Evening star. [volume] (Washington, D.C.) 1854-1972, 1891-04-29
AVAILABLE CASH.
Director of the Mint Leech's Recent State
ments Critically Analysed.

ments Critically Analysed.
FORMER ASSISTANT SECRETARY OF TIE TREAS
URY MENTIONS SOME ITEMS WHICH OUGHT TO
BE Considered AND WHICH REDUCES THE
AMOUNT STATED By AIR LEEcH VERY coSsID-
ERABLY.
The attention of Mr.. J. K. Upton, late as
sistant secretary Of the treasury having been
called to the statements recently made by the
director Of the min. concerning the amount Of
available cash in the treasury that gentleman
said:
The interview with the director of the mint
alleging that Of the s751 00O, 900 total cash held
By the treasury on the LIST instant the govern
ment owned absolutely s25s, 0Oo. OO::available
for disbursement is likely to lead to misappre-
hension. The treasury is far from being
pressed for funds. but it does not carry an
available balance Of that size and never did.
The director says that there should be de-
ducted from the total cash S483, 000, 900. the
amount held as reserve for which certificates
have been issued. the remainder giving the
S25S 9o0, 900.
Presumably he makes up the reserve as fol-
lows:
For gold certificates. s16s, 0O0, 900
kor silver certificates. ............ 3l4, 900 600
Fog currency certificates. 11,000 900
Total. s4ss, 900, 900
ITEMS WHICH MR. LEEcH DID NOT CONSIDER.
There is left, however, to be provided for,
as shown by treasury statement, in addition
thereto, the certificates issued under the late
silver act, s37 900 600 as neither the authors Of
the measure, the measure itself, nor any OF
even the widest advocates of silver expansion
ever for amomente xpected that after the paper
notes had been issued for the silver purchased
the silver itself should be paid out, leaving the
notes with no reserve at all, or any authority
to accumulate one.
''Then there was also in the total about
600 of moneys belonging to discussing
officers, which the treasury or bank officials
held for such officers, subject only to their
official checks. Any paying teller in whose
once or bank the money was held would re-
fuse the payment unless signed by the officer
against whose funds il was drawn, even ii the
check was approved by the President himself,
the money had been taken from the treasury
and from the control of any treasury official,
though for safety it was held in treasury offices
or depository banks awaiting disbursement.
THE GOLD RESERVE.
Then there is the 800, 000, 600 gold reserve
which the director says is available for current
disbursement This amount was accumulated
by the sale of bonds under the resumption act
might resume specie payments January l, 1879.
Congress has never authorized its use for any
other purpose. but. on the other hand, by ex-
press enactment has once declared that no GER
titicates should be issued against the amount.
ANY Secretary OF the Treasury who should use
this amount for current disbursements would
be guilty of a high crime or misdemeanor, for
which he could be impeached and punished.
Secretary sherman. who accumulated the re-
serve. reported to Congress his purpose in do
rrRyl aud
maintained it inviolable during the remainder
of his term as Secretary for that purpose only,
as has been done by all his successors.
Then the treasury holds $1,000, 600 legal
tender notes deposited by the national banks,
which the director would pay out, but under
the law no treasury official can touch them for
any purpose except to replace the worn-out
notes of the banks, the purpose for which they
were deposited.
THE REAL CASH BALANCE.
"There would, therefore, seem to be obliga-
tions payable by law at sight out of the total
cash for which reserve must be held in addition
to the amount stated by the director, as fol-
lows:
For redemption of last issue Of
silver certificates. $1,000, 900
For disbursing officers. 81, 0OO, 900
For redemption legal tenders. 100, OOO, 900
For redemption bank notes...... 5000. 900
lOtai. .....-....-. Slt4,OtU,UOO
And this amount with the admitted liability of
s493, coo. 600, makes $685.. 600, 600. which de-
Quoted from the total cash of $751;, 900. 900
leaves S64 ,00O, 900 net cash which the Secretary
of the Treasury has at his disposal instead CT
s25s. 000, 900 as stated by the director. Against
this, however. there was outstanding ana over
due, debt and interest, amounting TO $780,
600 which deducted gives of available cash in
round numbers on the LIST instant about $751;
OOO, 900. a good working balance, but no greater
than any prudent Secretary Of the Treasury
would demand at this season Of the year, with
the largely increased appropriations falling due
in few weeks especially as one-third OF that
amount is in fractional silver coins which are