The Coeur d'Alene press. (Coeur d'Alene, Idaho) 1892-1907, 1893-09-02
An Aggrega.;o, Of Liars.

\ lie is none the less reprehensible
because it masqUerades under the guise
OF indirection. There is something re
freShing in lie that has sincerity blown
IN the bottle, even If no one cares 10
swallow the statements that comprise
II. But a faiSehood OF action. hollow
and cayernouS rs leprouS retreat in
the Inferno of Dante, is utterly without
even the merit Of passing interest. Yet
such is the lie now being enacted daily
by the gold bugs of New York.
They demand the repeal of the Sher-
man law and contraction Of the cur
rency to the extent of 100000 per
month on the ground of honest fnan.
ciering and the dignity of the honest "
dollar. Right in the midst Of the hnan-
cial crisis precipitated by this demand
these specious demasogues issue, for
their own protection, over S2S,OCu,UO0 in
clearing house certificates. thus inhat
ing the currency" OF that city with H.
legal paper and spreading over theiy
| financial rottenneSS the veil of an TN
holy hat. Straining every energy to
bring about contraction OF the curren-
cy OF the people, they confess the need
OF more money in the transaction OF
their own business by resorting to an
arbitrary subterfuge that ought TO land
them behind the bars as colossal faAirs
upon the pubic confidence.
What is a clearing house certificate ..
1t is merely an evidence OF collective in
debtedness, that is all. The New York
city clearinghouse is composed Of some
80 banks, and makes convenient the
daily settlement OF balances among its
members, each bank receiving checks
against the other banks. Membership
in this organization implies its right 70
examine at any time into the solyency
OF its respective members. Organiza-
tons of q similar character exist in all
the principal cities of the country, and
under the present system OF banking
are doubtless important factors in the
business life of the nation. The lead
ing banks in New York belonging to
this association realized that the re-
bound OF the financial panic which they
had brought about to bear" the stock
market and increase the volume Of
their invested capital, would knock the
props out from their vaults and place
them as close to the border line Of dan.
ger as other banks throughout the land.
Therefore they issued clearing house
certificates to the extent OF SIS UnD0U.
bearing six per cent. interest.
70 Illustrate: one bank viii take a
million or two Of these certificates, for
which all are Jointly responsible, and
place its credit against the loan. 1t
viii then turn in these certificates for
its balances instead Of putting up the
cash. Il is, III fact. merely the prolfer-
ing and acceptance Of the evidence of a
collective Instead Of an individual debt.
1t Is a huge burlesque, uniustliiaUle in
either good morals or law. and. while
these New York banks are thus swap
ping condolences, exchanging paper Of
their own creation in lien of cash and
playing into each others hands to keep
up the farce Of sOiveucy. -tenths Of
them would go to the wall in s hours
II subjected to the strain experienced
by other banks throughout the country.
AS matter Of fact, they have loaned
their own money, and that Of their de-
posters, very largely on western securi /
ties, represented in farm mortgages. i'm
railroad and other bonds. II called on
to redeem thei- own obligations in gold
there would be crash lit Wall stree.
lHht would prevent even an honest Opin- F.
Ion from traYersing its length. Yet
these snperciliOus nabobs Of finance"
"ould force the rest OF the country TO a .
gold basis, white they are protecting
themselves by balancing accounts with
,hlnpIaoter mutuals. Montana Mining ,
ItcvIeW.