The news boy., 1894-04-07
BLAND BILL VETOED.
Message From the President on
the Seignioraee Coinage Bin.
THE Masure Returned to Congress Dis
approved-The Grounds for the
Presidents Action Stated In
Comprehensivs Form.

"eSSdSe VetOlnR tne bland SelRnlorage
bill:
10 THE HOUSE, OF REPRESENTATIVES re.
nea wnGus Ss sonaas 5 sG
si,ves bullion held in the treasury and for other
:. . My strong desire to avoid disagreement WITH
supported this bii,, S5uld lead me to approve
'tn Could believe that the public good would
tion on my part would be q proper discharge OF
official duty. Inasmuch, however. rs I am un.
nIe ,1 Is satisfy myself that ths proposed 'eg,s
zion ot ne Obligations ard responsible.
lies attached to the great offcc 1 hold
forbids the indulgence Of my personal desire,
which Is dictated by my reason and Judgment,
and pointed out by a sincere purpose to pro-
tect and promote the general interests Of our
people, ~
:. The financial disturbance which swept over
the country during the last year. was un.
feaSeHce Thers seesa so ~ bS s,ost an Gem en-
tire displacement of faith in our financial
ability and loss of confidence in our fiscal
causes for our distress it was very generally
conceded that the operation Of a provision Of
law then in force, which required the govern.
silver bullion and issue its notes in payment
she1,eter, ,e.ss vas, was either entirely, OF tp
Shs hs sa to tsS9 pepe On fGs se 81, Hs
IA" ot November, 1888 OF this statutory pro-
vision. We had, however, fallen so low in the
SSepshs OF h and timdity and appre
financial circles, that cur rapid secure.at.5n
could NOV be reasonably expected. Our recov-
though less than five months have elapsed since
the repeal of the mischievous silver.purchase
requirement. wholesome improvement is un-
mistakaby apparent, Confidence In our abso-
lutte solvency Is to such an extent reinstated,
and faith in our disposition to adhere
tsosoa to sound financial nnna,i nsthSds is SO far
results both at home ind abroad. The wheels
Of domestic industry have been slowly set in
hgain started in our direction. Our recovery
being so we'll under way nothing should be
done to check our convalescence; nor should
we forget that RELAPSE at this time would al
most surely reduce us to q lower stage OF finan-
cial distress than that from which we are Just
emerging believe that il the bill under con-
garded as u .retrogression from the financial
intentions indicated by our recent repeal
OF the provsiion forcing silver bullion
destroy returning faith and confidence in our
sound financial tendencies, and that as q con.
health would be unfortunately che cked and q
return to our recent distressing plight seri.
otisly threat6neS This proposed legislation
Is SO related to the currency conditions grow.
ing out of the law compelling the purchase Of
silver by the government that glance at
such conditions. and partial review Of the
law referred to may not be Improbable
Between the 18th day Of August, 1890. when
the law became operative and the lst day OF
November. 1893, when the clause it contained
directing the purchase OF silver was repealed,
there were purchased by the secretary OF the
treasury more than lss, 600 ounces Of
snon hs m T
Of various denominations. amounting to nearly
el56OoO0, which notes were Immediately
added to the currency in circulation among our
people. Such notes were by the law made
legal tender in payment of all debts, public and
private, except when otherwise expressly stip.
. n do ion ~ 10 fo-
taxes and all public dues and when so received
might be reissued. They were also permitted
to be held by banking associations as q part OF
their lawful reserves. On the demand Of the
deemed in gold or silver coin in the
' ury; but it wa was Declared as as n1 part 1teas Of
this redemption provision that 1t was
the established policy OF the United States to
other upon the present legal ratio. or such
ratio as may be provided by law"
The money coined from such bullion was to
be standard silver dollars. and after directing
the immediate coinage Of little less than 2s.-
OO,OJO ounces the law provided that as much Of
the remaining bullion should be thereafter
coined as might te necessary to provide for
the redemption Of the treasury notes issued on
its purchase. and that amy gain or seigniorage
arising from such coinage shall be accounted
for and paid into the treasury"
This gain or seigniorase evidently indicates
SO much OF the bullion owned by the govern
ment as should remain, after using sufficient
amount TO coin as many standard silver dol
lars us should equal IN number the dollars rep
resented by the treasury notes issued in pay
ment OF the entire quantity Of bullion. These
treasury notes now outstanding and in clrcula-
tion amount to Sl5a 95l $50, and although there
has been thus far but o comparatively small
amount OF this bullion coined, yet the so-called
gain or seigniorage. as above defined, which
would arise from the coinage OF the entire
mass, has been easily ascertaiped to be
when coined. s., l56 6sl standard silver dollars
/ Considering the present intrinsic relation be-
! tween gold and silver the maintenance OF the
parity between the two metals, as mentioned
In this law, can mean nothing less than the
maintenance of such parity in the estimation
money in their daily transactions. AIanifestly
| the maintenance OF this parity can only be ac-
complished so far as it is affected by these
| treasury notes, and in the estimation of the
holders of the same by giving to such holders,
on their redemption, the coin, whether It Is
fSa sSs that sf IN ney s pFeaT sx Il
such sue rcdemptOn to the dscre,io p'tat Of ,Se Se
Of this discretion, II opposed to the demands OF
the holder, is entirely inconsistent with the
effective and beneficial maintenance Of the
parity between the two metals
II both gold and silver are to serve us rs
money, and IL they together are to supply to
our people safe and stable currency. the ne
/ cessity of preserving this parity is obvious.
/ Such necessity has been repeatedly conceded
/ In the platforms of both political parties and
In our federal statutes. 1t is nowhere more
| law which repealed the provision under which
/ the bullion now on hand was purchased. This
/ law insists upon the maintenance OF the parity
! in value of the coins of the two metals and the
/ equal power OF every dollar at all times in the
markets and in the payment Of debts"
/ The secretary Of the treasury has therefore.
| for the best OF reasons not only promptly com.
| piled with every demand for the REDEEM ption OF
these treasury notes in gold, but the present
/ situation, well as the letter and spirit OF the
/ law appear plainly to justify II they do not en-
join upon him. continuation Of such redemp-
! tion. The conditions have endeavored to
! present may be thus summarized:
/ First-The government has purchased, and
| Iow has on hand, sufficient silver bullion to
| permit the coinage OF all the silver dollars
necessary to redeem, in such dollars, the treas
ury notes issued for the purchase OF said silver
| bullion. and enough besides to coin. as a gain
or seigniorage, IS, ,l56, ,6sl additional standard
silver dollars.
! Second-There are outstanding and now in
! circulation treasury notes issued in payment OF
| the bullion purchased amounting to sl52 $751;
/ 2s0 These notes are legal tender in payment
| OF all debts, public and private, except when
| otherwise expressly stipulated; they are re-
I ceiveable for customs, taxes and all public
/ dues; when held by banking associations they
| may be counted as part Of their lawful re-
| serves, and they are redeemed by the govern.
ment in gold at the option OF the holders,
/ ately attached to these notes at the time OF
! their issue, they are fully understood by our
/ people to whom such notes have been dis
! tributed as currency, and have inspired con-
/ hdence In their safety and value, and have un-
| doubtedly thus induced their continued and
| contented use as money, instead OF anxiety for
| their redemption.
| Having referred to some incidents which
! 70 submit o specific statement OF my objections
| to the bill now under consideration.
This bill consists OF two sections, excluding
| one which merely appropriates sum sufficient
n