New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-10-11

The Intelligent reader will that ct each OF
these months the held by National oahk uopoe
tories was larger largest amount deposited therein
by Secretary Farchd. and that at three dates W.
March May and June l. 1879. the amount was more
than four times as large The matter Is Of no Importance
except as fresh illustration Of Mr.. Baines recK'sshess
the stump
criticism of the present Administrators use o. so
much Of the surplus has been general on the
mart Of the Republican speakers and the
Republican press. II "The Posts point
&c we'll taken, the whole Republican line
OF leaders are greatly at fault but If the action Oh
Secretary Fairchih and Secretary sherman are not
al! parallel cases, then the exhibition OF menda'y vi
Of ignorance which ever it NAV be. will have to ne
credited 10 the editor OF The Post' and not to Mt
Blaine.
The facts are these: In the present ease large
amount OF Government funds remaining idle and I'M
Appropriated as surplus In the Treasury, winch
might have been used TO purchase bonds. have been dis
tributed among a few banks, they being allowed the
use Of the money, without compensation TO the Gov
ernmcnt The conditions under which Secretary
sherman reports such large sums on deposit at various
times were altogether different from this MI sheG-
man had large surplus TO use at his discretion nc
was engaged under the law in refunding the hgh IN
bearing bonds which then represented the pun
lie debt As fast as he could sell or - per cent
Ing per cents. But he was not allowed to call any
ponds for redemption till he had money on hand WIN
which to redeem them from the sale of those bearing
the lower rate OF interest and when he made eau
the law required him TO give three months notice 10
the owners Of the bonds called, which were desis-
mated by their numbers
This direction Of the law obliged the money pro
vidcd pay for each batch of bonds called to remain
idle during these three months. As the new Donds
were sold through the banks, n was simply natural
consequence that the money obtained for them should
remain in these banks for some period 81 time.
that is until the Government called for ii. This
was very different matter h1om that OF turning
money In the Treasury over TO the banks for their
use ard benefit In Mr.. she-mans case. the money
was held by direction Of the law for specific pur
pose a specific time. It was obtained through
the banks and was drawn from the banks a soon
as IT was ncaied could be used for that purpose
Owing to the enormous magnitude OF the treasury
refundng operations during the seven months men
TONED in the year 1879, Il was not at all strange
that such large amounts should DO at times in the
hands OF the banks Indeed. II would have been
almost impossible 70 avoid IT, But the money was
coming from the public that took the lower rate bonds
through the banks TO the Government. and was every
dollar withdrawn from the banks as soon as 1t could
be used at least for the purpose for which IT. was
obtained, If not soones 1t simply tarried IN The
banks for short time at the discretion OF the
already stated, IT goes the other way-Eom the Gov
eminent to the banks II tho editor OF u foi bo
subject upon which he draws for such severe condem
renSes G to sd the dns f f the and that
they are not at all parallel, then The mcndsry ana
latest campaign lie" 10 De clcdltcl 10 MN
not to Mr. Blaine or any other critic OF the Admins
tiatlon's attitude in THIS matter And so It VIII be
seen that when the real facts stated what seems
to be complete refutaton of NJ. Blanc's state
ment Is but exhibition of ignorance or dishonesty
the part Of the astuto editor himself
Mr.. Blainc's statement T. not refued AZ all by
"The Posts figures and reasoning for Mr. sher-
man never loaned dollar from the Government
Treasury the hanks while " The POST would have
believe that his official action was similar to that
OF the present case. only that he had loaned dr'ng
months of year nearly fifteen huadre1
millions instead Of sixty millions. A grOsser case
OF perversiOn and misreprcsen alton Of facts can
hardly be conceived. THOMAS VI. NICHOL
New-York, Aug. 8, 1883