The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-02-11
live AND SILVER CERTIFICATES.

Relations Between the United States Treas
ury and the New York clearinghouse.
WASHINGTON, Feb. 10.-The Secretary of the
Treasury to-day transmitted to the House, in re-
Spouse to a resolution, a communication from
the Treasurer of the United States relative to-
the alleged refusal of certain banks and banking
associations to receive silver dollars and certih-
Gates in settlement of their balances. The
Treasurer says:
"It is not known to this Office that the Clear
ing-house Association of New York, or any ma
tional bank thereof. has, since the passage OF
the act of July, 1882, refused to receive silver
dollars or silver certificates in settlement OF
their balances, or has at any time refused to re-
ceive silver dollars or certificates from the gov
eminent in payment of balances due
from the government to said association.
The Treasurer, in January, 1879, became
O member of the New York Clearinghouse. A
section of the act of July II, 1882, that no
national banking association shall be a member
of any clearinghouse in which such certificates
(gold and silver certifcates) shall not be receiv-
able in settlement of clearinghouse balances"
the associated banks of New York adopted the
following:
Resolved. That the resolutions adopted by the
Clearing house Association, Nov. II, 1878. are here
by modified so far as they conflict with section twelve
of the act of Congress of July IL, 1882.
Members of the clearinghouse have contin-
ued to settle their balances in gold coin or GER
tifcates, or United States notes, and as no silver
dollars on silver certificates have been rendered,
none have been refused. The Treasury, though
not a party to any understanding that silver
dollars or certificates shall not be rendered, aud
though it has never, in any way, waived the
right to pay demands on it in any kind of money
that may be lawfully rendered for the purpose,
has concerned to the practice of the associated
banks in paying balances against it at the clear
ing-house. The department has deemed it
inexpedient, as a matter of public policy, to
force the issue of the silver dollars
or certificates at the chief financial center of the
country until compelled to that step by the con-
dition of the Treasury. Silver certificates have
recently been issued in part payment of days bal
ances against the Treasury, and have been ac-
cepted by the clearinghouse. They will be
again so used whenever the state of funds in the
Treasury may require 1t.
In reply to another portion of the resolution
the Treasurer says:
"The Treasury not being a member of any
other clearinghouse than that at New York,
has no authentic information as to the rules or
practice at other clearing houses in the receipt
or payment OF silver dollars or certificates. It'll Is
publicly reported that silver certificates are ac-
cepted in settlement of balances at the clearing.
house in Boston. and silver certificates are used
in payment of public creditors, including national
banks, at all sub-treasuries except New York.
This office has no further as to the
rule or practice of individual national banks other
than that contained in the resolution OF the New
York Clearing house Association"