Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1892-10-13
THE CURRENCY PROBLEM.
A Review of the situation by Ex-Comp-
troIler Trenholm.

A Review of the situation by Ex-Comp-
trolier Trenholm.
William u. Trenholm, comptroller of
the currency under the Democratic adj
ministration of 1ss5-1SS9. said, regard
ing the efforts of certain Republicans to
create distrust among conservative peo-
pie in Democratic administration under
Mr.. Cleveland:
II think all conservative people who
are sufficiently interested in the !mpend-
ing political contest to give attention to
the subject must realize that the record
of Mr.. Cleveland's previous administra-
ton affords the very best source of in
| formation as to his own opinions and
probable course of conduct. 1t must be
remembered that for some time before
the Democratic administration went
| into office in March, 1885, there was
| grave anxiety all over the country as to
| the ability Of the treasury to maintain
| the currency of the country on a gold
| basis in the face of the enforced pur-
chase and coinage of 100000 ounces of
silver month, as required by the Bland
| act It is 9 well-known fact that Mr..
Tilden at that time believed that unless
| this law was repealed the country must
descend to silver basis for its currency
! and that this view was shared by a
| very large number of persons in this
state of both political parties. 1t was
under the influence of this apprehension
| that Mr. Cleveland was led To violate all
| precedent by addressing letter TO the
prominent members of his own party in
Congress before his Inauguration. This
| letter provoked an angry response from
many leading men in the Democratic
party, and il is generally supposed had
| much 10 do with retarding the estab
lshment of completely cordial relations
between the President and the Demo-
cratic members of the 49th Congress.
Notwithstanding this difference, Mr..
Cleveland pursued steadily throughout
| his administration The sound financial
| principles which he announced in that
| famous letter, and he made sure of
their being put into practical effect by
| selecting for the administration of the
treasury two snch men as Daniel Man
ming aud Charles ). Fairchild. From
the first day to the last of Mr.. Cleyc-
lands term neither he nor those whom
| he intrusted with amy share in the iinan-
cial administration IF the government
| Omittcdanyop pOrtrntyo STRENGTHENING
the hands and minds of those who were
| tOntendlug Tor honest money; nor dur
ing the whole of that period was there
| any agitation of the silver question
within the ranks of the Democracy.
&c. n. Jordan, the Treasurer, was
obliged to come to New York and
arrange with tho banks for renewed
| supplies Of gold, owing to the condition
| in which the Republicans had left the
Treasury, and this wise and timely step
fortified public confidence, and, when
followed, as it was, by judiCious instruc-
| lions to the various sub treasures to
pay out gold instead of boarding it,
| produce such an effect upon the public
| generally that those who were holding
| gold let Il 70, and il flowed back into
| Ilc Treasury in Il stream that was con-
| IinuOusly augmented during the whole
period Of the Democratic administration.
All a later date, when the silver coin
| lgc had become an irksome burden upon
lie active currency of the country, Mr..
| 'lcyelAnd's administration formulated
md carried through Congress a law au.
| thorizing the issue Of silver.d1llar certi-
iicatcs. These relieved the people from
| he inconvenience OF the silver dollar
and made it possible for the treasury IL
u,ntain its GOLD reserve through the
absorption, into the currency Of tho
untry, ut taese representatives, OF the
liver dollar This was Il wise and
atesmunliiIc measure and it was
III strict conformity with sound prin-
.iplas, because the certificates bore
indstly upon their face statement
that they represented only standard sit.
| 4 ma ia hD
Juggling device of issuing the ambigu.
lus com certificates f1stcd upon thu
laople by the sherman act Of 1880
passed under the auspices Of the present
Republican administration.
| Concerning the question of removing
the tax from the state bank issues q!
currency and the declaration on till,
subject which Is contained in the Damo.
cratic platform, Mr.. Trenholm said
at may be question as TO whether
the national banks would be seriously
Effected by repeal of the tax upon
state banks circulation. When the Ma.
l0nul Bank Act was passed in 1869 il
vas found to be very simple matter
iur the then existing state banks tn b.
unvertcd into national associations
ruec, under proper provisions Of lugis,
lullOu, IL lulSul ne Hlulc ulll easy aliN
safe for national banks to pass undel
state banking systems. As banks of dis
count ana deposit there would be NJ
'hange of function, There was no sucl
change when they passed from the state
utu the national system. Butt Will bt
time enough to debate this question
when, if ever, some practical measure /.
brought forward of giving effect TO the
! general recommendation of the plat