The record-union., 1891-03-21
The Treasury Department Objects
to Their Expectation.
DEMANDS OF BANKERS FOR AN EX-
CHANGE REFUSED.
President Harrison Said to be Deter
mined That No Discrimination Shall
be Made Against American Pork by
France and Germany-The Matter
Called to the Attention of the Two
Governments by Our Own Foreign
Ministers.
Special to the REcoRp-uNroN.

WASHINGTON, March 2O.-Acting Sec
retary Nettleton to-day rejected offers
aggregating $3.50, 600 for the exchange for
export of gold coin for gold bars. He
said his action was in accordance with
the policy recently decided upon. 1t is
contrary to the best interests of the Gov
ernment to relinquish at the present time
for export any considerable part of the
most convenient form of our gold supply
He did not regard it as at all probable
that gold would be forced to a premium
by reason of the present policy against
the expectation of the Government IS
limited supply of gold bars.
COIN SHIPMENTS.
NEW YORK, March 20.-Superintend-
ent Mason received notice from the
Treasury officials this afternoon that two
requests for gold bars for export had
been refused. When the bankers received
this news they ordered S750000 in coin at
the Sub-treasury, which viii be shipped
tomorrow. making the total shipments
so far known 81, ,Z75, 600.
DIRECTOR LEECH's VIEWS.
NEW YORK, March 20.-Director of the
Mint Edward O. Leech, who is here on
business, said in an interview in regarC!
to the gold bar subject: Il did not come
with any definite purpose to ask the
views OF the bankers on the subject at
ALL" he said, "but being here incidentally
met bankers and business men with
whom | am personally acquainted.
am satisfied that the gold bar policy is a
good one and that it will be commended
by the people of the country and by
bankers and business men generally"
with whom did you converse about
it?'
with all the leading bank Presidents.
The views of the leading merchants and
bankers in regard to the policy of the
Administration in declining to furnish
shippers of gold with fine gold bars for
shipment abroad | ascertained incident
ally, and | have found that the sentiment
is universal, that the Government has
acted wisely in this decision"
In reply to other inquiries Leech said
This proposition to decline to exchange
gold bars for gold coin has been favor
| ite project of mine for some time, indeed
ever since l have been Director of the
Mint. ! found on the statute books q
law enacted In 1882 which authorized
the superintendents of mines to give
| gold bars in exchange for gold coin o1
equal value.
| The late Secretary of the Treasury
Window and myself were disposed to be-
| lieve that the law intended to give the
department discretion, but upon submit
| ting the matter to the Acknowledgement
he held that the statute was mandatory
| and that we could not decline to exchange
| gold bars for gold coin, nor could we
make any charge for such exchange.
1.-The result was that the Treasury De-
partment was utterly helpless in the mat
ter of gold shipments. Upon the recon-
mendation of the late Secretary and my
self, Congress amended the law at its last
session by making exchange discretion
airy with the Secretary, and allowing the
| imposition of a charge equal to the cost OF
manufacturing the bars.
Tuesday last / was notified by the Su-
perintendent of the assay office i'll New
York that 81 ,000, 900 was wanted in gold
bars for shipment. The exchange Oh
that day was only 1891, showing that the
movement was not genuine exchange
movement-that is, that it was more
profitable to buy exchange on Londor
than to bodily ship gold at that rate O
| exchange.
1T was what is known as a specia
shipment, and upon my recommendation
! and with the concurrence of the Admins
tration, the Secretary decided to exercise
| the other alternative allowed by the
! change in the law, and the Treasury De
partnent declined to furnish gold bar.
in exchange for gold coin for shipment.
THE views Of the department are sim
ply these: That it is undesirable anC
against public policy for the Government
to furnish gold in its most convenien
form at a seaboard port to shippers o
gold, and we propose to exercise the
discrimination that has been exercised il
European countries in regard to the ex
port of gold-that is, we do not mean tc
facilitate it.
This policy is exercised now not be
cause of any change in the monetary stu
alton of the United States, not because
| there is any deficiency in the gold sup
or and distrust that there may be any de
mand for gold, but solely because the Law
is now for the first time operative which
permits US to exercise this discretion"