Rock Island daily Argus. (Rock Island, Ill.) 1886-1893, 1893-04-21
CARLISLE'S POLICY ANNOUNCED.
He Will Not Use the Gold Reserve Under
ANY Circumstances.


Any Circumstances.
WASHINGTON, April 21.-The statement
furnished the public by the secretary of the
treasury is one of the most important
declarations made on financial matters
since the days of the redemption of specie
payments. Carlisle quotes the law and
then defines his powers. He shows that
when the 800, 900, 600 of gold held in reserve
for the redemption of greenbacks is reached
he has no authority to use it for any other
purpose than the redemption of green backs.
This declaration carries with it an an-
nouncement by implication that bullion
notes, or as they are commonly called
"tress sury notes." must then be redeemed
in silver, either certificates or coin, al
| though it is expressly stated on their face
that they are redeemable in coin.
Taking every advantage of the strict
construction of the law the holder of the
| treasury note who presents it for redemp-
tion when the limit of free gold is reached
will obtain silver coin and nothing else. Car
Isle makes no uncertain sound regarding
his position on the bond issue. He will is
sue no bonds to increase the gold reserve
and he gives the reasons why he cannot in
his opinion. When the 500, 100000 point
is reached and grcenbacks are presented
for gold. gold Will be paid from the re-
| serve, which j. there for that purpose.
What the effect of this will be cannot be
predict d. But according to the best judg
ment there will be no financial disturb
J ance whatever and the depletion of gold
{ viii probably cease.
! Carlisle says that as long as there is free
gold he will redeem the treasury (bullion)
, notes in that metal in pursuance of the
purpose of the government to keep all its
: currency on a parity with gold, but adds
that 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 redemption as iron, lead or
any other commodity. The government
f, in the first place issues a coin treasury note
| in payment for silver bullion and then the
coin treasury note is presented at sub
rereasury and gold is paid cut for it; so that
/ the effect is precisely the same as if the
gold were paid directly for the silver in the
first instance.
! The secretary says there is now $685., 900
| free gold in the treasury and $40, 900, 900 of
| gold in the country and he adds: Arrange
+ ments are now in progress by which more
gold is to be procured from the west, and I
, hope that a sufficient quantity will be Sc
! CURED to keep the gold reserve intact.
/ There is gold enough in the country to
meet all the requirements of the situation,
and if all who are really interested in main
tanning sound and stable currency would
assist the secretary of the treasury to the
extent of their abilities, the existing diff
culties would soon be removed"
| The argument of the secretary against
the cont inued purchase OF silver and the
/ issuance of notes thereon redeemable in
coin is all that the most vigorous opponents
, of the continuance of the present silver
! legislation could desire. Mr.. Carlisle is
| significantly silent in regard to the issuance
! of bonds should certain contingency be
reached, but his views on the bond ques-
, tion are so well known that it scarcely
| need be repeated to make it emphatic.