The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1890-12-16
SOME SILVER PLANS.
The Republican Senatorial eau
Gus Acccmplishes Nothing.
MR.. TELLER ON THE SITUATION.
The SUBJ Committee Had Very Good Measure
Framed, but the Full Committee
Tore Ii to Pieces.

gram 10 i ne HERALD. Alter 1OuE ud9 ,
continuous meetings the committee of Re
publican Senators appointed at the caucus
of last Wednesday evening to consider
some measure of financial relief has
reached the basis of an agreement which
they will lay before their party associates
at another caucus which Is now being held
at Senator McAIillans house The silver
men are on the whole very well satisfied
with the result. IL is not what they want,
for nothing but free coinage will satisfy
them absolutely, but it is ali they expected
and they are happy. They have secured
all they asked for. and with this they Will
probably rest content until next session,
when their increased number will enable
them 10 pass any measure they may desire.
The bill agreed uron by the caucus com
nittee might please everyone, for it has in
it some part Of nearly every plan which has
been preached for increasing the volume OF
currency. 1t is, in brief, the bill of Senator I
Sherman discussed in these dispatches last
week, with provisions for large silver pur
chases and Tor ultimate free coinage added |
to il. 1t provides for tue purchase OF |
100000 ounces of silver within twelve
months, in addition to the regular monthly
purchases under the act of July Il, 1890.
These purchases may be made at the rate
of not more than 3,0O0.0J0 ounces per
month, but the secretary may, in his dis
erection, purchase 100000 ounces OF the
amount within forty days after the passage
of the act. This provision means that
something over SG,0O0,000 may be added TO
the currency within forty days and another
S6,000,000 within a year, in addition TO the
sum of about $, 500, 900 now being added by
the monthly silver purchases.
Another section of the bill authorizes the
purchase OF additional silver bullion and
the issue Of treasury notes therefor TO re
place the national bank circulation, as it
falls below 500. 10000 If sufficient silver
Is not offered to the government, legal ten
der treasury notes are to be issued to sup
ply the deficiency. This will permit the
purchase of about s., 0O0, 600 worth of silver
at once and additional purchases us national
bank notes are withdrawn from circulation.
Another provision of the bill provides for
the free coinage of silver when it shall
reach parity with gold.
One Of the important measures Of the bin
is that providing for new issue Of bonds.
This provision is essentially the same as
that in Senator Sherman's new financial
bill 1t fixes the amount of the bonds at
500, 100000, the rate of interest at , per
cent. per year, and the time of redemption
at the pleasure Of the government. The
bonds are to be made redeemable in lawful
money, and to be issued in denominations
OF so or some multiple of that sum. These
bonds may be used as the basis of national
bank circulation, ike the outstanding and
AZ per cent. bonds. They are not strictly
convertible bonds, but under ordin-
airy conditions would be redeemed on de-
mand and would be offered for sale again
This section Of the bill provides that the
proceeds of the sale of these bonds shall be
applied to the purchace OF the bonds now
outstanding, making in effect a re-
funding of the existing obligations
Of the government. The caucus committee
also agreed to increase the issues of ma
Jional bank notes TO the par value of The
bonds deposited as security, and TO The
other provision Of Senator Snerman's bill
reducing the minimum deposits of nationa
banks to 5000.
Secretary Window, as L telegraphed you
last night, appeared before the caucus com
mittee this morning. He did not seen
opposed TO any OF the pending pro position
TO expand the currency which stopped
short OF Tree coinage He reported as thu
result o. mis- consultations in New YorI
that the purchase of 100000 million
ounces silver ia addition to the regula
monthly purchases would pretty well clea
the market and probably result in advanc
ing the price OF silver. The secretary wa
IN favor OF any plan which would advanc
the price Of silver while keeping the cul
rency firm upon gold values. He made
strong argument for his scheme of an inte
convertible , per cent bond, which he be
Iieved would give an element of elasticit
TO the currency. He discussed the feature
of Senator SherInan's bill authorizing til
issue OF circulating notes by national bank
to the par value Of the bonds deposite
as security and authorizing the reductio
of the minimum bond deposit and declare
himself in favor Of both provisions.
Senator Plumb suggested that the inter
convertible bonds would place the nations
banks at a disadvantage because the bond
could be counted by state bonds q PAL
of their lawful reserve but could not be S
counted by national banks.
Secretary Window replied that thi
would depend upon state law and woul
not place the national banks at any speci;
disadvantage as compared with the
present position.
Senator Teller, Of Colorado, who is i
many respects the ablest exponent of III
silver IDEA in either branch of Congress
ridicules the statement that the adoption ,
free coinage would lead TO the boarding {
gold. "That argument" said he, has a
ways been made whenever advanced silvt
legislation is suggested. Even so clever
man as Mr.. Tilden was influenced by
some years ago when the Bland bill BEGAN
law. That was, as you know, modera
silver measure which permitted the COMA,
Of not to exceed 100000 month nor Ie
than g 100000. In the light of subseque
events it was extremely conservative legi
lation. Mr.. Tilden, as the story goes, il
mediately invested large portion of b
fortune in English gold bearing securitie
1t was bad case of fright, but have
doubt he speedily recovered from it.
Twill not free coinage make this count
the dumping ground for silver from all t
rest of the worldl' l asked.
There has been nothing thus far
Justify that belief, nor do think the
ever will be. l have been at some pains
procure official information upon that su
Acct from the bureau of statistics. l fl