The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1894-01-20
The Silver Men object 10 That Fea-
turs Of the New
Bonds
A Theory That tho Gold Reserve
Fund Was Long Ago
Wiped Out.
X. Of L. May Attempt TO EnJoin the Bond
Issue-Treasury OmoiAls AntIci-
pate no Delay.

WAsmSoToS. Jan. l9.--strons sentiment
is expressed among the silver leaders OF the
house sgainst the gold clause" OF Secrs-
tary Carlisle's notice OF ths bond sale.
Representative Bland. democrat. Of Mis-
souri, says; The standard silver dollar is
full legal tender. and II can bo offered
and received In payment for these bonds.
The act under which the bonds are Issued
provides that they shall be payable In coin.
II does not say gold coin. Al the time Of
the oct the STANDARD silver dollar was a foil
legal tender so II must be Included in the
meaning Of the word 'coin.'"
some anti-silver men take Issue with
Bland on this point. They say the bonds
are issued under the resumption act of
1870. which provides that bonds should be
sold for coin" but they point out that be-
fore thi-, in 1873. silver was demonetizsd.
so it could not be included in the meaning
Of the word COIN"
Aside ON the legality OF the gold clause
the silver men say Il is against public Tol-
icv 90 make public discrimination against
one OF the money metals now In use, and
the effect Of the secretaTy's action is 20
tend Go send gold coin TO a premium and
disturb the parity between gold and silver
coins.
Representative Tracy. democ az. OF New
York, one OF the snti-silVeT leaders OF the
house. said; 'Scc:etary Carlisle wants no
more silver, for he already has ia the treas-
ury much more than be wants. What Is
needed is gold. Il 10 fortunate that under
these circumstances the law allows him 20
secure the particular metal he wants; Will e
the bonds are payable In gold. yet in sell
ing them tho secretary has authority TO So
cure payment In any class OF coin be needs,
as the express purpose OF that law was TO
give means OF nesting tbs needs OF the
treasury"
Some treasury officials have a theory
which has been advanced several times
heretofore. aud which is said 20 be sha' ed
BY some OF those who have a hand In di-
reotinR the fffairs of the department, that
st this time there actually exist funds that
can be properly termed gold reserves. -
The sO-called gold reserve, which vas
created ~ Secretary sherman under the
ACT Of 1876, has besn entirely wiped out by
the redemption OF the United States notes
and treasury notes. for which purpose IL
was originally created. The redemption Of
treasury notes alone. il is said, has been
sufficiently large TO wipe out the gold re-
serve, and Tedomptions OF United States
and treasury notes together. up 10 recent
period, aggregated Sl49.O000. This vast
amount OF notes was not retired, but re-
Issued
If this theory is carried 20 a Legitimate
conclusion Il is held that the government
has rot been using the gold reservs for the
payment of cuFfent expenditures, but has
been merely drawing on its stock OF assets
represented by goli. IL Ia said that certain
figures bearing out the deductions above
referred TO have been prepared tor the use
OF Secretary Carlisle, and he will shortly
issue a statement on the subject.