance doubly sure the
reporter called on General Thomas Hihouse, United
States Assistant Treasurer ut the Sub Treasury in
this city. When the subject of redemption OF
silver coin was broached General Hlho4ise said -
I'VE should not object to redeem silver coins unless
they punched or fraudulently manipulated in
some way or course IL they were evidently OF half
weight or worn so much that ono could distinguish
nothing on them We might reject them tor that
reason"
'.would railway companies have right 10 reject
"rhey would II it had beon punched or fraudu-
lently treated. Geld coin, for instance, Is fire.
quently sweaed or split and hiled great many
things mig ght happen to coin which would relieve
. from his duty OF taking 1t as legal TENDER"
"But suppose there were merely natural sora-
"In that case. regards god refuse all that is
below the lowest legal weight or limit OF tolerance
PROVIDED Dy law All that docs not fAll DelOW IL
receive. We reject all that is rauducntly treated
handled in any way
In regard to silver coins General Hlhousc stated
that thvre limit OF abrasion ixed by law. but
he would send for Mr. George Ashley, the coin cerk.
and inquire as to the practice OF the oihce That
gentleman then appeared and the following conver-
sation ensued:--
General HILLHoUsE--Mr. Ashley. how closely do
you discriminate against eight" sivcrY
Mr.. AsHLkY-Not at all II IT IN natural wear IL we
could not distinguish tho nationality or denomna-
ton OF course we would not take it. There is no
law limiting the abrasion OF silver.
General HII.LHousE-But. OF course, you would
not take II u fraedulently depleted in any way?
Mr.. AsIILEY--Oh, no, sir; of course not.
REronrkn-would other parties, tho elevated rail-
roads Tor instance have the right to refuse coin,
which You redeem here as being a legal tender,
merely because II was u littlo worn?
MIR. AsIiLEY-l would not undertake TO decide that
question. We never refuse such coin from the ele-
vated railroads. We very often get pieces that gem
tenen have carried In their pockets tor pocket
pieces. wern all smooth. that you can hardly
the eagle.
General urILHousE--The mere fact of our redeem.