The Lamar register., 1893-07-01
ANOTHER GLOW 70 SILVER.
Tho Free Coinage OF silver In India sus-
pended and Bullion Drops
Genfs

In the House OF Lords on the Goth the Earl
of Kimberly, lord president OF the council
and secretary of state for India, stated that
the India council had passed an act for the
immediate closing of the India mints to free
coinage of silver. He added that arrange
ments are being made to issue rupees from
the mints in exchange for gold At the rate OF
sixteen pence per rupee and for receiving
sovereigns snd half-sovereigns at the treas
uries in payment of dues at the same rate
The Earl of Kimberly further said that 1t is
intended to introduce the gold standard In
India, but that gold in the meantime would
not be made legal tender.
In the House of Commons, Mr.. Gladstone
gave information similar to that given in the
House of Lords by the Earl of Kimberly. lie
added that gold would not be made legal
tender at present. Regarding the silver now
on the way to India, Mr.. Gladstone said that
the government OF India had been Instructed
that it was open to 1t to admit this silser to
the mnts il it thought fit
The correspondence between the govern
ment of India and the Indian office has been
issued Il opens with a letter from the
India council under date of March, lsS2,
urging the home government to aid in the
settlement of the silver question by an inter
national agreement, failing which, not to de
fer determining upon India policy. IL an
international agreement should not be obtain
ed, the United States might suddenly stop
the coinage OF silver, leaving India unpre-
pared.
The communications discuss the fall in the
rupee values and the fluctuations in the rates
OF exchange.
The council in a letter written In June,
1892, advises that II the International none
tary conference At Brussels fails. and a di-
rect agreement between India and the United
States cannot be obtained, the mints of India
be closed to the free coinage of silver and a
gold standard be introduced
In a minute, Mr. Barbour, financial seerc-
tary OF India, opposed the stoppage Of he
free coinage until II becomes evident that the
the United States will not adopt free coinage
Mr.. Barnam estimates that the total active
circulation in India amounts TO l. 100000
rupees, while a much larger proportion Is
boarded To establish a gold eurreLcy, with
full legal tender currency composed en-
tirely of gold, ii would be necessary 10 with
draw from circulation /, $50 oo0,O rupees,
replacing them by e5s.o00,oo0 gold. lie
therefore contends that, with gold standard
In India, large proportian OF the circulation
must continue In silver, with silver legal
tender to any amount II both metals be
maintained in circulation, gold coinage
to the total amount of sl5,0o0.O0O will suf-
fee.
Mr.. Long, in a minute IN the council, in
August, 1892, discusses the adoption of the
gold standard, and concludes by the sug-
gestion that the ratio of conversion be about
TO 20.
In a subsequent telegram from the Earl OF
Kimberly to the vleeroy OF India, dated June
{, 1898 the former announces the neeommen
dations of the Herschel commission a. adopted
by the council at simla to-day. In advising
the Indian government TO exchange gold at
the rate OF 16d TO the rupee. the commission
says that the object Is to guard against sud
den considerable rise 10 exchange. Hereafter
the ratio ought to be raised If circumstances
make II advisable.
As a result Of the action Of tho Indian gov
ernment silver certificates have dropped in
New York to - e, the commercial bar silver
to ne, and Mexican dollars to GO.