The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-01-20

interests OF the people upon whom the
burden of all taxation to paw the interest
quire that you should Immediately take
this step against tue secretary of the treas
ury. enjoining him from ineurring further
debt while the resources of the govern
ment. if properly applied, are sufficient 10
meet all lawful demands.
.'JoHs w. HAYES.
General Secretary Treasurer"
The following was received in reply:
"DEs MONIES. Ia. Jan. 10.
John W. Hages. Si4 North Broad Street,
Philadelphia: Case submitted To counsel.
II there are reasonable grounds on W hich
to force q standing in court injunction
proceedings will begin at once.
-. r. SOVEREIGN,
General Master Workman"
DEs MoINEs, Jan. i9-General Master
Workman Sovereign was seen by an Asso-
ciated Press representative here tonight
regarding the proposed injunction pro-
ceedings against Secretary Carlisle. .It
may be a good deal like a mouse tackling
lion." he said. .'but we are going to do
II. A petition praying for an injunction to
restrain the secretary Of the United States
treasury from issuing bonds in the sum of
S500)o,0oo or any other amount. Sover-
eign said. would be drawn up here by
Judge Cole, sworn 70 by Sovereign and
sent to Washington City to be filed in the
United States circuit court of the District
of Columbia the frat Of next week. To-
night Sovereign sent dispatch to Senator
Allen OF Nebraska. asking him to make an
argument in the case before the court at
Washington City.
Sovereign and his attorneys deny to Car
Isle authority to issue the bonds pro-
posed. claiming that there 10 nothing in
the law providing for reserve fund of
$i0o. 600. 900; that there isAno provision in
the law for any special reserve IS con-
strued by the present government. and the
fact that the secretary of the treasury is
offering for sale a greater amount of bonds
than the deficit in the so-cailed legal reserve
indicates that he is not offering them for
the purpose Of redemption. and the petit
tion further declares that he has not
offered them for sale for any of the pur-
poses specified in the Law of January IA.
1875. "As a matter of fact" said Sove-
reign further, .'if' they wish TO stick
to the text of the legal reserve
of 800. oo0, 900. We insist that there is
now an amount more than double
the present deficit in the treasury. and the
amount is in silver. Again, if they wish
TO stick to the text of the legal reserve of
500, 0o0. o00 we have them, for if the re-
serve they claim was established by
law, then the secretary of the treasury
violated the law when he allowed en-
croachments on the reserve" Sovereign
no fear that the case would be
thrown out of court. He is determined to
fight the matter until the last bridge is
crossed.
WAsHIsGToa CRY. Jan. n. Strong SEN
timent is expressed among the silver
leaders of the house against the "gold
clause" of Secretary Carlisie's notice of
the bond sale. Representative Bland
tDem. J. of Missouri, says:
THE standard silver dollar is full legal
tender. and Ii can be offered and received
in payment for these bonds. The act un-
der which the bonds are issued provides
that they shall be payable in coin. II does
not say gold coin At the time of the act
the standard silver dollar was a full legal
tender. SO it must be included in the
meaning of the word COIN"
Some anti-siiyer men take issue with
bland on this point. They say the bonds
blC ht TIC is,uN4 thU ACT
of 1873, which provides that the bonds
should be sold for coin" but they poin.
out that before this. in 1873. silver was de-
so il could not be included in
the meaning of the word coin
Aside from the Legality of the gold
clause, the silver men say IL Is against
public policy TO make public discrimina-
tion against one of the money metals now
in use, and the effect of such action would
be 10 tend 10 send gold coin TO premium
and disturb the parity between gold and
silver coins.
Representative Tracey fDem.) }, of New
YORK. one of the anti-siiver leaders of the
house. said: Secretary Carlisle wants no
more silver. for he already has in the
treasury much more than he wants,
What is needed is gold. IL is fortunate
that under these circumstances the Law al
lows him TO secure the particular metal he
wants While the bonds are payable in
gold. yet in selling them the secretary
has authority 10 secure payment in any
class of coin he needs. as the express pur-
pose of that law was TO give means of
the needs Of the treasury"
Some treasury officials have theory,
y hich has been advanced several times
and which is said so be shared
BY some of those who have hand in di-
-ecting the affairs of the department. that
1t this time there actually exists no fund
hat can be properly termed "gold re-
'erve." The so-caiicd gold reserve which
a as created by Secret sry Sherman under
he act Of 1875 has been entirely wiped out
,Y redemption Of United States notes and
Feasury notes, for which purpose IL was
" ginally created. The redemption of
reAsury notes alone. it is said, has been
large to wipe out the gold re-
erve. and redemptions of United States
md treasury notes together up 10 rec ent
,eriod aggregated sisa.oo. ooa Tiki. vast
ImouaE of notes WAS not retired, hnt re-
ssuei. If this theory IS carried 90 its
egiGims,e conclusion 1t is held that the
reyeFnment has not been using the gold
essrve for payment Of current expendi-
ures, BOT has been merely drawing on its
tock assets. represented BY gold Its
.aid certain dgnres bearing out the ieduc-
ion above referred to have been prepared
or the Use OF Secretary Carlisle and he
yiu shortly issue . statement on the sab
&C..
The dispatch announcing the threatened
niancsloa ey The AEagais Of Lsbor