St. Paul daily globe., 1893-04-21
Secretary Carlisle Makes a
Statement Regarding the
Financial Situation.
Treasury Notes Will Continue
to Be Redeemed in yell
low Metal.
About $74O,0O0,O0O of Gold
Coin and Bullion in the
Country.
With the Peoples Aid Exist
ing Difficulties Will Be
Removed.

WASHINGTON, April 2O.-Secretary
Carlisle tonight made the following
statement regarding the financial situa-
ton:
In the exercise of the discretionary
power conferred upon the secretary of
the treasury by the act of July IA, 1890,
he has been paying gold for the coin
treasury notes issued for the purchase
of silver bullion, and he will continue
to do so as long as he has gold legally
available for that purpose. Under
this process the government has
been and is now paying gold
for silver bullion. and storing the silver
in its vaults, where it is as useless for
any purpose of circulation or redemp-
ton as iron, lead or any other COM
modify. The government in the first
place issues a coin treasury note in pay
ment for silver bullion, and then the
coin treasury note is presented at SUBJ
treasury, and the gold is paid out for it;
so that the effect is precisely the same
as if the gold were paid directly for the
silver in the first instance. About $780,
OUU Vi lU6 SOlu WHICH Was
Withdrawn From Tie Subtreasury
on last Tuesday for shipment abroad
was paid out of these coin treasury
notes. No order has been made to stop
the payment of gold upon these notes,
nor has any one been authorized to say
that such an order would be issued.
The purpose Of the government to pre-
serve its own credit unlmpaired and
maintain the parity of the two metals
by all lawful means will not be aban-
d0ned under any circumstances. In
view of the existing legislation the only
question for consideration is as to the
measures that ought to be adopted to
insure the accomplishment of these
purposes and upon this question
there is, of course, room for
wide difference of opinion. The
total stock of gold coin and gold bullion
now in this country, including what is
held by the treasury, as well as what is
held by banks and individuals, amounts
to about S740,0000,000. When l came
into the treasury department on the 18th
day of March the amount of free gold
On hand had been reduced to 1000,
but by arrangements with Western
banks it was increased, until, on the
1st of April, it amounted to nearly
SS,000,000. Then heavy shipments
began TO be made, and two days ago we
had only about $4,000. but it now
amounts to sSS5.O00, after deducting
what has been withdrawn from the
subtreasury today for shipment. Ar
rangementS are now in progress by
which
MDre Gold Is to Be Procured
from the West, and l hope that a sum-
cient quantity will be secured to keep
the gold reserve intact. There is gold
enough in the country to meet all the
requirements of the situation, and if
ali who are really interested in main
tanning sound and stable currency
would assist the secretary of the treas
ury to the extent of their abilities, the
existing difficulties would soon be re-
moved"
In addition to this statement Mr.. Car
Isle said that $500, 900 in gold had been
taken out of the subireasury in New
York today for export. The class of
money paid into the SubreaSurY for
this gold withdrawal included 100000
in gold certificates, which, to that
amount, did not reduce the gold reserve,
because they themselves were practi-
cally gold. So the actual gold reduction
of the day was Only 100000, leaving the
balance as stated above. This is the
first considerable amount of gold certifi-
Gates paid into the subtreasury for gold
export for many years, and encourages
treasury officials to hope that the banks,
seeing the situation, will continue to
present gold certificates in part pay
ment at least for gold withdrawn for
export,