The morning news. [volume] (Savannah, Ga.) 1887-1900, 1894-03-30
justify II they do not enjOin upon him, a CON
tlnuatlon Of such redemption

has on hand sufficient silver bullion to permit
the coinage OF all the silver dollars necessary
TO redeem, in such dollars, the treasury notes
ISSUED Tor the purchase Of said ,ver bullion
ana enough besids to coin. as gain or seign-
FORAGE, % lo6,6ol additional standard silver
dollars.
:: There arc outstanding and now in circu-
Iauon treasury notes issued on the payment
OF the bullion purchased amounting to SI52-
S@l,2SO These notes are legal tender in pay
ment OF all detts. public and private except
Wnen otherwise expressly stipulated; they
are receivable for customs, taxes and all
puonc dues. When held Dy banking asso-
cations they may be counted as
part Of their lawful reserves and
they are redeemed by the government
IN gold at the option Of the holders. The ad-
NdhtageOus attributes were deliberately
altae .iA hea TO these notes at the time of their
issue, they are fully understood by our people
10 whom such notes have teen distributed as
currency and have inspired confidence in their
saIety and value, and have undoubtedly thus
induced their continued and COnteIted use as
tion.
HIS OBJECTIONS TO THE BILL.
Having referred to some incidents which
deem relevant to the subject, it remains for
me 10 submit specific statement OF my Objec-
tlons to the bill now under consideration
! his bill consists of two sections. excluding
one which merely appropriates a sum suft-
Gent TO carry the act into effect The first
section provides for the immediate coinage of
the silver bullion in the treasury. which rep
reseut5 the so-called gain Of seigniorage or
which would arise from the coinage Of all the
bullion on hand, which gain or seigniorage
this section declares to be Sl5 156G8l. 1t
directs that the money so. coined, or the Ger
uhcates issued thereon shall be used in the
payment of public expenditures, and pro-
Vldes that If the needs Of the treasury de-
mand it, the Secretary OF the Treasury may,
in his discretion, issue silver certificates in
excess of such coinage. not exceeding the
amount of seigniorage in said section author
lied TO be coined
The second section directs that as soon as
possible after the coinage Of this scignorage
the remainder of the bullion held by the GOV
ernment shall be coined into legal tender
standard silver dollars, and that they shall be
held in the treasury for the redemption of
the treasury notes issued in the purchase of
said bullion. 1t provides that as fast as the
bullion shall be coined for the redemp-
tion of the said notes, they shall not
be re-issued, but shall be cancelled
and destroyed in amounts equal to the coin
derived from the coinage provided for, and
that silver certificates shall be issued on such
coin in tho manner now provided by law 1t
is, however, esleeia .ly declared in said section
that the act shall not Re construed to change
existing laws relating To the legal tender
character or mode OF redemption of the treas
ury notes issued for the purchase Of the silver
tulllon to be coined.
UNFORTUNATELY CONSTRUCTED.
The entire bill is most unfortunately con
struCted. Nearly every sentence presents
uncertainty and invites controversy as to its
meaning and intent. The first section is es-
pecially faulty in this respect, and it is ex-
tremely doubtful whether its language will
permit the consummatlOn of its supposed
purposes. L am led to believe that the pro
moters of the bill intended in this
standard silver dollars, and yet there
is positively nothing in the section
to prevent its coinage into any description OF
silver coins now authorized under any existing
Low is i'm Tvgg a ll-A in
tended, in case the needs Of the treasury
called for money faster than the Seigniorage
bullion could actually be coined, to permit
the issue of silver certificates in advance of
permit the issuance of such certificates to
double the amount Of the seignlOrage
as stated, one half OF which would not repre-
sent an ounce OF silver in the treasury. The
DEBATE upon this section in the congress de-
velOped an earnest and positive difference of
opinion as to It's OBJECT ana meaning. IN any
event. am clear that the pre- ent perpleXi-
ties ana embarassments OF the secretary OF
the Treasury ought not 10 he augmented by
devolving upon him the execution of law so
uncertain and confused.
am not willing, however, to rest my OBJ
lection to this section solely on these
grounds; in my judgment sound finance does
not commend further infusion OF silver into
our currency at this time, unaccompanted by
further adequate provision for the main
tenanCe in our treasury of safe gold re
serve.
THE SECOND SECTION.
Doubts also arise as to the meaning and
construction Of the second section Of the bill.
II the silver dollars therein directed to be
coined are as the section provides. to be held
in the treasury for the redemption Of treas
ury notes, 1t is suggested that, strictly speak
ing certificates can not be issued on such
coin in the manner now provided by law"
because these dollars are money held in the
treasury for the express purpose OF redeem
ing treasury notes, on demand which would
for the purpose Of substituting them
for these treasury notes. They are not, there
fore, held in such way as to furnish a basis
for certificates according to any provision OF
existing law. If, however, silver certificates
can properly be issued pom these dollars,
there is nothing in the section to Indicate the
characteristics and functions OF these certih-
Gates IL they we're to be Of the same char
acter as the silver certificates in circulation
under the existing laws they would at best
be receivable only for customs, taxes and all
public dues, and under the language OF this
section it is, to say the least,
extremely doubtful whether the certificates
IL contemplates would be lawfully received
even for such purposes.
Whatever else may be said OF the uncer-
tainties of expression in this bill, they GER
tainly ought not to be found in legislation
affecting subjects so important and far-roach-
ing as our finances and currency.
FORCING US TO A SILVER BASIS.
In stating other and more important rea-
sons for my dlsapprOval of this section, /
shall, however, assume that under It's pro
visions the treasury notes issued in payment
for silver bullion, will continue to lie re-
deemed as heTelofOrein silver or gold, at the
option Of the holders and that If when they
are presented for redemption, or reach the
trea -4ry in any otner manner, there are III
the treasury coined silver dollars equal in
nominal value to such treasury notes, then,
and in that case, the notes will be destroyed
and silver certificates to an equal
amount be substituted. ! am convinced
that this scheme is i'll advised and
dangerous. As an ultimate result Of its
operation treasury notes, which are legal
tender for all debts, public and private, and
VIII, h are redeenable in gold or silver, at the
option of the holder, will be replaced by silver
certificates. which. whatever may be their
character and description. will have none OF
these Qualities. In anticipation OF this
result and as an immediate effect,
the treasury notes will naturally appre-
ciate in value and desirabllity. The fact tina
yod can be realized on them and the further
fat that their destruction has been decreed
when they reach the treasury must tend to
their withdraw from general circulation to
be Immediately presented for gold redemp
ton or to be boarded for presentation at
more convenient season.
WOULD ROB Us OF GOLD.
The sequel OF both operations will be a
large addition to the silver currency IN our
circLl lation. and a corresponding reduction OF
the gold in the treasury The argument has
been made that these things Will not occur at
once. because a long time must elapse before
the coinage OF anything but the selgnlOrage
can be-entered upon. If the physical effects
of the execution OF the second section OF this
bill are not to be realized until far In the